Sorry Sugar Raises $1M Seed Funding to Scale Zero-Added-Sugar Beverages Across India

Gurugram-based beverage brand Sorry Sugar has raised $1 million in a seed funding round led by the Dhanuka family and Amishi London, as the company looks to expand its presence across North India and accelerate new product launches.

The fresh capital will be used to strengthen the brand's online and offline presence, expand distribution and support the launch of new zero-added-sugar products.

Building a Zero-Added-Sugar Beverage Brand

Founded in 2026 by Deepak Pathak, Kunal Verma, Shashank Sherawat and Saiyam Malik, Sorry Sugar is focused on beverages designed for consumers looking to reduce their sugar intake.

The company's portfolio currently includes coffee-based flavours such as Hazel Almond Latte, Silk Chocolate Mocha, Sea Salt Caramel, French Vanilla Cloud and Butter Gooey Toffee.

Sorry Sugar says its beverages are sweetened with monk fruit and contain fibre, positioning them as alternatives to conventional sugary drinks.

The company also offers a Rs 399 trial pack featuring five flavours. The trial-pack amount is fully redeemable when customers upgrade to a larger pack.

Early Traction in D2C and Offline Retail

Despite launching only this year, Sorry Sugar claims to have generated more than Rs 1 crore in revenue during its first month.

The brand currently operates three offline stores across Gurugram and Delhi and plans to expand its footprint across North India.

Its distribution strategy combines direct-to-consumer sales with quick commerce and offline retail, allowing the company to target consumers across multiple purchasing channels.

Sorry Sugar is targeting an annualised revenue run rate of more than Rs 60 crore by the end of the current financial year.

Expanding Into New Categories

The startup is also planning to move beyond beverages with a new range of zero-added-sugar gelatos sweetened with monk fruit.

The expansion comes as India's functional and clean-label beverage market sees growing interest from both consumers and startups.

Companies are increasingly experimenting with products positioned around reduced sugar, functional ingredients, probiotics, prebiotics and cleaner labels.

Sorry Sugar's strategy combines zero-added-sugar formulations with a broad distribution approach as it attempts to build a larger consumer brand.

With $1 million in fresh seed capital, early revenue traction and plans to expand across D2C, quick commerce and offline retail, Sorry Sugar is now looking to scale its footprint and establish itself in India's evolving better-for-you beverage market.