Burnt Raises $3.8 Million Seed Round

Burnt, a San Francisco, CA-based AI-powered company focused on automating the food supply chain, has raised $3.8 million in Seed funding.

The round was led by Penny Jar Capital, with participation from Scribble Ventures, Formation VC, and angel investors including Dan Scheinman.

Penny Jar Capital is an early-stage venture capital firm that focuses on Seed and Series A rounds. The firm invests across sectors such as B2B software, consumer technology, and financial services.

The company will use the funding to expand its AI-powered operational agents across procurement, distribution, accounting, finance, and compliance teams, while scaling the platform to process more orders efficiently.

Founded by Joseph Jacob, Rhea Karimpanal, and Chandru Shanmugasundaram, Burnt is an AI platform designed to automate operational workflows trapped in legacy systems, particularly within the food supply chain. The company’s agentic platform automates workflows stuck in legacy ERP systems. By capturing data from emails, voicemails, and spreadsheets, Burnt agents automatically input information into existing ERP systems. Initial customers include top food distributors across meat, seafood, and specialty foods, such as La Tua Pasta.

Funding Details

Company: Burnt

Raised: $3.8M

Round: Seed

Funding Date: September 2025

Lead Investor: Penny Jar Capital

Additional Investors: Scribble Ventures, Formation VC, Dan Scheinman (angel)

Company Website: https://www.getburnt.ai/

Software Category: AI / Supply Chain Automation