Would You Eat Protein Bars Made From Insects? Investors Have Bet $4 Million on It. Tim Ferriss and the rapper Nas both participated in the series A round, which was led by AccelFoods.

By Laura Entis

Opinions expressed by Entrepreneur contributors are their own.

Exo Protein

Delicious sounding flavors include banana bread, apple cinnamon, peanut butter and jelly, cocoa nut and blueberry vanilla.

Image credit: Exo Protein

But these protein bars are made with an unusual ingredient: ground up cricket flour. Investors are betting millions that consumers won't let that fact get in the way.

Exo, the company behind the bars, announced today that it has raised $4 million in series A funding. The round was led by AccelFoods, with participation from individual investors including productivity-guru Tim Ferriss, the rapper Nas and three-time female Tough Mudder champion Amelia Boone.

Related: How Food Makers Are Convincing America to Eat Bugs

That brings Exo's total funding to $5.6 million. (The New York City-based startup crowdfunded nearly $55,000 on Kickstarter in 2013, and raised an additional $1.6 million in seed funding in 2014.)

The cricket craze goes beyond Exo. Insects are having something of a culinary moment. In the past few years, a fleet of startups have been founded on the premise that Americans are ready to embrace bug-based foods, which proponents say are a vastly more sustainable source of protein than chicken, beef or salmon. And in an age where everyone seems to have at least one dietary restriction, cricket flour is soy, dairy and gluten-free.

Image credit: Exo Protein

All of which helps explain why a long -- and growing -- list of companies is getting into the cricket game. Like Exo, Hopper Foods, Chapul and Chirp all specialize in cricket-based protein bars. Meanwhile, companies are using cricket flour to make everything from cookies to chips.

Related: Mmmm, Crickets: How Exo Protein Bars Found Its Wings

For Exo, this is only the beginning of its cricket-centric journey. The company says much of the $4 million will go to expanding its product line beyond bars.

Laura Entis is a reporter for Fortune.com's Venture section.

Want to be an Entrepreneur Leadership Network contributor? Apply now to join.

Editor's Pick

Business News

What the FTC's 'Click-to-Cancel' Rule Means for Merchants

Subscriptions are easy to start but often difficult to cancel, leading frustrated consumers to seek chargebacks due to confusing cancellation policies. The FTC's new "click-to-cancel" rule mandates that cancellation must be as straightforward as sign-up, potentially reducing chargebacks and improving customer satisfaction.

Business Ideas

70 Small Business Ideas to Start in 2025

We put together a list of the best, most profitable small business ideas for entrepreneurs to pursue in 2025.

Business News

Zillow Predicts These 10 Places Will Have the Hottest Housing Markets in 2025

Zillow predicted that the hottest housing market of 2025 will be Buffalo, New York. Here's why.

Business Solutions

Say Hello to the PDF Multi-Tool You Didn't Know You Needed

Get lifetime access to UPDF for just $47.99—the best price online right now.

Business Culture

It's Time to Rewrite Your Company's Values — Here's How

Most companies' values are forgotten or disconnected from daily operations. By rethinking and co-creating values with your team, you can transform them into actionable tools that align behavior, build trust and drive performance.

Science & Technology

5 AI Books Top Entrepreneurs Are Reading in a Rush for 2025

Entrepreneurs must embrace AI or risk falling behind. Discover 2025's top 5 AI books to gain a competitive edge, featuring insights from "The Wolf is at the Door" and a free AI Success Kit.