Compound Foods, the food tech startup developing sustainable alternatives to at-risk commodities, announced the official launch of its proprietary beanless coffee and cocoa ingredient platform. Built to derisk global supply chains, the new platform provides brands with functional, great-tasting alternatives to traditional coffee and cocoa without the bean.
Compound Foods was created in response to the growing instability of coffee and cocoa production due to supply shortages, climate pressures, and extreme price fluctuations. Using upcycled agricultural sidestreams, fermentation, and formulation science, the company is reimagines these beloved ingredients without compromising on flavor or function.
“Coffee has always been an important part of my life,” said Maricel Saenz, Compound’s founder and CEO. “When I learned how vulnerable the supply chain really was, I felt compelled to ask: could we recreate the experience of coffee using more resilient ingredients, lower emissions, and food science?"
For global food brands, the impact is clear: tighter margins, unpredictable supply, and urgent reformulation needs. CPG leaders are actively seeking alternatives to maintain product quality and consistency while reducing risk.
Compound Foods offers a scalable solution: beanless ingredients that match the taste, aroma, and performance of traditional coffee and cocoa, without the sourcing headaches.
The company’s process begins with mapping the molecular compounds that define the sensory experience of coffee and cocoa. Compound then uses underutilized ingredients such as seeds, cereals, and fibers, to build a whole-food base, and applies fermentation and roasting techniques to unlock the right flavor profiles.
“We mapped over 800 compounds in coffee and built our formulation layer by layer,” said Swetha Mahadevan, Head of Product at Compound Foods. “Our approach combines upcycling, domestic sourcing, and microbial science to deliver a product that tastes great and performs well.”
Compound’s platform slots into existing manufacturing pipelines, allowing food brands to incorporate beanless ingredients without costly reformulation. Compound also offers custom builds for partners looking to meet specific nutritional, labeling, or caffeine targets.
In blind taste tests conducted with Purdue University, 60% of tasters preferred Compound’s coffee over premium brands like Blue Bottle and Stumptown.
Originally focused on beanless coffee, the company fast-tracked development of a cocoa-free alternative in response to the 2024 supply crisis. By leveraging its built-in capabilities, Compound was able to develop a cacao-free solution in record time, delivering comparable taste and functionality with a more stable cost profile.
“Our goal isn’t to replace the specialty coffee or craft cacao we love,” said Saenz. “It’s to offer a sustainable, cost-effective alternative to the part of the industry that’s most vulnerable, commodity crops grown at scale, traded anonymously, and increasingly exposed to environmental and economic risk.”
Compound’s platform is built for performance and impact. Compared to traditional coffee, the company’s beanless solution uses less water and creates fewer carbon emissions. Most ingredients are sourced and processed in the U.S., reducing geopolitical and logistics risks that plague commodity markets.
Compound has raised over $10 million in funding, with backing from Lowercarbon Capital, Ulu Ventures, Collaborative Fund, FoodLabs, and others. “Coffee and cocoa are at a breaking point,” said Shuo Yan, Partner at Lowercarbon Capital. “Compound’s platform is a critical tool for food brands looking to adapt, and thrive, in this new reality.”
About Compound Foods
Compound Foods is a San Francisco-based food tech company creating sustainable, beanless coffee and cocoa ingredients using upcycled inputs and fermentation. Its work has been featured in Forbes, The New York Times, WIRED, and TechCrunch. Learn more at www.compound-foods.com.
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Food tech startup debuts proprietary platform focused on beanless ingredients to derisk commodity product supply chains