Tiff's Treats, an Austin success story, is now a $500 million company

Tiff's Treats launched in 1999 by Leon and Tiffany Chen while they were still students at the University of Texas. With a new investment, the company is now valued at $500 million. (Courtesy of Tiff's Treats)
Tiff's Treats launched in 1999 by Leon and Tiffany Chen while they were still students at the University of Texas. With a new investment, the company is now valued at $500 million. (Courtesy of Tiff's Treats)

Tiff's Treats is now a $500 million business, thanks to a new multimillion dollar investment, the company says.

The Austin-based company known for its deliveries of warm cookies said Tuesday it has raised $30 million from undisclosed investors. Previous financial backers include jewelry designer Kendra Scott, former NBA star Dirk Nowitzki, actress Brooklyn Decker and tennis star Andy Roddick.

Tiff's Treats was founded in 1999 by Leon and Tiffany Chen while they were still students at the University of Texas. In addition to baked-to-order cookies, the company offers brownies and other desserts along with bottled beverages and Blue Bell ice cream.

Related: Tiff’s Treats scores Kendra Scott, Dirk Nowitzki as investors in $15M funding deal

Tiff's Treats said it will use its new $30 million investment to accelerate national expansion and  invest in its technology. (Courtesy of Tiff's Treats)
Tiff's Treats said it will use its new $30 million investment to accelerate national expansion and invest in its technology. (Courtesy of Tiff's Treats)

Today the company has about 70 retail distribution locations throughout the southern United States.

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The company has now raised just over $100 million and has 1,700 employees nationwide, including 400 in Austin, co-founder Leon Chen said.

"We have been on a hiring spree of late, having grown our headquarters team by 50% since the start of the pandemic and hiring hundreds of new store staff since the pandemic began," Leon Chen told the American-Statesman. "We expect to grow our workforce by another 30% over the next year, as a best guess."

Tiff's Treats has about 70 retail distribution locations in states throughout the southern U.S. The company has now raised just over $100 million and has 1,700 employees nationwide, including 400 in Austin. (Courtesy of Tiff's Treats)
Tiff's Treats has about 70 retail distribution locations in states throughout the southern U.S. The company has now raised just over $100 million and has 1,700 employees nationwide, including 400 in Austin. (Courtesy of Tiff's Treats)

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The company said it will use the new funding to accelerate national expansion and invest in its technology platform.

"We continue to invest in our direct-to-consumer, on-demand gifting and delivery platform from the ground up," Leon Chen said. "With our technology, we manage the entire delivery experience, utilizing our own delivery drivers and highly-committed in-house customer service team."

Meanwhile, the Chens have written their a book, "It's Not Just Cookies: Stories and Recipes from the Tiff's Treats Kitchen," published by Harper Horizon. Scheduled for release early next year, the book has reached No.1 in Amazon's cookie baking category with pre-order sales.

Leon and Tiffany Chen are founders of Austin-based Tiff's Treats, the cookie delivery company that is now valued at $500 million. (Courtesy of Tiff's Treats)
Leon and Tiffany Chen are founders of Austin-based Tiff's Treats, the cookie delivery company that is now valued at $500 million. (Courtesy of Tiff's Treats)

Amid the coronavirus pandemic last year, Tiff’s Treats said it committed more than $1 million to its employees in the form of bonuses, pay raises and a new paid time off benefit for all hourly employees.

“The coronavirus pandemic has created many challenges for us but because of our focus on delivery, we were able to continue serving customers who increasingly were looking for new ways to connect with each other,” Tiffany Chen said in July 2020, when the company announced a $15 million investment.

“We saw, and continue to see, many orders celebrating birthdays, anniversaries, graduations, and other occasions where celebrations have been limited," Tiffany Chen said. "And on top of that, we are finding that customers are in need of comfort both for themselves and to send to others.”

This article originally appeared on Austin American-Statesman: Austin-based Tiff's Treats is now a $500 million business

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