Actual Veggies, a company specializing in vegetable-based burgers, has raised $7 million in a Series A funding round to support its retail expansion and product development. The round was led by Relentless Consumer Partners, with additional participation from New Fare Partners, Todd Lachman (Sovos Brands founder and Sauer Brands chairman), and investor Ben Rawitz.
“We anticipate a surge in consumer interest for products like Actual Veggies”
In addition to expanding its retail footprint, Actual Veggies has secured a foodservice contract with Compass Group, which will introduce its products to corporate dining programs, hospitals, and schools, including at companies such as Amazon and Google. The company’s Black Bean Burger is also set to launch in all 82 Costco locations in the Southeast region next month.
Co-founder and co-CEO Hailey Swartz stated, “We set out to create the most delicious and satisfying veggie burgers ever made, and our tremendous growth has validated this effort. With this investment, we look forward to expanding our partnerships, developing innovative products, and increasing retail distribution.”
Market trends favoring simpler ingredients
Investor interest in Actual Veggies reflects shifting consumer preferences toward foods made with recognizable, minimally processed ingredients. According to the company, the rise of GLP-1 medications, such as Ozempic and Wegovy, has also contributed to increased demand for whole-food options, as consumers using these medications often seek nutrient-dense meals in smaller portions.
Elly Truesdell, founder and managing partner of New Fare Partners, explained, “We’re witnessing a fundamental shift in American eating habits, magnified by the projection that over 24 million Americans will be using GLP-1 medications in the next decade.
“This evolution presents a massive opportunity for Actual Veggies to meet the growing demand for better meal options made without fillers, preservatives, or artificial ingredients.”
Unlike many plant-based meat alternatives, Actual Veggies’ products focus on whole vegetables rather than protein isolates or textured soy ingredients. This distinction could appeal to consumers looking for plant-based options that more closely resemble traditional whole foods.
John Burns, founding partner at Relentless Consumer Partners, noted that the brand’s positioning aligns with broader consumer trends. “Healthy food should be enjoyed, not compromised, and we are confident that Actual Veggies is on track to become a household name. We anticipate a surge in consumer interest for products like Actual Veggies, which is committed to sustainable ingredient sourcing and meeting the evolving needs of health-conscious consumers,” he stated.
The company reports 125% year-over-year revenue growth and has doubled its retail distribution to more than 6,500 locations, including Kroger, Whole Foods Market, Albertsons, and Sprouts.
Celebration over imitation
Investor and hospitality entrepreneur David Grutman sees Actual Veggies as well-positioned in the evolving food landscape. “They’re not trying to imitate meat; they’re celebrating real vegetables in a way that resonates with today’s health-conscious consumers. I believe they’re positioned to become a major player as dining preferences continue to evolve toward more mindful, vegetable-forward options,” he said.
