BetterBrand, a foodtech firm recognized for creating “The Higher Bagel,” closed on $6 million of Sequence A capital at a pre-money valuation of $170 million.

The corporate, citing Crunchbase knowledge, additionally touts that the increase places founder Aimee Yang amongst simply 150 solo feminine founders to boost a Sequence A over $5 million from institutional traders and to attain that valuation.

“The valuation displays a mixture of our progress, product differentiation, modern expertise and large-scale market potential,” Yang advised TechCrunch through electronic mail. “There’s a super $10-plus trillion market that’s largely untapped, for us to have the ability to dominate. With the outcomes we’ve achieved at an unprecedented scale and velocity, our imaginative and prescient to design the way forward for meals is already being actualized — at this level, our greatest problem is a race in opposition to the clock. We wish to get there as shortly as potential to construct the model, and ship on client demand.”

Based in 2021, BetterBrand’s proprietary “grain-changing” expertise combines non-GMO and clear label components to create a line of better-for-you baked items. For instance, the corporate has created the historically carb-heavy bagel into “the online carb equal of two banana slices,” with “The Higher Bagel” that includes 250% extra protein, 90% fewer carbs and no added sugar.

Prior to now two years, the corporate has created new bagel flavors, most just lately launching “The Pretzel” and “The Sesame.” Different flavors embrace  “The Basic,” “The All the things,” “The Cinnamon,” and “The Chocolate Chip.” BetterBrand can also be moving into new classes, and Yang expects to triple the SKU rely by the tip of this 12 months with the launch of 16 new merchandise.

The merchandise have caught on with shoppers. First beginning as a direct-to-consumer, the merchandise can now be present in over 1,000 shops in the USA, together with Complete Meals, Sprouts, Contemporary Market, Gelson’s and Bristol Farms.

BetterBrand’s “The Higher Bagel” product line. (Picture credit score: BetterBrand)

Between 2021 and 2022, the corporate noticed over 800% progress and in late 2022, Yang mentioned BetterBrand “drove greater than $1 million in product sales at Complete Meals Market alone throughout our first 5 months on cabinets.”

The corporate is on observe to see an analogous enhance between 2022 and 2023, which is why Yang mentioned it was an excellent alternative to go after extra funding.

“Traders can see our outcomes,” Yang mentioned. “Our velocities on shelf have organically outperformed our greatest case estimates. Product market match had been confirmed, and the muse had been laid out, so it was an excellent time to begin including gas to drive extra innovation and distribution.”

The Sequence A offers the corporate practically $10 million in whole venture-backed funding so far. Verso Capital led the brand new spherical and was joined by present traders, together with Gaingels Fund, Seven Seven Six, Craft Lane and a bunch of particular person traders, together with Cruise founder and CEO Kyle Vogt, Chris Hollod and Jeff and Glenne Azoff. Present traders Sean Thomas, of the Wendy’s household, and actors Patrick Schwarzenegger and Emmy Rossum, have been a part of BetterBrand’s earlier fund raises in 2021.

In the meantime, the corporate is concentrated on progress, so the funds can be used to develop into new markets throughout North America and Europe and on continued innovation and product improvement poised to start rolling out in coming months, Yang mentioned.

Traders are additionally desirous to see what’s subsequent. Kyle Vogt mentioned in a written assertion that, “Aimee Yang is an unimaginable entrepreneur and a strong operator. Her firm presents life-changing, clear, useful merchandise for many who beforehand felt that they had to surrender a few of their favourite meals to suit their dietary wants. It’s an thrilling journey to be part of.”