[music playing]
[theme music playing]
Greetings, Sharks! My name is Rajat.
Sharks, a mother's life is filled with difficulties
and on top of that, these taunts.
Sometimes from the mother-in-law, sometimes from the husband,
and now, should I even tolerate taunts from the house help?
In 2022, our house help used to taunt us a lot.
She used to complain that our hair strands were all over the house.
But mother, when I was young,
my grandma made hair oil in a simple iron wok.
Back then, my hair was long.
Dear, things were authentic back then.
Nowadays, everything is adulterated.
So, bring the iron wok
and we'll recreate your grandma's secret hair oil.
After this, in 2023, Nidhi's Grandmaa Secret started.
This is made from a natural ancient process
where we use 13 types of herbs.
People are selling anything and labelling it as natural.
Am I right, Mr. Mittal?
[laughing]
If I present the scientific report, it will just get boring.
But I will do something that will leave all of you stunned.
- I will drink my hair oil. - What?
- Who drinks hair oil? - No!
I will drink it and so will you.
She'll lose her husband in the process of trying to prove purity.
- Come on! - Eww!
This is my glass.
And Nidhi, this is your glass.
The hair will start growing inside.
- Cheers! - Cheers!
Enough! We get it.
[gagging]
[laughing]
Our 13-herb hair oil is safe and non-toxic.
If my competitor claims this,
then I would ask them to come and drink their product.
Within a year, we've had more than 1 lakh customers.
We want our other products
to be used in every household in India.
- Sharks, our ask is Rs. 70 lakhs for 2% equity. - Wow!
So, Rajat, Ms. Rajni and Nidhi,
- welcome to Shark Tank. - Thank you!
My help also scolds me...
So, I am glad you are here with a solution.
Tell me, when did you start and what were you doing before that?
I was a software engineer.
I got married in 2010.
Three years after that, I gave birth to my son.
But when he was around 3 years old, in 2016,
he was facing behaviour challenges.
It was becoming difficult for my mother-in-law to handle him.
That is when I decided to quit my job.
I started spending time with him.
I used to take him to classes and wherever he had to go.
And before we knew it, we were hit by COVID in 2020.
That was the lowest point in my life.
Because I couldn't go out or have social interaction.
I was just busy with my son's online classes all day long
and that is when I noticed hair fall.
I remembered that I used to apply the hair oil my grandma made.
I shared the recipe with my mother-in-law.
And we started making it in our house in an iron wok.
We applied it and within 2-3 months,
we saw incredible results.
After seeing these results,
we shared them with our friends and family.
Every other person complained about hair loss after COVID.
I told my mother-in-law
that the hair oil we made for ourselves,
we would now make and give it to everyone.
And without thinking more, we started making it.
We made a WhatsApp group in our society
and then we started selling it.
What did you do before this?
- This is my seventh brand. - What?
I mean, many of them were failed brands. They were small brands.
I've been trying to create brands since 2012.
Before that, I was a digital marketer.
In 2012, I launched my first website
and started a few brands that did good business.
And then my Google account got suspended.
I used to run advertisements on it.
But by then, Amazon had entered the market
and new brands were emerging on the platform.
That's when I created my brand, Kayos,
for health and personal care.
I needed to make money,
so I started selling multiple products under one brand.
Once COVID hit, everyone stopped pushing ads on Amazon
because CACs were rising.
So, I decided to pause my ads as well.
The traffic was so high that my products were selling.
But later,
everyone around me secured funding when the market picked up.
When I started advertising, the CAC was so high.
My advertising cost per click was just Rs. 15,
now, I was paying Rs. 65.
The cost of my raw materials also went up.
So, slowly and steadily, I was going out of business.
But when Nidhi came to me,
she was excited about the hair oil and claimed it was effective.
Then we created an Instagram page.
By God's grace, our first reel went viral on Instagram.
It got 1 million views, and in one day, we received 100 orders.
We got involved in that and since then
we have sold more than 2 lakh bottles.
Ms. Rajni, you tell us your background.
I got married when I was 19.
I didn't realise how life passed by.
But whenever I met my friends,
they had jobs, and some were doing something meaningful.
At times, I would feel
that I hadn't accomplished anything in life.
When Nidhi came to me and said,
'Mother, we will make this hair oil and sell it.'
I also gathered the courage and agreed to join her.
- I didn't think about all this. - In the beginning, they made
- 10,000 bottles in the house. - We started from our house.
I said, 'Don't worry! We will handle everything.'
I asked her to go and get a bigger wok.
She bought two huge woks.
And we were making oil all day long.
Do you have the photo of the wok?
- Is this your house? - This is our factory.
- Wow! - Amazing!
