[Bollywood song playing]
[song continues]
- It's my favourite movie. - I love it too.
Meher,
do you know where you get the most expensive item in the world?
No, do tell. Is it in London or America?
No, buddy.
Have you purchased petrol recently?
The price of petrol is sure to blow your mind!
[laughter]
They say, "He who wins is the conqueror."
But all of us are at the losing end in the current times,
because along with the price of petrol,
- pollution, too, is increasing. - That's right.
And so we present to you Gear Head Motors.
[rock music playing]
Gear Head Motors is a brand
that manufactures electric bicycles and tricycles
at just Rs. 24,000!
[rock music playing]
It can cover a distance of 60 km in a single charge.
This is the best when it comes to travelling short distances.
Sharks, our vision is this.
Just as you'll find
smartphones and boAt earphones in every household...
[pleasant music playing]
To make our e-bike a household name,
our ask is Rs. 75 lakhs for 2% equity.
Wow!
"Because this product is just mind-blowing..." [in unison]
"This product is mind-blowing." [in unison]
Are you the founders?
- Yes. - Yes.
Are you from Hyderabad?
- Yes. - We're from Hyderabad.
- Thank you. - Thank you...
- How old are you? - I'm 24.
I'm 26.
How did you get into the cycle business?
When I was studying Engineering,
I lacked motivation because there were no girls.
[chuckling]
So, I used to sit in the canteen.
[laughter]
The food over there was terrible.
So, I set up a coffee shop.
- Whoa! - Wow!
My classmates told me,
"You come here to study, not to do business."
"Shut the coffee shop down."
So, I sold the coffee shop to this guy from college.
- At what price? - Rs. 75,000.
- Wow! Not bad. - Very good!
The coffee shop was swarmed with Engineering students.
It attracted a huge crowd.
So, here's what we did.
We asked a CSE student if he had a solution.
He told me I could have a QR code in place
to take pre-orders.
I came up with an app called Amigo.
When the coffee shop shut,
I used the same QR code for the restaurant.
I became the founder of a new company.
[laughter]
I had my own start-up.
I was the Director there
and had it registered as a private limited company.
- Wow! - [laughter]
Within 6 months, we had presence in over 300 restaurants.
During this time, we were approached by a local POS company.
- Whoa! - Wow!
- Nice! - Whoa!
I made Rs. 2 crore at the age of 19.
So, we bought a piece or two of land.
I stumbled upon a founder
for a mechanical engineering start-up.
What a story!
Where did you meet him?
- He was my senior. - Yes.
You own a tricycle business.
- Yes. Tricycles... - What got you into this?
Actually, we started out with bicycles.
A specially-abled man had come to us.
He asked me if I could make him a tricycle.
I took up the challenge.
Do you see the red tricycle?
[sentimental music playing]
I had that sent to him.
He calls me after a month and says, "Listen."
"I had not seen the sunrise in 36 years."
"Thanks to your cycle,"
"I am delivering milk packets and newspapers every morning"
"and making Rs. 300 a day."
[sentimental music playing]
- Wow! - Fantastic!
Lovely.
We were so moved by this story
that we continued with this vision.
We sold 1500 tricycles to the government
Very nice.
Thank you, okay.
My offer is confirmed unless and until there's a red flag.
- No. - Otherwise, it's confirmed.
There's this other thing.
Just as Peyush mentioned too good,
sometimes things are too good to be true.
- Yes... - Yes.
I will start looking for defects now.
Do you two have an equal share holding?
No. It's 60-40.
- Okay. - I was bringing in business experience.
So, we decided on 60-40.
What's your current revenue?
Our revenue for the last financial year was Rs. 4 crores.
What was the figure for 21-22?
Rs. 3 crores, and Rs. 1.5 crores in the last 4 months.
Then where did Rs. 4 crores come from?
[intense music playing]
I meant to say it is our total revenue to date.
- Okay, not last financial year. - Life to date.
- Ah, yes. - Okay.
- Is this a sample or does it work? - It works.
- May we ride them? - Yes, please.
So, you made Rs. 3 crores in the last financial year.
What is your projection for this financial year?
Including both bicycles and tricycles,
our projection for the current year is Rs. 20 crores.
What was last month's figure?
Last month, Rs. 50 lakhs.
How did you arrive at a run rate of Rs. 2 crores?
