UAE-based food-tech startup Funch has closed a US$500,000 pre seed investment round, led by Angelspark, with participation from regional and international investors including Swvl founder Mostafa Kandil and investor Mahesh Murthy. The funding details were first published by Wamda, which confirmed the round and investor lineup.
Founded in 2025 by Ahmad Joehnny and Ghada Zanaty, Funch operates an AI powered lunch subscription service offering corporate employees a daily hot meal priced at AED 19, with no delivery fees and full flexibility to pause or skip credits. Product information and pricing were outlined in reporting by Business Today Middle East.
The company describes its platform as “AI-native,” using machine learning systems for demand forecasting, delivery-route optimization and menu rotation. During its pre launch phase, Funch operated from a 2,000 square foot kitchen in Dubai, delivered more than 75,000 meals and reported a 99.8% delivery accuracy rate, figures shared in Business Today Middle East.
Funch plans to use the new capital to scale its operations across the UAE, expand production capacity and strengthen its AI systems to support larger volumes of corporate subscriptions. These expansion plans were also confirmed by Sharikat Mubasher.
The launch of Funch comes as the region’s food delivery and corporate meal ecosystem continues to attract investment. Market data from IMARC Group estimates the UAE online food delivery sector at more than USD 700 million in 2024, while Grand View Research places the broader delivery market at USD 2.5 billion in the same year. These figures reflect the rapid expansion of food tech infrastructure across the Gulf.
Similar models have emerged globally, such as subscription driven platforms including MealPal and order ahead office meal operators like Ritual, which previously tested variations of predictable weekday meal programs. In the Middle East, large scale food-tech operators such as cloud kitchen network Kitopi and delivery platform talabat illustrate the level of logistical capability and capital deployment shaping the region’s meal delivery landscape.
Funch lands $500K Pre Seed to shake up UAE Workplace Meals