Is this your factory, or are you outsourcing?
- It's outsourced. - Okay!
But we were in a dilemma.
We didn't have enough money.
I could take a loan and set up a factory,
but then I couldn't focus on marketing.
Initially, I didn't have a big team.
Both of us used to make reels.
Show us the reel.
- This was our initial logo, but we changed it. - We changed that.
Rajat and Nidhi,
in Season 2, an elderly man was here with a similar story.
Avimee Herbal.
It is a very similar story.
Why is it that
the ancient remedies
are coming back?
Ancient remedies are effective.
I think this happens with every generation.
Nostalgia is always there.
We tend to like old things.
There's one more thing, a growing tailwind...
People didn't value them in the past.
Now, things are moving away from chemicals and things like that.
So, it created a window. There's a marketing opportunity.
I will give it to you.
- This hair oil is our best seller. - What is this?
This hair oil is our best seller.
- This one? - Yes.
- And this? - This is a scalp scrub.
This is shampoo and conditioner.
And this is a vermilion. Herbal vermilion.
[music playing]
Vineeta, drink this oil.
I will follow your lead.
This is for Rs. 599. This is a premium product.
Herbal vermilion. Are you expanding your category?
This is our fastest-selling product
We launched it before Karva Chauth.
And within 20 days we were sold out.
Why did you add so many chemicals to this?
It has floral pigments.
We can't make this product without that ingredient.
When you claim so much and drink the oil,
Ah, I would take that as feedback.
And I would like to improve on that.
When the brand is small, they have to do a lot
to make money or expand the category.
The ingredients you've infused are coconut,
...there are these four main ingredients.
It's not a big deal to drink virgin coconut oil.
In oils, most brands don't add
preservatives because it's not required.
If others are making the product with these four products,
the performance of both your products should be similar.
No! Even if they add these four ingredients,
they will be using extracts.
The extract is made from alcohol processing.
After that, you will see
that they add fragrance to that particular product.
We have not added fragrance.
60% comes from our hair oil.
I want to know whether grandpa's product is better or grandma's?
- Grandma's is better. - Why?
They launched a hair oil
and I read 'mineral oil' mentioned in their ingredient list.
What guarantee do we have that they won't
add mineral oil to other products?
We can't provide that assurance about your product.
You could shift away from selling natural products.
In our current factory, where we make hair oil,
we don't make
- other products there. - Tell me something.
I won't read which factory this was made in.
When a brand is created, it has a personality and purpose.
Your personality can change.
You are saying their product is bad and yours is better. That's wrong.
Because their main hair oil that is sold,
is that product better, or is your product better?
Our product is better
because when I saw their episode,
their repeat percentage
- was around 25%. - Hold on, Rajat.
- That's not the question. Let me tell you. - Okay.
- The category context is clear. It's hair fall.
The second one is the point of differentiation.
- That is what Aman is asking. - Hmm!
And the next question is, why should we believe you?
My point of differentiation
is my brand-building capability.
No! It is not.
- That can't be. - Actually...
Nidhi wants to say something.
We use pure raw ingredients in our hair oil.
All our 13 ingredients.
Whenever we make it, my mother-in-law and I make it.
We cut the ingredients during the process of making the oil.
- Fresh ingredients. - We use fresh ingredients.
Rajat, she is doing better marketing than you.
She is being honest.
But you are beating around the bush.
The way Nidhi said it is with conviction.
There is a report.
May I give her a chair to sit on?
- Please give her the chair. - Yes! Sure.
You were discussing something
about a clinical study.
- Yes, a clinical study. - How much hair fall reduction occurs.
We conducted a study with Mascot Spincontrol,
who informed me that there are two types of metrics.
One is subject self-evaluation,
which refers to what the volunteers felt.
There's subject self-evaluation.
I can put 91% on the box,
but to bring this on Shark Tank,
I wanted to show the authenticated clinical data.
What is the difference between that and clinical data?
- It's real hair density. - Yeah!
What happens is that the dermatologist
checks how much hair fall occurs
after combing each week when you visit.
So, it's authentic data.
- This study was conducted for how many weeks? - 8 weeks.
First, we conducted a 4-week study.
And the data was around 42%.
A market...
Why didn't you mention it on the bottle?
Because we did our clinical study last month.
We still need to rebrand our branding
and mention it on the bottle.
You are coming on national television.
- Yes, sir. I know. - This was your opportunity.
- I know, sir. - If this is your reason for the customer to believe,
- then it should be on the front. - I know, sir.
You had enough time to make some boxes.
Sir, we had a lot of inventory and...
Did you come here to clear your inventory?
Strange!
Tell us your numbers.
We started in March 2023.
