SAN FRANCISCO – San Francisco Equity Partners (SFEP), a leading private equity firm specializing in the consumer value chain, has announced a strategic investment in Sales Concepts, Inc. and Donovan Food Brokerage, Inc. This investment marks the formation of Xceed Foodservice Group (“Xceed”), a new platform poised to become a major player in the foodservice brokerage industry. The partnership aims to leverage the strengths of both Sales Concepts and Donovan to create a national footprint and enhanced service offerings for food suppliers across the United States.
Xceed Foodservice Group: A New Force in Foodservice Brokerage
Xceed Foodservice Group is designed to unite high-performing, regional foodservice brokerage companies under a single umbrella. Initially comprising Sales Concepts, with a strong presence in the Southeastern U.S., and Donovan Food Brokerage, a leader in the Upper Midwest, Xceed is set to expand its reach and capabilities significantly. Both Sales Concepts and Donovan have established reputations for excellence in their respective regions, providing sales and marketing services to food manufacturers looking to navigate the complexities of the foodservice market. The owners of Sales Concepts and Donovan, industry veterans Darin Pounds, Josh Carnell, and Jack Donovan, will continue to be actively involved, holding significant equity in Xceed and forming the platform’s executive leadership team. This ensures continuity and leverages their deep industry expertise as Xceed moves forward.
Strategic Vision and Market Opportunity
The formation of Xceed comes at a time when the U.S. foodservice industry, a massive $1 trillion market encompassing restaurants, schools, hospitals, and various other food-away-from-home venues, demands sophisticated and localized sales and marketing strategies. San Francisco Equity Partners recognizes the fragmented nature of this market and the critical role that regional brokerages play in connecting food suppliers with diverse foodservice operators. Xceed is strategically positioned to capitalize on this landscape by offering food suppliers access to an expanded network of relationships, broader market coverage, and a wider array of resources. The platform’s strategy is to maintain the localized expertise and customer engagement that are hallmarks of its partner brokerages, while simultaneously providing the benefits of scale and shared best practices. This blended approach aims to deliver superior results for both food suppliers and foodservice operators.
Leadership Perspectives on the Partnership
Darin Pounds, CEO of Xceed, emphasized the driving force behind the platform’s creation: “We formed Xceed to provide a differentiated level of service and results to our clients and other stakeholders on a larger scale. Our partner brokerages will continue to deliver the benefits of local expertise and regional focus to their clients, and through our partnership, will deliver access to an expanded set of relationships, markets, and resources.”
Jack Donovan, COO of Xceed, highlighted the synergy with San Francisco Equity Partners: “The SFEP team shares our vision of building a foodservice brokerage of scale that enables client growth through demand generation at the operator level. Their experience building founder-driven businesses in the consumer value chain will be instrumental to us as we continue to develop Xceed’s footprint and services.”
David Mannix, Partner at San Francisco Equity Partners, commented on the strategic fit: “We are excited to partner with the Xceed team to build a platform addressing underserved segments of the food manufacturing and foodservice operations space. ” This statement underscores SFEP’s confidence in Xceed’s potential and its commitment to supporting the platform’s growth trajectory.
About San Francisco Equity Partners
San Francisco Equity Partners is a private equity firm exclusively focused on partnering with lower middle market companies operating across the consumer value chain. SFEP distinguishes itself by acting as an extension of its partner companies’ management teams, providing not only capital but also deep operational expertise and a vast network of relationships within the consumer landscape. This hands-on approach is designed to accelerate growth and build lasting value in its portfolio companies. For more information about San Francisco Equity Partners, please visit www.sfequitypartners.com.
This investment in Xceed Foodservice Group demonstrates San Francisco Equity Partners’ continued commitment to identifying and supporting high-potential businesses within the consumer sector, and building industry-leading platforms through strategic partnerships and operational expertise.
