Easy Ice today announced that they have secured $20 million in financing to support company growth in 2014. The bulk of the funding was provided by Saratoga Investment Corp., an investment firm in NY, while the remaining amount was contributed by private investors. Saratoga invested a total of $12 million in Easy Ice, citing the company’s momentum, and the growth potential of their market space as key factors in their decision to invest.
“We are very excited about the direction of this company. It is rare to find a profitable company of this size with significant growth potential in a market that is mature” said Charles Phillips, Managing Director of Saratoga Investment Corp. “Easy Ice’s track record, unique position in the marketplace and seasoned management team enabled our investment committee to confidently fund their growth plans.”
Easy Ice prides itself on offering a level of service and quality unmatched by others in their industry. Their performance guarantee, coupled with the affordability of their ice machine subscription plans has already converted many business owners who purchased ice machines in the past to loyal proponents of Easy Ice’s unique subscription model.
“Purchasing an ice machine is a force of habit for most business owners” says John Mahlmeister, CMO and co-founder of Easy Ice. “It isn’t difficult to win over someone who takes the time to understand the numbers.” Those numbers that Mahlmeister refers to includes water filters, preventive and repair maintenance, along with backup ice when the machine breaks down, costs that are often overlooked at the time of purchase.
Easy ice took a cue from another appliance widely used in the foodservice industry when they applied their cost saving subscription model to ice machines. “There is a well-known precedent for changing this kind of purchasing behavior in the foodservice industry – dishwashers. 20 years ago, nearly everyone bought their own dishwasher. Now, 80% of our customers already get their dishwashers on a subscription, so switching their ice machine over to this service is an easy decision.”
With the new funding secured and a solid base from which to build, Easy Ice eyes more growth in 2014 and beyond.