Scotch Raises $20M in Series A Funding Led by VMG Partners

The round also saw participation from First Round Capital, Lerer Hippeau, and Toba Capital.

The company plans to use the funding to speed up product development, grow its engineering and sales teams, and continue expanding its AI-powered operating system across the country.

Designed for liquor retailers, Scotchs all in one operating system automates tasks such as invoice matching, cost updates, product standardization, deal tracking, and business analytics. By replacing manual processes that can take days or even weeks, the platform helps retailers improve profit margins, pricing accuracy, inventory efficiency, and overall operation's, giving them more time to focus on serving customers.

Since launching, Scotch has signed and onboarded several of the largest independent liquor retailers in the United States, including The Liquor Store of Jackson Hole, Big Bear Wine & Liquor, Corkdorks, and Everest Spirits Superstore. Built to manage the complex operations of large liquor stores, Scotch is helping modernize an industry that has seen very little technological innovation in the past.

Joey McDonald, General Manager of Sinkers Beverages, one of the largest stores in Tennessee by revenue, and a staple of East Nashville, said, "Scotch has allowed us to unify all of our revenue streams in one place. It's boosted our productivity and, importantly, taken away the day-to-day headaches around managing our business."

"Liquor retailers have been left out of the technology revolution for far too long, stifled by the complexity of scaling an efficient operation in the three-tier system," said Carle Stenmark, General Partner at VMG Partners. "Scotch has already built a deeply resonant product that customers love, and VMG's deep relationships across consumer brands, operators and technology leaders position us to accelerate their growth as they bring an AI-enabled modern operating system to tens of thousands of retailers."

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"Enterprise retailers face massive operational complexity, with many carrying anywhere from 10,000 to 25,000 SKUs sourced from more than 30 distributors," said Jake Bolling, co-founder of Scotch. "COVID-era demand exposed the limits of manual, legacy systems, and as growth normalized, retailers were left with tighter margins, macro-driven pricing volatility and flat category growth. Retailers can no longer afford manual ordering, mispriced SKUs or hidden inventory; they need intelligent automation that streamlines workflows and allows them to focus on customer service, not IT."

About Scotch

Founded by Jake Bolling, Scotch is an all in one software platform built specifically for liquor retailers. It combines point of sale, inventory management, invoice reconciliation and pricing tools into a single system, replacing the multiple legacy solutions many retailers have used for years.

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