A startup that delivers food from local restaurants could be raising an enormous round of funding

Less than a year after raising $US40 million at a $US600 million valuation, food delivery startup DoorDash is looking for fresh funding at a $US1 billion valuation, Eric Newcomer and Alex Barinka report for Bloomberg.

The company lets people purchase meals from local restaurants that will arrive in an hour or less in any of 21 different metropolitan areas. Bloomberg reports that previous investor Sequoia Capital is expected to lead the round.

Both Sequoia and DoorDash declined to comment when contacted by Business Insider.

While DoorDash focuses on food, for now, it has hinted at ambitions to use its logistical delivery infrastructure to deliver any number of things in the future.

Not that it’s the only one. Uber, Postmates, Google, Amazon, Instacart, and a veritable swarm of other companies are all trying to tackle the problem of making speedy delivery cheap and convenient.

So many food delivery companies have swarmed the market that research firm CB Insights has called the space “overcrowded,” Bloomberg reports.

If the funding goes through, DoorDash will be joining another swarm too, as the newest addition to Silicon Valley’s growing “unicorn club” of companies valued at $US1 billion or more.

NOW WATCH: Google’s self-driving car has a huge problem

NOW WATCH: Tech Insider videos

Business Insider Emails & Alerts

Site highlights each day to your inbox.

Follow Business Insider Australia on Facebook, Twitter, LinkedIn, and Instagram.