Kune Food, Kenya’s cloud kitchen has closed today, affecting 90 employees – some of whom were hired only last month.
The startup, set up in December 2020 to offer cheap food, held a trial in Kenya in early 2021 before officially starting work later that year.
In a LinkedIn post, Robin Reecht, the startup’s startup and CEO, announced the closure after failing to find funds to continue operations, citing “economic downturns and market constraints. employed. “
Last year, Kune Food raised $ 1 million of seed pre -financing and also borrowed an undisclosed amount from a bank in Kenya. Earlier this year, the startup said it was raising $ 3.5 million from local and international investors to expand their production capacity.
“Since the beginning of the year, we have sold more than 55,000 food items, reaching more than 6,000 customers and 100 business customers. But at $ 3 per meal, it wasn’t enough to sustain our growth … With rising food prices reducing our budget, we couldn’t continue, ”he wrote.
Kune’s departure was shaken, and the Reecht foundation angered Kenyans with comments showing it launched the startup when cheap food was not available in the country.
His comment received an immediate response, with more Kenyans going online to show off the many restaurants offering cheap food in the country. Kune offered an apology, expressing his regret at the way the information came.
Eventually, and boosted by $ 1 million 2021 funding, the food technology company expanded its operations with the promise of preparing and delivering new online food made at affordable prices. In the beginning, the startup handled everything including delivery but in the past few months it has started using third parties such as Uber Eats, Glovo and Bolt Food to fulfill their orders.
Until the temporary closure, Kune hoped to increase production capacity and expand its operations beyond Kenya’s capital, Nairobi. A national footprint was expected in 2024.
The startup said in a recent statement that it has invested heavily in research and development to ensure that there is an “integrated service in -house that is still working on expanding the leases in order to adapt to changing consumer needs while linking food and price. ” Locations have also been set up on the other side of Nairobi to approach his appraiser.
Kune’s investors included Pan-African venture capital firm Launch Africa Ventures, which led its first round last year, Century Oak Capital GmbH and Consonance.
Below is Reecht’s full description.
Sad day. Kune Food was closed for the day.
Since the beginning of the year, we’ve sold more than 55,000 meals, gained more than 6,000 customers and 100 sales companies. But at $ 3 per meal, it wasn’t enough to keep us growing.
With the current economic downturn and the strengthening of investment markets, we have not been able to move the next round. With rising food prices dwindling our finances, we are unable to continue.
My first thoughts go to my team. You put your heart and soul into building the Kune that many people love. I’m so sorry it didn’t work out.
To all my fellow entrepreneurs, please check out Kune’s “employment page” on LinkedIn and see if your employment requirements can be filled by some of our team. I know those are hard times for you too. But they are good people who will bring a lot of value to your company. You can call me if you need information from Kune staff.
My second thought goes to our investors. Some of you participated in Kune’s trip but I was alone with a Chef, delivering food on foot to a nearby office. Others later joined and helped us grow into a food startup with a basic technology, a factory, a kitchen, 7 servers, 6000 customers, and a team of 90 people. Not only did you invest in Kune but you gave us your time, public brain, communication, and sense of support. I’m so sorry Kune’s show didn’t happen. Betraying my faith is something I cannot forgive myself for.
My third thought goes to the buyers, sellers, banks, and partners of any kind who have supported us on our path. I apologize for the result.
A lot could have been done in a unique way, for sure. The coming months will allow us to reflect on Kune’s failure, and I hope to share about it when the time is right.
If you know anyone who would be interested in getting Kune’s IP or Assets, please reach out to PM.
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infertile land, very bad regions of the world, population growth, bad economy, no electricity, barren forests, deserts, myths, bad food, conflict has stopped economic development, famine, HIV /AIDS is a major health problem that is reducing the quality of life in the region. On the same subject : This pet food is being pulled from Walmart and target shelves despite the scarcity – do not eat this.
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What is the most important problem in Africa today?
Today, Africa remains the poorest and most developed continent in the world. Hunger, poverty, terrorism, civil and religious strife, corruption and agriculture, disease – the this was the case in Africa until the early 2000s.
What challenges and conflicts does East Africa face today?
Security. Conflict within the state, terrorism, and unstable change of government are the three most important security issues in Africa to watch for in 2022. This may interest you : Do not serve your pet this brand of dog food. May contain salmonella. These are ongoing concerns, and the continent’s response (especially) the AU Peace and Security Council (PSC) will closely monitor these threats.
What challenges face the rise of Africa in the 21st century?
Africa has entered the 21st century with many unresolved issues, such as poverty, rapid urbanization, the national question, regional integration, gender inequality, food security, violent conflict , political divisions, and the fact that there is a low status in the wider world. See the article : Alliance’s food desert creates barriers to healthy eating. , and all over the world …
What are some of the challenges facing Africa today? Challenges include the adverse effects of climate change, increasing water scarcity, biodiversity and environmental degradation, destruction, low volatility. natural disasters, failure to meet the Millennium Development Goals (MDGs), energy crisis, food crisis, global benefits, health …
What are 5 top challenges facing Africa today?
Terrorism, conflict resolution, border closures and immigration issues are expected to continue to dominate the continent. Africa made significant progress in many areas in 2019, including holding peaceful elections in many parts of the continent and increasing economic growth.
What is the main challenge facing development in Africa?
Physical development on much of the continent is a challenge to production, according to the African Development Bank. An estimated $ 130- to $ 170 billion needs to be invested annually in African enterprises, despite the $ 108 billion gap.
What are the economic problems in Africa?
Sub -Saharan African countries entered the crisis with high levels of bad debts and little opportunity to spend. Disease -related budgets in the region will account for only 2.6 percent of GDP by 2020, significantly less than the 7.2 percent of GDP in the country. it is spent by the economy.
Are there any economic problems in Africa? One half of the African continent lives below the poverty line. In Saharan Africa, GDP per capita is now smaller than in 1974, falling by over 11 percent. While the rest of the world economy grew at an annual rate of close to 2 percent from 1960 to 2002, the growth rate in Africa has deteriorated dramatically.
What are 3 major problems in Africa?
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What are Africa’s major problems?
Topics discussed included economic growth, governance, trade, war, hunger, health and climate change on the African continent.