We already have a signed order from a government entity
to give those tricycles
for the specially-abled people for Rs. 20 crores.
- In this year? - In this year!
How Rs. 20 crores? Your revenue will be Rs. 26 crores.
How will it be Rs. 26 crores?
Your current run rate is Rs. 50 lakhs.
Yes, as of today.
You have a Rs. 20 crore order
- which you'll fulfil this year. - Yes.
- We cannot fulfil it this year. - You can't! Oh!
- Okay, I got it. - That's why.
Are you making a profit currently?
Last month, we made a profit of about Rs. 8 lakhs.
This month too, we're aiming at about Rs. 9 to 10 lakhs.
May we test your sample now?
- Definitely, please. - Yes, please.
[music playing]
I will ride the tricycle.
[whistling]
This is amazing!
Whoa! So much fun, bro!
[ecstatic cry]
This is too good. This is outstanding.
Alright, then. I'm done here. Goodbye, everyone!
- Bye, guys! - Goodbye!
See you in the next season.
[laughter]
What do you say...
[Bollywood song playing]
I like this 10x idea. It seems like a 10x.
[euphoric music playing]
They're 10x entrepreneurs.
- Yes. - Yes.
How did the idea of making electric bikes occur to you
and what triggered it?
When electric scooties entered the market,
branded companies were selling them at Rs. 1 to 1.5 lakhs.
So, the bikes that sold for Rs. 50,000 and Rs. 40,000,
like Passion Pro and Scooty Pep,
their market declined.
So, we were targeting that specific market.
We did make the Omni Nano but the investment was too high.
We converted the Omni into an electric car.
We replaced the engine with an electric engine
and put the battery in place.
- We converted an Omni in Rs. 1.50 lakhs. - Okay.
We didn't have so much money then.
So, I said let's make cycles,
because the electric Omni isn't happening.
It needs high investment.
That's how we started making cycles.
Okay, you moved from cars to cycles.
Now, tell me.
I see three to four models of cycles.
I rode the orange one which is a bit heavy.
The others are similar.
Are there any differences? Could you point them out?
This is the basic model which is called L.
- L. - This is I. This is F, and that is E.
- Together, it's Life. - They make "Life".
L-I-F-E. Very good.
Which one costs Rs. 24,000?
The specs vary but the performance is the same.
The most important thing.
- Getting to the battery pack. - Yes.
Do you disconnect the battery to charge it or substitute it?
It is a detachable battery.
It comes in an aluminium casing
which constantly cools down the battery.
So, it won't explode.
- No. - We see scooters catching fire these days!
No.
- Could you detach the battery? - Yes, sure.
How many hours does it take to charge?
This charges in two hours, and the bigger battery takes three.
[intense music playing]
Is this the lead-acid battery?
- Which one is it? - No, it's lithium-ion.
- It's a lithium-ion battery. - Yes.
Since we manufacture the battery boxes ourselves,
we can also customise them.
I love it.
[intense music playing]
You see this hub, it contains a motor that turns the wheel.
The battery is connected to it.
The other operators in the market
keep the battery and controller separate
because they import them from China.
They have no control over the product.
We kept it together.
Are you making this in India?
- Yes. - We're making it in India. Hyderabad to be specific.
- Hmm. - Okay. Very good.
When we were in the Research and Development phase,
we approached many investors.
Listing it as "Make in India" involves a high cost.
Everybody looked at it as a manufacturing and assembly unit
rather than a technology company.
So, this is what we did.
We registered this as a separate entity
and branched out into two different entities.
We raised a round for it.
At a valuation of 2 million dollars, we raised Rs. 3 crores.
- Are you a partner in that as well? - Yes, I'm a partner.
What's the name of this entity so as to avoid confusion?
Gear Head Motors. [in unison]
But why aren't the investors in Labs investing in this company?
They're willing to invest but we're not accepting.
- Why? - We want an investor with the product, not money.
- This is highly confusing. - Correct.
Both entities will have a separate set of investors.
There are no investors in this.
If I were an investor with the Labs,
- which is a separate company... - Yes.
If you as a founder
do not permit me to invest in this company,
do you know why I'd feel bad?
It's because the upside, like Peyush said 10x, 100x...
- The upside is with this company. - Yes.
- So, I supported you in that company... - Yes.
When you were still growing.
