An L.A. delivery startup just raised a seed round of funding, Chicago style.
Portillo's, the iconic Chicago hot dog chain, has invested in Cartwheel, an on-demand delivery platform for restaurants and retailers. The startup announced Thursday it raised a $1 million round led by TenOneTen Ventures, along with Act One Ventures and Portillo's.
Portillo's has been a Cartwheel customer, using the startup in its delivery operations. The company said it liked the service so much, it decided to invest, and confirmed to Chicago Inno that Cartwheel is the the first startup investment it has ever made.
"Our experience with Cartwheel has been so positive that we invested back in the company so they can further develop services with brands in mind," Portillo's CEO Michael Osanloo said in a statement.
Cartwheel, founded in 2012, helps brands launch their own delivery operations. Its delivery management software helps restaurants streamline orders, track drivers and provide text updates to users. Cartwheel's customers include P.F. Chang's, Charleys Philly Steaks and Taco del Mar.
Portillo's was founded in 1963 by owner Dick Portillo, who sold the hot dog chain to Berkshire Partners in 2014 in a deal worth a reported $1 billion. The chain is known for its Chicago-style hot dogs, Italian beef sandwiches and cake shakes. Portillo's now operates more than 60 locations across nine states, including Wisconsin. The Milwaukee-area Portillo's locations are in Greenfield and Brookfield.
