Dorje Teas Raises INR 30L on Shark Tank India Season 2
Dorje Teas successfully raised INR 30L for 15% equity in their company on Episode 1 of Shark Tank India season 2. The brand was invested in by Vineeta Singh, Peyush Bansal, and Anupam Mittal.
Here's everything you want to know:
About the Brand
Dorje Teas offers Darjeeling tea via a subscription model through its website. Darjeeling Tea is a specialty tea that is grown in the Darjeeling region of India and is known for its unique flavor and aroma.
The founders started their business to promote and support the production of Darjeeling tea and to share its unique qualities with people around the world.
The founders of Dorje Teas are childhood friends from Kolkata who have a deep bond with the locals and tea gardens in Darjeeling. They started Dorje Teas to keep the memories of their visits to Selim Hill alive.
Dorje Teas is made from the finest tea leaves grown in the land of thunder (Darjeeling). The tea is certified organic and is plucked, packed, and dispatched from Selim Hill Tea Estate.
The founders aim to make Darjeeling tea as popular in India as coffee, and hope to make it the go-to choice for people to ask each other to go out for a cup of tea. The company has a gross margin of 75% and is currently running at a loss, with a cash burn of INR 2 lakh on a revenue of INR 11 lakh.
The founders have raised a total of INR 8.5 crore in funding, with INR 6.5 crore coming from brand capital and the remaining INR 2 crore coming from angel investors and HNI. The valuation of the company was upto INR 32 crore at the time of the funding. The founders plan to hit INR 100 crore in five years and have a Go-To-Market strategy of attaining 2 lakh subscribers, but it is unclear if this will be successful. They also plan to expand their retail business to achieve their goals.
About the Founders
The founders of Dorje Teas are childhood friends who grew up in Kolkata, India. They have a deep connection to the Darjeeling region and its tea industry, having forged a close bond with the locals and tea gardens there.
They started Dorje Teas in order to promote and support the production of Darjeeling tea and to share its unique qualities with people around the world.
One of the founders has a family history in the Darjeeling tea industry, with their family being involved in the business for several generations. The founders are passionate about their product and the impact it can have on people's lives.
About Dorje's Special Darjeeling Flush Teas
Dorje brings special blends and flushes of Darjeeling teas to tea lovers via a subscription model. Here are the different flushes they presented at Shark Tank India
- First Flush: when the tea bushes first start to flush after the winter dormancy period. It is known for its delicate flavor and light, golden color.
Second Flush: This type of Darjeeling tea is harvested later in the spring and has a fuller body and a slightly more robust flavor than First Flush tea. It is often described as having a muscatel or fruity taste.
Monsoon Flush: This type of Darjeeling tea is harvested in the rainy season, usually between June and September. It has a darker color and a stronger flavor than the spring harvests.
Autumnal Flush: This type of Darjeeling tea is harvested in the fall and is known for its bold, full-bodied flavor and reddish color.
Dorje's Financial Information
| Financial Metric | Amount |
|---|---|
| Current Sales Run Rate | 1.5 crore/year |
| Go To Market (GTM) Goal (5 Years) | 2 lakh subscribers |
| Gross Margin | 75% |
| Net Margin | Running at a loss |
| Funding Raised | 8.5 crore |
| Valuation | Up to 32 crore |
| Estimated Sales in 5 Years | 100 crore |
| Cash Burn (on revenue of 11 lakh) | 2 lakh |
Offers for Dorje Teas at Shark Tank India
- Offer 1: Vineeta’s offer: ₹30 Lakhs for 10% equity, Valuation - ₹3 Crores
- Offer 2: Anupam, Peyush and Vineeta: ₹30 Lakhs for 15% equity, Valuation - ₹2 Crores
Dorje Teas: Brand Trivia
| Key Information | Details |
|---|---|
| Founders | Childhood friends from Kolkata - Ishaan & Sparsh Agarwal |
| Tea Estate | Selim Hill Tea Estate in Darjeeling |
| Tea Variety | Certified organic Darjeeling tea |
| Target Market | India and export market |
| Business Model | Subscription-based and retail |
| Sales Run Rate | 1.5 crore |
| GTM Goal | 2 lakh subscribers |
| Funding Raised | 8.5 crore |
| Valuation | Up to 32 crore |
| Estimated Sales in 5 Years | 100 crore |
Key Learnings from Dorje Teas Pitch At Shark Tank India - What You Can Learn from Dorje Teas
The importance of storytelling: Dorje's Teas effectively used storytelling to convey the brand's values and connect with the investors. They shared the history of Darjeeling tea, the unique aspects of their tea gardens, and their personal connection to the region.
The value of high-quality products: Dorje's Teas emphasized the premium quality of their tea, which is certified organic and sourced from a specific tea estate. This helps to differentiate the brand from competitors and justify a higher price point.
The need for a clear go-to-market strategy: Dorje's Teas had a clear plan for how they planned to reach their target market, including a subscription model and expansion of their retail business. This demonstrates to investors that the brand has thought through their sales and growth strategy.
The importance of financial planning: Dorje's Teas shared key financial information with the investors, including gross and net margins, funding raised, and valuation. This helps investors understand the financial health of the brand and assess the potential for investment.
The value of strong communication skills: The founders of Dorje's Teas demonstrated strong communication skills, which helped to engage the investors and effectively convey their vision for the brand.