Loop AI, a San Francisco-based artificial intelligence platform designed for the restaurant and retail back office, announced a $14 million Series A funding round led by Nyca Partners Feb. 2.
As part of the funding round, Osama Bedier, a Nyca Partners investment partner and former executive at Google and GoDaddy, secured a spot on Loop AI’s board of directors, according to a Feb. 2 press release.
“Loop sits at the intersection of several transformative trends in the restaurant industry, including the rise of AI, a growing focus on customer experience and the drive for greater operational efficiency. These will be essential pillars shaping the future of dining,” Bedier said in a press release. “(Loop AI cofounders) Anand (Tumuluru) and Sundar (Annamalai) are building a remarkable company and transformative technology that will be indispensable for restaurant operators. I’m thrilled to join them on this journey and to contribute to the company’s next phase of growth.”
According to market forecasts, the U.S. delivery market is projected to surge from approximately $140 billion and a 10% market share in 2025 to $1 trillion and a 30% market share by 2035. Loop AI’s technology aims to empower operators to embrace delivery as a growth engine, leveraging agentic workflows to maintain in-store level margins and scale off-premises revenue.
Anand Tumuluru, Cofounder and CEO of Loop AI.
“Delivery is the new drive-thru, and it is poised to fuel the next decade of growth for the restaurant industry. As consumer behavior continues to shift towards takeout and delivery, our mission to make delivery more profitable for restaurant operators has never been more vital,” Tumuluru said in a release. “We are incredibly grateful for the support from both new and returning investors in our Series A raise. Their backing empowers us to continue equipping restaurants with the essential tools they need to thrive amid shifting consumer preferences and industry dynamics.”
The funding round featured participation from Gokul Rajaram, Base10, Afore Capital, Converge, Alumni Ventures, Data Tech Fund, John Pepper, 9Yards Capital and Operator Studios. The investment will help expand Loop AI’s product suite and increase headcount across its offices in New York, California, Florida and India.
Since 2024, Loop AI has grown sixfold to support thousands of restaurants. Customers such as California-based casual-dining concept Lazy Dog and fast-casual brand Starbird saw roughly 10% growth while using Lopp AI’s agentic workflows.
“Over the past several years, Loop has helped us look at third-party delivery as a profitable growth channel,” Aaron Noveshen, founder of The Culinary Edge and CEO of Starbird, said in a press release. “Loop’s technology has deepened our insights into customer behavior and preferences, helping us refine the way we serve them. We are excited to continue building on this strong partnership.”
Loop AI works with more than 300 brands, powering thousands of locations across the United States, including Little Caesars, McDonald’s, The Halal Guys and Whataburger, according to the tech company’s website.
“Loop AI has become an essential technology driving the explosive growth of our delivery segment,” Robert Linder, chief financial officer of Lazy Dog, said in a press release. “By harnessing its powerful capabilities, we’re able to meet customers where they are and scale our delivery strategy with greater efficiency and precision.”
