Instacart, the grocery delivery start-up company, recently hired its first CFO. The hire comes as a natural progression for the company: the start-up raised $220 million last year and is already valued at $2 billion. Ravi Gupta will be the CFO for the three year old company. Gupta brings his prior experience in finance, corporate development, and business strategies to Instacart. He has worked with the private equity firm KKR in New York, and as an analyst for McKinsey & Co. Gupta started with the company in September, stating that they are “well-run” and “moving into its next phase of growth.”
Exponential Growth in Just 3 Years
The small start-up has exploded since its founding in 2012. The company now has over 300 full-time employees and an additional 1,200 working part-time. Instacart also has 7,000 contract workers throughout the 18 cities it serves. Last month, Target announced it was partnering with Instacart to offer same-day grocery delivery. Not only has the company been successful in its own right, but it has increased the customer base of its “vendors.” Grocery stores are seeing more customers because they can now offer delivery via Instacart.
Gupta Plans to Take Instacart to New Levels
Gupta’s responsibilities will include strategic business initiatives to help the company get into new markets. Gupta also plans to help improve the company’s M&A department, as Instacart has only made one acquisition since its founding. Gupta will focus his efforts on “having more partner retailers, more markets, more customers, and continuing to grow.” Gupta’s hire has sparked questions surrounding whether the company will soon file for an IPO. But Gupta says the company is “not being specific.” The priority is to focus on growing the company and keeping on the path it’s already following.
Unicorn Start-Up Instacart’s Future Looks Bright
Instacart is being hailed by the likes of Forbes magazine and others as “America’s Most Promising Company.” Earlier this year, Instacart made number one on Forbes list of the same name. The start-up raised $44 million in its first two years, and $220 million more last year, achieving what’s known as the “unicorn status.” In a Forbes interview with Instacart founder Apoorva Mehta, Mehta stated that the funding means the company must “grow substantially bigger. We have to expand geographically.” With the recent hire of CFO Ravi Gupta, the company seems more than ready to do just that.