I've heard that Jyoti Bharadwaj from Mumbai never goes anywhere alone.
She is accompanied by two bodyguards who...
Oh! You're her bodyguards. Hello. Hi.
Hi, everyone.
Do you need anything? Water? Soft drink?
No soft drinks.
No soft drinks! Why?
It's because I'm not allowed to drink soft drinks.
My dear, where is your mother?
Where is your mother? and grandmother?
They're already here.
Hello!
- Please come in. Welcome. - Thank you.
- You have such cute bodyguards. - Thank you!
Greetings, ma'am. Please come in. Welcome.
- Will they make the pitch with you? - Yes, they will.
- They can pitch better than me! - It will be fun.
- Yes. - It'll be fun.
- Ma'am, do you think they'll get through? - Yes.
- Will they fare well? - She has strong determination.
- Alright, yes. - She is hardworking.
Things work out for such people.
Absolutely. Ma'am, let's do one thing.
- You and I will watch the pitch from out here. - Okay.
- Let them go inside. - Yes.
- Give them your blessing. - Sure.
- Let them proceed - You have my blessing.
- Fantastic! - This is why I came along.
[theme music playing]
[theme music continues]
[theme music fading]
Aw! [chuckles]
Very cute boys.
- Hello, Sharks. - Hello.
My name is Arastu.
"Iced tea?" No, I have not.
"Iced tea!"
I love iced tea. I have it every day.
Hey, mom will scold you.
Iced tea is not healthy.
[Peyush giggling]
If it's TeaFit, then it is healthy!
If you don't trust me, then ask mom.
- Mom! - Mom!
[Sharks chuckling]
- Very good. - Cutest!
What terrific acting! It was fun.
[Aman laughs]
How old are they?
He is eight and Agastya is five.
Aw! Exactly like my boys!
[Anupam laughs]
[pleasant music playing]
Sharks, did you know?
100 years ago, the sugar that we once consumed in a year,
we now consume that much sugar in a week.
Beverage companies have fed us too much sugar
and turned us into sugar addicts.
Do you see this cola glass measuring 600 ml?
It contains 30 sachets of sugar.
- Dump! - Whoa!
Dumping out.
That's a lot of sugar.
And the largest size of the soda fountain,
which is almost a litre...
It contains ten times more sugar than this.
- Oh, no! - [Sharks laugh]
The same is with fruit juices.
Owing to these bad, substandard products,
a healthy and refreshing choice.
[piano playing]
TeaFit is an unsweetened beverage brand.
Which means that our beverages contain no sugar or sweeteners.
- Wonderful. - We brew it with green tea,
More than 200 retailers all over the country sell our products.
As for online retailers, we're available on our website,
Amazon, Flipkart, Big Basket, Cred, and other platforms.
My ask is Rs. 50 lakhs in lieu of 3% equity.
Okay. You're increasing the valuation
- of the business! - Yes.
I welcome all three of you to Shark Tank,
- especially you both. - Thank you so much.
Listen, come here.
Come on. You come here.
- This side. - Come, sit here.
What's happening, bro?
- Are you the founder of Lenskart? - [indistinct]
I am... I am the owner of Lenskart.
No, he's lying!
[everybody laughing]
Hey, do you know what I do?
You're the founder of Shaadi.com.
- Shaadi.com! - [hysterical laughter]
It's because she is wearing a red outfit!
[hysterical laughter]
- High five. - Time to leave, bro.
- Bye. See you. - High five.
- Give me a high five. - Bye.
- Aw! - [laughter]
Okay.
- Okay, see you. - Bye.
What made you bring the kids to Shark Tank?
I live alone in Mumbai with them.
They have literally been a part of my business from day one.
When I go to oversee production, I take them to Indore.
- Wonderful. - I take them to meetings.
I took them to the closing meeting of Nature's Basket.
I had them wait outside during my meeting with Reliance.
They know as much about brewing as I do and its process.
I was afraid they might talk about it!
[Sharks laughing]
- Jyoti, can I take a guess? - Sure.
You give very less sugar to the kids.
- That is true. - Let me tell you what happens.
- When you give them sugar, the kids become moody. - Bouncy.
If you want them to be constantly high on energy, cut out sugar.
No colas or juices.
- especially in liquids and colas. - Yes.
