Kaddy has announced the completion of an $3.5 million dollar funding round as it looks to expand internationally.
KTM Ventures, SpringCapital and restaurant entrepreneur John Szangolies have backed the B2B beverages marketplace in the over-subscribed raise.
KTM and Szangolies were initial investors in the company, alongside other experienced industry names such as Stevan Premutico, founder of Dimmi and me&u.
Kaddy streamlines the discovery, ordering, invoicing and payment process for alcohol suppliers and their trade customers. The new funds will help the Sydney-based start-up enhance its platform capabilities, grow the team with 10 new hires expected this year, and expand interstate to Victoria and Queensland (currently in NSW and ACT only).
Mike Abbott, co-founder of Kaddy, said international expansion is on the horizon for the company in late 2020.
“This is an exciting time for Kaddy as we look to accelerate our growth and deliver on our mission of improving and modernising the wholesale beverages marketplace for suppliers and their customers,” he said.
“We are thrilled to have these investors throw their weight behind us amid some of the most challenging fundraising conditions in recent history.
“The Kaddy model and marketplace has become even more relevant in the COVID-19 world as venue operators, retailers and suppliers seek more efficient back end processes. Our investors are excited about the opportunity Kaddy has to help the hospitality and beverages industry streamline their operations during these testing times and beyond.”
Kaddy was co-founded by high school and university mates Rich Coombes (previously co-founder of Batlow Cider, Capital Brewing and Will & Co Coffee) and Abbott (previously co-founder of Uber in Australia).
The idea for Kaddy was born in between surfs and beers where the pair would discuss a shared frustration with ordering and payment methods in the beverages industry.
“Day to day, Mike and I were both seeing first hand just how messy, clunky and time consuming it was for the beverages industry to trade – on both the customer and supplier side,” Coombes said.
“More and more beverage suppliers were popping up in the market but there was no centralised marketplace for them to connect with venues and retailers. We knew tech could play an important role to bring both sides together and help them trade with less friction.
“Venues can now connect and order from over 100 different suppliers on the one platform with ease. Our platform accommodates core range products, but also seasonal and pre-orders of limited release products, which suppliers and customers love.’
“Meanwhile, suppliers gain access to new customers and they never have to send an invoice or chase payments again – Kaddy does it all,” Abbott added. “We’ve made the whole process streamlined for both sides with no more messy texts, emails or phone calls,” added Abbott.
More than 100 suppliers and 190 venues have already signed up to Kaddy, including Young Henrys, Archie Rose, AppleJack Hospitality and Mr Liquor.
Pictured main: Kaddy co-founders Mike Abbott and Rich Coombes.