The clean-label beverage startup plans to expand across North India, strengthen distribution and enter the frozen dessert category following its seed funding round
Sorry Sugar, a clean-label beverage startup, has raised USD 1 million in a seed funding round led by the Dhanuka family and Amishi London. The company plans to use the capital to expand its presence across North India and accelerate new product launches.
Founded by Deepak Pathak, Kunal Verma, Shashank Sherawat and Saiyam Malik, Sorry Sugar operates in the zero-added-sugar beverage segment. The startup said its products are sweetened with monk fruit and are being positioned for consumers seeking alternatives to conventional sugar-based beverages.
The company said it recorded revenue of more than Rs 1 crore during its first month of operations and currently operates three offline stores across Delhi and Gurgaon. It is also expanding its presence through direct-to-consumer channels, quick commerce platforms and offline retail.
Sorry Sugar is targeting an annualised revenue run rate of more than Rs 60 crore by the end of the current financial year. The startup said the fresh funding will support the expansion of its online and offline distribution network across North India.
“This initial traction and investment marks a key achievement for Sorry Sugar and is proof of concept for our vision of making healthier choices more enjoyable, without compromising on taste. We want to replace sugar as a component from everyday consumer beverages, starting with coffee, and are now taking this philosophy across beverages and desserts,” said Deepak Pathak, Founder, Sorry Sugar.
The company also plans to use part of the funding to accelerate product development. Among its upcoming launches is a range of zero-added-sugar gelatos sweetened with monk fruit, marking Sorry Sugar’s planned expansion beyond its existing beverage portfolio.
“Sorry Sugar is making healthier choices desirable rather than restrictive. Consumers today are increasingly conscious about what they consume, but they are equally unwilling to compromise on taste and enjoyment. The brand addresses this evolving need by bringing together health and indulgence in a way that is relevant to the modern consumer,” said Amishi Dhanuka.
Sorry Sugar was incubated by Palash Arneja, founder of BlaBliBlu, alongside Wolfpack Labs, led by Aakash Anand and Prerna Gupta. The seed round marks the startup’s first external funding, providing capital for its planned distribution and product expansion.
