Speed Kitchen, an Indian startup founded in March 2021 by Paurav Rastogi and Shamin Kapoor, is revolutionizing the food industry by offering ready-to-operate cloud kitchens. This innovative approach enables food brands to launch operations in just four days with minimal capital investment, providing an efficient and cost-effective solution for businesses looking to expand quickly. Operating in four cities with over 15 locations, Speed Kitchen currently powers over 50 brands running from 130 kitchens. Their clientele includes household names like Haldiram and Chaayos, as well as promising startups such as Daryagan, which was funded on Shark Tank India.
The journey of Speed Kitchen reflects the vision and expertise of its founders. Paurav Rastogi, a VIT Vellore civil engineering graduate, drew inspiration from co-working kitchen models in London during his time as head of transformation at OYO. His deep understanding of real estate aligns seamlessly with the marketing expertise of Shamin Kapoor, who honed his skills in performance marketing at Housing.com. Together, they have created a model that combines real estate strategy with cutting-edge operational efficiency, making Speed Kitchen a frontrunner in the cloud kitchen space.
Speed Kitchen’s operations begin with identifying prime real estate using data-driven metrics such as population density, rider availability, and average order value. Once a location is identified, they conduct compliance checks and prepare the space to accommodate multiple brands or sub-brands within a single kitchen. Brands partnering with Speed Kitchen benefit from a revenue-sharing model where they pay a percentage of net sales, capped at 1.5–2.5 times the minimum guarantee. In addition to low setup costs—brands only need to provide their own equipment—Speed Kitchen takes care of maintenance and security, significantly lowering the barrier to entry for businesses.
This innovative model has earned Speed Kitchen a stellar reputation, with success stories ranging from catering the Ambani wedding alongside Chef Ritu Dalmia to collaborations with industry giants like TFS and Chaayos. By allowing brands to scale quickly and efficiently, Speed Kitchen has positioned itself as a key enabler for growth in the food industry.
The company’s appearance on Shark Tank India further cemented its credibility. Seeking ₹2.5 Crores for 10% equity at a valuation of ₹25 Crores, the founders presented a compelling pitch that showcased their operational model, financial growth, and plans for expansion. While Shark Vineeta Singh opted out, citing concerns about scalability and EBITDA constraints, other sharks saw great potential. Ritesh Agarwal and Azhar Iqbal offered ₹2.5 Crores for 10%, leveraging their expertise in real estate. Kunal Bahl added options of ₹2 Crores for 8% or ₹2.5 Crores for 10%. After intense negotiations, the founders countered with two proposals: ₹2 Crores for 4% equity or ₹2.5 Crores for 5%, effectively valuing the company at ₹50 Crores.
In the end, all sharks except Aman Gupta came together to offer ₹2 Crores for 6% equity, valuing the company at ₹33.33 Crores. This collective investment not only validated the founders’ vision but also positioned Speed Kitchen for rapid growth and greater market reach.
With its innovative model, strategic partnerships, and growing presence in India’s food industry, Speed Kitchen is set to redefine how food brands expand and operate. By reducing setup costs, minimizing operational challenges, and offering a quick launch timeline, it has created a new standard for efficiency in the food business. As it continues to grow and innovate, Speed Kitchen is poised to play a transformative role in shaping the future of cloud kitchens in India and beyond.