From 1st April 2023 to 31st March 2024
What were your oil sales last year?
It was around 75%.
We will go with Rs. 3.5 crores to Rs. 7 crores
- so the number is constant. - Yes.
- Yes! - Last year, out of Rs. 3.5 crores,
around Rs. 2.5 crores came from oil.
Yes! Around Rs. 2-Rs. 2.5 crores is oil sales.
This year, it's 60%.
Then why did you feel the need to enter other categories?
Why not just make this Rs. 100 crores?
Do you think there is a challenge in doing so?
You can say that I am greedy. I want to grow faster.
There are customers
who ask for shampoo and conditioner
along with the oil.
- People say a lot. - So...
But there is no differentiation in other products.
No! But we have these products.
If the customer enters the store...
These products will cause problems.
So, Rajat,
your story here,
with the grandma's remedies and the passion
of the mother-in-law and the daughter-in-law.
It's beautiful! I really feel
that you have the opportunity to make
this a Rs. 100 crore business.
But the biggest barrier for you will be funding.
When there is funding, there's pressure to meet goals.
- My suggestion is you stick with this story and be patient. - Okay.
It takes around 10-15 years to make such brands.
But the profitability
and brand value becomes incomparable.
So, I am out. But best of luck.
- Thank you! - Thank you!
Rajat, I think you have a goldmine product.
- Just go very deep. - Okay!
There's no need to do 20 other things.
I am out now.
Because I think you only need capital,
marketing and focus.
I doubt I can add a special value.
But best of luck.
- Thank you! - Thank you!
I think you are in a hurry, Rajat.
When we have a string of failures
and something finally seems to work,
we get impatient.
Is that happening with you?
I am not greedy.
I would not quit.
If this shuts down, I have two more ideas.
- Oh! - Amazing!
Hold on! Why are you thinking like that?
This business started 1.5 years ago. It's growing.
You are doing this with your family.
Rajat, if you always
have a few backup options, your business will never grow.
You did a good job here.
If you were focussed
and don't try to hurry,
- this will gradually become big. - Sure.
I don't think you need funding.
I am out today.
Honestly, if Ms. Rajni and Nidhi had come here,
you might have received funding.
Unfortunately, Rajat,
I am not sure
how you will...
How can we earn your trust? You tell us.
I felt that you are not serious.
If I have such a product... I failed five times too.
When the sixth one happened and I understood the product,
and I understood how to do business.
Shark Tank was on air, you should've learnt in three years
and you are asking here. You said
you would take the feedback and all.
You need to become more serious about this business.
I don't see that now.
So, I will be out.
Sir, if we somehow could earn your trust.
We need you. You are the king of e-commerce.
We are on Shopify,
but I still haven't cracked Amazon.
I really struggle with that.
Why do you get so worried?
The tiger is still here.
Oh!
I think that everyone said nice things to you.
There is no one here who hasn't failed.
Everyone has failed around 6 times,
that's when they made a business.
Right! So failure gives you character.
Success builds ego.
So, I think you are on the right path of building character.
Whether you can build a business,
- we'll only know as we move ahead together. - Yes, sir.
So, I'll make you an offer.
But I am betting on the hair oil.
- Your sale is Rs. 4 crores. - Yes.
Of hair oil. On that, if I put a valuation,
my offer stands at Rs. 70 lakhs for 5%.
And I'll take a 1% royalty
until my investment is recouped.
- 10%. - Rs 4 crores into 2, Rs. 8 crores...
Thank you for your offer, Anupam.
So, we have a small counter.
We have no issue with royalty.
Because it's just an administrative expense of 1%.
If we could bring
the equity to 3% and 1% royalty.
- He said 10%. - 10%.
- I asked for half of it. - I know.
So, why are you bringing it down to 3%?
See, you have to have skin in the game.
1%-2% at this early stage is very hard.
Sir, if we can do 4%.
But the royalty will go up to 1.5%.
You heard him. I made you a fair offer.
That's why I made a fair offer.
Let's keep the royalty at 1%
- and equity will be 5%. - What should we do?
[music intensifies]
- Deal accepted. - Deal done.
Yes.
- Thank you so much, sir. - Okay, brother. See you.
[music playing]
- Hello, Rajat, Nidhi and Ms. Rajni. - Hi!
- Hello! - Welcome to PokerBaazi Zone, where you hold the cards.
- How was your experience? - It was good.
There are a lot of similarities between poker and business.
It becomes an entrepreneur's responsibility
- to set their priorities. - Agreed.
As I mentioned, Royal Flush is the most important.
- It's the top winning hand. - Yes.
A straight flush is the second strongest hand.
Out of these ten functions before you, I want
you to choose 5 functions
and set the priority according to you.
