BetterBrand, the leading food tech company revolutionizing the refined carb industry, has announced the successful closing of a $6 million Series A funding round, valuing the company at an impressive $170 million pre-money. This valuation places BetterBrand's Series A at more than twice the valuation of notable tech giants like Facebook, Stripe, and Tesla. The achievement is particularly noteworthy as it sets a historical record for female founders, with only 150 sole female founders ever raising over $5 million in a Series A from institutional investors.
VERSOL Capital led the round, with participation from returning venture capital firms including Gaingels Fund, Seven Seven Six (founded by Alexis Ohanian), and Craft Lane. The funding also attracted prominent individual investors such as Cruise Founder and CEO Kyle Vogt, venture capitalist Chris Hollod, and Jeff and Glenne Azoff. BetterBrand also enjoys support from Sean Thomas of the Wendy's family, along with actors Patrick Schwarzenegger and Emmy Rossum, among others. The company's remarkable growth, groundbreaking "grain-changing" technology, and vast market potential have consistently captured the attention of the investor community.
Founder and CEO of BetterBrand, Aimee Yang, expressed her excitement about the company's progress, stating, "We are thrilled about this next chapter for BetterBrand to support our rapid global expansion and continued innovation. This is yet another example of how our mission - proving that the impossible is possible - is demonstrated through practice, not only in our product innovation but also in the immense potential of Better's power and scale."
The Series A funding follows a period of significant momentum for BetterBrand, which achieved an astounding 800% year-over-year growth between 2021 and 2022, with similar growth projections for 2022 to 2023. The company's flagship product, 'The Better Bagel,' which transforms carb-heavy bagels into the net carb equivalent of two banana slices, became the top new product entrant in the Natural retail channel in 2022. BetterBrand made its global retail debut through a partnership with Whole Foods Market in Q3 2022, generating over $1 million in sales within its first five months on the shelves.
Kyle Vogt, Founder and CEO of Cruise, praised Aimee Yang, describing her as an incredible entrepreneur and a capable operator. Vogt emphasized that BetterBrand offers life-changing, clean, functional products for individuals who previously believed they had to give up their favorite foods to align with their nutritional needs. He expressed excitement about being part of BetterBrand's journey.
Lorenzo Thione, Managing Director of Gaingels, highlighted Yang's unique combination of determination, vision, and innovation as qualities that set her apart as a founder. Thione expressed confidence that under Yang's leadership, BetterBrand is positioned to redefine our relationship with carbohydrates, revolutionizing how starches are perceived and consumed worldwide. Gaingels is excited to support Yang's journey in transforming this enormous market and anticipates the indelible impact BetterBrand will make.
Since its inception in 2021, BetterBrand has raised close to $10 million in funding. As a rapidly expanding business, the company plans to introduce 16 new SKUs in the coming months and expand its presence to new markets across North America and Europe. Under the guidance of Michelin-starred baker Matthew McDonald, each new BetterBrand product will combine timeless flavors with the company's unrivaled Grain-changing Technologyâ„¢ and will be available by the end of 2023.