Establishing a food-related business isn’t an easy job because it presents numerous specific challenges like identifying the most appropriate business idea as well as determining the appropriate licence model to use, as well as ensuring that you have the right location, workers and menus right. After the establishment is in operation it requires time and effort as well as money to sustain and nurture it.
To make the whole process of starting an food business easy and to help budding food entrepreneurs find their way into the food business, Krunal Ozalaunched Hustlers Hospitality in 2020.
“There is widespread growth in the food and beverage industry but the youth are yet to comprehend its potential,” says Krunal who has 8 years of experience in the F&B sector and also in the marketing field.
This is the point at which Hustlers Hospitality steps in with three services: end-toend consulting as well as an accelerator program and a growth hacking model for foodpreneurs cloud kitchens, cloud kitchens, as well as Quick Service Restaurant (QSR) companies.
The startup offers end-to-end consultation assistance to young, aspiring food entrepreneurs in the most fundamental areas such as kitchen setup licensing marketing, brand design packaging, printing and franchising. They also assist food entrepreneurs by providing the standard procedure for cooking, to ensure that a certain food item is of the same flavor every time an order is made across kitchens.
The company has provided consultancy services to 500 companies and food entrepreneurs to date.
In addition to being a consultant, Hustlers Hospitality also operates as an multi-cuisine, cloud kitchen with multiple brands. It is home to 36 brands of cloud kitchens under its umbrella. They can be franchised to food entrepreneurs, restaurateurs as well as anyone looking to venture into the food industry and sell their products through platforms for aggregators like Zomato as well as Swiggy.
The company works with restaurateurs, and offers them with standard cloud kitchens that comply with hygiene and safety standards for food as well as the necessary backing-ends, materials and labor. The company also provides digital marketing support for restaurateurs, and assists them to gain access to delivery platforms such as Zomato, Swiggy and Dunzo..
Hustlers Hospitality also works with individuals who own cloud kitchens and want to make incremental sales as well as additional profits from their existing kitchen equipment, real estate and labor.
“We have a system in which restaurants can increase their food delivery online sales by using our kitchen space. This will solve the issue in the industry in which restaurants launch with high expectations, but customers don’t take them in the way that was expected. It also assists in optimizing the same equipment and personnel and ensure they’re not under-utilized,” says Krunal.
The startup owns over the 36 cloud kitchen brands, and is been partnered with over 700 online restaurant owners. Some of the brands in its cloud kitchen that it has control of are Popstar Pizza, Chop-Chop Square, MithiBai VadaPav, Aflatoon Biryani, Dildar Paratha, United Khichdi, Subramanium, Your Office Canteen, Hola Hola Waffle, LA Churros,and Happy Cow.
The company recently purchased 31% of My Cloud Kitchen, a cloud-based kitchen and kitchen design company. My Cloud Kitchen owns delivery brands, including Monk Momo, New York Sandwich, Senorita Margarita, Pancake Station, and Omg Churros.
Hustlers Hospitality has cloud kitchens located in 40 cities including Mumbai, Pune, Bangalore, Delhi, Hyderabad, Surat, Ahmedabad, Ludhiana, Chandigarh, Patna and Darbhanga.
This service is intended to assist food companies in scaling to a national scale. For example, if someone is running a cloud kitchen at an area of their business, the company may connect to Hustlers kitchens across the country to become an Hustlers Hospitality franchisee throughout all locations.
The company claims to have assisted brands that were processing 200 orders out of one kitchen, to now handle more than 4,000 orders from 20 or more kitchens.
Growth in revenue
It charges single cost of 1.5 lakh to 4 lakh for franchise and consultation services, based on the nature of the work. The company earned around 9 crore last year. The company says that its revenue has increased by 16x over the last 14 months. Consulting accounts for 50percent of the revenue, franchising royalty and growing hacks make up the remainder.
At present, India is home to more than 3,500 cloud kitchens. As per RedSeer Management Consulting, the Indian cloud kitchen market is projected to be worth 2 billion dollars by the year 2024. which is up from $400 million in the year 2019. The market is predicted to experience a growth of 5X in the value of gross merchandise to $2 billion to $3 billion by 2025.
Hustlers Hospitality competes with brands like Ghost Kitchen, K Hospitality as well as Tasanaya Hospitality in India.
Recently, the startup has raised $7.7 million in Seed money from Mumbai-based investment firm Falisha Technoworld. The startup is engaged with potential investors in order to secure Series A financing by the beginning of 2023. The company plans to expand its operations internationally and establish clouds kitchens, which will be located in Dubai.
Hustlers Hospitality will also launch its ice cream line ‘ Amsterdam Icecream at the end of the year.
In 2023, the business hopes to have grown greater than 150 percent with an annual revenue of more than 15 crore rupees and 35,000 monthly orders through cloud kitchens.
Krunal says that the name ” Hustlers is a reference to the firm’s dedication to hustle all the way to ensure that kitchens are able to develop and grow.