Ma'am, both my parents are diabetic.
We never stocked sugary beverages at home since I was a child.
When I grew up, I used to stay away from the beverage aisle.
During the years 2013 to 2015,
- I travelled back and forth to Japan many times. - Why?
My husband was working at Google and was based in Tokyo then.
I was working in a start-up at that time.
- Which start-up? - UrbanFresh.
Fresh out of business school, I worked there.
Which business school?
Indian School of Business, Hyderabad.
Meet my friend Aman.
- I know. - Which batch?
2013, ma'am.
- Oh! - Oh, I was 2011.
- Okay. Two years. - You graduated, but he failed.
[Sharks laughing]
[chuckling]
The thought about the possibilities while I was in Japan.
If you wish to create a healthy society,
you need to have a 100 good things to counter the 10 bad things,
You cannot build a healthy society Without doing this
[unanimous laughter]
Your parents are in Patna.
Yes, my parents are in Patna.
- My husband's parents are in Chhattisgarh, so... - My God! Wow!
My brother is in Korea. It's like...
So, you have no family support system.
- Nothing, ma'am. I've done it all single-handedly. - Wow!
Where is your cape?
[laughing] No!
You're a super woman!
Wonder woman! Absolutely! Hats off!
Thank you so much.
- Give me tea, please. - Yes! Sure.
Let's have tea. I've had this tea many times.
This will be your true litmus test.
- This man Aman Gupta consumes nothing that has no sugar. - Okay.
Yes, I observed it.
I think I should skip him.
[hysterical laughter]
His reaction to everything is a little over the top.
- Yes. - Don't take it personally.
- Ignore it. - Darn! Forgive me, ladies!
[laughter]
There's green tea, black tea, lemon black tea,
and barley tea which has no flavour.
[upbeat music playing]
- You picked lemon black tea. - Very nice.
This one's barley.
I'm going to try all three. I've had it before.
- It's really popular in Southeast Asia. - Yes.
[upbeat music playing]
Hmm. Interesting.
Not bad.
[whimsical music playing]
Jyoti, I didn't like it.
No problem.
[hysterical laughter]
- High five! - Yay!
I will try the other flavour.
[intense music playing]
- Jyoti, there's good news! - Yes.
I like this.
- Thank you. - Oh, a miracle!
- It's a miracle... - [Jyoti chuckles]
I'm glad you finally liked something that contains no sugar.
Does the barley lend sweetness?
The barley does lend sweetness. It also contains liquorice.
- The cinnamon lends a hint of sweetness. - Yes.
No calories! Are you sure no calories?
- No calories! FSSAI tested. - No sweetener?
I say this on national TV.
- This contains no sugar and no sweetener. - Wow!
Wow! Well done.
- I will consume your products. - Thank you so much.
Tell me something. How much does this bottle cost?
The price on it is Rs. 120.
- It costs Rs. 120. - Yes.
This costs Rs. 120!
[intense music playing]
Do you have an audience in India willing to spend Rs. 120 on tea?
Yes. There's you and others like you.
- There are people like me too. - I drink tea in clay cups for Rs 5.
No, I do have an audience.
Could you explain your margins to me?
- What... - The MRP of my product is Rs. 120.
Modern trade, in general, takes 30% from me.
I sell it to them for around Rs. 84.
It costs me between Rs. 30 to 32 to make the product.
I'm left with Rs. 54 if I sell it offline,
and around the same if I sell it online.
The cost must be negligible!
It's just tea-infused water. Ayurvedic herbs are inexpensive too!
Why Rs. 30? Why isn't it being made in Rs. 10?
Ms. Singh, you wouldn't be able to crush the bottle you're holding
after consuming the drink
- because it is of good quality. - Okay.
What's the cost of the bottle?
- Good. - Very good.
Amazing.
What are your current sales and what's the growth like?
We started it last year.
The projected sales for the current year
Where are you selling this?
Could you give me a break-up of the Rs. 3.5 lakhs?
You can't build a large business in the beverage industry.
I can build a large business and here is how.
- So, for one year... - Great job.
Hang on. Applause.
- Sure. - Continue.
I tried shipping the product online for a year.
- Okay. - My biggest pain point is
- that shipping liquids is like shipping stones! - Correct!
I currently have products developed
which we'll launch in the next three months.