Now, you are bringing new investors in a company with the upside.
You're not giving me an opportunity, then that's not right.
You did it to them. What if you do it to us also?
I'm sure that if you get a deal today,
it'll be only on the condition that both the companies are same.
They'll merge. Correct?
Correct.
We can merge them. We did talk to them last night.
[laughter]
We were sure this question would arise.
Do you have a combined offer?
- Yes. - Then we'll take this further.
Otherwise, I'm out. I don't know about the others.
I'm also out unless it's combined.
Of course.
[tense music playing]
We do have a combined offer.
Our ask is Rs. 1 crore for 3% equity
- Now your valuation is Rs. 33.3 crores. - Yes.
It dropped by about Rs. 4.5 crore.
Rs. 15 crore is the valuation of the other company.
So, I took the average.
[chuckling]
Okay...
This involves sum, not average. But good.
What is the market size for e-bicycles in India?
Globally it's 60 billion dollars.
30 billion dollars in India.
- 30 billion? - 30 billion dollars. Yes.
2,10,000 crores! Your numbers are just wrong!
[intense music playing]
I'm sorry, but your numbers are not correct.
[intense music playing]
Nikhil and Meher, you both are explosive entrepreneurs.
I think it's the first time such amazing entrepreneurs...
The outcome could be anything.
Either you'll make a unicorn or you could go to jail.
This is quite a confusing and risky proposition for me.
So, I am out.
Thank you. [in unison]
Nikhil, can I tell you something amazing?
- Yes. - [Peyush laughs]
- You're fantastic! - Thank you.
But I have two problems.
First, you haven't been able
Your numbers are incorrect.
[tense music playing]
Second, you're slippery like the peel of a banana.
You say one thing and change it the next moment.
Then you say something else and go back on that too.
So for these reasons, I'm out.
[intense music playing]
First you said
you're not giving an opportunity to the old investors in this
because you need an investor who can provide the product.
Immediately within five minutes of me saying they'd feel cheated,
you said, "I've spoken to them. They're okay with the merger."
That led to a trust deficit.
I lost faith in you.
So, I'm out.
Yes.
Let me tell you one thing. There's a movie called 'Golmaal'.
[laughter]
Have you watched it?
"Everything's a sham!" Heard it?
[song playing]
It seems ambiguous.
If you can't convince me, then I'm out because I'm confused.
It's simple.
- We'll sell electric bicycles. - Okay.
- We manufacture the IOD device ourselves. - Okay.
- By GHM Labs which is a separate identity. - Okay.
We made sister companies and I think it was a mistake.
- It was a mistake. - We will merge into one company
whose valuation I just told you.
Also, our vision is to extend this technology
to the other companies also.
As this is made in India, it helps reduce dependency on China
and we'll sell our products
- to all the OEM's through our technology company. - Okay.
- Meher? - Yes.
How do you handle him?
How do you handle all that energy, power and madness?
The same way Sameer handles you.
[laughter]
I agree a bit.
I don't find it difficult.
It's a very normal thing for me right now.
- You're habituated. - I'm used to it, yes.
No, but that is good.
I'll tell you. When co-founders run a business,
if one has a different disposition,
then the other person balances it out.
- Yes. - Hmm.
It makes perfect sense.
This happened in my company too.
Had it not been for my co-founder,
the company would have shut down. I'd have gone insane.
[chuckling]
Yes.
I am missing him.
I see my co-founder in him and I see myself in you.
Aw!
- A co-founder is important! - Yes.
- As long as he is with you, I am too. - Yes.
[laughter]
- Okay? - Definitely.
Okay. Let's make you an offer.
- Look... - Hang on, Peyush.
- Together, please. - Yes, together.
It goes without saying, boss.
- Thanks. I love you. - You're good hustlers.
The best thing is you're good salesmen.
- Yes. - Lovely salesmen.
I know you came up with that offer right now, but at least you did.
It means you're here for a deal, right?
- Yes. - By any means.
The other investor's and the investment that I make
- should be at the same valuation. - Okay.
- The company should also be the same. - Okay.
Because we're merging,
we wish to keep our post-money valuation at minimum Rs. 15 crore.
- Okay, you want 15. - Yes.
We'll make an investment of Rs. 1 crore, 50 lakhs each.
- Yes. - You want to give us 6.67% divided between both of us.