First, we will go with the product.
Second, our customers are important to us,
so we will go with customer service.
- Then comes quality assurance. - Quality Assurance.
And then comes...
- Business Ethics. - Business Ethics.
And then comes our team, human resources.
This is very interesting. Quality Assurance at four of a kind.
Why? Why is it in the third place?
Because there are two things before it.
First is our product
because we cannot step back from that
even if we spend 12, 24, or 48 hours
working on a product.
- We spend a lot of time on our product. - Okay.
And then comes our customers. Another important thing.
Then comes quality.
If we crack those two, the quality is cracked automatically.
Human Resources is in the fifth spot, at flush.
Yes! Because they are our team.
But the team comes later, the products come first.
After that, the team comes...
Go and make your winning strategy.
- Sure. Thank you so much. Thank you. - Thank you.
If you're also a master of your skills like them,
then visit the PokerBaazi app,
download it, apply your strategy, and secure a winning hand.
Go and download the Pokerbaazi app now.
[theme music playing]
- Hello, Sharks! - Hello!
For the last many years, we've known
that the future is solar.
This is right because solar is clean and green.
But why isn't this future becoming our present?
The solutions are available in the market,
but the market is unorganised and there is no pricing standard.
The customer doesn't know where to go and what to buy.
Therefore, anyone can fool them.
But not anymore.
Because we bring to you
India's first one-stop solar app, Solnce.
Greetings, Sharks, I am Chintan Shah.
But now, Surat will be famous for solar through Solnce.
There is everything on this app.
Would you like to know your solar needs?
- It will be done. - Enter your electricity bill
in the solar calculator on the Solnce application
and your solar requirements will be ready.
Which panel should I buy? I am unable to decide.
We are here.
Multiple panel brands are available on the Solnce application.
And you can compare the price and quality.
...and that too with excellent quality.
Installing solar through our app is as easy as ordering pizza.
What now? After a one-time investment,
your electricity bill becomes zero for a lifetime!
Over the last three years, we've successfully solarised
more than 1,000 homes and 150 industries.
Our vision is to transform India into a solar superpower.
For this, our ask is
Rs. 1 crore for 1.5% equity.
Solnce comes from 'Solar' and 'Alliance'.
'A' is missing.
Yes! Pronouncing it...
How did you start Solnce?
I am a chemical engineer.
I did a lot of internships while studying chemical engineering.
We had to go to GIDC for an internship. Industrial zone.
There was a lot of pollution in the industrial zone.
People are unable to breathe there.
I didn't want to contribute to the pollution.
So, I started researching renewable energy resources.
Out of all the resources, I felt that
solar is decentralised and scalable.
Chintan, tell us about you.
Sir, we were in the same college.
I was his junior and he was my senior.
I graduated in electronics and communications.
There used to be elections in our colleges.
We used to work together during elections.
- And he... - Were you both politicians?
Yes...
I was the President of the Student Council in college.
- Wow! - Through election?
- Yes, through elections. - How many votes did you get?
- 72%. - Wow! Amazing.
Anyway, business is all about trade in Surat.
So, we were always business-minded.
When did you start? Which year?
I started in 2019.
Suppose I want to install this in my house,
tell me, what do I have to do practically?
This is the homepage of our application.
So, this shows the solar services we provide.
There's cleaning, maintenance, loan and new solar.
You have to click on new solar.
You can compare it.
Our team will get back to you in 48 hours and resolve your problem.
There are many big companies like Tata, Adani, Power Solar.
Reliance is also in this. I will trust them.
Why would I trust Solnce without 'A'?
Sir, basically, Tata and Adani are manufacturers.
They make solar panels.
- But they also have agents and direct... - Distributor company.
There will be a distributor or DSA.
Tata might have many distributors
who will get the same inquiry.
And you will get different rates from Tata.
Because the distributor who buys more material
will be charged something else.
Where do you fit in?
Between consumer and distributor or consumer and company?
We fit between consumer and company.
We do engineering and procurement.
- There's no distributor in that. - No!
The distributor is visiting.
No! The distributor is visiting for an installation.
In the bidding, only the implementation cost
- is being bid. - Yes.
- There is no other variable. - No.
Hold on! There is a serious channel conflict.
Because the distributor...
Tata or Adani has the distribution tie-up
with whoever is in their area.
- Now, you are interfering and disintermediating it. - Yes.
You are capturing the lead and going directly to the company.
Won't the distributor say,
'Stop this or I won't service this area.'
There is an MOQ. After that, you buy goods from the distributor
until you reach the MOQ.
Once your order quantity exceeds the MOQ,
the company supplies directly to you.
It's like buying a refrigerator on an e-commerce website.
