Velocity Allocates ₹200 Crore to Boost F&B Sector Growth

Velocity Commits ₹200 Crore to Support India’s Restaurant and Cloud Kitchen Growth, Offering Cash-Flow Based Financing to Overcome Traditional Funding Challenges

Velocity Allocates ₹200 Crore to Boost F&B Sector Growth

Velocity, India’s leading cash-flow based financing platform, has committed ₹200 crore in 2025 to support the growth of restaurants and cloud kitchens across India.

Empowering the F&B Sector

This fund is specifically designed to address the unique challenges faced by F&B brands, such as difficulties in securing financing from traditional sources like banks and NBFCs. Velocity’s innovative cash-flow based financing modelenables businesses to:

  • Manage capital expenditure and working capital
  • Open new outlets
  • Purchase equipment
  • Launch sub-brands under existing operations
    All of this is achieved without affecting operational profits, giving brands the financial flexibility to scale effectively.

Industry Insights

Atul Khichariya, Co-Founder and COO of Velocity, shared, “The growing appetite of Indian consumers for diverse culinary experiences and the convenience of online food delivery is driving unprecedented growth in the F&B sector. Velocity’s model ensures seamless scaling while maintaining financial stability, catering to the demand for premium dining experiences.”

According to a report by Swiggy and Bain & Company, India’s food delivery and dining-out market is expected to nearly double, growing from ₹5.5 trillion to ₹9 trillion by 2030. Velocity’s fund aligns with this growth, targeting new-age restaurants and cloud kitchen brands, particularly those leveraging platforms like Zomato and Swiggy.

Track Record of Success

Since 2020, Velocity has funded notable F&B brands including:

  • IDC Kitchen
  • Smoor
  • Daily Sushi
  • Brahma Brew Works
  • Milano Ice Cream
  • Imperio
  • Amore Gelato
  • Jamie’s Pizza
  • Baba’s Chicken

These businesses utilized Velocity’s financing to expand operations, enhance supply chains, and bolster marketing efforts.