- Correct? - Yes.
- Done! - Done.
- Be wary of him. - He's my Sameer.
- I am you. I need Sameer. - We're from the same planet.
- I'll give him the money. - Me too.
Okay, done.
- I'll bring money into the company. - Amazing!
Good luck. All the best.
Alright.
[theme music playing]
[theme music fades]
Hi, Sharks. My name is Vinit.
Hello, Sharks. My name is Darshil.
Hi, Sharks. My name is Geeta Patil.
I am glad to be on such a big platform today.
I...
- Easy. - Go on.
- Should I? - Yes.
I understand everything you say. Please go on.
- I will translate it for them. - Alright.
Hi, Sharks. I've always had the habit of cooking food
and spoiling people rotten with my cooking.
Fantastic.
- So, everyone calls me Kaki lovingly. - Okay.
My interest pushed me
to start a small business of snacks from home
with an investment of Rs. 5000.
Oh!
Then in the year 2020,
I felt I should expand my business further.
I told my son,
"Get up and make a website for me."
- Wow! - [laughter]
- He agreed and designed a website overnight. - Wow!
That's how PatilKaki came into existence.
Wow!
and different types of 'laddoos' that remind you of home food.
Great.
So, Sharks, currently there are
two types of snacks available in the market.
Local and branded.
Local sellers use low quality raw materials
to make their products.
They don't pay much attention to hygiene.
On the other hand,
branded products use many kinds of preservatives and additives
that people do not prefer.
So, to offer people the solutions to these two problems,
PatilKaki presents home style hygienic snacks.
We sell these products on our website.
Lovely.
Sharks, we have reached out to 18,000 customers till date.
Wow!
Our vision is to supply these home style snacks
all over India.
We've come here to fulfil this dream.
Our ask is Rs. 40 lakhs for 2.5% equity.
Please tell me your names once again.
- Vinit. I'm Kaki's son. - Vinit. Kaki's son!
My name is Darshil.
- Okay. - I'm Vinit's friend.
- Oh! - I thought you were her younger son.
- No? Okay. - No.
He was an orphan, so we took him in.
[hysterical laughter]
Vinit, what were you doing when your mom told you
- to get up and make a website? - "Design a website."
- Let me give you an overview of our actual story. - Okay.
- The story started in 2016. - Okay.
Two things happened.
Firstly, at the time my mom started making snacks,
I dropped out of school.
- What! - Oh!
Which grade were you in when you dropped out?
I completed SSC
and I think I went to college for two months at the most.
Why did you drop out?
I got into coding when I was in the eighth grade.
I began freelancing in the ninth grade.
I had lots of clients by the time I got to college.
I had enough to survive the month from that income.
Wow!
After that, Darshil and I...
- We thought of starting a tech company at first. - Okay.
But unfortunately we weren't mature at the time.
We had recorded videos but they weren't worth editing!
Darshil and I set up an IT company after that.
- Wow! - We grew to a good enough scale
and we made money from it.
But after a point, we realised we'd need
to work on the product base if we wished to make it scaleable.
So I joined a mattress company after that
which was a D2C mattress brand.
I learned performance marketing and logistics there.
I learnt how to actually earn money in this business...
- Good. - And how to scale up.
After spending two years over there, we resumed our search for a product.
We finally found a product at home.
You scoured the world
while the product was in your home! Wow!
[pleasant music playing]
[train chuggs]
Kaki, what have you made for breakfast?
The aroma is delicious.
I am making 'kanda poha'.
What will you cook for dinner?
Can you give me 'puran polis' and 'modaks'?
I'll make 'modaks' after I'm done with 'poha'.
[inspirational song playing]
My husband lost his job in the year 2016.
We had problems paying for the household expenses.
We knew that I made good food and everyone praised it.
So, we started by selling breakfast at the municipal office.
[inspirational song playing]
At first, they didn't let us inside.
But it wasn't too long before everyone liked the food.
So, the members in the department wrote a letter to the ward officer,
and we received permission to go inside.
[pleasant music playing]
When the lockdown was enforced, we were left wondering what to do.
I started making snacks like 'chakli' and 'chivda'.
And orders started pouring in slowly.
We learned that people grew fond of the food.
Then we set up PatilKaki during the lockdown.
[joyous song playing]
'I've been working with Kaki since 2019.'