It's not liquid, it's in the form of premix sachets
- for winters. - Interesting.
- Same formulation... - You can mix it at home.
Yes. Simply add it to hot water and you have beautiful aromatic tea!
What would be the price point?
We've decided on a pack of ten
which will cost between Rs. 350 to 450.
Secondly, this surely is priced at Rs. 120 currently,
but it's not like we can't come up with variants for Rs. 40.
If I have to make plain vanilla iced tea in the future,
I can make it available for Rs. 40.
Okay. Thank you.
Alright, Jyoti. I'll make you an offer.
Okay.
- I have an offer for you too. - Alright.
I have an offer as well.
Darn it!
They always copy my offer. So, let me go first
- so they don't copy it. - I have a question before that.
You own 100% in the cap table.
99.5%.
[intense music playing]
- Who has 0.5%? - My mother-in-law who was my first investor.
- Oh! - Great. Amazing!
'My mother-in-law has a PhD.'
She worked as a professor for around two to three years.
She is of the opinion
that the next generation should do the things that she could not.
So, she gave her daughters and me a big push.
She gave me my first investor cheque for Rs. 10 lakhs.
- Wow! Out of her savings. - Yes, her savings.
You also had the option to raise capital from any other source?
- Yes. - You accepted her money...
I do have a term sheet as we speak.
What was the valuation?
I have a term sheet offering me Rs. 1 crore which I got last week.
What's the valuation?
Convertible note of Rs. 20 crores.
[intense music playing]
'Convertible note is a type of debt'
'which is given to early-stage start-ups'
'when it is difficult to decide their valuation.'
'In future, when it gets easier to decide their valuation, '
'investors can convert that convertible debt into equity.'
- The cap is Rs. 20 crores. - Yes, 22 crores.
What's the valuation you asked?
Rs. 15 crore.
I am asking for less.
Yes, but it's convertible.
- That's 16.67. - Yes.
- Let me tell you my decision. - Alright.
- I honestly think these investors here... - Yes.
- They come with a very strong brand-building capability. - Yes.
They will be able to help you more as compared to me.
And for that reason, I'm out.
- But I loved the way you shared the numbers. - Yes.
- Thanks. - Item by item. Fabulous.
Thank you so much.
Look, I can be of great help to you in this business.
I know.
And we're in similar categories...
- Yes. - Where women have this emotional relationship with make-up.
- We educate people on Instagram. - Yes.
- Erm, 2.4 million followers... - Right.
- Largest in India. - Yes.
- Consumer brands. - You're on board the way you backed her up!
[chuckles]
And Anupam is the most prolific investor...
- Yes. - For early-stage companies.
- Oh! - I don't agree.
Oh, my!
I'm the only one who drank all your iced tea.
That's a lie! Look!
Thank you so much. Thank you!
- We both will come on board together. - Okay.
You know, this is quite an early stage
- for the pre-revenue. - Yes.
- I'm not even getting into the multiples. - Yes.
Our estimate is that Rs. 2 crores is a good enough valuation.
[intense music playing]
Look. You know?
I always speak the truth and nothing but the truth.
[chuckles]
If I don't like the drink, I say so.
But everyone else says, "Very good drink! You're amazing!"
Okay, Aman!
Alright, we get the point.
I don't cheat entrepreneurs.
And we do?
I think they ask for a higher stake at times.
- Okay. - 20 and 25%. I don't want that.
- I'll make a genuine offer. - Okay.
Rs. 50 lakhs for 10% equity.
- See that! - [laughter]
Why didn't you do it earlier? Why were you deceiving her?
We weren't deceiving her.
Can all four Sharks agree to 8%?
For 20%, I don't wish to...
- I don't want to take 20%. - No, 10%.
- Rs. 50 lakhs for 10% equity. - Peyush said 20%.
She's all about numbers. It's difficult.
Jyoti, you're very strong. Solid founder.
But beyond a certain figure, it doesn't make sense.
Yes.
It's already quite rich.
I'm okay to do either.
[intense music playing]
- Let's do it. - Sensitive...
- Alright. - Let's do it.
- You got a deal!
Thank you.
Your mom did so well.
- Are you proud of your mom? - Yes.
- We're all very proud of your mom. - Thank you.
We're also very proud of your mom. She's amazing.
