A Holiday Gift Guide From Our Portfolio

The holidays are for good food, good company, and gifts that feel personal. This year, we wanted to do something a little different: a gift guide built entirely from the Branch Venture Group portfolio.

Why? Because the companies we back aren’t just smart businesses. They’re products we use, share, cook with, sip, stock, and bring to the people we love. A portfolio is a thesis in motion, yes, but it’s also a set of real-world solutions showing up in kitchens, pantries, and daily rituals.

So here it is, our Holiday Gift Guide, featuring companies we’re honored to support.

For the “Host With the Most”

Caraway
Caraway is rethinking everyday cookware for a new generation of home cooks who want performance, safety, and style in the same package. They make beautifully designed ceramic-coated pots, pans, and bakeware that are easy to use, easy to clean, and intentionally free from a lot of the sketchy stuff people don’t want in their kitchens anymore. The whole brand feels like a kitchen reset: thoughtful sets, smart storage, and colors that look good on the stove and on the table.
Website: carawayhome.com
Gift it as: a hero pan, a starter set, or a full “new kitchen era” upgrade.

For the “Cozy Morning Ritualist”

LOCO Coffee
LOCO Coffee is built for people who want their coffee to do more than wake them up. The brand makes ready-to-drink cold brew with added electrolytes and antioxidants, designed to support an active lifestyle without extra sugar or filler ingredients. It’s a functional upgrade to the daily coffee habit, with a bold, high-energy personality that matches the product.
Website: drinklococoffee.com
Gift it as: a box plus their favorite mug plus a “slow mornings soon?” note.

For the “Snack Goblin (But Make It Elevated)”

Smash Foods
Smash Foods takes nostalgic snack energy and rebuilds it with clean, real ingredients. Their superfood fruit spreads and snack bites use whole berries, dates for sweetness, and chia for fiber and texture. The result feels fun and craveable, but also genuinely better for you, with no added sugar or weird substitutes. It’s the kind of brand that makes snacking feel joyful and smart at the same time.
Website: eatsmashfoods.com
Gift it as: a sampler bundle for travel, parties, and couch seasons.

For the “Kitchen Alchemist / Ingredient Nerd”

Kosterina
Kosterina is a modern Mediterranean pantry brand centered on exceptionally fresh Greek extra virgin olive oil and bright, versatile vinegars. They focus on early-harvest, high-polyphenol olive oil that tastes grassy, peppery, and alive, the kind you want to dip bread into or finish a dish with. Everything about Kosterina is designed to make healthy cooking feel luxurious but easy, with products that turn simple meals into something special.
Website: kosterina.com
Gift it as: a duo set with a “try this on your signature salad” nudge.

For the “DIY Mixologist / Party Sidekick”

Craftmix
Craftmix makes single-serve cocktail and mocktail mixers that come in little packets you can stash anywhere. You just add sparkling water and, if you want, your spirit of choice for an instant margarita, mojito, mule, espresso martini, and more. It’s an upgrade to happy hour that’s lighter, more portable, and less wasteful than traditional bottled mixers. Perfect for hosts, travelers, and anyone who wants a fun drink without a full bar setup.
Website: craftmix.com
Gift it as: a build-your-own bar kit with mixes, garnish, and cute glassware.

For the “Adventure-Seeker / Fuel-On-The-Go Type”

Waku
Waku is a prebiotic herbal tea brand inspired by Ecuadorian biodiversity and traditional botanicals. Their drinks are caffeine-free, lightly sweet (with zero added sugar), and built around digestion-friendly prebiotic fiber. The vibe is bright and uplifting, and the product is designed to be both functional and genuinely delicious. It’s hydration that feels like a small daily reset.
Website: livewaku.com
Gift it as: a variety pack tucked into a gym bag stocking.

For the “Health-Forward Family Feeder”

Stone + Skillet
Stone + Skillet started with a simple mission: make a truly great English muffin the old-school way, then scale it without losing the craft. Their New England-style muffins are hand-shaped, griddled, and known for that warm, doughy interior and crisp edge. It’s comfort food that’s still made with standards, and it’s become a staple for families who want breakfast to be both easy and legitimately good.
Website: stoneandskillet.com
Gift it as: a freezer-fill bundle or a “gift a week of breakfasts” move.

For the “New-Year Resetter”

Reel
Reel makes everyday paper goods feel like a clean-slate upgrade. They create eco-friendly household essentials, best known for bamboo toilet paper and paper towels that are soft, strong, and delivered straight to your door. The brand is about small switches that add up: better materials, less waste, and a home routine that feels a little more intentional heading into a new year.

Website: reelpaper.com
Gift it as: a starter bundle or subscription for the person who loves a fresh start, a refreshed home, and habits that stick.

For the “Pet Parent Who Is Fully Obsessed”

Shameless Pets
Shameless Pets makes dog and cat treats using upcycled ingredients, meaning they turn nutritious, perfectly good food that would’ve gone to waste into something pets go nuts for. The recipes are superfood-forward, functional, and made without the common fillers people try to avoid. It’s a rare brand that feels equally good for your pet and for the planet.
Website: shamelesspets.com
Gift it as: a pet stocking plus a note “from me to your soulmate.”

For the “I’m Bringing the Main Dish” Friend

Leaven Foods
Leaven makes a fermentation-powered powder that lets anyone bake real sourdough more easily at home. It harnesses the microbial magic of traditional sourdough starters, then makes it shelf-stable and simple to use, so you can get that tangy flavor, chewy texture, and better-for-you fermentation benefits without babysitting a starter for weeks. It’s a modern shortcut to an ancient craft, designed for home bakers who want “I made this” pride with way less fuss.
Website: leavenfoods.com
Gift it as: a thoughtful add-on for the home baker, or bundle it with a simple bread kit and a “let’s bake together” afternoon.

For the “Comfort Food Purist (With Standards)”

Zack’s Mighty
Zack’s Mighty is redefining tortilla chips with a simple idea: comfort snacks can be clean, too. They use organic, regeneratively grown heirloom corn, nixtamalize it the traditional way for flavor and digestibility, and fry in avocado oil instead of cheap seed oils. The result is a chip that tastes like the real deal, but is built around soil health, ingredient integrity, and better everyday snacking.
Website: zacksmighty.com
Gift it as: a movie-night survival kit or a hosting bowl upgrade.

A small holiday note from us

We put this guide together because it’s a light, tangible way to show what we’re really building at Branch Venture Group. Behind every “gift” here is a founder tackling a hard, high-leverage problem in food, whether that’s making health feel effortless, turning everyday rituals into moments of joy, or rebuilding supply chains to be cleaner and more resilient.

Taken together, these companies reflect our core belief: the future of food won’t be defined by a single breakthrough, but by dozens of thoughtful innovations that make life better for consumers and the system better for everyone who depends on it. If that lens resonates with you, and you’re thinking about where food and ag are headed next, we’d love to trade perspectives and share more of what we’re seeing.

Happy holidays,
Branch Venture Group

Zack’s Mighty: Leading the Next Generation of Better-for-You Snacking

The U.S. salty snack market is valued at over $31 billion and continues to grow steadily, with tortilla chips emerging as one of its fastest-growing subcategories. Projected to grow at ~7% annually through 2030, outpacing even potato chips, tortilla chips are winning share as consumers demand bolder flavors, cleaner labels, and healthier ingredient profiles.

Amid this shift, breakout company Zack’s Mighty is redefining what tortilla chips can be. Founded in 2018 in Brooklyn, New York, Zack’s offers the only nationally distributed organic tortilla chips made with regeneratively grown heirloom corn and cooked in organic avocado oil. The result is a snack that’s free from artificial dyes and doesn’t compromise on taste or texture.

Today, Zack’s Mighty is one of the fastest-growing tortilla chip brands in retailers such as Whole Foods and is building traction across Costco, Walmart, Kroger, and other leading retailers.

At Branch Venture Group, we’re excited to support Zack’s Mighty as they continue to scale nationally. We believe Zack’s is positioned to lead the next generation of better-for-you snacking for a few key reasons:

Category Leadership in a High-Growth Segment

Tortilla chips are on track to rival potato chips in sales by the end of the decade, and Zack’s Mighty is already carving out a leadership position in the clean-label segment. Their unique combination of organic avocado oil and regeneratively grown corn delivers a differentiated product in a crowded category, and meets growing consumer demand for seed-oil-free snacks. With strong velocity gains following their avocado oil transition and rapid account growth, Zack’s is well-positioned to capture outsized share in a market undergoing significant premiumization.

Clear Path to Scalable Profitability

Zack’s Mighty has demonstrated an ability to grow while improving its underlying economics, a necessary combination in emerging CPG. Strategic sourcing agreements, optimized manufacturing partnerships, and a disciplined approach to retail relationships are strengthening the company’s profitability profile. With a focus on sustainable growth and operational efficiency, Zack’s is well-positioned to scale without compromising on quality or brand integrity.

