Image via Zero Grocery Facebook page

published on March 28, 2022 - 2:23 PM
Written by Gabriel Dillard

A grocery delivery service with a footprint in the Central Valley called it quits a month after raising $12 million.

Much to the chagrin of its clients, Redwood City-based Zero Grocery announced March 4 it was shutting its doors and stopping all further deliveries, according to a Facebook post from the company.

A business license for Zero Grocery to operate in Sanger had been filed, according to City Manager Tim Chapa, but to his knowledge the company was never active.

Job listings for the company were posted for inventory operations positions but those postings expired six months ago. Zero Grocery received a business license in April 2021 for grocery distribution, according to Chapa.

What differentiated Zero Grocery from other delivery services was its commitment to plastic-free deliveries. Many items would be delivered and recirculated in reusable containers to reduce waste.

In February Zero Grocery brought $11.8 million in seed funding from Sway Ventures. By March, they had posted that they would end all delivery services and close up shop.

CEO of Zero Grocery Zuleyka Strasner tweeted the day they closed that they were “chronically undercapitalized.”

At the same time, the San Francisco Chronicle reported Friday that a number of clients of Zero Grocery had outstanding orders they had paid. One bakery owner in Berkeley said he had $25,000 worth of unfulfilled orders placed. The company instructed clients to reach out to a financial advisory company to recoup their losses.

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