I've learnt how to make 'puran poli' and 'modak' from her.
Manasvi, is the 'puran poli' ready?
Hurry up. Customers are waiting for their orders.
The shape should be perfect and the design ought to be right.
[pleasant music playing]
[sentimental music playing]
My question to you is this.
Is your current business limited to Maharashtra
or do you dream of taking it pan-India?
No. I want my presence in every city.
Wow!
We also have other products that are great as far as taste goes
and the manner in which they are prepared.
We wish to take the concept of PatilKaki to a national level.
But I don't agree with you.
[tense music playing]
I don't agree with them.
- Them? - Yes.
[tense music playing]
He wants to eat!
- It's because he wants to eat! - [laughter]
You keep saying the snacks are tasty.
How can we tell you unless we taste the snacks?
Yes. Let's get to tasting them.
[pleasant music playing]
Don't they look like momos?
No, it's a 'modak'.
- Maharashtrian... delicacy. - 'Chivda'.
Oh! 'Modak'! I love it!
[pleasant music playing]
What's this? Is this a momo?
- It's 'modak'! - No, it's steamed 'modak'.
It's rice flour with a filling of coconut and jaggery.
It's yummy.
- It's a dessert. - What's the calorie count?
It's very low. Eat it.
- It's homemade and almost steamed. - [laughter]
[laughter]
Wow.
This steamed 'modak' is scrumptious!
I tell you... [chuckles]
Have mine as well. Here.
Here.
- Give her one more. - Give it to me.
- Give it to me. You too. - Be happy.
This is good.
Is the 'chakli' made at home too?
It's 'bhajni chakli'.
It's a multigrain flour mix.
What's the best selling product?
The 'modak'.
- 'Modaks' have a very low shelf life. - Yes.
- Like you said you make it in the morning. - Yes.
It tastes good when it is freshly prepared.
What have you thought about that?
Both the 'modaks' and 'puran polis' are cloud kitchen products.
And the other products in our portfolio are scaleable.
The big players who are into the snacks business
like Lays, Haldiram's or Bikaner,
are not home style snacks whereas yours are.
So, how do you define home style?
'Modaks' are available everywhere in the market.
But maintaining the taste or its layers is a task. Okay?
The problem is if you make 'modaks' using a mould,
it gets cooked in no time.
But if you wish to keep the layers thin, you have to make it with hand.
So, this is the issue.
Same goes for other products as well.
So, when it comes to our recipes,
we must not change our recipes according to the machinery.
Rather, bring in machines according to the recipe.
Do you make everything with hand or using machines?
No, we use our hands.
For now the process is semi-automated.
Can we take a look at your packaging?
- May we? - Sure. Darshil.
Darshil, did you drop out of school too?
We compelled him to drop out in fourteenth grade.
- What! - [laughter]
- What's fourteenth? - A year before graduation.
Fantastic!
[pleasant music playing]
- May I take one home? - Sure.
It's for you.
- Just one product is remaining. - No problem. Thank you.
Your packaging is great...
And brand name!
The name PatilKaki gives you the feeling
that the food has been made with lots of love.
[pleasant music playing]
Have you done the marketing and branding yourself?
- Yes. - Yes.
I'm amazed that you did the packaging yourself.
No, we didn't do it ourselves.
We got it made from a friend who freelances.
This is simply fantastic.
Big agencies charge Rs. 50 lakh
and still don't do such amazing packaging.
[pleasant music playing]
What do you think you need to do with the business now?
What's your motivation?
We feel that products these days are quite commercialised.
[music playing]
So, we wish to take this homely feeling to a bigger scale.
The trust factor is really high.
But the trust factor will decline when you mechanise production.
No, but the taste will remain the same...
- The other... - You two haven't studied.
How do you speak so well?
[chuckles] I don't know.
There is a third factor in FMCG which you're not considering.
Distribution.
[intense music playing]
Are you making all your sales
- through the website currently? - Yes.
- Are you going to take it to offline stores too? - Yes.
Has work on that begun?
The packaging is simple.
When we introduce MAP or nitrogen flushing,
this shelf life of 25 to 30 days will increase to 2 to 2.5 months.
[intense music playing]
Wow! You aim big.
Just as you mentioned, 'modaks' have a shelf life of a day.
'Modaks' and momos are quite similar in structure.