They have installation partners for installation.
- Correct! But what is this? - They are buying the refrigerator
- directly from the company and selling it. - Yes.
Right! Correct.
You are basically...
- You can say integrator. - Integrator.
System integrator.
Did you create implementation partners for Solnce
or were they existing people with whom you tied up?
There were many existing solar providers with whom we tied up
and gave them a complete structure.
Till now, no one's solar journey
has been structured.
What percentage of solar energy is there in India as of today?
Ma'am, 89.4 GW has been installed.
It's not growing as fast as it should grow.
Solar is policy-driven.
The rules for the solar offset in each state
are different.
The PM Surya Ghar Muft Bijli Yojana initiated for residences
Could this be the problem?
- The CapEx or the upfront cost in this... - That increases.
That's a lot and hence, the user doesn't opt for it.
That's one of the reasons too.
The second problem.
During heavy monsoons, wouldn't you face a power problem?
Solar panels work during monsoons
and their production is about 30 to 40%.
Anupam, what also happens is,
when you generate excess energy,
you're even contributing to the grid.
How so?
- By use of bidirectional meters. - Okay.
Your current electricity meter is unidirectional.
Power comes to you from the grid.
Once you've installed a solar system,
your service provider will fit a bidirectional meter.
That way, energy can come to you and also be sent back to the grid.
Is the per unit cost post subsidy cheaper
or is solar energy cheaper even without a subsidy?
It's cheaper with a subsidy.
What if the subsidy is taken away?
Tell us what stage you're at now.
When did you start? What's the revenue?
What's your EBITDA?
- Do you remember all the questions? - Yes.
Sir, the company was registered in 2021.
Our sales in 2022-23 were Rs. 1.69 crores.
- Our sales in 2023-24 were Rs. 18.99 crores. - Oh!
And our year-to-date sales are Rs. 21.93 crores.
Your gross margin must be negligible.
No. The gross margin in the first year was 13.50%.
It was 10.7% in the second year.
And year-to-date, it is 13.7%.
Consider it breakeven. Next year?
1.7%.
And the current EBITDA is 8.9%.
Projected sales for the year?
We'll cross Rs. 100 crores this year, sir.
From 22 to 100!
Yes, sir. We have orders worth Rs. 60 crores booked.
- What are you saying? - Yes.
How much profit will you make?
Sir, 8 to 9% easily.
- EBITDA? - Yes.
You'll make Rs. 9-10 crores.
In Rs. 100 crores,
what's the break-up of residential and commercial?
20-25% is residential.
73-75% is industrial
and the rest is auxiliary services cleaning...
There are a lot of players.
The main...
As far as I understood,
you were out to solve the problem of residential solar system.
The process of buying for industrial is drastically different.
You did Rs. 19 crores last year.
What percentage of business came through the app?
- Because your app that you pitched... - Yes?
That is not your business right now.
Right now, ma'am, because...
It's your future hope.
- Yes, exactly. - Exactly.
The application will help us scale easily.
From all of India...
Got it, but its size is Rs. 2 crores.
Yes. That will grow steadily, ma'am.
Actually, ma'am, there was a lot we learned.
There were many differences in technology too.
We'll gradually start performance marketing
and try to get more business.
What part of Rs. 100 crores is the direct business from the app?
In commercial business, the standard ticket size
is Rs. 3-4 crores.
Once business is generated through the app, we get referrals.
Which MSME puts up a solar system costing Rs. 4 crores?
Rs. 4 crores is a big amount.
- That's not happening through the app. - Look.
In our 10-acre factory, the total CapEx was Rs. 8-10 crores.
Rs. 4 crores is a big amount for solar.
Nobody puts up a solar system costing Rs. 4 crores.
- People do. - They do, sir, and on a large scale.
We believe we'll double the current order value
within six months.
There are a lot of tile manufacturers
and all of them are MSMEs.
There are no organised players, sir.
The solar implementation companies in B2B
have a turnover of Rs. 1,000 crores
- in India already. - Yes.
- SolarSquare is a big company. Rs. 400 crores. - Residential...
Their forte is residential.
We want to cater to MSMEs.
As far as I understand, you want to cater to residential too
because the buying process of B2B
doesn't have that big a gap.
- And eventually, it's quite a price-conscious game. - Correct.
You currently save 9%.
If a cross-bidding happens,
a big company will go on the e-bidding platform.
Your bid will not have much relevance.
I'll get it even at 5%.
- I'll even get it at 3%, right? - Correct.
The MSMEs we cater to
- are one-man armies. - Rs. 4 crores is not...
We started with residential.
They had factories in Surat.
- Then they wanted it installed in their factories. - Got it.
They invited quotations from many companies.
