USA | Chowbus has raised USD 81 million to become the operating system for culturally rooted restaurants across the United States.
Chowbus, the AI-powered platform for culturally rooted restaurants, announced it has closed an USD 81 million round. Built on a foundation of USD 120+ million Annual Recurring Revenue (ARR), representing nine-times growth over the past four years, and approximately USD 4 billion in annualiSed processed transaction volume across all 50 states and Canada, achieved in the last four years, the round was led by Prysm Capital and Left Lane Capital, with participation from Dutchess, Fika, and Avid Bank.
The raise marks an inflection point for Chowbus: having proven its model at scale with thousands of independent restaurants, the company is now expanding beyond its integrated POS and management platform into the significantly larger market for restaurant services - including marketing, accounting, supply ordering, and insurance, where operators spend far more than on software alone.
"Our journey has always been about technology, equality, and reinvention with purpose," said Linxin Wen, CEO of Chowbus.
"The success of our first AI product, AI Digital Ads, has proven that we can help independent restaurants compete at a much higher level. We are now building the next-generation AI restaurant platform to support entrepreneurs, the backbone of our communities. This is the most exciting era for the restaurant industry since the move to cloud-based POS."
The Asian restaurant industry, a core market for Chowbus, represents approximately 16 percent of the total U.S. restaurant market and is projected to reach USD 240 billion in value by the end of 2026. Despite economic headwinds and rising inflation, this sector has grown 135 percent over the last 25 years.
"Linxin and the Chowbus team have shown exceptional execution, transforming the business into a scaled, mission-critical platform for restaurants," said Kerry Wei, Partner at Prysm Capital. "With strong recurring revenue, expanding transaction volume, and a strategic move into AI-driven services, Chowbus is at a clear inflextion point. We're proud to partner with the Chowbus team as they build the next-generation AI platform that empowers operators to compete and grow in an increasingly complex market."
"Chowbus is leveraging AI to enter these massive service areas, providing 10x better efficiency than traditional solutions, while maintaining the essential human touch required in the hospitality industry," said Harley Miller, CEO and Managing Partner of Left Lane Capital.
"By moving beyond software to become a true operating partner, they're helping these restaurants compete at a level previously reserved for chains."
Chowbus plans to use the funds to expand its suite of AI-driven tools for marketing, automated accounting, and supply chain optimisation; deepen service integration by moving beyond traditional SaaS to offer comprehensive business services that reduce overhead for restaurant operators, and pursue international expansion into Canada while strengthening support for the tens of thousands of independent restaurants currently using its POS and analytics platform.
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