Yummy Bee, a café chain known for its guilt-free indulgence, raises ₹18 crore (over $2 million) in total funding, including ₹11 crore in its latest round. The round was led by Mile Deep Capital, with participation from notable investors such as Mohan Krishna, Ajitha Challa, and Praveen Jaipuriar. The fresh capital will fuel the company’s expansion into Mumbai and Bengaluru while also strengthening its Consumer Packaged Goods (CPG) line for the FMCG market. Founded in 2022 by Sandeep Jangala, Yummy Bee has rapidly grown with its sugar-free, gluten-free, and preservative-free menu. The brand aims to reach an annual recurring revenue (ARR) of ₹50 crore by March 2026 and expand to 20 outlets across India by the end of the year. The company also plans to enter quick commerce and modern trade channels to cater to a broader customer base.
1. Introduction: Yummy Bee Raises ₹18 Crore
Yummy Bee, a rapidly growing café chain specializing in health-conscious food, has successfully raised ₹18 crore in funding. This investment will help the brand expand into Mumbai and Bengaluru, further solidifying its presence in India’s food and beverage industry. The company, founded by Sandeep Jangala, operates multiple outlets in Hyderabad and plans to scale its operations significantly in the coming years. With its commitment to providing sugar-free, gluten-free, and preservative-free food options, Yummy Bee is revolutionizing the way Indians perceive guilt-free indulgence.
2. Yummy Bee’s Business and Revenue Model
2.1 Business Model
Yummy Bee operates on a dual business model:
- Café Chain: The company runs multiple outlets, offering a curated menu of health-conscious food items.
- Consumer Packaged Goods (CPG): The brand is expanding its CPG segment, introducing millet puffs, almond rocks, and other nutritious snacks for the FMCG market.
2.2 Revenue Streams
Yummy Bee generates revenue through:
- Retail Sales: Direct sales from its café outlets.
- CPG Sales: Expanding into modern trade and quick commerce channels.
- Franchise Model: Future expansion may include a franchise-driven approach.
- Online Orders: Sales through food delivery platforms and brand-owned digital channels.
3. Funding Background and Investors
Yummy Bee has successfully raises ₹18 crore in total funding, including ₹11 crore in its most recent round. The latest funding round was led by Mile Deep Capital, a Hyderabad-based venture capital firm. Other key investors include:
- Mohan Krishna: Executive Director at Continental Coffee.
- Ajitha Challa: Founder and Managing Director of Karafa Coffee.
- Praveen Jaipuriar: Group CEO of Continental Coffee and former marketing head at Dabur.
This strategic investment will support Yummy Bee’s aggressive expansion plans and product diversification.
4. Founder and Vision
4.1 About Sandeep Jangala
Yummy Bee was founded in 2022 by Sandeep Jangala, a passionate entrepreneur with a vision to redefine healthy eating in India. Under his leadership, the brand has focused on providing nutritious, guilt-free alternatives without compromising taste.
4.2 Company Vision
- Expansion: Grow to 20 outlets across India by the end of the year.
- Revenue Target: Achieve an ARR of ₹50 crore by March 2026.
- Market Penetration: Expand into Mumbai and Bengaluru.
- Product Line Growth: Strengthen the FMCG segment with innovative CPG offerings.
5. Yummy Bee’s Unique Offerings
5.1 Menu Highlights
Yummy Bee’s menu includes:
- Tacos, Millet Pizzas, and Pastas
- Double Chocolate Brownies
- Blueberry Cheesecake
- Chocolate Truffle Pastry
These items cater to health-conscious consumers who seek sugar-free, gluten-free, and preservative-free indulgence.
5.2 CPG Expansion
The brand is expanding into packaged food items such as:
- Millet Puffs
- Almond Rocks
These products align with the growing demand for healthy snacks in the FMCG sector.
6. Expansion Plans and Market Impact
6.1 Mumbai and Bengaluru Expansion
The fresh capital will be utilized for:
- Opening new café outlets in Mumbai and Bengaluru.
- Strengthening the brand’s presence in key metropolitan markets.
- Enhancing consumer accessibility through modern trade channels.
6.2 Quick Commerce and Retail Expansion
- Yummy Bee plans to collaborate with quick commerce platforms.
- The company will introduce its CPG products in leading supermarkets and online grocery platforms.
7. Industry Trends and Competitive Landscape
7.1 Growing Demand for Healthy Eating
- India’s health food industry is experiencing rapid growth.
- Increasing consumer awareness is driving demand for gluten-free and sugar-free products.
7.2 Competitors in the Space
- Brands like EatFit and The Whole Truth are also catering to the health-conscious market.
- Yummy Bee’s focus on taste without compromise sets it apart.
8. Learning for Startups and Entrepreneurs
- Niche Focus Wins: Specializing in a specific market segment helps build a strong brand identity.
- Funding is Key: Strategic investor partnerships can accelerate growth.
- Expansion Strategy: Choosing the right cities for expansion is crucial.
- Consumer Demand Matters: Understanding evolving customer preferences can shape business success.
About The Startups News
For startups navigating the competitive landscape of the food and beverage industry, staying informed is essential. The Startups News provides the latest insights into funding updates, business strategies, and emerging trends. Whether you are a founder looking for investment opportunities or an entrepreneur seeking guidance on expansion, we deliver the most relevant and actionable information. Stay updated with the latest startup ecosystem news at The Startups News.