Take this.
[unanimous laughter]
- Let's do healthy. - Let's do healthy. Do this.
Let's do healthy.
[camera shutter clicks]
But I gave you the best deal for 10% first!
Aman, you were my anchor. I owe you one big time.
Thank you.
She's a great founder. It'll work.
Our investment won't sink.
[theme music playing]
[theme music fading]
- Hello, Sharks. - Hi.
- Population. - Population.
India's population is 140 crore people.
[intense music playing]
Out of these 140 crore people, 90 crore people
belong to low income families and marginalised communities.
Every year, the government sets up over 13,000
Rs. 20,00,000 crore
was last year's budget allocated to government schemes.
The government sets up schemes for these people
to help them rise above their economic and social conditions.
Even today, these government schemes don't make it to the masses.
There are two main reasons.
One, either they don't have complete knowledge of it.
And even if they do,
they don't receive the application and documentation support
until the last mile.
True.
Haqdarshak is here to help those people get their rights.
Hmm. Nice.
Hello, Sharks.
Hello, Aniket.
I'm the founder of Haqdarshak.
Haqdarshak is a mobile and web platform
that provides people with information
about their eligibility and scheme applications.
Along with our agent network in place,
it helps them until the last mile
with regards to application and document support.
- We have over 25,000 agents. - Whoa! Wow!
It is a QR code based card, the yojana card.
It allows citizens to access all the schemes on their mobile phones
and provides them with end-to-end application support.
Our vision is to ensure that these 90 crore people
get that Rs. 20 lakh crores on time every year.
Today, at Shark Tank,
I was born and brought up in Shimla.
I did my undergraduate course from Shri Ram College of Commerce.
But early on,
I had an interest in economics and policies, and not commerce.
For the next five years, I worked at the grassroots level.
I worked as a teacher in a government school for two years.
I have worked in rural Maharashtra, urban Delhi, and Rajasthan.
I observed that everyone
faced the problem of information gap concerning government schemes.
The thing with government schemes is
that the schemes in western Maharashtra are different
than those in eastern Maharashtra.
The eligibility criteria for all government schemes
is like the probability theorem.
If and or.
If you fall in this income and caste category
and your domicile is this state, and so on and so forth.
There are 200 such concepts!
So, in 2015, I decided
that this requires a very technology-based scaled up business.
That's how Haqdarshak came into existence.
- I'd like to call one of our Haqdarshak agents here. - Sure.
[music playing]
Greetings, Sharks. Hi. Hello.
95% of Palghar district's population comprises tribal people.
The tribal women there work as agents along with me.
In 3.5 years, we have taken these schemes to over 1,00,000 people.
[buoyant music playing]
What work do agents do?
Our job is to create awareness within the community
about the new schemes that are launched.
We tell them they can apply for it and it is for their benefit.
So, you go to people's doorsteps.
Either to every house
- or in the village meeting. - Doorstep delivery.
Doorstep delivery or holding community gatherings
- where you educate people. - Yes.
[buoyant music playing]
How many agents are there in total?
There are over 100 agents.
[euphoric music playing]
What incentives do agents get?
- Let us give you a demo of the app. - Yes, please.
Jyoti, give us a demo of the app first and then we'll ask questions.
- The schemes they're eligible for. - Eligible for 57 schemes.
[music playing]
Is this an average normally?
In rural, between 50 to 55, and in urban, 35 to 40.
This page shows the service charge that our agent takes.
It goes to the agent and it is split later.
How much do you make in a month?
Rs. 20,000 to Rs. 25,000.
That's wonderful.
- This was for the agents. - Okay.
What we launched for the citizens this year is the yojana card.
It contains a QR code. So, the information you just saw...
- Yes. - If you have a smartphone,
- you can scan it yourself using an OTP. - Okay.
If you do not,
you can go to any of our 50 Haqdarshak centres
and get it done through us.
You can check all your government schemes.
If you need application support, you can book a Haqdarshak.
In three years.
Let's assume they'd have achieved 50% of the amount
- without your help. - Yes.
Still, by getting these families an amount of Rs. 25 to 30 crores,
you have really helped them.
Jyoti, you must have become quite popular in your locality.
I belong to a tribal family and I live in the same locality.
Are you contesting the elections?
- I am considering it. - Wow! Lovely.
