Dorje Teas is a start-up operating in the tea industry. The start-up focuses on providing authentic tea based products which are completely organic in nature. The startup recently pitched their business at Shark Tank India. Deep dive into the article to understand the business model of Dorje Teas and the performance of their pitch at Shark Tank India.
Dorje Teas Shark Tank India
What is Dorje Teas?
The founders of Dorje Teas witnessed the fact that India had an excessive number of tea gardens. If we look at the statistics India has around 10,000 tea gardens. However the maximum consumer base in India dosen’t get access to authentic and organic natural tea. The reason for this is attributed to the fact that tea is heavily expensive which has created a market gap. The founders identified this gap and launched their own range of teas which focuses on pairing quality and affordability.
The startup’s primary focus is on connecting the farmer with the customer and eliminating the middleman. The elimination of the middle man brings affordability into picture.
Dorje Teas currently owns five tea gardens around the Selim Hill’s area. These products possess a USDA certification which bolsters their authenticity. Their inventory currently provides Hibiscus tea, Kashmiri Kahwa Tea, Chamomile Tea and various other products. These tea products fluctuates between the price ranges around ₹200 to ₹1000.
| Name of Startup | Dorje Teas |
| Founder | Ishan Kanoria and Sparsh Aggarwal |
| Incorporated | April 2021 |
| Industry | Subscription based start-up |
| Deal Asked for | 5% equity for ₹ 30 lakhs |
| Finalised deal | 15% equity for ₹ 30 lakhs |
| Sharks on board | Anupam Mittal, Vineeta Singh and Peyush Bansal |
Founder of Dorje Teas
Dorje Teas has been founded by two friends ie. Sparsh Aggarwal and Ishaan Kanoria. They joined hands in the year 2021.
Initially the business was founded by Ishaan Kanoria who is a Bachelor of Science graduate.
After working as an analyst at a high profile organisation he left his job and started the tea business.
Industry analysis and Operations of Dorje Teas
The tea market of India is currently valued at around ₹ 1.2 lakh crores. The Shimla tea market occupies around 1% of the overall market which is valued at ₹ 1500 crore.
The company currently charges an annual subscription of ₹2100 for its service. The founders aim to do a business of around ₹ 100 crore in the next 5 years.
However the consolidated sales of August is around ₹ 11 Lakhs. Currently the company is operating at a cash burn on its net sales.
On a sale of ₹11 lakhs, the company is operating at a loss of ₹2 lakhs.
How much funding was raised by Dorje Teas on Shark Tank India?
The founders asked for ₹30 lakhs at a stake of 5% equity.
Vineeta offered ₹30 lakhs at a stake of 10% equity which valued the company at ₹3 Crores.
However subsequently, Vineeta Singh, Peyush Bansal and Anupam Mittal jointly offered ₹ 30 lakhs at a stake of 15% equity.
This gave the company a valuation of ₹ 2 Crore. Subsequently the founder agreed to this deal and went on board.
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FAQ
Where is Dorje Teas headquartered?
Dorje Teas is headquartered at Darjeeling in West Bengal
How much did Dorje Teas raise prior coming to Shark Tank?
Dorje Teas has already raised funding from various quarters before coming on-board at Shark Tank. The company has raised a total funding of ₹8.5 crores before coming on Shark Tank. After the previous funding round the company has achieved a valuation of ₹ 32 crores.
What did we learn?
