Backed by investor Ritesh Agarwal, the brand plans to scale operations and target higher annual recurring revenue through expanded distribution.
Toffee Coffee Roasters has raised ₹5 crore in a Pre Series A funding round led by Inflection Point Ventures, marking a significant step in the premium coffee brand’s growth journey. The round also saw participation from 66 bridge partners along with Abhijit Vemuganti and Invesst, as the company prepares to scale operations and strengthen its presence across India’s fast-evolving coffee market.
The Bengaluru based startup plans to deploy close to 60 percent of the capital as working capital to support expanding operations, particularly across quick commerce platforms. Around 10 to 15 percent of the funds will be invested in enhancing and expanding backend roastery infrastructure, while another 10 percent will go toward improving packaging quality. The remaining 10 to 15 percent is earmarked for new product development as the brand broadens its portfolio.
Toffee Coffee Roasters has gained wider visibility after being featured on Shark Tank India and is backed by investor Ritesh Agarwal, Founder and Chief Executive Officer of OYO Rooms. The brand currently ranks among the top five coffee websites in India based on online traction and holds an estimated 1 to 2 percent share of the overall coffee category.
Commenting on the investment, Mitesh Shah, Co founder, Inflection Point Ventures, said that despite India being one of the world’s leading coffee producers, quality artisanal coffee remains largely limited to imported brands or café-only formats. He noted that the at-home segment is still dominated by instant coffee, leaving limited room for specialty roasts. According to him, Toffee Coffee Roasters addresses this gap by offering crafted, high-quality coffee that brings global-style coffee experiences into Indian homes.
The company focuses on sourcing, roasting, and blending coffee using a lean supply chain model that reduces intermediaries. This approach allows the brand to maintain quality while offering products at accessible price points. All blends are created in house by a team that includes experienced master blenders and certified Q Graders, with expertise across multiple coffee sub categories.
Toffee Coffee Roasters is led by co founders Rishabh Nigam and Nandini Shrivastava. Rishabh Nigam brings more than six years of experience in growth roles at consumer internet companies such as ZEE5, Pocket FM, and upGrad. He was also part of Pocket FM’s United States expansion team, where revenues scaled from zero to USD 15 million within a year. Nandini Shrivastava, who previously worked with JSW, heads product and operations at the company, overseeing alliances, process improvements, and portfolio innovation.
Under their leadership, the brand has grown to serve more than 150,000 coffee drinkers across India. The company currently produces over five tonnes of coffee every month, with more than 40,000 units consumed monthly. This translates to an estimated three to four lakh cups of coffee prepared at home across the country each month.
Looking ahead, Toffee Coffee Roasters aims to scale monthly production to 50 tonnes. This expansion is expected to support monthly revenues of ₹8 to ₹10 crore and reach eight to ten lakh customers who choose the brand as part of their daily coffee routine.
Nandini Shrivastava said that India’s coffee landscape is changing rapidly, but a wide gap remains between mass-market offerings and premium brands. She noted that as consumption grows across formats such as roasted and ground coffee, cold brews, capsules, and filter coffee, the company’s goal is to build a mass-premium brand that caters to both at-home and out-of-home consumers at accessible price points. She added that the brand is focused on reaching not only metro consumers but also India 1 and India 2 markets.
India’s coffee market is currently valued at around USD 2 billion and is growing at a compound annual growth rate of over 20 percent. The market is evenly split between at-home consumption and out-of-home channels such as cafés and restaurants. While brands like Nescafe and Bru continue to dominate at-home consumption, changing consumer preferences have driven growth in specialty categories. Premium brands such as Starbucks and Blue Tokai have contributed to this shift, though higher per-cup costs have left a large segment of consumers underserved.
Against this backdrop, Toffee Coffee Roasters positions itself as a mass-premium alternative that bridges the gap between affordability and quality. The recent funding is expected to support the brand’s ambition to capture a larger share of the coffee category and work toward a long-term annual recurring revenue target of ₹60 to ₹80 crore.
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