Experienced, Cohesive Team with Proven Exit Experience

The leadership team includes multiple alumni from Sir Kensington’s (acquired by Unilever), bringing deep expertise in scaling premium food brands. Founder & CEO Zack Gazzaniga combines operational sharpness with a collaborative, brand-first mindset, while COO Gracie Dulik and the broader team bring executional strength across sales, operations, and product innovation. This team has already navigated significant brand transitions successfully which is a testament to their ability to deliver under pressure.

We’re thrilled to partner with Zack’s Mighty as they continue expanding their retail footprint, innovating their product lineup, and building a brand that stands for quality, sustainability, and taste. To learn more about Zack’s Mighty and explore their products, visit their website.

If you’re interested in learning more about our work at Branch Venture Group, please visit our investor page or reach out to info@branchventuregroup.com.

Vytala: Unlocking Fat Absorption for Millions Through Innovative Medical Nutrition

Fat malabsorption impacts millions of people that have conditions or diseases affecting the pancreas, liver, or intestine.  It leads to nutrient deficiencies, and causes chronic GI symptoms and long-term health issues.  This is an unaddressed need, with existing products offering limited clinical benefit and suboptimal outcomes.

Branch Venture Group is excited to support Vytala, a Philadelphia-based clinical nutrition company that is launching Seracal, a breakthrough solution to help the 1.5 billion people suffering from fat malabsorption. Seracal delivers the needed, healthy fats and enhances absorption of other fat-soluble nutrients without relying upon digestive enzymes. Vytala is tackling a multi-billion-dollar market with a clinically validated, reimbursement-ready product and a bold vision to redefine both medical and everyday nutrition.

Here are four key reasons we believe Vytala is a standout investment opportunity.

Novel Product with a large market and strong potential for expansion

Vytala’s lead product, Seracal, incorporates structured lipid technology that improves fat and nutrient absorption in people with digestive challenges, many of whom are struggling to maintain proper weight. Pancreatic enzyme replacement therapy (PERT), commonly prescribed for malabsorption, is expensive, difficult to dose, and can be inconsistent, according to clinicians. Seracal provides a promising new option that can be used by itself, or alongside existing treatments.

Looking forward, Vytala plans to develop a suite of additional products with its structured lipid platform. The company will pursue new markets and categories (e.g., infant nutrition, cancer care, sports performance, and animal health), growing a single-product brand into a broad-based clinical nutrition platform.

Validated technology with compelling clinical evidence

Seracal’s efficacy has been demonstrated in a randomized, NIH-funded clinical trial. Patients in the trial saw improvements in fat absorption, BMI, and essential nutrient levels. This clinical proof sets Vytala apart from many other nutrition startups. It gives Seracal significant credibility with clinicians and payers, paving the way for adoption and reimbursement. It also strengthens the company’s position as the first mover in this new category, giving Vytala a strong head-start vs. potential competitors.

Established reimbursement and distribution infrastructure

Reimbursement is often a barrier to adoption in medical nutrition, but Vytala has already cleared that hurdle. Seracal is classified as by the FDA as a medical food, and Vytala management also applied & received a new CMS reimbursement code that enables Seracal to be reimbursed for a wide range of health conditions. This reimbursement pathway gives clinicians confidence in prescribing Seracal and ensuring patient access without financial burden.

Vytala has also partnered with a leading national complex care provider to manage billing, product fulfillment and patient support. This partnership allows the company to scale efficiently, minimizing overhead and facilitating payment collection. It streamlines Vytala’s operations and provides further credibility with healthcare providers.

Strong early traction and promising commercial model

Following the soft launch of Seracal in late 2024, Vytala has generated strong interest and uptake from clinicians and patients. Early feedback has been overwhelmingly positive, with clinicians noting weight gain across diagnoses, and in some patients that had not been able to gain weight in years.  Multiple leading children’s hospitals have hosted meetings with Vytala and are placing orders for Seracal.  One provider that has been trialing Seracal with patients is considering making it a standard of care.

Orders and margin have exceeded company forecasts, while monthly customer reorder rate has exceeded 90%.  Seracal is a recurring-use product, so the lifetime value of a customer is significant. These early signals suggest both strong demand and long-term commercial potential.

Want to learn more about vytala?

We’re thrilled to back the Vytala team as they expand their clinical footprint and build out their portfolio of medical nutrition products. With a seasoned leadership team, a validated platform, and a clear commercialization roadmap, Vytala is well-positioned to improve outcomes for millions of patients. To learn more about Vytala, visit their website or follow them on LinkedIn. If you’re interested in hearing more about our work at Branch Venture Group, check out our Investor page or reach out to us at info@branchventuregroup.com.

Leaven Foods: Transforming Artisan and Industrial Baking with Microbial Fermentation

Bread is one of humanity’s oldest foods, yet the way we bake it has remained largely unchanged for centuries. Despite a global surge in consumer demand for artisanal, clean-label, and health-forward foods, most commercial bread today is still produced with commodity baker’s yeast—fast, cheap, and scalable, but lacking in flavor, nutritional benefits, and sustainability. Meanwhile, the global sourdough market alone is projected to grow from $8 billion in 2025 to over $12 billion by 2035, driven by shifting consumer tastes and the rise of functional foods that promote gut health and sustainability.

Leaven Foods is redefining the baking industry by combining centuries-old fermentation practices with modern microbial science. Its Instant Sourdough platform replaces the complexity of traditional sourdough starters with a shelf-stable, easy-to-use blend of natural microbes. Bakers gain the flavor, health benefits, and shelf-life of authentic sourdough with the convenience and scalability associated with commercial baker’s yeast.  At Branch Venture Group, we’re proud to support Leaven Foods as they expand their production, grow their team, and scale partnerships with both artisan bakers and large food manufacturers. Here are three reasons why we believe Leaven Foods is poised to transform the baking industry.

A Proven Painkiller in a Rapidly Growing Category

The global fermented food market is worth over $575 billion, growing at 8% annually, and provides ⅓ of all food globally. However, the commercial cultures available for fermented food makers have seen little to no innovation in the last 200 years. Sourdough is a fast-growing segment within that, projected to reach $12.6 billion by 2035. But today, bakeries face real pain points in producing authentic sourdough: maintaining live starters is labor-intensive, quality can be inconsistent, and spoilage rates are high.

Leaven’s Instant Sourdough solves these problems with a drop-in replacement for sourdough starters, eliminating the need for complex workflows while extending product natural shelf life by up to two weeks without the need for additional chemicals or enzymes. Early customers—including artisan bakeries, pizzerias, and industrial pilots—report not only labor and cost savings but also better, more complex flavors that consumers recognize.

With over 100 paying customers and pilots underway with industry leaders, Leaven is proving product-market fit in both artisan and industrial markets.

Capital-Efficient Growth with High Margins and a Clear Path to Profitability

Unlike many food tech startups that require capital-heavy infrastructure, Leaven employs an asset-light, scalable manufacturing model. By partnering with toll manufacturers on a revenue-share basis rather than upfront tolling fees, the company minimizes working capital needs and de-risks production scale-up while maintaining strong gross margins.

This approach enables Leaven to flexibly scale production volumes as demand grows, avoiding the costly capital outlays and inventory risks typically associated with food manufacturing. By aligning supplier incentives directly with revenue growth, the model also ensures manufacturing partners are invested in the company’s success.

Combined with a subscription-based pricing model that drives recurring revenue and volume discounts that expand margins with scale, Leaven is positioned to achieve sustainable profitability while delivering a strong return on investment for both customers and shareholders.

Exceptional Team with Deep Science and Commercial Expertise

Leaven’s leadership team blends world-class scientific expertise and proven startup execution. CEO Cameron Martino, a PhD in Bioengineering, where he focused on building computational tools to study microbial communities and their impact on health and nutrition. Previously he helped build, scale, and market microbial innovations in the animal health industry at Native Microbials. Co-founder James Gaffney brings 11+ years of hands-on molecular biology experience with emphasis on characterizing microbial communities and novel species.  While at Native Microbials he managed the development of microbial products from conception to commercialization. Active board member Mike Seely, is an experienced entrepreneur who has launched a range of microbiology companies in agriculture and life sciences. He is currently the CEO of Native Microbials, and provides seasoned leadership with a deep understanding of scaling microbe as a product companies.

This is a founding team that knows how to navigate both the technical complexity of microbial blends and the commercial realities of scaling a food tech startup.

We’re thrilled to support Leaven Foods’ next phase of growth as they use this funding to scale their sales efforts, expand their team, and increase production capacity, bringing their Instant Sourdough to more food producers and helping build a better, healthier, and more sustainable food system. For more information about the company, visit their website, Leaven Foods, and learn more about their vision.

