Favor operates an on-demand delivery platform focused on markets across Texas, letting users order food and other items which runners pick up and deliver. The company serves 11 markets within Texas and says runners keep 100% of tips; it also earns revenue from delivery fees (shared with runners) and paid partnership deals with businesses and restaurants. Favor came on to the scene at SXSW in 2014 and previously expanded rapidly before shuttering service in five major markets in July 2016 to refocus its strategy. The company achieved overall profitability this year. As part of its growth plans, Favor is adding 25,000 new runners and intends to expand to more Texas markets before eventually proceeding outside the state. Favor has mobilized its workforce to aid Hurricane Harvey relief and built tools for donations and care-package contributions. Favor is an on-demand personal delivery assistant that fulfills orders from grocery stores and restaurants via iPhone and Android apps. The company is headquartered in Austin, TX and was co-founded by CEO Ben Doherty and CMO Zac Maurais. Favor is available in Boston, Houston, and Dallas. The company raised $13M in a Series A round and plans to use the funds to improve customer service and expand into more cities, including San Antonio and San Diego. Favor said it is hiring to support its expansion into additional markets. Favor is a mobile app that enables users to request delivery from local stores and restaurants in three taps, with a focus on food and an average delivery time of 35 minutes. The platform uses proprietary algorithms to forecast supply and demand, prevent delivery errors, and dispatch deliveries to the best available assistant based on variables like food preparation time and delivery type. Favor reports traction in its initial markets of Austin and Boston, having added over 250 drivers, hosted thousands of deliveries per week, and generated $2M in sales for partner restaurants. The company emphasizes customer-centric service and provides merchants with analytics, order feedback and a custom dashboard. Favor says the new funding will support product growth, help scale the team and enable expansion into new markets. The company is based in Austin and is led by CEO and co-founder Ben Doherty and CMO and co-founder Zachary Maurais; investors include Silverton Partners, Tim Draper and angel investors.

Total raised

$37M

Funding rounds

3

Latest round

Series B

Latest activity

Sep 2017