The grab-and-go coffee brand plans to scale beyond North India, strengthen its team, invest in marketing and product development, and enter Tier 2 cities.
Specialty coffee brand First Coffee has raised $1.3 million in a pre-Series A funding round led by Japanese venture capital firm DG Daiwa Ventures (DGDV), with participation from BEENEXT, Sanjay Kapoor, Co-Founder and MD of Genesis Luxury, Shashank Bhagat, Chairman of BI Group, and other angels.
The round takes First Coffee’s total funding raised to $2.5 million. The company will use the fresh capital to accelerate store expansion, strengthen its corporate team, undertake marketing initiatives and invest in product development.
Founded in 2024 by Sohrab Sitaram and Shiv Dhawan, First Coffee operates a grab-and-go specialty coffee format built around premium beverages and convenience. The company has expanded to 25 stores across Delhi, Punjab and Haryana and plans to expand beyond these urban markets.
The company uses data-driven sourcing and menu engineering to optimise its retail model. Its menu focuses on premium beverages, particularly cold coffee-based drinks and matcha, while the brand says it has recorded strong repeat rates among younger consumers. First Coffee also maintains a focus on sustainably sourced coffee and uses 100% Arabica beans sourced from Indian estates.
The round marks DGDV’s entry into India’s specialty coffee market.
BEENEXT Partner Anirudh Garg highlighted the brand’s momentum in North India and its appeal among younger consumers, along with the founders’ experience scaling Keventers.
First Coffee’s growth strategy is centred on a hybrid go-to-market approach, with greater emphasis on small-format stores designed to combine convenience with customer experience. The company believes India’s out-of-home coffee market has significant long-term growth potential. It aims to position itself at the centre of that expansion.
Following the fundraise, First Coffee plans to enter Tier 2 cities and build a wider national presence. The company aims to make specialty coffee more accessible while combining Indian coffee, convenience, technology and a distinctive customer experience.
The founders say the model is designed to make specialty coffee more accessible and part of everyday consumption, while delivering a distinctive experience as the brand expands into new markets.
India’s coffee market is projected to reach $1.23 billion by 2032, growing at a 9.87% CAGR between 2024 and 2033, supported by rising demand for specialty coffee and convenience.
With 25 stores established, First Coffee is now using fresh capital to move from a North India-focused brand toward a broader national specialty coffee platform.
