Chowdeck, a fast-emerging Nigerian food delivery startup that operates in Ghana, just announced the closing of $9 million Series A funding. Novastar and Y Combinator are pouring a lot of money into the company. This funding will enable the company to rapidly roll out its new commerce strategy and continue to scale operations into additional cities throughout Nigeria and Ghana.
Chowdeck had a meteoric arrival to the hypercompetitive food-delivery marketplace in October 2021. Founders Femi Aluko, Olumide Ojo, and Lanre Yusuf have led its meteoric success. The young startup now has a presence in 11 cities, with about 1.5 million customers served from a network of more than 20,000 rides. Perhaps most impressively, Chowdeck was already profitable before completing its Series A, which speaks to their strong business model.
Yet in the past year, Chowdeck exploded in growth. The value of meals delivered more than sextupled of the previous year’s level. The firm’s logistics network allows the company to fill orders within an average of 30 minutes. This incredible turnaround time continues to serve a wide-ranging clientele though, all across the state’s metropolitan cores. In crowded urban centers, bikes account for over 50 percent of Chowdeck’s deliveries. This innovative turnaround reflects the startup’s deep-rooted devotion to the execution of smart, sustainable logistics.
With this new funding Chowdeck hopes to quintuple its current levels, reaching 5,000 orders per day by the end of September 2025. It expects to have 40 dark stores by the end of 2025. By the end of 2026, they want to increase that total to 500. Dark stores are darkly painted, strategically located warehouses that allow retailers to offer faster delivery times in dense urban areas.
Femi Aluko, Chowdeck’s CEO and co-founder, on the excitement of their seed round
“We’re thrilled about this round as it brings us closer to our vision of becoming Africa’s number one super app.” – Femi Aluko
Last year, Chowdeck successfully raised $2.5 million in a seed round, which provided a strong foundation for its subsequent growth. In June, Chowdeck acquired Mira, a point-of-sale company designed for African food and hospitality business. With Chowdeck’s capabilities added to its portfolio, Manna is poised to enrich the overall delivery experience and increase operational efficiency across the food delivery value chain.
Brian Waswani Odhiambo, a representative from Novastar, underlined the importance of Chowdeck’s mission in revolutionizing logistics for Africa.
“Chowdeck is building the future of logistics for African cities.” – Brian Waswani Odhiambo
As Chowdeck continues to expand its services and refine its operations, it remains focused on addressing the growing demand for food delivery solutions in Africa. The startup’s business strategy initiatives give consideration to the runaway forces of urbanization and consumer penchant for convenient access to dining options.
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