If you’re interested in learning more about Branch Venture Group, please visit our Investor page or reach out to info@branchventuregroup.com.

Sources:

• https://www.grandviewresearch.com/industry-analysis/sourdough-market?utm

• https://www.sphericalinsights.com/reports/united-kingdom-sourdough-market?utm

Solena Ag: Revolutionizing Soil Health with AI-Powered Microbiome Insights

Soil is the foundation of global agriculture, biodiversity, and climate resilience—yet it's under significant threat. Globally, 33% of soils are degraded, and we lose an estimated 24 billion tons of fertile soil each year due to erosion, salinization, and compaction. This crisis reduces crop yields by up to 50% and directly affects more than 3.2 billion people globally.

Solena Ag is a soil technology company using cutting-edge AI to revolutionize how we manage soil health across the globe. Its platform, Prometheus, analyzes soil microbiomes to deliver actionable insights that help farmers optimize yields, reduce input costs, and enhance sustainability. By partnering with farmers, food companies, and input providers, Solena is building a data-driven foundation for the future of regenerative agriculture.

At Branch Venture Group, we’re proud to support Solena Ag as they scale their platform, grow their team, and expand data collection efforts to better serve a growing base of recurring customers. Here are three key reasons why we see Solena Ag as a promising investment opportunity.

Innovative and scalable technology: Solena’s Prometheus platform employs an asset-light, pay-per-use SaaS model, which leverages third-party labs to generate raw data from customer samples that will then be uploaded to the platform, reducing adoption barriers and enabling scalability. By integrating soil data from 500,000 acres across eight countries and providing actionable prescriptions within 72 hours, Solena Ag stands out with its fast turnaround times and comprehensive genomic database. Solena Ag’s model removes cost barriers for farmers by offering its services free of charge, while generating revenue from corporate partners—such as input providers—who derive strategic value from farm-level data. This approach drives rapid adoption, increases sample collection at scale, and continuously enhances the platform’s genomic database, further reinforcing Solena’s data advantage and market differentiation.

Exceptional team and partnerships: Led by a highly experienced team, including CEO Irving Rivera and an advisory board featuring industry veterans from Monsanto and Moderna, Solena combines deep expertise in microbiomes and AI. Strategic partnerships with global leaders like AWS and Illumina ensure scalability, innovation, and cost-efficiency. Additionally, participation in initiatives like Apple’s Impact Accelerator positions Solena to build relationships with future vendors and uncover new revenue opportunities through mission-aligned partnerships..

Strong traction with market leaders: Solena Ag’s has partnerships with large multinational food corporations and input ag chemical companies, which has validated its approach and market fit. For input providers, Prometheus reduces product trial time from months to just 72 hours, unlocking a 20–30x ROI on commercial products. For food companies, it cuts sustainability tracking costs and enhances transparency. Farmers using Prometheus benefit from measurable outcomes, such as a 30% reduction in pesticide use on an Idaho potato farm.

We’re thrilled to support Solena Ag’s next phase of growth as they expand their team and further develop their offerings. For more information about the company, visit their website Solena Ag and learn more about their innovation. If you’re interested in learning more about Branch Venture Group, please reference our Investor page and reach out to info@branchventuregroup.com.

Sources:
https://www.unep.org/news-and-stories/press-release/evaluate-land-halt-annual-loss-24-billion-tonnes-fertile-soil-expert?utm
https://www.fao.org/about/meetings/soil-erosion-symposium/key-messages/en/?utm
https://www.unep.org/gef/focal-areas/land-degradation?utm

Redefining Wellness: How Abbot’s is Leading the Clean-Label Food Revolution

Consumers are shifting their focus toward whole, nutrient-dense foods that support their overall well-being. The days of ultra-processed ingredients are fading as people seek real ingredients that nourish the body and promote longevity.

At Branch Venture Group, we are proud to support Abbot’s - a brand redefining wellness as a veggie-forward food company that crafts clean, functional, and allergen-friendly foods made with wholesome ingredients.

Why We Believe in Abbot’s:

The Shift Toward Clean, Whole Foods and Functional Nutrition

Consumers are increasingly seeking minimally processed, functional foods that support gut health, metabolic health, and overall well-being. Nearly 45% of shoppers want cleaner plant-based options, while 40% prioritize high-protein foods. Abbot’s meets this demand with thoughtfully crafted, veggie-forward offerings packed with protein, fiber, and essential nutrients.

Abbot’s focuses on making vegetables the star of every meal. With bold, culinary-driven flavors—like Italian Herb and Classic Smokehouse—Abbot’s caters to flexitarians, wellness seekers, and anyone looking for a more nourishing way to eat.

Strong Market Traction and Growth

Abbot’s has rapidly gained momentum as consumers embrace its nutrient-rich, veggie-powered foods. The brand has doubled sales year-over-year, earning a top spot in its category. Today, Abbot’s products are available in 5,000+ retailers nationwide, including Whole Foods, Target, Publix, Wegmans, Sprouts, and Erewhon, as well as 230+ restaurants like &pizza and Snooze Eatery.

With strong repeat purchase rates and incremental category growth, Abbot’s is proving that our future is in real food that fuels a healthy lifestyle.

Visionary Leadership and Operational Excellence

Abbot’s is led by a team deeply committed to building a wellness-driven food company with operational discipline. The brand has achieved remarkable growth with capital efficiency, strategic retail expansion, and a disciplined approach to scaling.

Industry investors and advisors have commended CEO Kerry Song’s prudence and intentionality in scaling the company while staying true to its clean-label mission. With a clear roadmap for margin improvements, ingredient sourcing optimization, and expanding into new channels, Abbot’s is poised for continued success.

Join the movement!

We’re excited to support Abbot’s next phase of growth as they continue redefining what it means to eat well. Check out their delicious, veggie-forward offerings by visiting their website or following them on Instagram (@liveabbots).

For more on Branch Venture Group’s investment philosophy and portfolio, visit our Investor page or reach out at info@branchventuregroup.com.

Earthodic: Transforming Food Packaging with Sustainable, Bio-based Innovation

In the US, as much as 56% of paper and cardboard ends up in landfills (Bloomberg), largely due to reduced recyclability caused by plastic and wax coatings. Earthodic offers a transformative solution to this issue, aiming to improve recycling rates significantly. The company aims to replace the pervasive fossil-fuel-based plastic and wax coatings on paper products, enabling packaging materials to be fully repulpable and compostable. This innovation not only addresses critical environmental concerns but also provides a cost-effective alternative, positioning Earthodic as a leading upstart in the sustainable packaging industry.

Branch Venture Group is thrilled to support Earthodic as they further develop their suite of coating solutions and expand their team. Here are three key reasons why we see Earthodic as a promising investment opportunity.

Impressive product attributes and deep IP, validated by regulators and industry leaders

Earthodic coatings deliver on key attributes sought after by industry leaders looking for more sustainable and cost effective coating solutions. Earthodic coatings are 100% bio-based, recyclable, compostable, and  “circular,” which means the materials are reused and recycled to minimize waste. Derived from lignin, a byproduct of the paper and pulp manufacturing process, this innovative coating embodies the principles of a circular economy, where materials are reused and recycled to minimize waste. Its recyclable nature is underscored by a 97.1% fiber yield in recycling, minimizing waste and maximizing resource efficiency. Moreover, Earthodic’s product can be composted if recycling isn't feasible, preventing landfill contamination.

The company has deep intellectual property, and currently holds several patents, including a granted patent in key geographies around the world. Early trials with key global packaging producers have provided strong validation for Earthodic. Feedback from major industry players highlights the coating's robust performance in critical areas such as water resistance, wet strength, and oil and grease resistance. Furthermore, Earthodic coatings can be seamlessly integrated into existing supply chains without requiring equipment changes, making it a practical and cost-effective replacement for traditional plastic coatings.

Strong tailwinds from market dynamics shaping future of packaging

The market in which Earthodic operates is poised for significant growth and heightened interest. The global sustainable packaging industry is projected to expand from its current level of $271 billion USD to $393 billion USD by 2028, with coated paperboard alone forecasted to reach $60 billion by 2026. Earthodic's innovative coating formulation not only helps the packaging industry meet this increasing demand but also offers a 100% sustainable solution by replacing wax and plastic coated alternatives. President Biden's recent emphasis on bioplastics highlights a shifting regulatory landscape towards sustainability, reflecting broader acceptance and potential regulatory support. Additionally, the Environmental Protection Agency aims to increase recycling rates to 50% by 2030, up from the current 32%, further supporting Earthodic's position as a key player enhancing recyclability in the burgeoning sustainable packaging sector. This positions Earthodic to drive both environmental and economic benefits, leveraging a favorable regulatory environment.

Experienced team and ability to tap into the global supply chain of lignin.

