Burger Singh, the homegrown quick-service restaurant chain, announced on Thursday that it has secured pre-Series B funding in a round led by trading company Turner Morrison Ltd. This funding round also witnessed active participation from Homage Ventures LLP – Office of Aditya Ghosh.
Existing investors, including Ashvin Chadha from Anicut Capital, Vikramaditya Mohan Thapar from Thapar Family Trust, Mumbai Angels, and LetsVentures, were also part of the round.
Although Burger Singh did not disclose the specific amount of funding secured, it asserted that the round resulted in a valuation boost to $52 million (approximately INR 433 crore), up from its previous valuation of $23 million in July 2022.
In its Series A funding round held in July last year, the burger chain raised INR 30 crore, with Negen Capital leading the investment.
Burger Singh plans to roll out 15 ‘Burger Singh Express’ kiosks in the next 60 days at various metro stations in Delhi-NCR, with the aim of expanding into high-traffic areas like universities, malls, hospitals, and airports.
Measuring 100 sq ft, these kiosks are touted as highly adaptable and cost-effective by the startup, as they do not necessitate water drainage or other utilities aside from an electrical connection.
“Our expansion is not just about scaling up; it’s about innovating and evolving in the QSR space. The ‘Burger Singh Express’ model is a crucial part of this vision,” Burger Singh founder Kabir Jeet Singh said.
He mentioned that the kiosks mitigate the risks associated with location and high rental costs, enabling franchisees to achieve a quicker return on their investment.
Established in 2014, Burger Singh boasts a presence with more than 150 outlets across over 65 cities, encompassing locations such as Delhi-NCR, Lucknow, Jaipur, and Dehradun. Positioned as the third-largest burger chain in India, this startup competes in the quick-service restaurant (QSR) sector alongside renowned brands like Burger King, McDonald’s, Subway, Domino’s, and KFC.
As per analysis, the size of the Indian Food and Beverage (F&B) market was $11 billion in 2022, and it is projected to achieve a 25% Compound Annual Growth Rate (CAGR) to reach $68 billion by 2030. Consequently, investors are making substantial investments in this sector, and numerous startups within the space have secured funding in recent periods.
Earlier this year, Good Flippin’ Burgers secured $4 million in its Series A funding round from Tanglin Venture Partners. The funds are earmarked for geographical expansion, strengthening its supply chain, and refining its dining and quick-service models.
Furthermore, Third Wave Coffee, a Quick Service Restaurant (QSR) chain, obtained $35 million in a Series C funding round led by private equity firm Creaegis. The funding will be directed towards enhancing technology and product innovation to provide an enhanced cafe experience throughout the country.
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