Nory Raises $16M Series A to Lead AI in Hospitality Industry

Nory, the AI-powered operating system for hospitality businesses, secured $16 million in a Series A funding round led by Accel, bringing its total raised to $25 million, following a 400% revenue growth in 2023. Existing investors Cavalry, Playfair, Samaipata, and Triplepoint also participated in the round.

Nory has developed a proprietary AI-powered platform for hospitality businesses to manage and scale operations, significantly increasing profitability by centralising all key operational data into a single source of truth.

The hospitality sector has faced numerous challenges, including significant closures and average EBITDA margins of just 3% last year, according to UHY. Rising labour, food, and energy costs, coupled with a post-pandemic talent drain, have made finding seasoned management almost impossible.

Working with companies like Buns from Home, Jamie Oliver Group, and Roasting Plant Coffee across the UK, Europe, and the US, Nory has proven to reduce costs by nearly 20% and increase EBITDA by over 50%.

Nory's AI analyses data in real-time, acting as an AI-venue manager to coach frontline workers on efficient and profitable venue management. It centralises key operational data into a unique single source of truth. Its technology predicts hourly venue demand with 95% accuracy using historical data and AI algorithms that consider seasonal trends and hyper-local live data on weather and events. These predictions help restaurants and cafes manage staffing and align with other core workflows like stock management to reduce costs and waste.

Nory CEO Conor Sheridan, who previously founded and scaled Mad Egg, Ireland’s fastest-growing independent restaurant group, developed Nory to address software quality issues in the hospitality industry.

The investment will be used to accelerate product development and international expansion.

On the raise, Sheridan said: “The industry is facing challenges and complexities like never before. Operators don't want more tools and apps that digitise every micro-workflow. They need technology that can give them real control over their business, their profitability and their destiny.

“Nory is on a mission to help systemise success for the restaurant industry and to stack the odds in their favour.  Our Series A funding will help us on our path to building the world's largest restaurant technology company.”

Luca Bocchio, Partner at Accel, adds: “Restaurants are under increasing pressure to improve operational efficiency and productivity. The industry is still under digitised, with fragmented point solutions that prevent businesses from gaining more granular data insights on their own operations. Nory’s AI powered operating system provides restaurants with much needed access to a central, real time source of truth, which is easy to use and delivers fast ROI. We’ve been impressed by the early traction and strong customer engagements the Nory team has already achieved and Conor’s deep industry knowledge.”