Earthodic consists of a seasoned team with a proven track record of success together, as seen in feedback from customers and prior business relations. The team boasts material science, biotech/pharmaceutical, finance, operations and patent attorney expertise with direct experience in  venture capital, lignin technology, and advanced material consulting. With a robust lignin supply chain featuring compatible feed stocks worldwide, Earthodic mitigates operational risks and reduces exposure to the impacts of climate change and deforestation. Earthodic is actively engaging small producers and expects commercial orders in Q4 2024, poised for significant market expansion and leadership in sustainable packaging solutions.

Want to Learn More About Earthodic?

We’re thrilled to support Earthodic’s next phase of growth as they expand their team and further develop their products. For more information about the company visit their website: Earthodic and learn more about their innovations.

If you’re interested in learning more about Branch Venture Group, please reference our Investor page or reach out to info@branchventuregroup.com.

Links:
EPA’s 2020 National Recycling Goal
The US Isn’t Recycling Enough Cardboard to Keep Up with E-Commerce - Bloomberg
EU: stats about current recycling etc: Packaging waste statistics - Statistics Explained (europa.eu)

Craftmix: Stirring up Innovation, One Cocktail, or Mocktail, at a Time

Craftmix revolutionizes the art of making consumers’ most beloved cocktails and mocktails at home or on the go. Offering near-effortless production, Craftmix’s dry mixes come in single-serve packaging, including beloved bar beverages such as Mojito, Margarita, and Espresso Martini. One combines the mix in a glass with soda water, and, if desired the consumer’s spirit of choice to produce great-tasting, all-natural, craft cocktails or mocktails. Offering customization on flavor strength, Craftmix quickly became Amazon’s #1 Cocktail mixer, #1 Mocktail, #1 Martini mix, and #1 Margarita Mix, outcompeting brands like Fever-Tree, Jose Cuervo, Bartesian and Zing Zang. Their mission is to provide mixes that are clean-label, conveniently sized, and, most of all, taste delicious and authentic.

Craftmix Mango Margarita multi-serve pack includes ingredients like lime juice powder, mango powder, Stevia Leaf extract, among others.

Branch Venture Group is thrilled to be supporting Craftmix as the team works to revolutionize how consumers and hospitality establishments alike prepare delicious beverages. Here are key reasons we view Craftmix as an outstanding brand in the drink mix category and a promising investment opportunity.

Quickly established market leadership and growth    

Craftmix is thriving in a growing market, leveraging innovative flavors, health-focused ingredients, and strong social media engagement to gain traction. The global cocktail mixer market is projected to grow from $10.43 billion in 2023 to $20.64 billion by 2031, at a CAGR of 8.9% during the forecast period. Additionally, the ready-to-drink (RTD) cocktail market is expanding rapidly, driven by the convenience and increasing demand for pre-made beverages, with the global market expected to grow from USD 853.2 million in 2023 at a CAGR of 14% until 2030. Craftmix is well positioned to capitalize on the growth in these markets through its strong gross margins and quickly obtained market leadership in the drink mixer category as evidenced by their bestseller status in related categories on Amazon. Craftmix is likely to maintain this position due to high customer satisfaction and loyalty. Furthermore, Craftmix aligns well with the better-for-you trend, enhancing its appeal and market potential.

Innovative product capitalizing on multiple consumer trends

Craftmix Black Cherry Old Fashioned is a limited edition collaboration with Johnny Drinks, a popular father and son duo known for their cocktail content, boasting over 1 million subscribers on YoutTube.

Craftmix excels in simplicity, offering an easy way to create a wide variety of drinks with minimal ingredients. With their single-serve packets, Craftmix minimizes the need for multiple components, making it perfect for entertaining or enjoying a quick beverage at home without complex preparation. Hosts can effortlessly serve their guests delicious cocktails or mocktails, accommodating all preferences. Furthermore, Craftmix allows for greater personalization, enabling users to adjust the strength of their drinks by varying the amount of the mix used in any given beverage. Crafted with all-natural ingredients including high-quality, dehydrated fruit juice, and with a low sugar content and calorie profile, Craftmix aligns well with consumer interest in better-for-you beverages and the brand keeps it interesting launching exciting new flavors like Passionfruit Paloma, Mango Margarita, and Strawberry Mule. With their lightweight packaging using upwards of 95% less plastic than their competitors, and given the light weight of the product which reduces transportation costs, there is a lot to like about the derivative sustainability benefits too.

Taking simplicity, great taste, and category leadership to all the right channels

Craftmix packaging, clean-label, and popular flavors are garnering outsized interest online, in alternative channels, and in grocery retail. Online sales from the company’s website and Amazon continue to exceed expectations. Their impressive DTC sales approach also includes co-branding with social media mixologist influencers like MichelleBelleXO, who has 4.7 million followers on TikTok, and Johnny Drinks, who has 1.2 million subscribers on YouTube. The product's simplicity makes it ideal for alternative channels such as sports stadiums, airlines, cruises, festivals, food service, and caterers, where time and space are limited but tasty and unique drinks are desired. Craftmix has also found success on QVC, achieving the remarkable feat of selling over 90,000 cocktail mixes in 7 minutes during a single broadcast. In retail, Craftmix has entered well-known store chains with innovative merchandising placements and sees significant potential for growth, making it a key area of focus for the future.

Craftmix Founder, Jake Tennabaum, proudly displaying the Craftmix multi-packs on shelf at Sprouts.

Want to learn more about Craftmix?

Branch Venture Group was greatly impressed by Craftmix’s innovative approach to drink mixes, commitment to clean ingredients, and impressive market leadership. We’re thrilled to support the company as the team continues to pursue its ambitious goals. To learn more, check out their website, Craftmix Instant Cocktail Mix, and try a pack of their mixers today! 

If you’re interested in learning more about Branch Ventures Group and what we do, please reference our Investor page or reach out to info@branchventuregroup.com.

PeelON: Bringing Freshness, Innovation, and Sustainability to the Global Food Industry

As global markets continue to embrace sustainable practices, PeelON is making significant strides in the fresh produce industry with its cutting-edge, eco-friendly packaging solutions. Its product portfolio encompasses films, liners, shrink-wrap, and bags, all 100% biodegradable and compostable. The technology is specifically designed to extend the shelf life of fresh produce and is reusable.

Branch Venture Group is thrilled to support PeelON’s progress as they continue to drive changes. Here are three key reasons why we see PeelON as a transformative force in the fresh produce packaging industry and a valuable investment opportunity.

Sustainable Packaging Breakthroughs

Biodegradable packaging materials are designed to break down naturally into water, carbon dioxide, and organic substances, primarily using plant-based components such as starch and cellulose. These alternatives to conventional plastics and paper offer an eco-friendly solution by minimizing toxicity, waste, and emissions, and they decompose more quickly thanks to the action of microorganisms.

PeelON Liners are designed to line containers, crates, and boxes, providing an additional layer of protection for produce during transportation and storage.

The environmental benefits of PeelON’s solution are clear, with its 100% biodegradability and huge potential to eliminate plastic usage and reduce food waste. The products are direct substitutes for traditional plastic film and bag packaging. Compared to traditional plastic film wrap and liner bags, PeelON offers a reduced carbon footprint, aligning with global sustainability goals and consumer preferences for eco-friendly products. With the global biodegradable packaging market at $101 billion in 2023, and its projected growth reaching $166.2 billion by 2032, there is great growth opportunity for this company in the years ahead. 

Enhancing Profitability: Extended Shelf Life and Reusable Solutions

PeelON is environmentally friendly and, at the same time, financially viable. It has the potential to revolutionize the industry by delivering cost-effective, quality-preserving solutions. (1) PeelON addresses critical industry needs by enhancing the shelf life of produce, which enhances profitability for customers. One customer also reported that using PeelON liner bags may reduce/eliminate the need for icing the produce in transit. (2) PeelON’s offerings can be reused within the supply chain, maximizing efficiency and reducing costs per use. Its receipt of commercial orders from a tropical fruit exporter and the product's reusability within the supply chain demonstrate initial market acceptance. 

Seamless Integration and Effortless Adoption

The ease of adopting PeelON’s technology is another key factor contributing to ease of implementation and use with produce companies of all sizes. Customers transitioning from conventional solutions like foam find that integrating PeelON into their existing operations is straightforward and requires minimal adjustment. Although the adoption may extend processing times by about 30 minutes, the trade-off is widely accepted given the benefits. This hassle-free integration ensures that PeelON’s innovative products can quickly replace traditional solutions, facilitating a smoother transition to sustainable practices without disrupting existing logistics. 

Want to learn more about PeelON?

At Branch Venture Group, we’re thrilled to support PeelON’s next phase of growth. As the team seeks to connect with industry leaders that are making a conscious effort to ensure the safety and security of their produce in the food supply chain by leveraging the latest sustainable packaging options. 

