If you're a true Washingtonian, then this will be no surprise to you: the farm-to-table, local salad chain sweetgreen just got a massive round of funding from Revolution Growth, the D.C.-based venture capital fund that typically invests in high-growth tech startups. Revolution has struck a deal with the tasty salad shop to give them $22 million. Also, Revolution Co-Founder and former AOL Exec. Steve Case will join the sweetgreen board and advise founders Nicolas Jammet, Jonathan Neman and Nathaniel Ru.
The organic chain was founded here in D.C. in 2007 by the three Georgetown students with the motto “food that fits." The first shop in Georgetown amassed a huge following for offering the solution to finding budget-friendly, healthy and quick food near the hustle and bustle of a college campus. sweetgreen has since opened 22 more locations in D.C., Virginia, Maryland, Philadelphia, Boston and NYC.
While Revolution might typically focus its venture capital on technology-based companies, Case, who had invested in sweetgreen prior to this deal as an angel investor, told the New York Times sweetgreen is a reasonable exception because “the food industry is ripe for disruption.” After all, look at the success of chains like Chipotle and Starbucks. sweetgreen does, however, bring some tech qualities to the table with the recent introduction of a mobile payment and rewards app, which, according to the company, one in five of its customers use.
“Leveraging social marketing, local sourcing and community building, sweetgreen truly understands the power of thinking globally and acting locally to change the way business is done,” Case said in a release. “The company’s trajectory is proof that innovative, high-growth companies aren’t limited to the traditional tech and internet sector, and can be created anywhere in the United States.”
Sweetgreen's funding will go toward further market expansion in key regions, continuing to grow its team and adding new marketing initiatives. The chain has plans to open three new stores in the coming months in Tribeca in New York City, Center City in Philadelphia and the Navy Yards in Washington, D.C.
