Sweetberry

Consumers today are demanding healthier, more convenient food options.

That’s why QSR Magazine reports the market for healthy, fast-casual foods and beverages is the “fastest-growing foodservice segment worldwide.”

According to Technavio, a market research company, this market will reach $66 billion by 2020.

Sweetberry is targeting this market by creating a chain of healthy, fast-casual restaurants.

These restaurants offer traditional dishes like salads, wraps, and smoothes, along with foods like Acai Bowls, Poke Bowls, and vegan ice creams. Products are made from premium fresh ingredients and prepared made-to-order in front of the customer, just like at Subway or Chipotle.

Since launching in 2017, Sweetberry has opened 19 restaurants, and has received more than 1,500 inquiries from those looking to open a franchise.

The company is raising capital to meet this demand and expand its business both nationwide and internationally.

Sweetberry’s main competitors include health-conscious shops and restaurants, as well as fast-food chains.

Unlike other health-focused restaurants that only sell one or two products (for example, just salad and wraps, or Poke bowls), Sweetberry offers several options.

Meanwhile, fast-food restaurants that have started offering options advertised as “healthy” aren’t truly nutritious. Though they may be labeled “organic” or “vegan,” many of these products are processed foods, and most are expensive. These healthier options often cost upwards of $15.

Sweetberry, in contrast, sells its items for between $7 and $12. This enables customers to eat healthy and affordably. Check out some reviews from customers posted on social media platforms like Instagram and Facebook:

“Awesome new concept. The bowl was more than filling and all the ingredients were super fresh. It was hard to choose which bowl to order because they all sound so good.”

“Absolutely cannot recommend this place more. I’m finding myself going here a lot showing friends and family. They love it as well.”

“My new addiction. So good and so fresh. I have tried pretty much all the different options and they’re all amazing!”

As mentioned, Sweetberry is building a national franchise. Of its 19 restaurants, 13 are corporate-owned, and 6 are franchises. (An additional franchise is scheduled to open in late 2019 in Pennsylvania.)

In addition to revenue from its owned stores, Sweetberry earns revenue from each of its franchises.

Specifically, the company earns a $35,000 franchise fee up front, and a 6% royalty on gross sales. According to Sweetberry, it costs roughly $150,000 to build a franchise and each one can expect to bring in around $500,000 in annual sales. This equates to an estimated $30,000 in ongoing annual revenue from each location.

Sweetberry expects a typical franchise to become profitable within 2 to 3 years of opening.

Sweetberry aims to have 30 locations up and running by the end of 2020. The company is on track to earn $4 million in revenue in 2019, a 100% increase from its 2018 figure.

With funds raised, Sweetberry will hire additional staff and aim to grow more franchises. Longer-term, the company hopes to expand internationally, having already received inquiries from Canada and the Middle East.

Team Background

Ryan Quiros - Chief Financial Officer

Most recently, Ryan was a financial controller with Creative Tent International, a company selling outdoor equipment and business supplies for events.

Before that, he was a financial analyst with Vegas Fastener, a manufacturing company, and spent four years before that as a sales manager at Express, a clothing retailer.

He earned a Bachelor’s degree in History from Rutgers University, an MBA from Monmouth University, and a Master’s degree in Accounting from the University of Nevada-Las Vegas.

Desi Saran - Founder & CEO

Desi has direct experience starting and growing a foodservice startup.

Before starting Sweetberry, he was a general partner and owner at Playa Bowls, a company selling Acai Bowls. Playa Bowls has more than 80 locations nationwide.

Early in his career, Desi was a business development manager for Lean Startup Machine, an Internet services company. In addition, he was a sales representative for Verizon Wireless.

He earned a Bachelor’s degree in Economics and an MBA from Rutgers University.

Ian Bullard - Director of Operations

Ian has been with Sweetberry since November 2017.

Before that, he attended Rutgers University, where he worked in the school’s Food & Beverage Startup Accelerator division called “Rutgers-X.”

He also interned with Foundation Venture Capital Group, before graduating with a degree in Marketing.

Sean Azari - VP of Marketing

In addition to his role with Sweetberry, Sean is CEO of Breakthrough Social, a company that helps businesses market their brand using social media. He has held this position for five years.

Before that, he was an account executive with CenturyLink, a telecommunications company. And prior to that, he spent three years as a senior commodities business analyst for Credit Suisse, an investment bank.

Sean earned a Bachelor’s degree in Mathematics from Rutgers University.

Co-Investors