To learn more about the company check out their website here and we’re happy to connect investor, buyer, and media inquiries with their management team. If you’re interested in learning more about Branch Venture Group and what we do, please reference our Investor page or reach out to info@branchventuregroup.com.

Reel Paper: Leading the Tree-Free Paper Revolution

In a world where 50,000 trees are cut down each day to meet global household paper needs, Reel Paper is a tree-free, plastic-free household paper brand with a goal of saving 8 million trees by 2030 utilizing bamboo as a tree substitute for major paper products such as toilet paper, paper towels, and more. 

Branch Venture Group is thrilled to be a part of Reel Paper’s journey as the team continues to drive meaningful impact in the sustainability and consumer-product space. Here are three key reasons why we believe that Reel Paper will revolutionize the paper industry and this pursuit is a worthwhile investment opportunity. 

Reason One: Uncompromising Quality at a Consumer-Friendly Price Point

Consumers will no longer need to compromise on quality and price in the name of sustainability. Reel Paper’s proprietary toilet paper manufacturing process allows their bamboo-based paper to be manufactured with the same softness, comfort, absorbency and thickness as traditional tree-based toilet paper. They have won awards for their products, such as the Nexty Award at ExpoWest and Good Housekeeping’s Best Sustainable Innovation Award, and their products are priced comparably with traditional paper brands such as Charmin and Cottonelle. 

 As such, the company is able to connect and generate strong brand loyalty with younger millennial families and the next generation of consumers through the quality, affordability, as well as sustainability of its products. At Branch Venture Group, we were impressed with the consumer engagement and conversation around Reel Paper products.

Reason Two: Significant Retail Market Traction

Not only do consumers love Reel Paper, but their retail partners do as well! Reel Paper has seen considerable market traction over the past years in retail with its toilet paper products – scaling to thousands of retail stores nationally across major retail channels. Their retail partners include Target, Harris Teeter, Gelson’s, and many more conventional and natural/specialty grocery stores. As a result of the great product and brand, Reel Paper is able to help retail partners drive growth in net new customer sales in the category. 

Here at Branch Venture Group, we are encouraged by the traction that Reel Paper has seen not only DTC but especially in retail, and we are confident in their growth trajectory in 2024 and beyond. 

Reason Three: Strong Management Team with Significant CPG Experience

Branch Venture Group has been consistently impressed by the strength of the Reel Paper management team and company advisors, all of whom have significant experience leading and scaling consumer-oriented startups, and also have worked across several billion dollar brands including P&G, Kraft Heinz, Hippeas, and Meyer’s Clean Day. Company executives are customer-obsessed, astute, agile, and have demonstrated energy and passion for building a sustainable, impactful consumer brand. 

We are confident that this management team will be the ones to execute on their ambitious growth strategy. We are excited at the opportunity to work with the team at Reel Paper, and welcome them to the Branch Venture Group family. If you’re interested in learning more, we’re happy to connect you with the team. And, if you’re curious to learn more about Branch Venture Group and what we do, please reference our Investor page or reach out to info@branchventuregroup.com.

TrewUp: Revolutionizing Deduction Management for Growing Brands

In today's competitive business landscape, efficient deduction management is crucial for the success of consumer goods startups. By automating the retrieval, interpretation, and categorization of deductions, TrewUp empowers companies with easily accessible, actionable cost data – freeing up resources and allowing brands to focus on delighting customers.

Branch Venture Group is excited to support TrewUp's journey as they revolutionize the way businesses manage deductions, improve cash flow, and streamline operations in the consumer goods sector. Here are three key reasons why we’re confident they’ll transform deduction management.

Reason One: Dedicated Focus on an Industry Pain Point

Deduction management has traditionally been an unglamorous task due to its arduous and contentious nature and is overshadowed by its sister: trade promotion management, a front-office task which often carries promises of a faster ROI. Thus, CPG services companies tend to offer deduction management services as part of a larger bundle.

TrewUp offers a tailored solution specifically designed to address the challenges of managing deductions. This focused approach pays off immensely; in our conversations with customers, users sing praises of TrewUp’s clear dedication to cracking the industry’s toughest problem. Move over, trade promotion – TrewUp is changing the narrative on what’s now considered a quick and easy ROI. 

Reason Two: Leaders with a Unique Perspective 

TrewUp boasts a team of exceptional leaders who bring deep industry experience and a strong understanding of the natural food distribution landscape. Kyle Barnholdt, co-founder and CEO, experienced the pain of deduction management firsthand as a General Manager of a growing CPG startup. Scott Cousins, co-founder and CTO, served as the CIO of KeHE, a major natural foods distributor, for 10 years.  

Their two-sided point of view, with the brand-led perspective as well as distributor-led, gives them a unique understanding of the industry dynamics and challenges. 

Reason Three: Strong Market Positioning in a Growing Segment

Branch Venture Group believes that the food industry is ripe for innovation. Startup barriers to entry are lowering, creating an environment ripe for innovation and disruption and leveling the playing field against large, established players with significant resources and distribution networks. 

TrewUp provides startups with a cost-effective and scalable solution that was previously only accessible to large, well-funded companies. By democratizing deduction management, TrewUp is poised to challenge the status quo in the CPG industry.

Want to learn more about TrewUp?

We are thrilled to invest in TrewUp, as we believe in their unique value proposition, strong leadership, and the potential to capitalize on the evolving CPG landscape. We believe in the company's dedication to innovation as well as their customer-centric approach. If you’re interested in learning more, we’re happy to connect you with the team. And, if you’re curious to learn more about Branch Venture Group and what we do, please reference our Investor page or reach out to info@branchventuregroup.com.

Pulp Pantry: Reducing food waste through a delicious chip

Introducing Pulp Pantry, the trailblazers in the snack industry who are shaking up the traditional chip aisle with their pulp chips. These innovative chips are not only incredibly delicious but also packed with fiber and made from upcycled ingredients. Pulp Pantry upcycles what’s usually thrown away from vegetable processors and transforms them into tasty snacks.

What sets Pulp Pantry apart is its unwavering commitment to producing healthy and environmentally friendly snacks on the market. By utilizing upcycled fruits and vegetables, they not only reduce food waste but also contribute to the sustainable food movement, resonating with consumers who value eco-conscious choices.

We are thrilled to announce our investment in Pulp Pantry's seed round, captivated by their innovative approach and commitment to disrupting veggie chips and offering a great alternative to vegetable-based snacking. Here are the three key reasons why Pulp Pantry has caught our attention:

Reason One: Early Traction and Unique Offerings

Pulp Pantry has gained significant traction early on, exceeding traditional revenue milestones and achieving 2x year-over-year growth.  Currently available in 600 retail stores on the West Coast primarily, we expect Pulp Pantry to soon reach every 190 million US consumers who are seeking healthier snacking options. 

The use of low-cost upcycled ingredients in their Pulp Chips allows Pulp Pantry to generate a favorable product margin, which sets them apart in the market. This margin not only ensures profitability but also empowers the company to allocate resources towards strategic initiatives that fuel brand expansion. By investing in trade spend and promotion, Pulp Pantry can increase brand visibility and awareness, capturing the attention of a wider consumer base.

Reason Two: A Commitment to Sustainability

Pulp Pantry's commitment to sustainability is evident in their innovative product, Pulp Chips. These chips are not only delicious but also contain an impressive 30-40% upcycled ingredients, earning them the prestigious Certified Upcycled status. By incorporating these upcycled ingredients, Pulp Pantry has successfully upcycled over 200,000 pounds of materials to date, making a significant positive impact on the environment.

Through their upcycling efforts, Pulp Pantry has managed to save approximately 38 gallons of water and 1 kilogram of CO2 emissions per pound of ingredient upcycled. This commitment to sustainability not only reduces waste but also contributes to the conservation of vital resources. Pulp Pantry's dedication to creating delicious snacks while actively minimizing their environmental footprint sets a remarkable example for the industry.

Reason Three: A Resilient, Dedicated, and Mission-Driven Founder

Pulp Pantry's story is one of ingenuity and a commitment to tackling food waste while promoting healthier eating habits. Founder Kaitlin Mogentale's journey began when she witnessed the vast amount of fresh pulp being discarded after juicing a carrot. This realization sparked her passion to rescue this valuable resource from going to waste. Kaitlin took the pulp home and transformed it into her first-ever juice pulp carrot cookies, igniting her mission to find a widespread solution to address food waste and nourish humanity.

Want to learn more about Pulp Pantry?

We’re inspired by the work Kaitlin and the team are doing at Pulp Pantry. We’re excited for this opportunity to contribute to positive change in the way we eat and reduce food waste.

If you’re interested in learning more, reach out and we’re happy to connect you with the Pulp Pantry team. And, if you’re curious to learn more about Branch Venture Group and what we do, please reference our Investor page or reach out to info@branchventuregroup.com.

