Pepper on Feb. 20 announced it has raised $50 million in Series C funding to expand its end-to-end technology platform for independent food distributors. The round was led by Lead Edge Capital with continued participation from existing investors including ICONIQ, Index Ventures, Greylock, Harmony Partners and Interplay.

Founded to reimagine how technology serves independent distributors, Pepper’s unified platform powers critical workflows spanning ordering, sales and marketing, accounts receivable and embedded payments. The company’s AI-enabled tools are designed to help distributors increase revenue, boost productivity, and modernize operations across their businesses. Pepper serves more than 500 distributors representing approximately $30 billion in annual gross merchandise volume and supports over 100,000 active operators nationwide.

In announcing the funding, Pepper highlighted the scale and fragmentation of the food distribution industry, noting that independent distributors account for roughly two-thirds of the North American market. The company said its platform enables these businesses to move beyond manual systems and fragmented technologies that have historically constrained efficiency and growth.

According to Pepper, the Series C financing will be used to accelerate product innovation and deepen the platform’s AI capabilities. Specific areas of investment include:

• Next-generation AI and data solutions that automate repetitive tasks, streamline operations and maximize profitability
• Expanded functionality across key product modules — including Pepper’s Storefront, Sales Hub, Order Agent, Finance Hub, and Growth Agent — to support end-to-end distributor operations
• Scaling integrations with ERP systems to improve interoperability and reduce onboarding friction for distributors adopting the platform
• Continued investment in go-to-market efforts and customer success teams to support broader adoption

Pepper’s platform emphasizes seamless connectivity across distributor workflows and aims to provide independent distributors with the technological tools traditionally accessible only to larger competitors. The company is headquartered in New York City, NY.