Very good.
- Fantastic. Thank you. - Well done, Jyoti.
- It was lovely to meet you. - Thank you so much.
- Thank you... - Thank you.
Aniket, how many employees work in your company?
for a valuation of Rs. 10 crores.
Our of the overall target, in the current round,
we wish to raise Rs. 25 to 26 crores.
Oh, okay. This is part of a bigger round.
But the valuation has not been decided.
Valuation, yes. We are keeping it...
The valuation will be pegged here!
- Who do you have in your team? - My team is an all-women CXO team.
- All women CXO! Well done. - All women CXO.
Your agents must be mostly women.
- 90% women. - Right?
Why did you decide to do that?
I did a very transparent and honest hiring,
and I genuinely found great people.
That's true. I totally agree with you.
I have experienced the same lately.
We have operations in three international countries
and the heads of all three countries are women.
Aniket, the most important question.
What's your revenue model?
Our entire model is B2B.
We began approaching corporates in 2017-18
who wanted government schemes for their construction
- and factory workers. - Okay.
With the government's code on social security
and the advent of ESG,
not just your employees,
you'll have to provide government schemes for the entire supply chain.
It's about Rs. 500 per service fees and per person.
- Per year? - Per person, in which we offer two services.
How many employees do 110 corporates represent?
Roughly a total of 10 million.
- One crore... - Tell us the sales instead.
Our margin is fairly low, but we were profitable up to 2021.
- In 2022, we made a revenue of Rs. 15.5 crores. - Wow!
This is the only year we made losses.
It was because operations were shut for four months on account of COVID.
What is the current year's projection?
The work is heavy on operations and you make Rs. 500 per person.
I think this is a high-volume, low-margin business.
What margin do you get in that Rs. 500
after costing for people travelling and the other expenditure?
Our EBITDA margin after covering everything is 7%.
- On 1000. - Yes.
There's no margin in 500.
- That's the cost per person. - Correct.
Will you have any EBITDA this year in a revenue of Rs. 30 crores?
We will be making only about 3 to 4%
because we've to cover last year's losses.
At what stage in the business, as per you, will you make EBITDA?
My goal is to reach a top line of Rs. 110 crores in 2024-25.
At that stage, we will save about Rs. 10 crores.
Then why have you considered a valuation of Rs. 200 crores?
We've considered revenue multiple...
Do you know revenue multiples apply to which businesses?
Where the gross margin is 70 to 80%.
In this business, where the margins will perennially be low,
I'm sure you'll agree that revenue multiple is rare.
[intense music playing]
I gave one service to 25 lakh people.
I have to give them 40 government schemes.
Other than that, I can facilitate private scholarships,
private loans and insurance. I haven't tapped into that.
- Finding such data is tough. - And also network...
- Network... - Network and data are your goldmines.
- Aniket, what is your age? - 33.
You built this at the age of 33.
It's incredible.
After identifying this unique problem,
what gave you the courage to pursue it?
Because it's not easy to raise money
- in a field like this. - Yes.
You seem too mature for your age.
I think because I saw too much failure at the start.
Especially in 2020 and 2021,
a lot of investors told us to tilt towards fintech.
- Hmm. - Get into fintech.
Say that you offer educational schemes or provide loans.
Our goal is to become
the biggest social security company in India 10 years down the line.
- Hmm, interesting. - So this experience that 90 crore people get..
When you and I go to make a passport or get a visa,
we are told, "Sir, your appointment is next."
When a poor man visits the pension officer,
he has to beg for the pension he is entitled to.
Can we change that user behaviour?
We haven't yet unlocked the potential
of people depositing Rs. 15 and 20 towards their pension.
Many companies told you to embrace fintech or edtech.
- What's your take on that? - I thought hard.
- I brainstormed with the team as well as investors... - And?
I felt like we'd be giving out loans if we did.
So, what's the problem?
The incentive will change.
That will reduce your burn and you'll start earning.
But this business will almost shut down.
The reason being when Jyoti meets the community,
they know she's offering them something.
The moment I start collecting payments on loans...
Trust... Trust is most important.
Our vision is clear that we don't want to do it.
But you could facilitate it.
Absolutely. We will facilitate it along with information.
I think you will do something big.
I will give you Rs. 1 crore.
