by Montis CF
Hello Mr. Dib! Congratulations once again on the successful capital increase with Mozzaik GmbH. How were the first months with the new investor?
The entire Mozzaik team is very happy to have found a new investor who wants to support us in our growth strategy. As the expansion is very capital intensive, we are very happy about the fresh funds. In order to take Mozzaik to the next level, it was important for us to find an investor who would also actively support us with his know-how.
In recent years, Mozzaik has established itself as the leading B2C online store for "Halal Food" in Germany - and has already expanded into other European countries. What success factors have contributed to this?
When we founded Mozzaik at the end of 2017, we had the great advantage that the market we served was still very unprofessional and unstructured at that time. In addition, no one had yet dared to offer halal FMCG online. This, of course, gave us a lot of tailwind and growth opportunities.
Furthermore, with an active product portfolio of more than 2,000 SKUs, the guarantee of only halal-compliant goods, fast delivery times and both German and Arabic-speaking call center staff, we offer many advantages for the end customer. By now, more than 150,000 satisfied customers have ordered from Mozzaik and it makes us very proud to be able to bring our customers so close to their home.
Why was Wuppertal chosen as the company's location?
Wuppertal offers several advantages that were important for Mozzaik's success and still are today. On the one hand, there is a high density of people within our target customer group in this region, and on the other hand, we have been able to position ourselves as an attractive employer with which our German- and Arabic-speaking employees highly identify. In addition, the combination of moderate rental costs and excellent transportation access for fast delivery of ordered goods to Germany and abroad offers a strategic advantage.
Why did you decide to raise fresh capital?
As a young company, our primary initial goal was to achieve strong growth. Nevertheless, we also wanted to reach the break-even milestone in a timely manner, which we did about two years after the foundation. The continuing strong demand supported our plan to further strengthen our position in the German and European market by expanding our product portfolio and entering new markets. Within this context, we as shareholders decided to raise fresh capital.
Why did you choose MONTIS Corporate Finance as your M&A/ Corporate Finance advisor? How do you evaluate the collaboration?
After the decision to bring a new investor on board was made, we started a selection process with several advisors. The contact with MONTIS Corporate Finance was established through the recommendation of my co-partner. When selecting the advisor, it was important for us that the M&A advisor already had experience in the e-commerce market through successful transactions in the past and that we were on the same page on a personal level. Both these factors were met by MONTIS and we are more than satisfied with our decision which is also reflected in the continued close exchange with the MONTIS team.
M&A processes are usually very intense times in the founders' entrepreneurial careers. How do you feel about the process?
The process was indeed very challenging and time-consuming. Due to the Covid 19 pandemic, e-commerce is currently experiencing a renaissance and investor interest was accordingly very high. I was somewhat surprised that the potential investors meticulously scrutinized everything throughout the entire process. In addition to being the sole managing director and the father of a newborn, coordinating the additional tasks that arose from the process was very challenging. Without the comprehensive support of MONTIS, we certainly would not have been able to complete the fundraising in such a successful manner. I am now happy to be able to fully concentrate again on the growth of Mozzaik. Nevertheless, the due diligence was necessary to build trust and ultimately convince investors of our vision.
What are the current challenges for Mozzaik?
It is generally not easy to find well-qualified people who, at best, have already gained relevant experience in setting up a food e-commerce company. However, this is still feasible for us, in particular because of the Mozzaik branding as many people with a migration background, who are 2nd or 3rd generation immigrants living here in Germany, highly identify with Mozzaik and our slogan "Home so close".
Furthermore, we are in the process of building strategic partnerships that will enable us to serve our target customer group more efficiently with an even broader product range and an even better service.
The new investor and the fresh capital naturally bring a breath of fresh air into the company. We look very confidently into the future.
Thank you very much for the interview! We wish you continued success with Mozzaik!