There is no doubt that food innovation is needed to help keep food costs down as well as tackle health, dietary and environmental issues linked to the food and drink industry. But is funding food innovation leading to more healthy innovative food products? I take a look at three young London based businesses, which have recently been in the news, to see what they are doing and whether investors have an appetite to fund their healthy, innovative food products.
Ape Snacks are in the news for introducing a market first coconut and rice flour snack called Ape Coconut Puffs, available from March 1st 2018. Ape Coconut Puffs are considered to be a healthy alternative, gluten free and vegan snack. The puffs are not fried and include all natural flavours (source: KamCity).
|Read other articles in Funding News – Feb/Mar 2018|
|Funding for business startup to scaleup – what’s available in the UK?|
|What is the role of UK Business Accelerators or Business Incubators and how do you find one?|
Ape is based in the London Borough of Camden. Their snacks are stocked in a wide range of outlets including Sainsbury’s, Coop and Boots. Since they started in 2014, they are thought to have raised in the region of £700K from undisclosed investors and are still considered to be in the seed stage of development (source: Beauhurst research).
Pip & Nut
Pip & Nut recently hosted a pancake pop-up (source: Field Marketing). They say they are “on a mission to become one of the nation’s favourite health food brands”. They have managed to get their nut and seed butter products into Sainsbury's, Ocado, Marks & Spencers, Wholefoods, Virgin Active, Gymbox, and Selfridges, having launched in January 2015 (source: Pip & Nut).
Pip & Nut are based in Tower Hamlets. They were awarded an Emerging & Enabling grant from Innovate UK in 2014 worth £5K. Since then they are thought to have raised £408K pre funding with Crowdcube and a further £744K in 2015 and £324K in 2016, with undisclosed equity investors. (source: Beauhurst research).
Well&Truly have been in the news following their success in raising additional funding. “Well&Truly was launched to fill a gap in the market for a brand with great tasting, on-the-go and snacking products that were also better for you. With 55% of the UK population buying into FreeFrom, Well&Truly knew that allergen-free products were extremely important, but that additional benefits such as less fat and sugar were vital too” (source: Clarke Group). Their products are listed by over 1,000 Tesco stores.
Well&Truly registered their company in 2015 and are based in Hammersmith & Fullham. They have been mentored by Clarke Group. In 2016 they raised £850K equity funding from undisclosed investors and recently announced that they had received £400K funding to aid their growth (source: Beauhurst research).
Of course, taking a glance at what London based businesses are in the news for innovative food products so far in 2018, can’t be considered to be evidence of very much. But it is interesting that all three are firmly focused on creating healthy innovative food products. Plus it looks like funders do have an appetite to support these businesses at an early stage and in what is a very competitive, high risk, retail marketplace.
Hi, I'm an R&D tax credit claims specialist, helping companies save thousands of pounds by reducing their corporation tax payments, or if they are loss making helping them get tax credit cash payments.
I'm proud to have:
Find me at: http://www.cobizfunding.co.uk