Yolk launches fundraise to aid expansion
In One Basket, which trades as Yolk, is seeking investments from £5,000 upwards in a bid to raise a minimum of £750,000 on private investor network platform Growthdeck.
Yolk currently operates five sites in London with a further three more due to open this year. The investment round will raise up to £1.75m, which Yolk founder Nick Philpot says will be used to “capture an excellent property pipeline” and take the group to 10+ sites.
The brand launched at New Street Square in the City of London in late 2018 serving coffee and food on the go, including upmarket sandwiches such as steak béarnaise, salads and ‘better breakfast’ option that includes poached egg pots that are made fresh to order.
The signature dish on the menu is a ‘benedict’ pot featuring pulled ham hock, poached eggs, house hollandaise, and cayenne pepper, while other options include a ‘royale’ pot that swaps the ham hock for salmon; a smashed avocado and egg pot with tomato, chilli, lime and coriander; and a roasted portobello mushroom pot with parsley oil and parmesan-sourdough crumb.
It describes its five London venues - in Canary Wharf, London Bridge, Soho, Broadgate, and the City - as ‘profitable’ with a run-rate revenue of around £4m and average monthly revenues per site at more than £60,000.
“Having successfully navigated the Covid-19 pandemic, Yolk is positioned to capitalise on a disrupted market: rents have fallen, prime sites are available and more established chains remain on the defensive,” says Philpot.
A flexible model
While initially focusing on the day trade for office workers, the company says its flexible model can be adapted to different locations and customer types, including tourists, residential, and transport hubs, including train stations and airports, with extended opening hours and a new dinner menu helping to broaden Yolk’s appeal. It also uses the kitchens in its existing outlets to cater to both office and home delivery markets through its own and third-party delivery platforms.
“We serve simple but exciting food, made fresh in open kitchens; we work with great local suppliers; and we apply Michelin-level techniques to elevate classic dishes,” adds Philpot.
“Our guests love what we do, and in a disrupted property market, there is a huge opportunity to expand at pace.”
Speaking to Restaurant earlier this year, Philpot said he had plans to expand the brand, including beyond the capital, with Manchester mooted as a possible target area.
“We’re super ambitious. In terms of London, we look at brands like Leon that has more than 50 sites and we see no reason why we can’t do that. And then I think there’s a lot of opportunity beyond that too.”
Yolk has raised £2.2m to date from angel investors and is now seeking to raise £1.8m in equity funding at a pre-money valuation of £7.6m (around £2.87 per share) to support the next stage of expansion across London. Growthdeck has secured up to £1.4m of this fundraise in C Ordinary Shares, with a minimum of £750,000.
For more information on the fundraise, visit here.
