Food Venture Financing News - Weekly Issue No. 53
In This Issue:
- If You Haven't Submitted Your PPP Application…Do So Quickly!
- Other Assistance Programs Coming Online
- Food Venture Financing Trends
- CPG Corporate Venture and Private Equity Funds
- Links to Relevant Content and Events
If You Haven't Submitted Your PPP Application…Do So Quickly!
- As widely reported, the deadline to submit an application for a Paycheck Protection Program loan was extended to May 31, 2021.
- However, as of last week there was only about $68 billion in funding remaining available for PPP loans.
- The SBA has noted that funds may run out in April given the recent pace of applications.
Other Assistance Programs Coming Online
- The SBA opened the "Shuttered Venue Operators Grant" last week. The SBA's information on this grant can be found here.
- The SBA has not announced a start date for the Restaurant Revitalization Fund ("RRF"), but is still targeting an April opening.
- For an initial three-week period, the SBA will prioritize awarding RRF grants to small business concerns owned and controlled by women, veterans, or socially and economically disadvantaged small business owners.
Food Venture Financing Trends
- According to recent data released by the Good Food Institute and the Plant Based Foods Association, plant-based food retail sales reached $7 billion in 2020, a 27% increase from 2019. This is almost twice as fast as the growth in the U.S. food retail market, reflecting consumers' interest in plant-based foods.
- An action plan targeting food loss and waste was presented by Harvard Law School Food Law and Policy Clinic, Natural Resources Defense Council, ReFED, and World Wildlife Fund to Congress this week. The plan recommends investment in infrastructure to measure, rescue, and recycle organic waste as well as incentives for food donations through tax deductions.
- Impossible Foods announced that it is considering public exit strategies through an IPO or SPAC deal in the next year with a target $10 billion valuation.
- Amid an increase in snacking, SnackMagic, a customizable snack box gifting company, announced it has raised $15 million in its Series A round.
- Numerator's Grocery Vulnerabiilty Index predicts that meat and herbs and spices are likely to see the largest decrease in grocery sales as restaurants reopen. The index predicts that breakfast foods, canned foods, and alcohol are the least likely to see decreases in grocery sales.
CPG Corporate Venture and Private Equity Funds
This week's featured corporate venture and private equity fund is AgFunder.
- AgFunder is a venture capital firm based in San Francisco, California.
- The firm invests in the agri-tech, food tech, robotics, big data, and life sciences sectors.
- Portfolio companies include:
- Alpha Foods
- GreenLight Biosciences
- Atomo Coffee
- AgFunder's mission is to invest in technologies to rapidly transform the food and agriculture system. It has leveraged technology, media, and research to build a global ecosystem of over 85,000 members and subscribers.
Links to Relevant Content and Events
- Plant-Based Food Worth $7 Billion in 2020, Posting 27% Growth
- Impossible Foods Preparing to Go Public With $10 Billion Valuation, Reuters Reports
- Cell Ag Startup Mission Barns Raises $24 Million for Its Cultivated Fat
- Gathered Foods Nets $26.35 Million
- How AI Is Cooking Up Changes for Foodtech
- Harvest Automation Startup Tortuga Raises $20 Million Series A to Build Hundreds of Robots
- Food Delivery App Grab Said to Target U.S. Listing in Biggest Ever SPAC Deal
- Investing in the Future of Food: Alchemy FoodTech Makes "Bad Carbs Good" With Unique Fiber Blends
- AppHarvest Acquires Root AI And Its 'Game-Changing Robotic Harvester
- Food and Environmental Groups Call on Federal Government to Tackle Food Waste
- U.S. Food Loss & Waste Policy Action Plan for Congress & the Administration
- SnackMagic Secures $15 Million to Scale Personalized Snack Box Company
- Which Food Sales Will Slump as Restaurant Dining Reopens
How to Start Your Carbon Neutral Journey
Presented by Naturally Austin
Wednesday, April 14, 2021 at 9:00 a.m. – 10 a.m. PT
Curious about the process of reducing your carbon footprint? Do you want to hear insights and stories about how becoming carbon neutral or negative is helping brands attract more customers? This roundtable will explore the carbon journey of carbon-neutral or negative brands that you know and love.
- Moderator: Jeremiah McElwee, Chief Merchandising at Thrive Market
- Panelists to be announced
Naturally Bay Area's 2021 Quick Bites Series
Influencer Marketing Trends & Tips
Learn the latest trends in influencer marketing and find out how savvy brands are incorporating this hot tool into their brand growth strategy. The panel will share key learnings, best practices, and tips for making influencer marketing work for you no matter the size of your marketing budget.
- Jessie Ferraioli: Marketing Director, Mezzetta
- Karnika Haridoss: Marketing Manager, La Tourangelle
- Drew McGowan: Communications and Influencer Marketing, Clif Bar & Company
- Joy Chen: Host, Naturally Bay Area & Co-Founder and CEO, Pure Culture Beauty
The Rise of Transparency in the Food Supply Chain
Tuesday, April 27, 2021 at 8:00 a.m. PT
Join FoodBytes! Global Head Anne Greven in a conversation with FoodBytes! Pitch member CGC Ventures and FoodBytes! alumni Bushel. They will discuss transparency in the supply chain and how digitization and traceability can help us usher in a new era of resilience.
IGA Announces New Cohort
ICA announced last week that 19 new companies are joining the ICA network. Eleven companies are part of The Lab at ICA, its new four-week accelerator program for early-stage businesses, and 8 companies make up the newest cohort of The Accelerator at ICA, its four-month flagship program for growth-stage businesses.
Both programs are designed to provide Bay Area entrepreneurs with the support and advising they need to grow their companies to the next stage, get ready to raise capital, and create wealth for themselves and their workers. Get to know the companies by clicking the button below.
Project W x Farm to Label's Emerging Food Brand Lab: DWT is excited to announce that Project W is bringing its signature programming to female founders in the food and beverage sector through our first Emerging Food Brands Lab. Developed in collaboration with DWT's Food + Beverage practice, this multi-week program has been crafted to help female founders take their brand to the next level through workshops dedicated to scaling production, optimizing distribution networks, and raising capital. If you know any female founded branded food companies that would be a good fit, encourage them to apply here by May 7th!
Davis Wright Tremaine is proud to partner with OSC2 as a founding member of J.E.D.I. Collaborative. We are committed to creating a more equitable, diverse, and inclusive future in the food and beverage businesses we serve. See our statement here.
Please check out DWT's newly re-launched Startup Law Blog
At DWT, we are proud to have one of the largest Food & Beverage legal practices in the country, with over 40 attorneys representing food innovators, entrepreneurs, and investors at every level of the food chain, from Farm to Label.
Please contact our Food and Beverage team if we can assist you in any way in these unprecedented times.
The facts, laws, and regulations regarding COVID-19 are developing rapidly. Since the date of publication, there may be new or additional information not referenced in this advisory. Please consult with your legal counsel for guidance.
DWT will continue to provide up-to-date insights and virtual events regarding COVID-19 concerns. Our most recent insights, as well as information about recorded and upcoming virtual events, are available at www.dwt.com/COVID-19.