“Shaky” might be the best word to describe the economy today. Between stubbornly high inflation and the recent collapse of Silicon Valley Bank, uncertainty is reining over global financial markets and what might come next.
The instability of the past few years has led to many investors sitting on the sidelines, said Uday Ahuja, chief investment officer at RSE Ventures, a private investment firm that has funded restaurant brands like &pizza, Bluestone Lane and Momofuku. The unstable economy means investors don’t have confidence in the investments they’re making.
But that won’t last long. Ahuja said capital should be flowing in the next 6-12 months as the economy settles out. And restaurant leaders interested in securing capital for growth can take actions today to ensure they’re attractive investment targets in the future.
Ahuja joined the latest episode of Take-Away with Sam Oches to talk about the state of restaurant financing, RSE’s investment strategy, and what leaders can do to improve their chances at securing investment.
In this conversation you’ll learn more about:
- Founders are the heartbeat of an emerging restaurant brand
- There are multiple ways to achieve scale
- Today more than ever, strong unit economics and profitability are key to securing capital for growth
- The capital will start flowing when there’s more certainty in the economy
- A team that starts a business is very different from one that’s scaling it in the future
- If you’re planning to scale your business, you should be networking with as many investors as you can\
Contact Sam Oches at [email protected].