Rs. 1 crore for 2% is my offer.
it's equally difficult.
Either the government will make it easier...
For instance, PAN card.
The process is really simple.
As the government makes it easier to avail these essential schemes,
what will remain is the long-tail schemes.
I think the government will appoint agents for it.
And that will attribute to its growth.
You can get exclusive distribution from the government
only when you're an L1 provider.
L1 providers are lowest margin providers.
I think you'll always be challenged as far as the margin is concerned.
But from an impact perspective, this is a noble cause.
Peyush has given you a good offer.
I believe, considering the valuation, I cannot match that.
Wish you the best. Okay.
Aniket, incredible story. Very inspirational.
As a business,
considering the Rs. 50 crores valuation Peyush gave you,
it will be difficult to take it beyond Rs. 100 or 150 crores.
This isn't a tech moat.
The moat here is your agents and the services offered.
So, I'm out.
Aman and I would like to give you an offer.
This could be a business
with a lot of cross-selling at the grassroot level.
That is very attractive.
We would like to match Peyush's offer,
but with a debt and equity component.
Aman and I can offer you Rs. 50 lakhs for 1% equity
which is Rs. 50 crores valuation.
I'd like to make a counter-offer.
[intense music playing]
- Who? - For the three of you.
- '- What?' - Please come together.
[suspenseful music]
If each one of you invests 33 lakh rupees, it will be Rs. 1 crore.
Alright! It's decision time, buddy!
[suspenseful music]
Let's do it, bro.
You are a mature person who listens to his heart.
Rs. 50 crores valuation in a service business is stupendous.
[dramatic music]
Impact and sales don't go hand in hand.
Come on! Please be careful. My cheques often bounce.
[laughing]
[photo clicking]
- Good job, Aniket! Very well done! - Thank you!
Congratulations!
- '- Woo-hoo! - Hey!'
- '- Oh, my!' - Drums and all!
- Oh, my! '- Yo!'
[drums beating]
Wonderful!
"Now that it's 'Holi', let's have 'puranpolis'."
[drums beating]
- Greetings, Sharks! - Greetings!
If you belong to Maharashtra,
You must be salivating after hearing this..
Holi or Ganapati festivals
is incomplete without puranpolis.
Eight hundred years ago,
the mixture of dal and jaggery
resulted in the delicious puranpoli.
[dramatic music]
Puranpoli has different names in different places.'
in Bhaskar's Puranpoli Ghar.
[dramatic music]
Sharks, I'm Vittal Shetty from Mumbai.
Whenener you feel like having puranpolis,
You have to wait for the festival.
Now Bhaskar's Puranpoli Ghar is at your service.
[dramatic music]
'piping hot puranpolis 365 days a year.'
- or essence. - Wow!
'Along with puranpoli, '
"rawa laddoo' and chips. We sell all these items.'
Fabulous!
My partner Bhaskar started selling puranpolis
in Bengaluru on a bicycle.
and started selling puranpolis at four outlets across Maharashtra.
We sell around 1000 puranpolis daily.
In addition to buying directly from our outlets,
you may order it on Swiggy and Zomato.
Sharks, our vision is to open more than 100 outlets.
Sharks, just invest Rs. 75 lakhs
So, Sharks,
How many of you are tempted by the puranpolis?
Yes!
I teared up after hearing the valuation.
[laughing]
- Let me invite my chef. - Sure!
We want all of you to taste our puranpolis.
Vittal, are the puranpolis
- sweet? - Yes, sir.
Is it eaten as a dessert or as a main course?
In the southern region,
it's made during festivals or eaten during lunch.
- But ma'am knows its importance in Maharashtra. - Of course!
- It's my favourite. - Puranpoli and amti.
It's eaten during breakfast,
during lunch and at dinner too.
It's their favourite traditional food.
- Can I come and have a closer look? - Sure!
[ethereal music]
- Please explain the varieties. - Sure, sir.
It's dal. Dal and jaggery.
- It's coconut. We use coconut and jaggery. - Okay.
- That's jackfruit. Almonds! - Almonds!
- Pineapple. - Wow!
So you're making stuffed parathas.
People from Delhi can consider this a stuffed paratha.
The dough is made of pure semolina.
They fill it and make it into balls.
So this is your secret recipe?
