Brazilian-based restaurant operation management system Yooga has raised $2.3 million in its first institutional funding round. The seed capital was led by SaaSholic, with participation from Gilgamesh, Apex Partners, and Backfuture. This investment will enable Yooga to expand its software offerings and strengthen its position in the Latin American market.
Key Takeaway
Yooga, a Brazilian-based restaurant operating system, secures $2.3 million in seed funding to expand its software offerings in Latin America. The company aims to provide an intuitive and user-friendly solution that automates restaurant operations and brings together essential processes under one platform. With over 6,000 clients and growing, Yooga is disrupting the fragmented market in Brazil and helping restaurants transition from outdated legacy systems.
Building an Intuitive and User-Friendly Solution
Yooga was co-founded by Vinicius Melo, Victor Sortica, and Cassiano Guerra Fernandes in 2017. Melo’s experience as a waiter in college inspired him to develop a software solution that could automate restaurant operations while being accessible to users with varying levels of technological expertise. To gain the necessary skills, Melo immersed himself in a software house reminiscent of the popular TV show “Silicon Valley” and connected with Sortica, a skilled developer.
Streamlining Restaurant Operations with Yooga
Yooga’s software enables restaurants to manage orders, streamline communication with the kitchen, handle last-mile delivery, and efficiently control inventory and cash flow. Its comprehensive platform allows customers to bring all these essential processes together, replacing the reliance on paper and spreadsheets that many Brazilian restaurants still utilize. Within a week of onboarding, customers can start experiencing the benefits of Yooga’s platform, with significant results visible in as little as two months.
Charting a Path to Success
The founders of Yooga aspire to become the “Toast of Latin America,” drawing inspiration from the popular restaurant tech platform, Toast. However, they don’t consider Toast as direct competition due to the fragmented nature of the Brazilian market, with hundreds of companies and a significant number of restaurants still not utilizing any software solutions. Yooga’s success can be attributed to its ability to cater to the unique needs of the Brazilian restaurant industry and rapidly onboard customers in a market ready for digital transformation.
Driving Growth and Innovation
Yooga currently serves over 6,000 clients, handling $2 billion in transactions annually and processing more than 4 million orders each month. Its revenue primarily comes from affordable monthly subscriptions, starting as low as $35 per month. The company is also exploring additional revenue streams through payment solutions and professional services. The recent funding will be used to hire additional staff and further develop Yooga’s technology, with upcoming features such as “tap on phone” and PIX payment solutions. These innovations are expected to double the company’s average revenue per user.
Despite not being in urgent need of funding, Yooga sees this investment as an opportunity to drive growth and solidify its position in the market. With a positive EBITDA in recent months, the company has set its sights on accelerated expansion. Yooga aims to establish itself as the leading provider in the restaurant operating system category, offering a comprehensive solution that empowers restaurants to thrive in an increasingly digital landscape.