Superfood Jam - upcycled, clean ingredients and better for you - Chia Smash

Peanut butter has a new best friend. Meet Chia Smash, the jams that seek to disrupt the outdated and traditional jam, jellies, and preservatives aisle. Their products aim is to be the healthiest on the shelf, giving nutrition-conscious customers an alternative to sugar-packed fruit spreads. 

Founded in 2019 by Anna Peck and Steve Ford, Chia Smash’s jellies are made with delicious superfoods while keeping a clean and simple ingredient line. Yes, that means no preservatives, pectin or added sugar. Filling its jars instead are upcycled fruit, or “imperfect” fruit that would otherwise go to waste. 

Because Chia Smash provides the jam aisle with a fresh better-for-you and better-for-the-environment product, we are excited to announce our investment in their seed round. Chia Smash caught our eye for three main reasons:

Caption: Chia Smash is not your grandmother’s jam. It’s bold, unapologetic, and proud of its claims.

Reason One: Chia Smash is an innovator in a sleepy, sugar-packed category

Chia Smash is not afraid to be different in a space that has seen little innovation in 30 years. The packaging alone is a stark contrast from the usual incumbents; traditional jams have a bland white label with meek cursive font. In contrast, Chia Smash’s product labels are boldly colorful with big unapologetic lettering.   

Caption: Chia Smash is the only brand to be certifiably “up-cycled”

Even more exciting than the packaging is the recipe itself. While conventional jams have 8-10 grams of added sugar, Chia Smash uniquely claims zero grams of added sugars, naturally sweetening the product with dates. With 74% of US consumers looking to avoid sugar, these products seek to fill the increasing demand for better-for-you products in every corner of the kitchen cabinet.

Additionally, Chia Smash is the only brand in the category to be certifiably upcycled. Because it seeks to utilize “ugly” fruit, the company aims to reduce food waste while being cost-efficient. And with consumer interest in up-cycled food growing 147% in the past year, Chia Smash is poised in the market for success.

Reason Two: Strong Retail Partnerships and Performance

Chia Smash is an omnichannel company, selling through DTC and retailers. Currently, Chia Smash is sold in 1,200 retail stores including Whole Foods, Kroger, and Sprouts, with plans to grow to 2,000 by end of year. 

The company has also found success selling on Amazon. With minimal marketing efforts, Chia Smash has earned a place in the top 25 in the category. Consumers rave about the no-added sugar and its use in yogurts, on toast, and with peanut butter. Part of the seed raise will be used to amplify its offerings on Amazon and continue its growth trajectory. 

In addition to Amazon and its own website, you can also find Chia Smash on other DTC sites, such as Thrive, Imperfect Foods, and FreshDirect.

Reason Three: Great founding team

Anna and Steve are a dynamic duo handling the entire Chia Smash operations. Anna, the CEO and Founder, started Chia Smash in her kitchen and is passionate about healthy eating. As a former Division 1 athlete, Anna is acutely aware of the larger better-for-you trends sweeping the US. Previously, Anna worked in product innovation at Blue Apron, where she met Steve, the COO and Co-Founder. Steve is an industrial engineer by trade with previous experience in Amazon. A highly experienced operator, Steve helped secure a contract with a leading co-manufacturer in the jam space. Chia Smash’s advisory board includes executives from Unilever and Yasso, as well as executives from the hospitality industry – a key area should the team decide to expand into foodservice.

Want to Learn More About Chia Smash?

We’re thrilled to support Chia Smash’s next phase of growth as they seek to expand their presence in retail and online. We fully expect Chia Smash to become a household name soon! To learn more about the company check out their website and buy a jar of their delicious jam.

If you’re interested in learning more about Branch Ventures Group and what we do, please reference our Investor page or reach out to info@branchventuregroup.com.

Pest Management and Control: Why We Invested in Extrasense Technologies' $550k Pre-Seed Round

Credit + Copywright: Dusko - stock.adobe.com

The world’s population is set to grow to 8.5 billion people by 2030 and one resounding question is how we are going to feed everyone. While food supply chain issues have become glaringly apparent since the onset of the pandemic, pests represent another major challenge threatening food safety and availability for the masses. 

Pests destroy 30% of all food grown from agriculture to processing every year. Pest management in food and other manufacturing facilities has been largely carried out through fumigation when the problem reaches a certain threshold. However, this is expensive, bad for the environment, and the standards for food safety have increased. Food and other high-hygiene facilities need a way to prevent pest infestations before they get out of control. 

That said, we are thrilled to announce our investment in Extrasense Technologies, a leading image recognition platform for the pest control industry. Extransense's software platform solves current pest control problems through A.I.-powered automated pest identification, remote monitoring, and root cause analysis that drive early corrective actions. Founded in 2019 by Oliver Sanchez and Greg Santos, Extrasense is aiming to transform the $20 billion pest management industry by utilizing a SaaS platform that records and analyzes pest information from sensors, mobile apps, and technician reports to provide prescriptive and predictive data on pests. Extrasense will use this financing round to complete pilot tests in collaboration with strategic partners and expand their product feature set.

Why did Branch Venture Group Invest in Extrasense Technologies?

Extrasense stood out to the Branch Venture Group team as an exciting investment for three key reasons:

Reason 1: Unique Product Offering with Strong IP and First Mover Advantage

The Extrasense offering is unlike anything currently available on the market, leading to strong initial interest from strategic partners and corporate customers to further develop their core technology. Extrasense’s technology is unique because it uses artificial intelligence to automatically identify pests. The system solves technical challenges such as the ability to identify small insects in images, no pest images or unknown pests, and the AI is combined with other field data to improve overall accuracy. With this technology, the Extrasense system can achieve over 98% accuracy identifying multiple insect species with field quality images.

Extrasense’s technology allows food manufacturers to keep their operation safe from pests with real time monitoring by empowering employees to report pest sightings through their AI powered app; connect and collect data from any other smart traps on the factory floor; and identify and get alerts for pest species ahead of time so their technicians are prepared. Customers can diagnose issues and pest activity with real time visualizations, analyze historical data and prepare for external audits and prioritize corrective actions.

Reason 2: Strong Regulatory Tailwinds are Increasing the Need for New Digital Based Pest Control Options

Extrasense’s solution was built for large scale production and manufacturing facilities with high hygiene and pest control standards. Food processing facilities are required by the FDA and USDA to have stringent monitoring of pests. Health and medical facilities have low thresholds for pest infestations and pesticide use is limited. Finally indoor farms need real time information on pests and crop health. Failures in pest management ultimately present a very high and asymmetric business risk: the cost of a plant shut down or food recalls for pest infestation far exceeds the cost of pest management. 

The Food Safety Modernization Act (FSMA) signed into law in 2011 and finalized by the FDA in 2015 overhauled regulations regarding food production and safety. Failure to comply can ultimately lead to health risks such as disease outbreak and financial risks such as reputational damage, loss of market share and competitive advantage. Extrasense helps facilities maintain compliance by identifying current problems and preventing future infestations from occurring.

Extrasense PestID Location Dashboard

Reason 3: Strong Management Team and Advisory Board

Oliver and Greg are both experienced entrepreneurs with prior startup and deep tech expertise. Oliver completed his MBA at Boston University and previously was the CEO of Plug Cambridge, a boutique coworking innovation space, which was acquired by Rent24. Greg completed his JD at Boston University and has spent time as an engaged advisor and attorney to high-tech and emerging companies. Oliver and Greg are complimented by a strong entomology team with insect taxonomy and identification experience.

Oliver and Greg have also assembled a team of advisors with expertise in business, entomology, and artificial intelligence. Extrasense has attracted a well-known lead investor, L’Attitude Ventures, a purpose-led venture capital firm that invests in early stage, US Latino led and owned companies with high growth opportunities capturable through technology.

Want to Learn More about Extrasense?

At Branch Venture Group we’re always looking to connect our portfolio companies with strategic partners. If you are interested in connecting with the Extrasense team, please reach out to info@branchventuregroup.com. To learn more, check out the company website and Instagram pages and extending a huge congratulations to Oliver, Greg, and the team on their successful fundraise. We look forward to supporting their continued success!

Alternative Dairy: Why We Invested in UFO’s Seed Round

As you walk down the refrigerated section in the grocery store these days, you will notice the growth in plant-based milk brands. The category has gained widespread recognition with the IPO of Oatly and shows no signs of stopping. With increasing consumer demand for clean ingredients, low sugar, and better-for-you and better for the environment there is certainly room for new brands to successfully enter the market. We believe UFO, Udder Free Only, a Los Angeles based hemp milk company will do just that. 

Longtime friends Drew Schwartz and Daniel Art started UFO to reduce consumers’ environmental footprint and support healthier lives.