We could deep freeze them.
If we wish to create a supply chain for that, it is possible.
[intense music playing]
- You must have raised funds too. - Yes.
- Oh! - [intense music playing]
We did do a small round
with our mentors and close associates.
Rs. 7.5 lakhs at a 10 crore valuation.
We did a round two months back
where we raised Rs. 29 lakhs.
- Who was it? Angels? - Private angels. Yes.
- At how much? - 10 crore valuation again.
Wow!
What is your cost of making?
Approximately 25% is spent on raw materials.
- Okay. - 5% on packaging.
15% towards additional delivery.
- Yes. 55%... - 55% is our gross margin.
Oh!
And marketing is additional 30%.
- 30%! - But that varies.
So, basically you're left with 25% per product.
- Correct. - What is your total sale?
Tell me last year's sales figures.
- Last year, we made a revenue of Rs. 1.4 crores. - Wow!
- Very good. This year? - Okay.
This year, we've already crossed 1 crore. We did 1.02 crores.
Projected sales for this year?
Erm, about Rs. 3 crore.
Wow!
21 years.
- What? - 21.
- They're the same age and studied together. - Yes.
Good Lord!
They really are the emerging faces of a new India.
- Unbelievable! - It didn't even occur to us at your age.
You haven't completed two years,
and two 21-year-old boys, who were 19 back then,
helped you set up a business worth Rs. 3 crore.
[euphoric music playing]
Our nation is filled with such opportunities.
You need someone who will work.
- Definitely. - Correct...
- And a mother like you. - Yes.
[laughter]
- Is the entire 3 crore local? - Yes.
What's your monthly burn?
Let me give you the figures for the last three months.
In the month of June 2022, we had a net loss of Rs. 1.08 lakhs.
In the month of July 2022, we had a net loss of Rs. 2 lakhs.
Very good.
[euphoric music playing]
Vinit, I've heard enough. Let me give you an offer.
[euphoric music playing]
What do you want from the Sharks?
Doing things and doing them on a scale are two different things.
We have an advisor called Abhijit.
He gives us an idea about the problems
we might face in the future.
"You need to be prepared for this."
And second is that we do need some money!
[laughter]
Let me turn your luck around. Rs. 40 lakhs for 4% equity.
[gasps]
You did get a high valuation but you raised a very small amount.
So, I am making you this offer.
I want Aman to speak. No one's giving him a chance.
[laughter]
I invested in two companies in the last season.
Kerala Chips was at Rs. 20 lakhs when we invested in it.
Guess what they're at currently.
- Probably around Rs. 1.5 or 2 crores a month. - 2 crores.
- Okay. - In one year.
[intense music playing]
Let's try which was at Rs. 10 lakhs is now making 1 crore.
You only need contacts. You'll make the sales yourself.
You know D2C, let's venture into the market and seize it.
My offer to you is Rs. 40 lakhs for 5% equity
which is Rs. 8 crore valuation.
My decision is final.
Firstly, I love your energy.
And the balance between experience and youthful energy
- is fantastic. - Thank you!
But your biggest challenge here is scale.
And I think Aman has made some famous brands.
It's the same with the others.
So they will be able to help you a lot more.
- And because of that I'm out. - Okay.
Thank you! Thank you for the feedback.
Peyush, what do you think?
I'd like to join
his offer.
According to me, four percent is a fair valuation.
[suspenseful music]
I'm happy to
- join... - So, Rs. 40 lakhs for 4% equity.
[suspenseful music]
Patil Kaki will announce her decision now.
I want all four of you.
Then the deal must change.
[chuckling]
I'm not interested in the 4% to 5% range.
- No... - She wants 10%, right?
You three are in.
- Because... - In that case, the deal will change.
I don't want to enter the deal along with them. I want to invest alone.
[dramatic music]
I'll give you the last offer.
- '- Alright. A new offer.' - It's a counter-offer.
Rs. 40 lakhs for 4% equity.
[epic music]
But as a single Shark.
[suspenseful music]
So you have two offers of the same valuation.
The first offer is by Peyush and Anupam.
They offer Rs. 40 lakhs for 4% equity. Rs. 10 crore valuation.
And the second offer is given exclusively by Aman.
It is, Rs. 40 lakhs for 4% equity.
I think your branding is good.
Right? Storytelling is nice too.
