San Francisco based restaurant billing company Sourcery has raised $5m in venture funding led by Marker LLC. Sourcery allows restaurants to use the scanners they typically have on site to upload invoices or receipts and send them, by email, to Sourcery’s app, which extracts the data from them, and organizes it.
Sourcery co-founders Na’ama Moran (CEO) and Peretz Partensky explained that accounts payable is incredibly paper-driven in the restaurant business today. Most restaurants still place orders by phone and pay for them by check. With every single delivery that comes in to a restaurant, there is an invoice that can get lost, or stained. And when you have a restaurant with multiple locations it becomes even more complex. “All of this can make cash flow management really hard, and that’s unfortunately one reason why a lot of restaurants go out of business,” said Moran. According to Restaurant Reports guidelines, to achieve profitability, table service businesses should aim to keep food costs below 35% of their total costs.