[dramatic music]
- May we know more about you whilst they cook? - Sure! Why not?
- Bhaskar, you started the business, right? - That's right.
I'm not fluent in Hindi.
- But I'll manage. - No problem. That's okay.
- Wow! - Wow!
- Yes!
After that, I tried my luck in various small businesses.
I also made fritters and bonda
For how many years did you try these things?
[ethereal music]
- Whoa! - All over Karnataka.
That's amazing!
Do they have the same company name? Bhaskar?
- BMH. '- Okay.'
- So you are the owner of the business. The sole owner. - Yes.
- '- Wow!' - Wow!
Whar are your sales figures?
They have made a sale of Rs. 18 crores.
- Very good! '- Wonderful!'
And what about your partner's sales figues?
Rs. 15 crores.
Fifteen crore rupees! Wow!
You've made your mark!
From cleaning tables in restaurants, you have really come a long way..
- Amazing! - What a story!
I'm quite impressed.
Do you get all the profits from the franchisees?
Or do you get a fixed commission?
- Five precent. - Five... Five percent!
The total earnings from my franchisees and my seven outlets
- is 18... - It totals Rs. 18 crores. Wow!
Bhaskar, how much profit do you make?
Sir, 20%.
Wow!
So you make 3.6 crore rupees a year?
Then you must sit here.
[laughing]
- I should stand there instead. - He's... He's the real millionaire.
[motivational music]
Now, let's move to their story. Okay? Please go on.
- We know each other well. - How do you know each other?
Actually, we are relatives. We hail from the same village.
- Alright. - Shetty! Kundapur...
And Mane Holige means puranpoli outlet, right?
'Mane' means a house and Holige means puranpoli.
- You decided to launch his business in Maharashtra. - Exactly!
He was apprehensive.
"Though it's famous in Karnataka,"
"do they eat puranpoli in Maharashtra?"
- He said, "are you sure?" - Okay.
I said, "we'll make it for sure."
I have experience in marketing and he is good at operations.
I was like, "let's go all out."
What were you doing before starting this business?
I own a marketing company called Phoenix Advertising.
Did you leave your business?
No. It's still running on autopilot.
And you two are partners in Phoenix Advertising, right?
- Yes. That's right. '- You too? Okay.'
Plus I'm a license holder for salon and wellness.
Oh!
We have around 30-35 franchisee outlets pan-India.
Do you own them?
I manage them along with my two partners.
Basically, you have three to four businesses.
- That's right. - You manage those businesses along with 2-3 people.
- Yes. - So you'll come here to pitch for
other businesses the next time.
Sir, we are interacting with the Sharks now.
- But you forgot about the puranpoli. - Oh, yes.
- Please offer us. '- Please offer us first. We'll discuss it later.'
[happy music]
- Thank you so much! - Welcome, ma'am!
It's almond, pineapple and that's coconut.
- And what's this? Is it ghee? - Yes, it's ghee.
- Do we eat it with ghee? - Yes.
[joyful music]
- It's yummy. - Delicious!
- 'Fabulous!' - Very nice!
- Pineapple is very interesting. - Pineapple...
Actually, the traditional one isn't flavoured. Right?
- All these pieces are flavoured. - Yes!
I like the coconut-flavoured one the most.
Me too! I liked coconut too.
- It's delicious. - It's not as sweet,
yet it is the most delicious
It's made of pure coconut and pure jaggery.
The puranpolis I ate in the past were thick
and the filling comes out when we tear it into pieces.
- Yes. - But it's easy to eat.
And crispy too. It's crispy.
Now that we tasted puranpoli, let's proceed.
- Let's discuss business. - Hmm!
We opened the first outlet in Thane.
We launched it on January 27th, 2021.
- How many outlets do you have now? - We have four outlets.
We have outlets in Thane, Kandivali, Kalyan and Pune.
Can you explain this? He already has a business in the South
and you opened four outlets in Maharashtra.
Can you explain your business arrangement to us?
What exactly is your arrangement with Bhaskar?
Bhaskar Mane Holige is owned by him wholly.
This arrangement is only for Maharashtra.
We would like to take it to all of India and across the world.
Bhaskar, I have a question for you. Are you ready to give the rights
to BPG for pan-India and not to BMH?
Sure.
Didn't you feel that you could launch it
on your own in Maharashtra? So, what's the need to involve them?
