No Sugar
For Diabetic people
Season 3 Episode 23
| Brand | Artinci |
| Company Name | ARTINCI ARTISANAL FOODS PRIVATE LIMITED |
| Founders | Sumit Rastogi, Aarti Laxman |
| Original Ask | 50 lakhs for 1.75% equity at the valuation of Rs. 28.57 crores |
| Deal | 50 lakhs for 5% equity at the valuation of Rs. 10 crores and 1% royalty until 75 lakhs is recouped |
About the Product
Artinci offers a range of diabetic-friendly desserts crafted with meticulous attention to taste and health. Among their offerings are the beloved Motichoor Ladoo (200gms), made with pure desi ghee and devoid of sugar, providing a guilt-free indulgence suitable for managing diabetes. For those craving the rich flavors of traditional Indian sweets, the Kala Gulab Jamun – 4 Pcs presents a delectable option. These sugar-free treats are crafted to satisfy sweet cravings without compromising health.
For a wholesome snack, Artinci offers Oats Cookies made with a blend of oats and multigrain millets, boasting zero sugar and low carb content. Their lineup also includes cakes such as the Multigrain Millet Cake and Red Velvet Millet Cake Sugar Free, both redefining classic desserts with their sugar-free and low carb compositions. Lastly, the Superfood Cake stands as a nutritional powerhouse, packed with essential nutrients and devoid of sugar, exemplifying Artinci’s dedication to crafting desserts that nourish the body without sacrificing taste.
Founders & their story
- Sumit Rastogi
- Aarti Laxman
Categories offered by Artinci include ice creams, Indian sweets, cookies, and cakes, all of which are 100% sugar-free thanks to their proprietary stevia-based sweetener with a low glycemic index. With a customer base of over 50,000 individuals, their products are available across their own website as well as various marketplaces. Artinci has filed a patent for their proprietary sweetener after investing 8 months in research and development specifically for their ice cream sweetener. They utilize different sweeteners for different products, beginning with their ice creams. Their products are designed to prevent sugar spikes and cater to diabetics.
Operating from a centralized manufacturing facility in Bengaluru, Artinci produces approximately 8,000 liters of ice cream and 4,500 kilograms of cookies monthly. The founders initially invested 4 crores in the venture. Artinci distributes their products through various sales channels including Swiggy and Zomato via dark stores, Amazon, their own website, and B2B avenues.
The shelf life of their products varies, with Indian sweets lasting 30-60 days, cheesecakes for 30 days, ice creams for 6 months, and cookies for 8 months. They maintain a working capital of 6-7 lakhs and hold inventory for 3 weeks. With 8 lakhs in the bank, Artinci continues to expand their reach and offerings in the market.
About the company
Artinci’s desserts are renowned for their exquisite taste, backed by scientific evidence, making them a delightful indulgence that aligns perfectly with health goals. They offer a guilt-free experience, ensuring no unhealthy sugar spikes, catering even to the most sensitive individuals such as diabetics or pre-diabetics. The inception of Artinci stems from Aarti’s and Sumit’s deep-rooted passion for delectable desserts while maintaining a commitment to health. Descending from a lineage of three generations of diabetics, their own pre-diabetic diagnosis in 2012 marked the beginning of a lifelong journey toward a healthy lifestyle, complete with mindful dietary choices.
In the family, dessert holds a cherished place, often joked about as a mandatory addition to any meal. Thus, Artinci was born – a harmonious blend of health and taste. Their products are crafted using a proprietary low glycemic index sweetener, derived from a natural stevia blend, meticulously formulated to replicate the taste of sugar without any of its carbs or calories. A patent application has been initiated for this groundbreaking invention.
However, their commitment to health transcends the mere elimination of sugar. Unhealthy ingredients like maida, hydrogenated fats, and chemical additives are eschewed in favor of nutritious alternatives such as seed and nut flours, almonds, beneficial fats, protein-rich ingredients, and prebiotic fiber for optimal gut health. Each dessert undergoes rigorous testing for sugar spikes, utilizing a Continuous Glucose Monitoring System on Aarti and Sumit, ensuring that Artinci’s creations deliver on their promise of a delightful indulgence without compromising health.
Joining Artinci’s Tribe means becoming part of a community of over 50,000 satisfied customers, each pursuing their health goals while relishing in the most delicious manner possible.
Revenue
In November 2023, Artinci recorded sales of 33 lakhs, followed by 37 lakhs in October 2023. Their sales for the fiscal year 2022-2023 amounted to 4.4 crores, resulting in a loss of 5 crores. For the fiscal year 2023-2024, they project sales of 5.3 crores with an estimated loss of 1.1 crores. Their gross margin stands at 62%, with a commission of 11% for partners in FY 23-24. Artinci allocates approximately 8 lakhs monthly for corporate salaries.
Founders’ Ask
50 lakhs for 1.75% equity at the valuation of Rs. 28.57 crores.
Offers
Vineeta’s conditional offer: 50 lakhs for 10% equity at the valuation of Rs. 5 crores.
Vineeta’s revised conditional offer: 50 lakhs for 5% equity at the valuation of Rs. 10 crores and 1% royalty until 75 lakhs is recouped.
Founders’ Counteroffer
50 lakhs for 5% equity at the valuation of Rs. 10 crores and 1% royalty.
Final Deal
Vineeta: 50 lakhs for 5% equity at the valuation of Rs. 10 crores and 1% royalty until 75 lakhs is recouped.