I'm interested in improving manufacturing
so that it stays
ahead of the competition.
- Suppose we start the manufacturing. '- Okay.'
Manufacturing is not a big deal. I agree it's challenging though.
But it isn't something that can't be done.
And I already told something to the chips manufacturers.
You know how to run your business and I know how to run mine.
I can only guide you.
You must have observed that I guided them correctly. They succeeded.
My friend, they are your competition.
- I... - They aren't a competition. They don't manufacture banana chips.
[thrilling music]
They were the topmost in their respective industries.
They created a value of thousands of crores and not one or two crores.
[thrilling music]
You must decide what you want for now.
- You may discuss and then come back. Hurry up! - 'Quickly!'
[suspenseful music]
It's a tough decision.
It's tough.
- If Aman invests... - Correct!
He will increase the scalability.
Yes. That's for sure.
They'll choose these two as two Sharks are better than one Shark.
It's fine. They will ask you, my friend.
They could choose you as you have established your brand as marketing.
[suspenseful music]
- Congratulations! Let me hand it to her. - Thank you!
- She's the aunt. - Thank you!
[joyful music]
It's a great deal!
[joyful music]
Hello!
Uh-oh!
[suspenseful music]
Hey!
- What is he up to? - Hello!
What are you doing?
This explosion is to alert
the people in the vicinity about an untoward incident.
It's like conveying a message about that incident.
It helps in alerting us.
Sharks, I'm Roshaan Mishra, OG Daddy, Brandsdaddy.
OG Daddy!
And I'm his wife, Annkita Mishra.
OG Mummy!
Ninety percent of people don't know how to use
And they wait for the fire brigade to arrive.
Meanwhile, a small fire
And there's a 78% shortage of fire equipment.
And there's a 90% shortage
- of firefighters. - That's right.
To solve this problem,
today we'll present to you Brandsdaddy AFE.
[joyful music]
Auto Fire Extinguisher ball.
It's easy to use.
Children and people across different age groups
can easily use it without training.
[ethereal music]
Its shelf life is five years with zero maintenance cost.
And it's a portable device.
Additionally, it's a 100% Made In India product.
It's manufactured in our Brandsdaddy factory.
The biggest quality it possesses
is the fact that our product is being used by our government,
schools, hospitals, top corporates,
fire brigade, BSF, IOCL,
and insurance companies too.
[inspirational music]
Our mission is to extinguish the fire
before the first responder. And we intend to prevent
a small fire from turning into a big accident.
Sharks, today we have come to you
and we ask for Rs. 70 lakhs for 5% equity
of our company.
Why fear when AFE is here?
Awesome!
- You are doing great work. - Thank you!
Roshaan and Annkita, it was a mind-blowing presentation.
I think it's for a great cause. In my society,
more than ten people died during the last three years.
[gloomy music]
- It's quite common in Mumbai. - Yes!
So it's an amazing initiative.
What made you two start this business?
And how did you figure out the solution
to this problem? It's a global problem.
And what is your background?
My career began with the world's hardest job.
I was a sales manager of insurance policies.
- Alright. - Wow!
I started my career with Bharti AXA.
After that, I worked for Tata AIG. And later on, I was recruited
as a strategy head in Vietnam.
Alright.
I handled AIA and Manulife insurance company
as a project head.
After returning to India,
we planned to start a business.
It was around October-November
when the Kamla Mills incident happened.
'Yes!'
It triggered me
and I recalled a 30-year-old incident.
We moved to Kandivali, Mumbai from Darbhanga.
My dad was a mill worker.
An area called Ganesh Nagar caught fire 30 years ago.
Our house was the first one that caught fire. As it was a slum,
the house burnt down. We didn't have mobile phones back then.
We spent our night at Kandivali station.
I was around five to six years old.
[melancholic music]
That day my dad cried.
[gloomy music]
Being the first child, I was quite close to my dad and mom.
I recalled that incident.
[tense music]
I began researching.
I wanted to make a product that doesn't require
the victim to go inside the fire.
So I developed this product.
After developing this product, how far have you reached now?
We toiled for four years and pitched our product in the market.
Sir, the fire brigade purchases products from us.
Wow!
And we have a three-year contract
with India's number one insurance company.
If somebody gets fire insurance from them in India,
they get my AFE ball.
Wow!