Founded in July 2019 by Daniel Art and Drew Schwartz, UFO utilizes a unique blend of USDA organic hemp, oats, and chia seeds to create a clean label, eco-friendly, and plant-based dairy alternative. With a delicious product that replicates the taste, texture, and nutritional value of dairy milk, a growing plant-based milk market, and incredible founders we knew UFO was a fit for Branch Venture Group. As the website states, their plant-based dairy alternatives are out of this world. We couldn’t agree more!

Reason 1 – A Delicious Product and Strong Initial Sales Traction

UFO is currently sold in ~75 stores with plans to grow to 600+ by the end of 2021 and 1,500+ by mid-2022. The company has experienced strong consumer demand from e-grocers including Imperfect Foods and traditional retailers like Whole Foods. UFO’s Unsweetened, Vanilla, Chocolate, and Banana hemp milks are available in 16oz and 32oz sizes and the products are packed with all the nutrients and great taste consumers look for in a milk substitute. All products are organic and the nutritional profile includes omega 3’s and 6’s, all 9 fatty acids, and 12 grams of protein. The milks contain half the number of calories and half the sugar content of the leading oat milk brand, and, unlike other leading dairy alternatives, they are nut, dairy, soy, gum, preservative, and gluten free. 

Reason 2 – Growth in Plant-Based Milk and Recent Deregulation of Hemp

Consumer demand for alternative dairy products and plant-based milk has grown tremendously in recent years alongside increasing health and environmental concerns associated with traditional dairy products. The current market for alternative dairy products is around $3.8 billion with around $2.5 billion in plant-based milk sales. In 2020, plant-based milk grew by 20% in the US and Global Market Insights suggests plant-based milk will continue to grow at an 11% CAGR globally through 2026.

Flavors include Unsweetened, Vanilla, Chocolate, and Banana -- all free of added oils, gums, and stabilizers. The Chocolate and Banana flavors are both sweetened with real organic Bananas.

Although the plant-based milk category has seen many new entrants over the last 5 years, UFO stands out as the only branded company producing fresh (versus shelf stable) alternative dairy milks with hemp as the lead ingredient. Additionally, data shows that soy and almond milk are losing market share to alternative plant-based milk product competitors. Due to recent deregulation, the hemp milk market is still nascent compared to other plant-based milk products. However, the global hemp milk market is forecasted to reach around $454MM by 2024, growing at a CAGR of 16%. As the category and hemp subcategory continues to grow, UFO is well positioned to capture this growth.

Reason 3 – A Small but Mighty Team and Plans for Team Expansion

Hand delivering hemp milk orders to customers in LA.

Currently a team of two, Daniel and Drew have impressively done it all from sales and marketing to product formulation and manufacturing. Embodying true entrepreneurial spirits, Daniel and Drew are resourceful, hardworking, and data-driven. Faced with the uncertainty of COVID the team even dressed in a full space suit to hand deliver orders not only bringing joy to the streets of LA but maintaining and growing the company’s customer base. With this recent round of funding the team plans to hire new operations and sales team members to support UFO’s rapid growth. We know that with Drew and Daniel at the lead, UFO will accomplish great things and face any challenge with a creative twist.

Want to Learn More About UFO?

We’re thrilled to support UFO’s next phase of growth and are eagerly awaiting their expansion to the East Coast. For those on the West Coast, make sure to take a look at the company's store locator to see if UFO is available where you shop. To learn more about UFO check out their website and follow their adventures on Instagram. If you’re interested in learning more about Branch Ventures Group and what we do please reference our Investor page or reach out to info@branchventuregroup.com.

Ready-to-Drink (‘RTD’) Champagne Cocktails: Why We Invested in Ohza’s $4MM Series A Financing Round

Gearing up for a summer of celebrations with friends, family, and loved ones? Look no further, Ohza has you covered for your go-to drink for the summer (and year-round of course!).

Founder and CEO, Ryan Ayotte holding the Classic Mimosa in Cape Cod where the idea for Ohza first originated.

Founded in 2019 by Ryan Ayotte, Ohza currently sells Mimosas and Bellini canned cocktails made from quality sparkling wine and real juice. The products have no added sugar or preservatives and have a similar calorie count to a hard seltzer but with the bold flavor of a traditional cocktail. Ohza is one of few brands in the space that meets growing consumer demand for transparent labeling, a clear value proposition, and full flavor. The product has an elevated, premium look and feel but at an affordable price point. Ultimately, Ohza’s goal is to be the RTD cocktail category leader in all aspects of taste, price, and brand loyalty. Their mission “everyday calls for a celebration” has broad mass appeal and can resonate with all consumers 21+.

 With $4MM in funding from lead investor CircleUp and participation from Ruttenberg Gordon Investments, Riverside Ventures, and individuals such as Elliot Grainge (founder of 10K Projects and Forbes 30 Under 30), Ohza plans to use the capital to support new partnerships with large distributors including Southern Glazer’s Wine & Spirits and Breakthru Beverage, as well as  invest in its DTC capabilities.

Among a multitude of additional reasons, Ohza stood out as a not-to-be-missed investment opportunity for the following key reasons.

Ohza comes in four flavors - Classic Mimosa, Mango Mimosa, Cranberry Mimosa, and Classic Bellini.

Reason 1: Huge Market Opportunity in the Better-for-You, RTD Alcohol Space with Little Competition in Mimosas & Bellinis

RTD cocktails have experienced significant growth in recent years; sales volume increased 57% in 2020 up from 43% percent in 2019 and tripling 2018’s 17% percent growth. Canned cocktails offer convenience, controlled ABV, and require no prep or cleanup. Covid-19 has also had an increase on the growth of RTD cocktails as consumers perceive the products as safer alternatives. Ohza has been an early mover with limited direct competitors in Mimosa and Bellini RTD and competitive pricing at $9.99 per 4-pack. Ultimately, with no signs of the growth in RTD slowing and industry research that shows mimosas are the #1 mixed drink of 21-45 year old women, Ohza is incredibly well positioned in the market for continued success.

Reason 2: Rapid Growth both in Retail and Online with Planned Expansion Through Key Distributors

After almost exactly 2 years since launch, Ohza has gained considerable market traction and strong repeat orders at this stage. The company ships directly to consumers in 42 states and is available in over 2,500 retailers, primarily in the Northeast. Recently, Ohza was ranked a top 4 canned cocktail company nationally by USA Today. Global alcohol e-commerce reached $5.6 billion in 2020 up from $3 billion in 2019, and International Wine & Spirit Research expects total alcohol e-commerce to exceed $40 billion by 2024. However, due to rules and regulations, only wine-based alcohol products with the proper permitting are allowed to be sold D2C with spirit and malt-based products reaching consumers via retail or alcohol e-commerce platforms such as Drizly which can ship legally in 15 states. As a wine based beverage, Ohza’s ability to ship DTC provides a unique advantage over its competitors. Ohza’s DTC capabilities and recent partnerships with Southern Glazer’s and Breakthru Beverage propel growth efforts and expand reach to additional consumers. 

Reason 3: Exceptional Team with Existing Investor Base of Brand Advocates

The Mimosa taste we all know and love but with 80% less sugar.

Ryan, a Boston-native, graduated magna cumme laude from Northeastern University and previously worked as a private equity associate at Bain Capital before founding Ohza. Described by investors and advisors as resourceful, disciplined, reactive and by one as the “best entrepreneur” they’ve worked with, Ryan’s character quickly stood out. Through his leadership, Ryan has attracted well-known investors including the Co-Founder of Tinder, and professional athletes Chandler Parsons and Kelley O’Hara. Additionally, he recently recruited two all-star sales team members, Matt Giese and Jeff Janisse with a combined nearly 45 years of industry experience.

Want to Learn More about Ohza?

We couldn’t be more excited to support Ohza’s future growth. If you’re interested in learning more about Ohza please check out their website and follow their Instagram page. For those 21+ make sure to give Ohza a try next time you shop at Whole Foods, Hannaford, Wegmans, Total Wine & More, Market Basket and many more independent retailers. Or place an online order at ohzamimosas.com (available to ship to 42 states). Cheers to Ryan and the team, and cheers to a sunny, happy, and healthy summer! 

Young Thai Coconuts: Why We Invested in Copra Coconuts' $1.6MM Series Seed-2

Crazy for coconuts?! So are we, and we’re not alone. In recent years, coconut water and coconut products have gained popularity in the US and around the world as consumers seek alternative beverages with low sugar content and nutritional benefits. It’s estimated that in 2020, the US coconut water market surpassed $1B and is on track to exceed $2B by 2024. Currently the global coconut water market is $4.2B and expected to grow at a CAGR of over 16%. With naturally low sugar and an excellent source of nutritional ingredients including fiber, minerals, and vitamins -- consumer demand for coconut products is here to stay.

Two of Copra's branded products, coconut water and coconut meat. The coconut water's pink hue indicates its naturally high in antioxidants.

