ESB, Indonesia’s only fully integrated restaurant operating platform, announced its US$ 7.6 million (IDR 110 billion) Series A+ funding round led by Alpha JWC Ventures, with participation from existing investors including BEENEXT, Vulcan Capital, AC Ventures, and Skystar Capital.
ESB is an all-in-one provider of culinary business operations software, connecting restaurants’ front-end, back-end, consumers, and supply chain partners.
Established in 2014, ESB’s mission is to help F&B businesses increase their profits by incorporating technology to improve sales and operational efficiency.
Through the founders’ (Gunawan Woen, Eka Prasetya, Setiadi Prawiryo Moeljadi, and Dwi Prawira) decades of experience in the F&B operations and supply chain; ESB has identified many pain points throughout the industry and created unique cloud-based technology solutions.
The company was born from the founders’ frustrations when running their F&B businesses, particularly using multiple software in operations.
ESB’s initial offering was a customized Enterprise Resource Planning (ERP) cloud solution to replace expensive traditional hardware-based systems. The company expanded its objectives and started working on an all-in-one restaurant operating system covering Point-of-Sale (POS) system and Mobile Ordering technology called ESB Order.
With ESB’s all-in-one approach, the founders want to ease and streamline operating processes, especially those with numerous outlets and consumer-facing channels. ESB aspires to follow the success of Toast in the United States who recently had a successful IPO.
ESB has served more than 500 F&B brands, including big names such as MAP Boga Adiperkasa, Boga Group, Ismaya Group, Sour Sally Group, and Marugame Udon, processing more than 40 million orders annually.
With this fresh funding, ESB will further expand its proposition including tech-enabled upselling features, enhanced business intelligence (BI) platform, delivery solutions, payment solutions, financing, and human resources information system (HRIS) to become the dominant end to end F&B business operating platform.
Prior to this round, ESB had received a total of US$ 3 million funding from BEENEXT, AC Ventures, Skystar Capital, and Selera Kapital earlier this year.
Solutions for ever-growing F&B industry in the new normal
The COVID-19 pandemic has pushed F&B businesses to optimize their operation more than ever, both by making their operations leaner and finding new avenues for sales. This leads to massive digitization efforts among all F&B stakeholders (from restaurants to suppliers) and the adoption of restaurant technology, which ESB is primed to tap into.
ESB managed to grow by 3x YoY during the pandemic mainly due to the demand for touchless ordering, which ESB caters to via its ESB orders. ESB now processes over US$500mn in Gross Transaction Value and is expected to grow 10x in the next two years. Ultimately this is a testament to ESB’s ability to deliver values for their clients, helping them survive challenging times.
ESB is optimistic that restaurants will rebound after the COVID-19 impact. ESB will be there to support restaurants embracing the new normal. Beyond just enabling mobile ordering, ESB’s ERP and POS products have also proven to become a lifesaver for many F&B businesses by minimizing leakage and human errors in the operation. Presently over 95% of ESB’s users use ESB for both the front end and backend software, proving the demands of holistic optimization.
“Restaurant business is a combination of manufacturing, trading, and retail. We strive to alleviate the headache of dealing with separate platforms to meet the needs of these different aspects, and at the same time help businesses generate better customer engagement, optimize their operations, and eventually increase their net profit,” says Gunawan Woen, Co-Founder and CEO of ESB. “We’re proud to welcome Alpha JWC Ventures and Vulcan Capital as our backers and thankful for our existing investors’ continued confidence in us.”
“Besides product superiority, our other mission is accessibility. We believe that all sizes of businesses deserve to have good support, that’s why we are expanding our services to fit large, established F&B groups and small and medium businesses with the adjustable charge that is not predatory. We want to grow together with fellow businesses because only through that we can achieve greatness,” says Eka Prasetya, Co-Founder and COO of ESB.
“F&B is an ever-expanding market with a continuous influx of newcomers each month. But during the pandemic, most have common pain points of adapting to new consumer behaviors and shifts in outlet operational structure. F&B players today need to offer a contactless ordering experience, manage their inventory better, and reduce operational costs significantly, to keep their business intact. ESB is meant to solve all these pain points with its end-to-end solutions, regardless of how complex their operations are. The expanding pool of leading F&B brands who are using their products prove their tangible benefits to these players; and as their partner, we are confident that ESB can play a pivotal role in the digital transformation of the space,” says Eko Kurniadi, Partner, Alpha JWC Ventures.
“ESB’s technology platform has delivered a unique cloud-based end-to-end F&B solution to help restaurants reduce costs, manage their operations, and scale online delivery. Their platform is set to revolutionize the multi-billion dollar dine-in and takeaway market for Indonesia,” says Adrian Li, Founder and Managing Partner, AC Ventures.
”ESB has empowered thousands of restaurants in Indonesia during the pandemic, and they have become a platform of choice to improve restaurants’ operations and performance. The founding team has shown superb execution and resilience, leading them to grow even faster and ride on the growth momentum since last year. We are excited to be in the journey and this long-term partnership with ESB,” says Faiz Rahman, Partner, BEENEXT.