London restaurant app Velocity lands millions more pounds in funding

Lynsey Barber
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Velocity lets users book and pay for top restaurants (Source: PR)

A restaurant app founded in London which lets diners pay their bill with their phone has landed millions of pounds in new funding.

With some of London's top eateries on board such as Hix, Sketch and Gymkhana, as well others in New York and Los Angeles among other cities, Velocity has bagged £17m in a series B round of funding just a year after a £12m series A round.

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The new investment was led by DIG Investments along with high profile private investor Barry Sternlicht, the founder of Starwood Hotel Group, and the international concierge firm John Paul.

They join former Saxo Bank chief Lars Christensen, former Thomson Reuters chief executive Tom Glocer and Initial Capital partner Shukri Shammas as backers. Spark Capital, OATV and Lerer Ventures also became shareholders after the three-year-old startup snapped up the US app Cover last year, one of several acquisitions.

Velocity lets users book tables at top restaurants as well as letting them pay for it online, doing away with the hassle of having to wait for waiters after a meal, while also offering a reward scheme.

“Our Series B funding is an important step forward in growing our brand, increasing our bandwidth for exciting new features and building our presence in the greatest cities around the world," said co-founder and co-chief executive Zia Yusuf.

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Non-executive director appointed by DIG Sanjan Dhody, said: "Having been an early investor in Spotify, Palantir and Lyft, the goal is to find world-class companies and assist them in forging global success. Velocity is a game changer for the $3.5 trillion restaurant industry, combining compelling technology, an intimate understanding of hospitality and a world class management team."

Velocity will use the cash to more than double the number of cities it's in to 29 by 2020.

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