Mobile payment company Square has acquired San Francisco-based food delivery startup, Caviar. The deal amount is still undisclosed by the companies but according to The New York Times reported on Friday that the deal, which was first reported by TechCrunch, will be valued at USD 90 million in stock.
Post this acquisition, Square deepens its commitment to providing independent sellers with services that make it easier for them to grow their business. According to Caviar’s Blog, ” Together we’ll double down our mission of delivering premium food through a premium delivery service with no compromises — giving buyers easy access to the food and restaurants they love so much.”
Founded in July 2012, Caviar is a venture of Co-Founders Shawn Tsao, Abel Lin, Richard Din, Andy Zhang and Jason Wang. It is a way for consumers and businesses to order food from local eateries with the ability to live-track the order on a map.
Currently, the company operates in cities including New York City, Seattle, Washington D.C., Los Angeles, and San Francisco and its services are used by 50,000 restaurants. The company’s order volume has grown more than 500 percent year over year, and 80 percent of its monthly deliveries are to repeat customers.
Till date, Caviar had secured a total funding of USD 15 million in two round of investments and is backed by seven investors. It consists of 14 employees in its current team.
“Caviar has made it easy for customers to get food delivered from some of the most popular, local restaurants in the country,” said Jason Wang, co-founder and CEO of Caviar. “With Square’s national scale and commitment to making commerce easy, we’ll be able to help buyers get food delivered from more of their favorite restaurants, while helping restaurants reach new customers and simplify their operations.”
Recently, Square also released inventory tracking, Offline Mode, and Square Order, a new way for customers to pre-order food and drinks for pickup. “Caviar’s curated, seamless delivery experience is exactly the kind of service we want to provide buyers and sellers,” said Jack Dorsey, CEO of Square. “By making delivery such a fast, friendly, and easy process, Caviar gives time back to restaurants so they can focus on what they do best — cooking great food for their customers.”
More from Caviar’s Blog: Two years later, we’ve served more than one million meals for hundreds of restaurants across six states. Our customers, restaurant partners, and couriers are the epicenter of what makes Caviar so special. Thank you. There’s so much more to do, and we’re just getting started.
It has been, and will continue to be, an incredible journey. Our ultimate vision aligns with Square’s: to provide local merchants with the best tools to grow and sustain their businesses. Delivery is no doubt an important component of helping a business drive additional revenue, and we’ll work hard to create new and exciting features for everyone.
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