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Chicago Startup Lands $1.5M to Take the Hassle Out of Restaurant Repairs


Daniel and Joe
Photo: 86 Repairs founders Joe Gallagher (left) and Daniel Estrada (courtesy image)
Sean Su

A new Chicago startup wants restaurants to think less about their equipment repairs and more about serving their customers, and it just raised a seed round of funding to bring its maintenance subscription service to more eateries.

86 Repairs announced Tuesday that it raised $1.5 million in a round led by Ann Arbor-based VC firm Tamarind Hill. Other backers include Invest Detroit Ventures, Relish Works, Network Ventures, MATH Venture Partners and M25.

Founded last year by Daniel Estrada and Joe Gallagher, 86 Repairs has created a subscription service that manages repairs for restaurant groups. Named after the term used in the food service industry to describe something that's no longer on the menu, 86 Repairs has landed customers like Bernie’s Chicago and Gus’ Fried Chicken, who use the startup to manage their maintenance issues.

Estrada, the company's CEO, said 86 Repairs works with quick service restaurants (a Jimmy John's franchisee is among its customers), as well as high-end steakhouses like Prime + Proper in Detroit. 

86 Repairs helps restaurants troubleshoot issues, schedule a repair, and track how much they're spending on equipment maintenance. The startup will coordinate all aspects of the repair process, dispatching someone from its authorized service network or from the restaurant's preferred vendor list.

By managing repairs for anything a restaurant may need, from ovens to HVAC systems to walk-in freezers, 86 Repairs is handling maintenance issues for restaurant groups that are already stretched thin.

"We let them focus their time, money and energy on the things that matter most in their restaurant operations, which is delivering a great dining experience to their guests," Estrada said.

86 Repairs can also provide preventative maintenance services, Estrada said, helping restaurants address issues before they become a problem. It can also tell restaurants when it may be time to purchase a new piece of equipment, rather than continuing to pay for costly repairs.

The startup said it will use the new funding to accelerate sales and marketing growth, and expand throughout Chicago and Detroit. 


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