SORRY SUGAR raises $1 million in seed funding led by Dhanuka family, Amishi London

Clean-label beverage brand SORRY SUGAR has raised $1 million in its first seed funding round, led by the Dhanuka family and Amishi London, as the startup looks to expand its presence across North India and launch new products.

Founded by Deepak Pathak, Kunal Verma, Shashank Sherawat and Saiyam Malik, SORRY SUGAR is targeting Gen Z consumers seeking healthier alternatives without giving up on taste and indulgence.

The brand uses monk fruit as a natural sweetener in its beverages and positions its products as zero-added-sugar, fibre-rich and gut-friendly. The company also says its formulations are designed with diabetics in mind.

Early traction

SORRY SUGAR said it generated more than Rs 1 crore in revenue in its first month of operations and currently has three offline stores operating across Gurgaon and Delhi.

The company is targeting an annual recurring revenue (ARR) of more than Rs 60 crore by the end of the current financial year as it expands through direct-to-consumer (D2C), quick-commerce platforms and offline retail.

The startup was incubated by Palash Arneja, founder of BlaBliBlu, alongside Wolfpack Labs, led by Aakash Anand and Prerna Gupta.

“This initial traction and investment marks a key achievement for SORRY SUGAR and is a 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, started with coffee and are now taking this philosophy across beverages and desserts,” said Deepak Pathak, Founder, SORRY SUGAR.

Expansion and new products

The company plans to use the fresh capital to expand its online and offline presence across North India and accelerate new product launches.

Among its upcoming products is a range of zero-added-sugar gelatos sweetened with monk fruit, marking the brand’s expansion beyond beverages into desserts.

Amishi Dhanuka said the brand is addressing growing consumer demand for products that combine health and taste.

“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,” she said.

SORRY SUGAR currently offers coffee variants including Hazel Almond Latte, Silk Chocolate Mocha, Sea Salt Caramel, French Vanilla Cloud and Butter Gooey Toffee. It also offers a Rs 399 trial pack featuring five flavours, with the amount fully redeemable against an upgrade to a larger pack.