Tell us something. You supply to the insurance company
and the government.
What is your monthly sale?
My monthly sales
are Rs. 12 lakhs to Rs. 12.50 lakhs approximately.
- Alright. - Why are you asking for Rs. 14 crore valuation?
Last year, I progressed
from Rs. 51 lakhs to Rs. 1.45 crore.
So the growth is three times.
We will launch our product in the Maldives in the next month.
Our samples are already approved.
And we have started reaching the market there.
So as of now, your majority of revenue
is earned from the fire brigade and other such organisations
in this business or is it earned from the consumers?
- As of now, we are operating as a B2B company. - Okay.
[suspenseful music]
If the fire was ten times fiercer,
would it be doused after you throw a ball?
Tsk!
It gets controlled for eight to ten seconds
and the temperature goes down.
And people can be rescued.
I want to know something. Your sale is for Rs 1.4 crore.
So what are the gross margin and the net profit? Are you making a profit?
Of course! We have been earning profit from day one.
The gross margin is 60%
and our current net profit is 10%.
What's the average selling price?
The B2B selling price is around Rs. 1,000-1,500.
- It's a slab rate. - You mean one ball?
That's the rate in B2B.
The MRP is Rs. 5,000.
Gosh!
That's the problem I have with your product.
It's difficult to sell it as a B2C product.
I agree. The capital used is intense.
We will have to do mass production.
We have a plan.
We have some distributors in the city
who supply the product after we give them a lead.
Trying to earn a profit in B2C is an uphill task.
The best model for your product is B2B
with co-branding. That is my opinion.
The problem in India is that people assume
that they won't face a tragedy.
And they take these things lightly.
So I think
I won't be able to help you much in your business.
Because I'm more comfortable with businesses dealing with consumers.
So I'm out for now.
I feel that it's too early to invest.
I want to be out of it
because I don't think that I can add value to it personally.
But your work is important.
I think it will make an impact in B2G
which is business to the government instead of B2C.
- It will help in making a mass impact. - Yes!
I would disagree with that.
Because it has
a lot of potential in B2B
including B2G.
Insurance companies, pharma companies...
There are so many areas and the market is huge.
You demonstrated a sale
of Rs. 1.4 crore.
And it's profitable too.
You need help with B2B connections.
I have always believed
that our wealth isn't revenue but connections.
If I get the right contacts, I can complete
an impossible task easily.
I'd like to give you an offer.
Wow!
According to your revenue of Rs. 1.4 crore,
I think five times multiple is fair.
So I'd like to offer you a valuation of seven crore rupees.
I'll give you Rs. 35 lakhs
as equity for a 5% stake.
- Are you so decent? - Of course! I'm a decent Shark.
I'd like
to put this product in the insurance category.
And insurance is a business that needs to be pushed in India.
- Right! - People don't buy insurance readily.
- Right! - So it would require immense sales efforts and time
to succeed in B2C.
As you already have a good offer, I'm out.
[epic music]
She's giving you a fabulous offer.
I think you should grab the offer.
I have a counteroffer.
I'm sorry! Please!
[sweeping music]
Namita, I request you to hear me out.
- Please go on. - Right?
for 5% equity, it would be ten crore rupees.
And let me tell you that Rs. 1.4 crore
is as good as no revenue. Because your business
is non-recurring.
If the contract is over, it ends.
It's not a lifetime sale.
So please make your decision.
[suspenseful music]
Let me state in Gujarati, hail Lord Krishna!
- Let's begin! - Wow!
That's amazing!
- Please give it to Annkita. - Namita, even if one life is saved,
- your investment will be worth it. - One hundred percent!
One hundred percent! I'm very happy to partner with you.
- Same here! - Same here!
Earlier,
we had a daddy. Today we have a mom too.
- Oh! - Pharma!
- Not just any 'ma'. - I like that! Thank you!
Alright. Thank you, sir!
Very nice. Superb.
Let's watch the Shark Xperience.
'We will get to know the Sharks in depth in the Shark Xperience.'
'Sahil from Jamshedpur asks a question.'
'I'm an upcoming entrepreneur.'
'I'm just 19 years old.'
'And all my team members'
'are senior to me and aged.'
'How do I gain their trust?'
'And how do I prove my mettle to them?'
Sahil, that's a good question.
When I started working at Lenskart,