Sunday, August 25, 2013
"Venture Capitalists Are Making Bigger Bets on Food Start-Ups" / New York Times.
Venture Capitalists Are Making Bigger Bets on Food Start-Ups. New York Times.
This is a strong article about the emerging business opportunities in food. The work we are developing at the Wisconsin Innovation Kitchen speaks directly to the role professional, artisan food processing facilities can play in this discussion.
Here is the problem - "(food) ... a hard nut to crack because it’s a perishable item."
Here is our solution. We help food businesses sell safely prepared foods for sale year-round.
Here is our focus. Develop and sell profitable food business services to food entrepreneurs, restaurants, stores, and farms. Develop community based jobs including those for people with disabilities.
From the Times article... "Yet some investors say the projects have a better chance of success if they steer clear of selling actual food. 'The food category has been a hard nut to crack because it’s a perishable item,' said Mark Suster, an investor at GRP Partners. 'The No. 1 thing V.C.’s are looking for are scalable and repeatable, high-margin businesses. You can create those in food, it’s just harder.'”
Specialty food is an $86 billion industry with many business opportunities emerging. Smart new processing centers are vital. Our work developing the first Innovation Kitchen provides a tested, scalable model.
If you would like to support or participate in this work please get in touch.
Photo Credit: Bryce Vickmark for The New York Times article.