While many pet and wellness brands produce food that rivals the freshness and nutrition of human food, Spot & Tango creates human-grade meals for pets. Spot & Tango’s selection of food is transparently engineered with sustainable ingredients that have no additives, fillers, or preservatives that are commonly found in commercial kibble. The company’s newest product, UnKibble, is fresh dry food that is fully customizable based on the pet’s lifestyle, breed, and body measurements. Launched in 2018 and bootstrapped until now, Spot & Tango’s line of canine food is available direct-to-consumer, serving customers across the nation.
AlleyWatch sat down with CEO and Founder Russell Breuer to discuss the inspiration behind Spot & Tango, the company’s signature UnKibble product, and its recent funding round.
Who were your investors and how much did you raise?
Spot & Tango has raised $4.2M in Seed funding led by Guild Capital. With this funding, we plan to grow our infrastructure and logistics as well as our team.
Tell us about the product or service that Spot and Tango offers.
Spot & Tango is a premium pet health and wellness brand focused on providing dogs with the highest quality, human-grade meals with none of the artificial additives, fillers, and preservatives commonly found in commercial kibble. Through its work with a team of animal nutritionists, Spot & Tango developed a number of personalized meal plans for all dogs using key factors such as weight, breed, activity level, and lifestyle.
What inspired the start of Spot and Tango?
Spot & Tango was started out of love for my dog, Jack. My wife and I were nervous about the commercial pet food industry due to its numerous recalls. Additionally, commercial kibble has many additives that can be harmful to dogs. We began by cooking meals for our dog Jack because we knew that human-grade food presented a number of benefits for him such as longer life, shinier coat, and relief from allergies, to name a few. From there, Spot & Tango grew as our family, friends, and neighbors wanted us to start making meals for their dogs. While still a family-owned NYC company, we now ship nationwide to make sure everyone has access to healthy food for their dog.
How is Spot and Tango different?
With this funding round, Spot & Tango is launching a new product called UnKibble, the only Fresh Dry food for dogs. UnKibble provides all the benefits of fresh food, with the added convenience of a shelf-stable option. At Spot & Tango, we value transparency. That is a core part of UnKibble. All of our recipes use 100% human-grade ingredients which are clearly labeled on the bag. Also, UnKibble offers a personalized experience. We make a custom scoop for each dog, so pet parents know that their dog is receiving the exact calorie count for their needs.
What market does Spot and Tango target and how big is it?
The pet industry is a multibillion-dollar industry and the pet wellness sector is growing rapidly. Right now, we are in the pet food market, specifically for dogs, but overall we are a pet health and wellness brand. We want to solve the pet health epidemic — that includes obesity, diabetes, and allergies– by offering complete & balanced meals for all life stages using fresh ingredients.
Who do you consider to be your primary competitors?
We consider other players in the fresh food category more friend than foe. We are all working towards an overall goal of pet wellness. That being said, our competitors include companies such as The Farmer’s Dog, Nom Nom Now, Ollie, and Pet Plate.
What’s your business model?
Spot & Tango is an online DTC subscription-based company. All meal plans are customized based on an algorithm taking into consideration the dog’s unique profile. Food will continue to be replenished as it runs out, so no pet parent will have to worry about forgetting the trip to the pet store!
What was the funding process like?
We are supported by Guild Capital, a number of strategic investors and friends & family. The funding process required a well-developed business plan, Q&A, and financial/operational due diligence. We started talking to friends & family first, once we had proven sales and an ability to produce at scale. This capital enabled us to hire a team, build inventory, and boost our marketing spend. With an increased scale and an established supply chain, we were able to attract institutional capital.
What are the biggest challenges that you faced while raising capital?
Finding the right value-added investors can be a challenge. Entrepreneurs must start building relationships early, be persistent, and continue to refine their pitch. Ultimately, investors must understand the investment proposition, how their capital can support the business and potential exit scenarios.
What factors about your business led your investors to write the check?
Idea, team, and mission! We have built a world-class team of problem solvers, operators, and e-commerce professionals. Investors interested in our business idea and model were attracted to our ability to execute, our health & wellness mission, and the magnitude of the pet food industry.
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What are the milestones you plan to achieve in the next six months?
We are building a pet health & wellness platform of products and services. In the next six months, our priority is to support the Unkibble launch, invest in research & development, and continue to offer a fantastic customer experience.
What advice can you offer companies in New York that do not have a fresh injection of capital in the bank?
There are numerous financing structures available to entrepreneurs today, and platforms to raise capital. I bootstrapped the business in the early days, and I encourage other entrepreneurs to be capital efficient while finding product-market fit.
I bootstrapped the business in the early days, and I encourage other entrepreneurs to be capital efficient while finding product-market fit.
With a strong product, a loyal customer base, and a clear path forward, investors will be interested in hearing the story.
Where do you see the company going now over the near term?
We will continue building a health & wellness platform for pet parents across the country. In the near term, our priority is to support the Unkibble launch and introduce this new category of pet food to the world!
What’s your favorite restaurant in the city?
Lucali in Brooklyn. Best pizza on the eastern seaboard.
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