Vahdam Teas has closed a Series A funding round worth $1.4 million to grow its business. The funding was led by new backers Fireside Venture, Mumbai Angels, Singapore Angel Network and undisclosed existing investors. The two-year-old company previously raised a $500,000 seed round from angels in January of this year.
The startup aims to speed up the time it takes tea to go from being picked to being served in a customer’s home. To do that, the company sources leaves direct from plantations after which 95 percent is vacuum packed and prepared to be shipped direct to customers.
Tea is sold from the company’s website and through a partnership with Amazon, the U.S. e-commerce giant that has vast ambitions in India. The startup took part in Amazon’s India-based Launchpad program and it has a page on Amazon’s U.S. site.
Vahdam ships to over 70 countries but, likely because of its alliance with Amazon, the U.S. represents around 70 percent of sales.
With this new funding, Vahdam is aiming to further develop its business in the U.S. and make further inroads in Europe. The company is also preparing to introduce a subscription-based service to encourage increased customer loyalty.