Sun Basket provides a meal-kit delivery service focused on fresh, organic and sustainable ingredients. Founded in 2014 by Adam Zbar and chef Justine Kelly and headquartered in San Francisco, the company emphasizes health, ease, and personalization. Sun Basket reports rapid growth, citing an 80% compound annual growth rate over the last three years and what it calls the best unit economics in the space. Management has described the company's Series D as the most challenging fundraise in its history, and the firm has repeatedly delayed a planned IPO. The latest funding will be used to expand offerings to include breakfast, lunch and dinner personalized for any lifestyle. Despite difficulties and high-profile failures in the meal-kit market, Sun Basket continues to attract venture investment and has raised $125M in total funding. Sun Basket operates a healthy meal-kit service delivering organic produce and sustainable ingredients with recipes tailored to customers’ dietary needs and preferences. The company personalizes diet-specific meal plans by leveraging transaction data and stated lifestyle requirements. At the beginning of Q1 2018 Sun Basket reported a $250m annual revenue run rate. Management says the new capital will be used to advance its technology to provide more choice and greater personalization. Sun Basket plans to add Vegan, Mediterranean, and Pescatarian menu offerings and to launch new, larger distribution centers on the East Coast and in the Midwest in Q1 2018. The distribution expansion is intended to reach 98% of the continental U.S. Sun Basket provides meal kits with recipes and pre-measured organic ingredients targeted at customers following gluten-free, paleo, or vegetarian diets. Executive Chef Justine Kelly develops the company’s recipes. The company says it uses boxes, bags and insulation that are 100% recyclable and compostable and is investigating new packaging materials and design changes to further reduce its footprint. Sun Basket recently opened a Midwest facility that enables delivery to 98% of U.S. addresses and which the company says makes it the largest direct-to-consumer organic food provider in the country. Management highlights strong customer loyalty, citing analysis that suggests up to three times the retention rate of other players over a 24-month period. The company plans to use new funding to ramp up marketing and scale operations further. Sun Basket delivers pre-measured meal kits focused on "clean eating," offering gluten-free, paleo, vegetarian and other nutritionist-approved recipes created by Executive Chef Justine Kelly. The company pairs chefs with nutritionists and data scientists to categorize recipes, vet ingredients and guide logistics. It advertises 100% recyclable or compostable packaging, organic non‑GMO produce, humanely raised antibiotic- and hormone-free meat, and Seafood Watch–approved seafood. Sun Basket currently reaches more than 80% of the U.S. and plans to build a Midwest distribution hub to expand delivery to over 90% of the country and speed fulfillment. The startup is evaluating automation technologies to assist picking and packing, intending to put robots to work alongside people. Sun Basket has raised $43 million in equity to date, including the recent Series C. Sun Basket is a San Francisco–based organic meal kit provider founded in 2014 by Adam Zbar and Justine Kelly. It delivers organic, non‑GMO ingredients and weekly recipes personalized to customers’ lifestyles and diets. The service offers Gluten‑Free, Paleo and Vegetarian options. The company is rolling out 100% recyclable and compostable packaging to reduce shipping waste nationwide. Sun Basket plans to use new funding to open a third distribution center and build a procurement platform to support growth. The recent Series B financing of $15m will be used to accelerate expansion.

Total raised

$143M

Funding rounds

8

Latest round

Series E

Latest activity

May 2019