A business problem during the Covid-19 pandemic eventually turned into a new opportunity for Bengaluru-based couple Shwetha Rajashekar and Vishwanath Murthy. They started as a dairy and organic farming venture, but later evolved into a sweets and snacks brand with more than 50 outlets and reported revenue of Rs 83.10 crore in FY25.
The couple began their entrepreneurial journey around 2015-16 with a 20-acre organic farm and around 100 cows. They initially built their business around milk, paneer and ghee under the Karma Farms label.
The model, however, became difficult to sustain during the Covid-19 pandemic. Demand for fresh milk was harder to manage, while collecting and returning glass bottles added to the logistical challenges of their direct-to-consumer model.
The business was also left with a major surplus of milk and limited demand. Instead of allowing the excess milk to go to waste, the couple began experimenting with traditional Indian sweets.
That decision changed the direction of the business.
What began as a way to deal with surplus milk gradually became the foundation for India Sweet House (ISH), which was established in 2020.
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From Surplus Milk To Sweets Business
Rather than continuing to sell milk as a standalone product, the founders began converting it into traditional Indian sweets. The idea eventually evolved into a larger business model focused on sweets, savouries, snacks and chaats.
The company initially followed an online-first approach and sold its products through platforms including BigBasket, Metro Cash and Carry and SPAR India. In 2021, the company opened its first physical store in Bengaluru’s Malleswaram.
Entering the organised sweets market meant competing with established brands that had decades of consumer familiarity and, in many cases, generations of experience in the mithai business.
The founders identified a gap in Bengaluru’s market between relatively inexpensive bakery-style sweet shops and premium mithai brands.
India Sweet House built its stores around this positioning. Besides traditional Indian sweets, its outlets offer chaats, savouries and snacks, along with seating areas where customers can eat at the store.
Sweets continue to remain the core category, while the wider product range includes murukku, chips, cookies and other savouries. The company has also expanded its offerings through its Chaatimes business.
From Dairy Venture To 50+ Outlets
The business has since expanded its retail footprint to more than 50 reported outlets. Its presence remains largely concentrated in Karnataka, although the company has indicated plans to enter other markets.
The expansion marks a significant shift from the founders’ original dairy business. The couple is now attempting to take a regional sweets format and build it into a larger organised retail chain.
The founding team also brings different types of experience to the business. Vishwanath Murthy is the co-founder and CEO, while Rajashekar is a co-founder. Rajesh Mehta, another co-founder, brings several decades of experience in the food-service industry.
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India Sweet House Revenue
According to financial data from Tracxn, India Sweet House recorded revenue of Rs 83.10 crore in FY25. The company reported EBITDA of Rs 6.15 crore and net profit of Rs 1.83 crore during the year.
The company has also attracted institutional investment. In October 2024, India Sweet House secured $1 million from Viney Equity Market in a funding round that the company described as a pre-IPO raise.
