📝 Overview
- 🖊️ Startup Name: Frubana
- 📍 Headquarters: Bogotá, Colombia
- 📅 Year Founded: 2018
🧍 Team
The founding team of Frubana includes Fabián Gomez Gutiérrez, the CEO, who has extensive experience in the technology and logistics industry. He is the former expansion leader at LatAm delivery unicorn Rappi and also happens to be the son of a mango, lime and papaya farmer. Other members of the team include Emiliano Arango, the CTO, and Lucia Bayly, head of Frubana Capital.
The team's strengths lie in their ability to leverage technology to optimize the food supply chain and provide high-quality service to their customers.
🔍 Problem
The unfair pricing dynamic in the food supply chain in Colombia, where multiple middlemen are involved between growers and restaurants. Growers often receive low prices for their produce, while the restaurants have to pay high prices for the same products. This dynamic has negative consequences for both parties, as growers struggle to make a living, and restaurants struggle to keep their prices competitive.
The problem is further compounded by the fact that 87% of the restaurants in the region are independently owned, making it difficult to streamline the process and create a more efficient and fair supply chain.
💡 Solution
Frubana has developed a solution to optimize the food supply chain in Colombia by leveraging technology. The company provides a platform that connects farmers, distributors, and retailers, offering end-to-end visibility of the supply chain. By using data and analytics, Frubana's platform can optimize the supply chain and reduce costs and delivery times. This is achieved by streamlining the process and removing the multiple middlemen that currently exist, which often result in high costs and inefficiencies.
Frubana's solution aims to provide fair prices to farmers for their produce while keeping the prices competitive for retailers. The platform also allows retailers to access a wide variety of products from different farmers, improving their selection and quality.
Frubana recently launched it's Fintech arm. Small restaurants have no access to credit, no working capital and need to stock up for the week. Frubana offers them lines of credit, and allows them to receive the produce before paying for it.
🧑 Target Customer
Frubana's target customers are small and medium-sized retailers, restaurants, and hotels. These businesses share similar characteristics, such as a need for fresh and high-quality produce, a desire for transparency and efficiency in the supply chain, and a willingness to adopt technology to optimize their operations.
💳 Business Model
Frubana's business model is based on a commission-based fee structure. The company charges a commission on each transaction made through its platform. This revenue model allows Frubana to generate revenue while providing value to its customers.
🚀 Traction
Frubana has achieved impressive results since its launch in 2018. The company has expaned to Mexico and Brazil. They are a team of 1000 people and have over 35,000 customers, including some of the largest retailers and restaurants in Colombia. They have also launched their Fintech arm, where they already help 8% of their customers finance their produce.
🥊 Competition
Frubana's main competitors are traditional distributors and wholesalers. However, the company differentiates itself by offering a platform that provides end-to-end visibility of the supply chain, leveraging technology to optimize operations, and providing high-quality service to its customers.
💰 Funding
Frubana has raised USD $271M in funding from prominent investors, such as SoftBank, DST Global, Tiger Global Management, Monashees, and GGV Capital, among others.
🌤️ Opportunities
Frubana sees significant opportunities in the future, such as expanding its operations to other countries in Latin America, partnering with more farmers and distributors, and exploring new revenue streams.
🏔️ Challenges
Frubana faces several challenges, such as the need to continuously innovate and improve its technology to stay ahead of the competition. The company also needs to navigate the complex regulatory environment in Colombia and other countries.
📅 What's Next?
Frubana's next steps include expanding its operations to other countries in Latin America, investing in technology to further optimize the supply chain, and exploring new revenue streams. The company also plans to continue partnering with farmers, distributors, and retailers to provide high-quality service to its customers.
