Israeli restaurant management co Tabit raises $35m

Barry Shaked and Nadav Solomon  / Photo: Ilan Besor
Barry Shaked and Nadav Solomon / Photo: Ilan Besor

Tabit provides restaurants with an orders and delivery platform based on their brand, for lower commission than rivals, and as part of an overall technological management package.

Israeli restaurant orders platform developer Tabit has announced the complertion of a $35 million Series B financing round led by Vertex Ventures Israel, Pitango Growth Fund and Harel. The company, which has raised $65 million to date including the latest financing round, will use the funds for expansion in the US market.

With restaurants struggling to survive because of the Covid-19 pandemic, Tabit provides restaurants, including hotel restaurants, with a technological package that helps reduce costs, increase profitability and offers a direct digital connection with customers.

With offices in Israel and Dallas and Miami in the US, the company was founded by CEO Barry Shaked and president Nadav Solomon. The company has 100 employees.

Tabit's platform for managing restaurants and hotels provides a solution for almost every technological need, the company claims, from when the restaurant receives orders, through the service experience when seated in the restaurant and onto payment, managing the kitchen, independent sales/order points and home deliveries. In contrast to other restaurant systems, Tabit provides all the aforementioned functions on one platform.

Like rivals such as Wolt in the restaurant delivery sector, which is so crucial at present during the coronavirus lockdown worldwide, and which provide delivery logistics through an app for typically 27% of the cost of the meal, Tabit provides an orders and delivery platform based on the restaurant's brand at a tenth of the commission. Also in contrast to US companies which compel the restaurant to be paid through their clearing service, Tabit offers customers a choice of clearing companies and thus competitive commissions.

Pitango managing general partner Aaron Mankovski said, "The world of restaurants is an enormous world on the one hand and on the other hand hugely challenging from the point of view of financial management and profit margins.  We are at the start of a wave that will bring advanced technologies to the restaurant and hotel world and Tabit is one of the leading companies in the field. Tabit's unique DNA is such that it is built for the start with its focus on the restaurant owner's viewpoint and it can transform culinary success into financial success."

Vertex general partner Aviad Ariel said, "We are talking about an exceptional team that wants to change the way that the restaurant industry functions. Although the deal was closed before the crisis, we believe that when restaurants are back working again, products such as Tabit's will continue to be critical in managing the restaurant from the overall operation through seating diners and operating deliveries. The advantage of Tabit's products is strong and outstanding today more than ever. This is a company that knows the market well and has a vision and high operative capabilities." 

Published by Globes, Israel business news - www.globes-online.com - on April 5, 2020

© Copyright of Globes Publisher Itonut (1983) Ltd. 2020

Barry Shaked and Nadav Solomon  / Photo: Ilan Besor
Barry Shaked and Nadav Solomon / Photo: Ilan Besor
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