Sir, even then, we gave them the best price
and our services were also good.
That's how we gradually moved from residential to industrial.
From industrial, we moved to ground-mounted solar parks,
- which is a vertical. - Got it.
We got into solar parks.
Even there, our rates were the lowest.
That's how we got the implementation.
Sir, those companies...
There's a huge gap in the industry if I'm being honest.
- No one's serving the long tail. - No one caters to MSMEs.
- You wish to be an organised service provider... - Correct.
With a service guarantee.
- Correct, sir. Correct. - Correct?
- 80% of your current business is commercial solar. - Yes.
What's your differentiation there with the competition?
Sir, ours is an engineering differentiation
where we provide cost-saving with engineering developments.
We have a substantial experience in the solar on-ground journey.
So, we know how to save costs without compromising on quality.
In commercial solar, which companies do you normally bid against?
None of the big companies are in the MSME segment.
Tell us about the market.
Coming to solar power consumption projects.
What's their size and growth?
- Sir, currently... - In your segment. MSMEs.
Sir, we want to build a company like yours
where Solnce is doing
the solar integration for all of India.
Do you have a size in mind that you think might be your ambition?
Rs. 7,000 crores.
- In what time frame? - Billion dollars.
3 to 4 years.
Why Rs. 7,000 crores? That's not even one billion.
- Rs. 8,300 crores, one billion. Unicorn. - Ah!
Unicorn!
Forget about the session with billion dollar, dollar and unicorn.
We want to go beyond that, sir. This is a benchmark.
- This is benchmark because... - Okay. Let's talk about revenue.
You said you'll make a revenue of Rs. 8,000 crores.
I believe your understanding of this space is exemplary.
So, I'll make you an offer.
Your ask is that of a B2C business,
that you're a marketplace and a technology platform
and the business will scale rapidly.
I think this is a customer funnel
and customer lifecycle management app.
This is still a business that you need to sell every day.
Such businesses are generally valued at 1x revenue.
I'm ready to invest Rs. 2 crores
but at a valuation of Rs. 20 crores.
Just... Clean deal.
10% equity.
- Sir, we'd like to hear the offers of the other Sharks. - Of course.
You spent the last three months making an app.
I think it was a complete distraction
because it solves the problem of only 10-15% of your business.
You don't need an app for lead generation.
That can be done online.
I feel that to achieve your ambition of Rs. 8,000 crores,
you think you need to build a brand and B2C app business
and you can feel the pressure of it on your shoulders
which is why you're investing your energy in these things.
So, I suggest that you rethink.
- For now, I'm out. - Okay.
- Best of luck. - Thank you, ma'am.
Well, um... Let's do one thing.
You want to build a big company.
I think you'll need to do multiple rounds.
So, without diluting your equity much,
I'll make you an offer.
[solemn music playing]
I'll give you Rs. 1 crore but for 3%.
3%.
But I want my investment safe
because I'm trading it off against equity.
Kunal has set your valuation already,
but I'm giving you a higher valuation.
So, I'll take 1% of your GMV as royalty
until I get 1x.
I have a slight concern.
It is that eventually,
the differentiation in this business is going to be limited
because the price compression will be high.
Of course, the differentiation can be built through execution
but not as big a differentiation as is required.
For that, either you build solar panels
or introduce some other differentiation
that will drive people to buy your products.
- I... - We're working on that, sir.
- Sorry to interrupt. - Will you make solar panels?
No, not panels.
By sending notifications through the application,
we can track the health of the solar...
You'll get a notification.
Suppose you have solar panels at your factory.
If the production is not optimum, you can't keep tracking it daily.
Through timely notifications and updates,
we'll keep the consumers engaged.
Once you become a customer,
you'll need a hybrid system after a while
with a lithium-ion battery.
We'll thus integrate our products and take this forward.
Okay, I'll make you an offer.
[solemn music playing]
I'll give you Rs. 1 crore for 5% equity.
No royalty.
I don't think you need to give any royalty, okay?
[laughter]
No problem.
I speak for myself.
I don't think you should give a royalty
or a 10% stake.
What's the use of spending so much? There's no need for it.
I'll make you a simple offer without royalty.
You decide what's best.
Rs. 1 crore for 3%, no royalty.
[tense music playing]
Aman, can we close this at 2%?
Fine, I'll make it 2%.
Think long-term.
- Build a Rs. 8,000-crore company. - I'm Aman.
- 1% is insignificant. - Who's Aman?
- I am! - Rs. 8,000 crores.
- I won't do it without royalty. - Keep one thing in mind.
I think many times founders
- take on investors for 1 or 2%. - I'm Aman.
But you see, skin in the game.
They should be highly involved.
