- Entrepreneurs: Sparsh Agrawal and Ishaan Kanoria
- Business: Tea
- Ask: ₹ 30 Lakhs for 5% Equity
- Valuation: ₹6 Crore
- Result: ₹ 30 Lakhs for 15% Equity
- Sharks: Anupam Mittal, Peyush Bansal and Vineeta Singh
Shark Tank India Pitch:
In the serene hills of Darjeeling, a tea revolution was brewing, and it was spearheaded by the dynamic duo of Sparsh Agrawal and Ishaan Kanoria. In 2020, they founded Dorje Tea, a startup on a mission to redefine the tea industry by selling organic and natural tea directly from Darjeeling’s lush tea gardens while cutting out the middlemen.
The core vision of Dorje Tea was to connect tea enthusiasts directly with the source, eliminating the unnecessary layers of brokers and traders that often inflated tea prices and compromised quality. To achieve this, Dorje Tea sourced its exquisite tea from the esteemed Selim Hill Tea Garden, which carried the coveted certifications of USDA and India Organic. Their tea offerings spanned a delightful spectrum, including black tea, green tea, white tea, oolong tea, and herbal tea. The startup adopted a multi-pronged approach, making its tea available through online channels, offline stores, and subscription models.
The founders of Dorje Tea made a compelling appearance on the inaugural episode of Shark Tank India’s second season. They sought an investment of 30 lakhs in exchange for a 5% equity stake, valuing their budding enterprise at a remarkable 6 crores. They vividly articulated the tea industry’s conundrum in India – low-quality tea at high prices, largely attributable to the intermediaries who claimed a substantial slice of the profit pie. Their solution was ingenious: to deliver fresh and authentic tea directly from the farm to the customer, bypassing the brokers entirely. The sharks were treated to samples of Dorje Tea’s offerings, savoring the exquisite taste and aromatic allure.
Shark Tank Negotiations
Dorje Tea’s pitch stirred genuine interest among the Sharks, who recognized the disruptive potential of the startup. Nevertheless, the 6 crore valuation for a 5% equity share was a contentious point of discussion. The inquisitive Sharks dove deeper, seeking insights into Dorje Tea’s financials, profit margins, growth trajectory, patent portfolio, and competitors.
Opinions within the Shark Tank varied. Ashneer Grover and Vineeta Singh bowed out early, citing reservations about the valuation and market potential. On the flip side, Anupam Mittal, Peyush Bansal, and Aman Gupta were keen to invest. They were particularly impressed by the founders’ dedication, innovation, and execution.
After rounds of negotiations, a consensus emerged. The trio of interested Sharks, comprising Anupam Mittal, Peyush Bansal, and Vineeta Singh, proposed a collective investment of 30 lakhs for a 15% equity stake. The founders accepted the offer, sealing the deal. The Sharks commended the founders for their remarkable pitch and product, extending a warm welcome to the Dorje Tea family. In response, the founders expressed their gratitude for the trust and support extended by the Sharks, eagerly anticipating the journey ahead.
What Happened to Dorje Teas After Shark Tank India?
Following their appearance on Shark Tank India, Dorje Tea embarked on a journey marked by growth, innovation, and a steadfast commitment to their vision of delivering exceptional tea directly from the gardens of Darjeeling.
The significant investment of 30 lakhs, secured from Anupam Mittal, Peyush Bansal, and Vineeta Singh, provided the financial impetus needed to elevate their enterprise.
Dorje Tea’s financial success has been nothing short of remarkable. In the last financial year, the company reported a revenue of 1.5 crores. Looking ahead, they have ambitious plans, projecting a revenue of 100 crores within five years.
To further enrich their tea offerings, Dorje Tea introduced a new product line of herbal tea. Crafted from natural ingredients such as chamomile, hibiscus, lemon, and honey, these additions expanded their portfolio and catered to a diverse range of tastes and preferences.
Strategic partnerships played a pivotal role in Dorje Tea’s growth story. Collaborations with major online platforms and retail stores, including Amazon, Flipkart, Big Basket, and Reliance Fresh, broadened their reach and accessibility to customers.
Dorje Tea’s commitment to customer satisfaction remains unwavering. Positive feedback and ratings from their ever-growing customer base attest to the quality and appeal of their offerings.
In line with their mission to preserve the freshness of their tea, Dorje Tea invested in technology and infrastructure. They adopted a unique packaging technique that guarantees the preservation of tea’s flavor and freshness for up to six months.
Image source: Dorje Teas Instagram
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