But you are ambitious. You want to be more successful.
Please share the sales of the four outlets
and their monthly growth.
We touched Rs. 1.6 crore recently.
- Which branch? - Thane!
- What about the other three? - The other three are franchisees.
You get a five percent royalty from them.
Yes five percent royalty.
Do you charge some amount upfront?
Rs. 10 lakhs franchisee fee.
You didn't tell us your total sales. You have four shops.
But three of them are franchisees.
That's beside the point. I want to know the last month's sales
of BPG company.
- Rs. 18 lakhs? - Total?
No. It's only for Thane.
Please tell me the figure after adding Rs. 18 lakhs and 5% royalty.
We received around 50-60 thousand rupees from the Kandivali branch.
And the Kalyan branch is only 15 days old.
And the Pune branch is just one week old.
What's your profit in Rs. 18 lakhs?
It's 18-20 percent.
So broadly around Rs 4 Lacs.
How much capital did you invest in opening that outlet?
Rs. 45 lakhs.
- So you earned it back within a year. - I earned it back.
Why aren't you launching your own
outlets instead of giving franchisees?
That's a good point.
Sir, that is the plan.
We're planning to open 3 outlets next year. Right?
Plus we can expand with the Sharks.
How much money did you two invest?
Rs. 45 lakhs.
- But you must have recovered that 45 lakhs by now. - Yes.
since you had one outlet in a year
- So your investment was safe. - Right.
Now you want to use our money.
- Right? - He's saying yes. What will you do about it?
You can also scale it up with the capital that you have.
And fundamentally, you don't require investment.
Secondly, there are three founders
who have multiple businesses.
That's a bit complicated.
In India, it often happens that people
start a business together but get into serious disagreements later on.
As an investor, I have these two issues.
But hats off, Bhaskar! You did a great job.
It reminded me of my grandmother.
My grandmother used to make puranpolis. Thank you so much.
How did you arrive at a Rs. 75 crore valuation?
If you calculate
five outlets already did a sale of Rs. 18 crores.
If we add the sales of the five outlets we own,
we'll achieve a sale of around Rs. 20 crores.
You may ask for money when you achieve that target.
Sir, it is already achieved.
But we aren't investing in his business.
- We aren't investing in the Karnataka business. - We...
Maharashtra's business is the same. It's already proven.
You want me to invest Rs. 75 lakhs in your company for 1% equity.
I can buy two franchisees of your company for that amount.
My returns will be better
- The yearly revenue amount will be Rs. 4 crores. - Right.
I'll earn Rs. 80 lakhs within a year and recover my investment.
And every year, my profit will grow three times to four times.
I'm confused about whether I should be your investor or your franchisee.
[suspenseful music]
For that reason, I'm out.
But let's hope you make something out of it.
- Because I want Bhaskar to succeed in his business. - Thank you!
All the best!
In the current scenario, you will have to offer
ten to fifteen percent equity at least. People will invest only then.
It would be better to take the debt route.
You may open company outlets as you are making a profit.
But I'm out today.
Let me share my problem with you.
If I think about myself, I love puranpoli.
But I can't eat it without amti.
Because it's too sweet.
When you scale up pan-India,
you will face limitations of differences between east and north.
Because it's something that's only sweet.
I think that's a challenge
in scaling up pan-India.
For that reason, I'm out.
But I hope you prove me wrong.
- One hundred percent, Shark! - Thank you!
I like the founders
The ones who take challenges head-on
and overcome them.
But when the founders have 3-4 options,
they aren't dedicated towards the growth of the core business.
But your business is profitable. Please scale it up.
Make BPG a famous brand and expand in Delhi. We would love to vist.
As of now, I'm out. Thank you so much!
Thank you, Shark. Thank you so much!
- '- We feel happy too.' - We felt happy to meet you.
- Thank you! - Thank you, Sharks!
- '- Thank you!' - Thank you, Sharks!
[ethereal music]
- This guy is incredible. Right? - Wow!
He's amazing. Amazing story!
'Let's watch Shark Xperience.'
'Sharda from Udaipur, Rajasthan'
'wants to ask a question.'
'Vineeta, you aren't just a successful entrepreneur, '
'you're a loving mom too.'
'Did you ever get a life lesson from your children?'