The skin in the game should be so much
that if the company does extremely well,
it is needle-moving for them also.
Absolutely.
[music concludes]
I'm giving you a good deal.
Don't refuse. I'm neither taking royalty
nor do I want 10% equity.
This is your company. You should have most of the equity.
Then you'll buy it from me later, I don't want to get into that.
- 2.5%. - 2.5% is a fair deal.
Rs. 1 crore at 2.5%.
Do it.
- Deal done. - Done!
- [laughs] - Good job.
Yash also knew it, I also knew it.
- Good job. - Thank you, sir.
Please return my money.
[laughs] Sure!
[camera shutter clicking]
'With Aman on board, it'll mainly broaden our reach.'
He has built an online brand.
He already has the expertise of building an online brand,
and that will bring more people to our application.
We know how to carry on with the process that follows well
because we've done that day in and day out for so long.
Aman is energetic and so are we.
When our energies combine, it'll boost our sales
and with his help, we might achieve our target in three years
for which we have set a timeline of five years.
[up-tempo music playing]
[music concludes]
and that is beautifully depicted on our Change Makers wall too.
Through agritech innovations and renewable energy,
we're building a sustainable future.
We have with us today's Change Makers, Yash and Chintan.
- Welcome. - Thank you.
- How was the experience? - Amazing.
- Great? - We were very excited
as well as nervous, but it was fun.
You're doing a great job as this is the need of the hour,
the entire concept of renewable energy.
Not only are you encouraging a new way of living
through renewable energy,
but are also making it an accessible marketplace
by organising this unorganised sector.
The audience of our show wants to know
what changes can they bring about in their daily lives
to make their energy consumption more renewable and sustainable.
There are a lot of small changes that you can adopt
to encourage more sustainability in your life.
- For instance, use EVs and public transport. - Good, hmm.
And reduce the consumption of electricity
- wherever possible. - Hmm.
You can start with these small changes.
Secondly, our floors too,
with the help of perovskite technology,
can generate electricity when you walk on them.
- We can switch our floors too. - Hmm.
New technology is available but it has to be adopted
to bring sustainability into our lives automatically.
You are bringing about an imperative change
just as ACKO, with its revolutionary offerings,
is changing the insurance landscape.
Don't make haste.
Take advantage of ACKO's health insurance benefits
such as 100% bill payments and a zero-waiting period.
The sooner you get insurance in life,
the lower your premium and the greater the health cover.
We wish to appreciate your change, sirs.
- Thank you. - We wish to give you a gift from Shark Tank and ACKO.
Thank you.
[music playing]
[camera shutter clicking]
'Shark Tank India co-presented by ACKO Insurance,'
'PokerBaazi and Swiggy Instamart.'
'Co-powered by Adani and Jaquar Bath & Light,'
'and partners Rayzon Solar, ICICI Direct and Lenskart.'
Oh, Born Good!
I have Koparo.
Very nice. Koparo is sweet...
Is doing so well.
Koparo's competitor.
[theme music playing]
[theme music concludes]
- Greetings, Sharks. - Greetings.
Sharks, we are gathered here today
to pay our respects
to my most favourite green
who is no more...
[chuckling]
Green!
It has been two years since it left
and I honestly still can't process this news.
After all, it was so young.
[laughter]
In all seriousness, Sharks,
you often hear stories
- of how soon our clothes fade. - Hmm.
But we never stop to think about why this happens.
I found out that the main reason for clothes fading
is the harsh chemicals of laundry detergents
like LABSA,
which is also known as Acid Slurry.
Not only does this toxic chemical rob our clothes of their colour,
but it leaves behind a toxic residue which is very harmful to our skin.
Regular cleaners, with which we clean our homes daily,
along with cleaning,
cause a lot of harm to our health.
I could not bear to see this
and that is how Born Good was, well, born!
[music playing]
At Born Good, we make
high-performance, innovative and plant-based home cleaners
using alternative ingredients
like coconut extracts,
we have novel products.
For instance, our Colour Protect Liquid Detergent,
Tablets and Concentrate Cleaners
that use minimal packaging, energy and water.
Sharks, home is a place
where we ought to feel the safest
but they've now become real danger zones.
Green's death was merely a warning.
If we do not take action,
our skin, homes and planet
will soon be in the danger zone as well.
We've sent 1 lakh households to the safe zone yet,
and our target is to be in 15 lakh homes
in the next three years.
For that, our ask is
Rs. 70 lakhs in exchange for 1% equity.
All right.
Hi, Mohit.
Hi! Hi...
A warm welcome to you and the late green on Shark Tank.
Um, tell us about yourself, Mohit.
I'm from Bengaluru, sir.