That said, we are thrilled to announce our investment in Copra Coconuts, a vertically integrated and certified Organic, BRC Grade A, and Fair Trade supplier of authentic, premium young coconut products sourced from Thailand. Young Thai coconuts are the world’s gold standard in taste and quality. Their unique pink hue and aromatic taste is implied in its name Nam Hom, which means fragrant water in Thai. Founded in 2013 by Ben Minges and Chai Phonsuwan as a branded coconut water company, Copra has evolved into primarily a B2B supplier of high-quality cold chain coconut products.

Copra is one of the only cold chain coconut companies in the market. The majority of shelf-stable coconut water companies are sourced from mature coconuts and are flash-pasteurized leaving an unappealing flavor to some. The company owns a dedicated processing facility in Thailand and through their carefully architected cold supply chain has mastered the ability to provide customers with a fresh, right off the tree coconut flavor. The taste is spectacular. As the company scales and takes on new, large customers, Copra plans to use this round of funding to double its manufacturing capacity and fund working capital. The team’s hard work continues!

Why did Branch Venture Group Invest in Copra?

Copra stood out to the Branch Venture Group team as an exciting investment for three key reasons:

Unique Product Offering with Emphasis on Sustainability & Worker Conditions

The product not only tastes amazing but also is sustainably and ethically sourced. In addition to Copra’s certification audits, the company undergoes a yearly external ethics and employee audit. Copra employs a majority of female workers (70% female / 30% male) and pays workers 15% above the market. The company’s high standards and extensive certifications are a clear competitive differentiator. 

Coconuts being harvested by hand at one of the canals at Copra's partner farms.

Sustainability of the land and local farming communities is a focus for the Copra team.  This year, the company plans to plant a tree for every case sold. If they meet their sales estimates that would mean 200,000+ seedlings next year! The coconut farms are located in a region of Thailand that has been farmed for tropical fruit for generations, so does not require the conversion of virgin forests. Copra only partners with coconut farms that grow dwarf trees so they can be easily harvested by hand with human labor. A growing list of top US retailers have recently boycotted a Thai based coconut milk company when they discovered they were using monkeys to harvest their coconuts.  

Diversified Distribution Channels & Key Top-Tier Private Label Retailer Partnerships

Copra has a diversified set of customers and distribution channels in Private Label, fast growing natural brands as well as local restaurants, hotels and cafes around the country.

In the last three years, the company has attracted and grown large private label partnerships driving rapid growth. Revenues doubled from 2019 to 2020, and are expected to double again 2020 to 2021. On your next trip to the grocery store, make sure to be on the lookout for young Thai pink coconut water in the refrigerated section. Be warned, the taste is so delicious it’s a bit addicting! 

At Copra's processing facility in Thailand workers scoop out the coconut meat after the water has been extracted.

Experienced, Dedicated Founders and Advisory Board

Last but certainly not least, a stellar team and the right team for the job. It’s been a pleasure to get to know and work with Ben, Chai, and Tim. Benjamin Minges, CEO and Co-Founder, grew up in Thailand and has been leading the company for 7+ years. One of Copra’s customers described Ben as someone who works diligently on customer needs, always tries to solve problems, and never stops innovating new ways to grow the business, team, and Thailand facility.  Chai Phonsuwan, COO and Co-Founder, grew up with Co-Founder Ben and his family has experience in frozen food manufacturing. He brings a strong knowledge of production and manufacturing and is committed to quality control. Ben and Chai have the support of Ben’s father, Tim Minges, who was the CEO of PepsiCo Asia & Chief Customer Officer, Pepsi North America. Ben sits on Copra’s board of directors. 

Want to Learn More about Copra?

At Branch Venture Group we’re always looking to connect our portfolio companies with strategic partners, so if you have any interest please reach out to info@branchventuregroup.com. To learn more about Copra make sure to check out their website and follow their Instagram page. A huge congratulations to Ben, Chai and the team on their successful fundraise and continued success!

Cellular Aquaculture: Why We Invested in Cultured Decadence’s $1.6MM Seed Round

As the world seeks to find alternative ways to feed our growing population in a sustainable and environmentally friendly way, one solution could be cell-cultured meat and seafood. Cell-cultured meat and seafood aims to disrupt the traditional food supply chain by creating a viable and sustainable alternative to conventional sources. 

Cultured meat is a form of cellular agriculture where meat is produced by in vitro cell culture of animal cells, instead of through the raising of live animals. According to a recent study by Boston Consulting Group and Blue Horizon, alternative proteins such as cell-cultured meat could claim as much as 22% of the overall protein market by 2035.

As part of that transformation, we are excited to announce our investment in Cultured Decadence, an early-stage company based in Madison, WI, focused specifically on cellular aquaculture. The company is initially focused on producing cellular cultured lobster meat. Cultured Decadence is the only one in North America specifically targeting crustaceans using novel cell culture and tissue engineering techniques.

With $1.6MM in Pre-Seed capital from strong co-investors such as Bluestein Ventures and Revolution’s Rise of the Rest Seed Fund, Cultured Decadence will be able to advance the progress of their research and development towards disrupting the $20B global crustacean market. 

Why did Branch Venture Group Invest in Cultured Decadence?

Ian Johnson (CSO/Co-founder) reviews proliferation of lobster cells at Cultured Decadence’s facility in Madison, WI—part of the first steps in making lobster meat directly from cells. 

People: Ian Johnson (CSO/Co-founder)

We were excited to connect with Cultured Decadence and work with co-founders, John Pattison and Ian Johnson, as we evaluated the opportunity. As a Boston-based investment network with an active member base whose interests include in high-growth food related businesses, Branch Venture Group evaluates food-tech companies working on plant-based or cell-cultured foods as well as ingredients and technologies to transform the food supply chain. When John and Ian approached the team with the opportunity to participate in their Seed round, we were eager to invest. Here’s why:

The Crustacean Supply Chain has some serious problems

Global warming and increasingly acidic oceans negatively affect wild catch of all seafood, while fossil-fuel intensive harvest methods have an outsized impact on the environment. Oceans absorb 90% of global temperature increases which have caused fisheries to migrate further from land to deeper and cooler waters while these changes in the ocean environment can cause more variable yield in fisherman's catch. Governments have also instituted regulations which limit supply, just as the nutritional benefits of a seafood rich diet are being recognized driving increased consumer demand and awareness. 

The lobster market has not been immune to these trends and feel them even more dramatically as lobsters are not able to be grown by aquaculture farming techniques. Finally, 50% of catch is thrown back today due to size requirements to protect the breeding stock.

The team at Cultured Decadence is aiming to eliminate supply chain inefficiencies and waste by focusing on producing the end product, lobster meat. The meat itself will be fresh, traceable, and sustainable while also being mercury and plastic free with a similar great taste and comparable nutrition to wild caught crustaceans.

Uniquely Qualified Co-Founders and Advisory Board

Cultured Decadence team in their facility in Madison, WI

Subjects from L to R: Daniel Devine (Senior Research Associate), John Pattison (CEO/Co-founder), Leila Mohammadiamirabad (Scientist), and Ian Johnson (CSO/Co-founder), not pictured Jessica Weaver (Strategic Partnerships). 

John and Ian each have extensive experience working on cell-cultured meat. Prior to co-founding Cultured Decadence, CEO John Pattison and CSO Ian Johnson each gained extensive experience in the cell-cultured meat space. Previously, John was the Director of Operations at New Age Meats, a cell-cultured meat company focused on pork. He also serves on the Board of Directors of New Harvest, the leading non-profit research institute dedicated to advancing cell-cultured meat technologies. John is a veteran of the US Army and received his MBA from NYU Stern. Ian was previously a Senior Scientist at Finless Foods, a cell-cultured meat company focused on bluefin tuna. Prior to Finless Foods, he worked at two clinical stage companies giving him experience with the FDA.

John and Ian are also working with leading institutions such as the University of Maine and the Lobster Institute as well as the Virginia Institute of Marine Science to help develop their crustacean cell culture.

Attractive Market and Retail Price Point

The market size for lobster meat in the US is estimated to be roughly $20B and consists of whole meat products as well as added ingredients and flavoring for products such as fishcakes, raviolis, and bisques. Due to the limit on supply via government regulations, this market size is primarily attributed to the high price point of lobster meat which can cost anywhere from $50-75 per pound.

One of the biggest skepticisms today of cell-cultured meat production revolves around its ability to produce products at a cost equivalent to conventional products. Cultured Decadence’s focus on high value crustacean meat can allow them a faster path to profitability compared to other cell-cultured meat companies who are focusing on lower priced products such as poultry or beef. 

Want to Learn More about Cultured Decadence?

Cultured Decadence is growing their team (check out the open roles here) as the company continues to conduct research and development and scale. You can also follow Cultured Decadence on their LinkedIn and Twitter. We could not be more excited to have Cultured Decadence joining the Branch Venture group portfolio and we look forward to working with them on their continued success.