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Toast

Can a restaurant POS become the financial operating system — payments, capital, payroll, retirement — for every independent restaurant in America?

Founded2011
HQBoston, MA
Total raised~$900M pre-IPO
Latest roundIPO (September 2021)
ValuationUp to $18B IPO range
IndustryVertical SaaS / Restaurants
The story

Founded in 2011 as a restaurant staff management tool, Toast pivoted to a full restaurant POS platform and then layered embedded financial services on top: payments processing via Worldpay, Toast Capital lending via WebBank, Toast Payroll (with money transmission licenses held via Toast Processing Services LLC), and a Vestwell-powered 401(k). The company is the canonical vertical-SaaS-plus-fintech case for restaurants, monetizing primarily through payment processing and capital while building a moat with proprietary hardware and a partner integration marketplace.

Last 12 months
Product timeline
0
Acquired xtraCHEF (AP/accounting automation)· acquisition
2011
Founded in Boston as a restaurant staff management tool· pivot
2018
Reaches unicorn status with $115M Series D· banking
2019
Launches Toast Capital lending program with WebBank· lending
2020
Series F at ~$5B valuation just before COVID· banking
2021
IPO on NYSE under TOST· ipo
Regulated entities
MTL (multi-state)
US
Toast Processing Services LLC
The stack
Payments / PSP
WorldpayToast Payments (self-operated)
Lending
Toast Capital (in-house)Toast Capital Loan (90-day)Toast Capital Loan (270-day)Toast Capital Loan (360-day)Refinancing of non-Toast sales-based financing
Payroll
Toast Payroll (self-operated)
Sponsor bank
WebBank
Accounting
QuickBooks OnlineQuickBooks Desktop
Accounting gap: minor