Harajuku Tokyo Café raises $3M to expand café and bakery footprint
What's the deal? Harajuku Tokyo CaféDealroom has a profile for this one. Try Dealroom →, which operates Japanese-themed café and bakery formats in India, has raised $3 million in a Pre-Series A round led by Zero W. Existing investors Indian Angel NetworkDealroom has a profile for this one. Try Dealroom → and Samved VCDealroom has a profile for this one. Try Dealroom → joined, alongside new backers Blume Founders FundDealroom has a profile for this one. Try Dealroom →, Brijesh Parekh Family Office, and Epigamia co-founder Rahul Jain.
What's the endgame? The company plans to open 10 outlets over the next two quarters across Delhi-NCR and Mumbai, while entering Bengaluru and Chandigarh. The funding will also strengthen its teams and operating capabilities.
The numbers: Since its August 2025 seed round, the company says it has doubled both its outlet count and revenue. Mumbai, where it launched in July 2025, now contributes 25% of revenue, and the business processes more than 1,000 orders daily across dine-in and delivery. Founder and chief executive officer Gaurav Kanwar said the company is "targeting US$13.6M in revenue in the current financial year."
Market expansion: The bakery arm, Harajuku Bakehouse, now accounts for more than 30% of total revenue and sells over 1,000 loaves of bread per week via Blinkit in Delhi-NCR. The company plans to take the bakery into additional metropolitan markets and to operationalise central kitchens in Mumbai and Bengaluru by December 2026 to supply outlets and support packaged food production for western and southern India.
Why now? The raise follows a roughly $2 million seed round in 2025 that backed a plan to grow from seven outlets toward 90 across 20 cities by 2027. Founded in 2021 and operated by Craftpac Hospitality, the business is scaling at a moment of renewed deal activity in India's quick-service restaurant sector.
The signal: At $3 million, the round sits in the 23.5th percentile by deal size — modest against larger chains chasing much bigger growth rounds. With competitors including Burger Singh and Banaraswala also raising in 2026, Harajuku is part of a genuine funding rebound; the test now is whether it can sustain unit economics as its footprint grows.
Read more: retail.economictimes.indiatimes.com
Image credit: Alan Stanton
