Investment values Toast at $1.4 billion, proceeds focused on accelerating market leadership
Toast, the fastest-growing restaurant management platform in the U.S., today announced $115 million in Series D funding to accelerate investment in research and development, recruit new talent, and expand its global presence.
The financing round, led by funds and accounts advised by T. Rowe Price Associates, Inc. with participation from new investor Tiger Global Management, LLC – as well as existing investors – values Toast at $1.4 billion. The additional funding brings total capital raised to over $200 million and collectively represents one of the largest investments focused on accelerating the adoption of cloud-based technology in the restaurant industry.
“The way restaurants serve their customers is going through a fundamental change, and the technology that enables restaurant operations must respond to these new demands. Toast does this,” said Henry Ellenbogen, portfolio manager of T. Rowe Price New Horizons Fund. “Our investment in Toast reflects our belief in the firm’s ability to become much larger over time. We look forward to working with Toast’s management team as they help their clients and grow the business.”
The Platform of Choice for Successful Restaurants
Launched in 2013, Toast empowers restaurant operators to delight their guests, do what they love, and thrive. By focusing investment dollars on a powerful, efficient point-of-sale experience – and software modules to streamline operations and increase revenue – Toast has quickly become the restaurant management platform of choice. In the past year, leading brands and concepts – including Jamba Juice, Sepia, WaBa Grill, B.GOOD, Hattie B’s Hot Chicken, Dos Toros Taqueria, and honeygrow – joined the tens of thousands of restaurants already in the vibrant Toast community.
“Toast enables our team to streamline operations in a way that wouldn’t be possible with legacy technology,” said Austin Brinson, VP of analytics at B.GOOD . “Thanks to Toast’s focus on the unique needs of restaurant operators, our entire organization is empowered to make data-driven decisions.”
Accelerated Investment in Research and Development
The Series D funding allows Toast to accelerate investments in research and development, building on its track record of delivering new restaurant-specific features on a monthly basis. Areas of focus include:
- Handheld technology to accelerate sales: Toast Go™ , a fully integrated mobile point-of-sale device designed for the rigors of the restaurant industry, transforms how restaurateurs staff and run their business. Designed by Toast, Toast Go enables full service eateries like Odd Duck of Austin, TX to dramatically increase revenue and quality of guest service while decreasing table turn time.
- Back of house technology to increase speed of service: Restaurants of all sizes have turned to Toast Kitchen Display Systems (KDS) to streamline their kitchen operations. Recent product advancements include the ability for quick service establishments – like Eventide in Boston, MA – to text guests when their order is fulfilled, streamlining the guest experience by offering speedy service.
- Guest-facing technology to manage brand risk: Harvard Business School found that a one-star change in Yelp ratings can impact revenue by as much as nine percent. With new guest feedback applications under development at Toast, restaurants of all sizes will soon be able to proactively address service concerns and minimize negative reviews directly from their restaurant point-of-sale.
“Through our exclusive focus on the restaurant industry, we’ve democratized restaurant technology and made it widely available to restaurants of all sizes,” said Christopher Comparato, CEO of Toast. “Our growing investment in research and development means members of the Toast community can more effectively run their business, increase revenue, and retain top talent in a way that isn’t possible with legacy technology.”
Hiring New Talent to Support a Global Footprint
Recognized on the Deloitte Fast 500 as the third fastest-growing North American technology company, Toast is actively hiring new talent to support an expanding global footprint. New offices opened in Portland, Oregon and Omaha, Nebraska will support Toast’s growing workforce. When combined with Toast’s Boston headquarters and existing office in Dublin, Ireland, the company’s global presence will support over 1,600 employees worldwide by end of 2019. Interested candidates may learn more about career opportunities at Toast here.
Launched in 2013, Toast powers successful restaurants of all sizes with a technology platform that combines restaurant POS, front of house, back of house and guest-facing technology with a diverse marketplace of third-party applications. By pairing technology with an unrivaled commitment to customer success, Toast helps restaurants streamline operations, increase revenue and deliver amazing guest experiences. In 2017, Toast was recognized as the third fastest-growing technology company in North America on the Deloitte Fast 500 and named to the Forbes Cloud 100. Learn more at their website.