US-based software firm Loop AI has raised $14 million in a Series A funding round led by venture capital firm Nyca Partners, as technology providers target restaurants seeking to make delivery operations more profitable.
The round also included participation from investors such as Gokul Rajaram, Base10, Afore Capital, Converge, Alumni Ventures and Data Tech Fund, the company said on Tuesday.
Osama Bedier, an investment partner at Nyca and a former executive at Google and GoDaddy, will join Loop AI’s board as part of the financing.
Founded in 2022, Loop AI develops software that helps restaurant and retail operators manage back-office functions linked to delivery and off-premise sales, an area that has grown rapidly as consumer habits shift away from dine-in formats.
Industry data cited by the company shows the U.S. food delivery market valued at about $140 billion in 2025, with delivery accounting for roughly 10% of restaurant sales. That share is expected to rise sharply over the next decade as delivery becomes a core channel rather than a supplementary one.
“Delivery is the new drive-thru,” said Loop AI co-founder and CEO Anand Tumuluru, describing how restaurants are rethinking operations, margins and staffing models as off-premise orders increase.
Loop AI’s software uses automation and artificial intelligence
Loop AI’s software uses automation and artificial intelligence to help restaurants manage pricing, channel mix and operational decisions tied to delivery platforms, areas that have historically compressed margins due to commissions and fulfilment costs.
Nyca’s Bedier said the company was positioned at the intersection of AI adoption, operational efficiency and changing consumer expectations in the restaurant industry.
“Those trends are shaping the future of dining,” he said, adding that delivery-led growth is forcing operators to rethink how restaurants are run behind the scenes.
Restaurant operators have increasingly turned to technology to manage the complexity created by third-party delivery platforms, which now influence everything from kitchen workflows to menu design and site selection.
For many brands, the challenge has been maintaining in-store margins while scaling delivery volumes.
Robert Linder, chief financial officer at casual dining chain Lazy Dog, said Loop AI’s software had become part of the company’s delivery strategy as it expanded off-premise sales. Starbird, a fast-casual restaurant group, also uses the platform to analyse customer behaviour and delivery performance.
Loop AI said the new funding would be used to expand its product offering and increase headcount across its offices in New York, San Francisco, Tampa and Bengaluru. The company said it has grown sixfold since 2024 and now supports thousands of restaurant locations across the United States.
While funding for consumer-facing delivery startups has cooled in recent years, back-end technology that helps operators manage costs has continued to attract investor attention.
Loop AI did not disclose its valuation following the Series A round.