I come from a family business background
where we manufacture textile auxiliary chemicals.
The people into garmenting
have a process that goes through a wash process.
We make products like enzymes,
wetting agents and lubricating agents.
For that, we used an innovative amino silicone softener technology.
When my clothes would fade, I would just send it to them.
They would perform some magic and send it back to me
and it would look very new.
So, from there, the idea sparked.
I worked in my family business for about 14 years.
During that time, in 2018,
I decided to start my own journey.
After extensive research,
I saw that in the West too,
there were a few brands doing something similar.
I was motivated to start this brand Born Good, sir.
When did you start sales?
2020-21 was the first year.
- Four years. - Yes, sir.
What about education, Mohit?
I studied in Bengaluru till high school.
Then from 2001 to 2005,
I did Computer Science Engineering from the US
and in 2010-11, I did my MBA from INSEAD
- which is in France and Singapore. - Singapore.
After I returned, I was in the family business.
- I wanted to build my own legacy. - Okay.
What do you make exactly?
Foam cleaners are mostly divided
into three categories as you can see.
The biggest one is clothing care.
The core function is to remove stains,
give a fresher feel.
Fabric conditioner, which lends fragrance to the clothes.
The second is household cleaners.
The two preservatives we use are 100% natural.
Sodium ben...
Potassium benzoate and sodium perborate.
- or more? - No, sir.
Why doesn't everybody else use it?
Coming to big companies.
To better a product
is not really in their DNA, in my opinion,
for them to go down that route.
They manufacture such high volumes.
If any change is needed,
it might take months if not years to get those approvals.
Got it.
[music playing]
- Floor Cleaner, in the middle. - This one?
- The fragrance is really good. - Okay.
Your packaging is really attractive.
It gives me the feeling I'm about to get a bottle of pista milk.
[Anupam laughs hysterically]
- Mohit, drink it if it's so natural. - 100%.
- Can you drink it? - I'll do a shot.
- Which one? - I'll do a shot.
[light-hearted music playing]
Whereas the communication at the start of the pitch was
- that it takes the fading away. - Yes, sir.
These are two different propositions.
They are connected, sir.
Because our ingredients are natural
and because toxic chemicals play the biggest part
in fading your clothes,
being 99% natural helps
- in preventing fading. - Let's say there are three brands.
- Another brand came on Shark Tank last year. - Hmm.
Or are you targeting the problem of fading
where you claim your detergent can prevent that?
Sir, to be honest, our competition is these big brands
like Surf, Ariel or Rin.
If we consider our core differentiation with Koparo,
the biggest differentiation is
that our DNA contains innovation.
My dad still runs a textile auxiliary chemical plant
where we do manufacturing
alongside R&D and innovation.
This is quite a price-sensitive market.
So, to combat the price sensitivity,
we have launched very economical and convenient formats very recently
like these Laundry Detergent Tablets.
Take Surf for instance.
On average, their price is between Rs. 230 to 250.
And Rs. 230 to 250 is for how much? One litre?
- For one litre, sir. - Okay.
And for one load, you'll have to use 60 ml of their product.
So, you get approximately 16 loads
- and the cost per load is roughly Rs. 13.5. - Got it.
Born Good's Fragrance Detergent,
which is our fastest moving product,
the average selling price is Rs. 269
but that is 40 ml per load.
So, you get 25 loads.
And it works out to about Rs. 10.3 to 10.4.
So, the customer actually saves money.
Basically, you're saying,
the other brands fall in the premium category.
- You're fighting in the economy segment... - Yes, sir.
By making natural and better products.
Let's assume I go to a supermarket as a customer.
- They have Born Good, The Better Home. - Hmm.
Two companies in which I'm an investor, Koparo and Beco,
are there as well.
Why should a customer pick Born Good?
The ingredients used in it are great.
We have certifications, unlike Koparo and Beco.
Our fragrances are very unique
and all our products are minimum 96% biodegradable.
- What did you think of it? - She did a good job.
Two people, unfortunately, didn't get on board in Koparo,
three of us did.
So, if three of us want to invest in Born Good,
except for the fact you have R&D,
your parents are in this business and you have an understanding,
why would we invest?
We offer a product range which is more economical.
- First point, you're cheaper. - Yes, sir.
- Second? - I feel we've grown in a more capital-efficient manner.
We've raised Rs. 5 crores till now and still have money in the bank.
We've reached Rs. 70 lakhs net revenue last month.
their raise was three times bigger than ours
and so was their burn.
I genuinely feel we're more natural.
These are the core differentiators that we have.
The numbers will tell the rest.
[Sharks laugh]
- This is a competitive category. - Yes, sir.
You started with a differentiation too
- which I understand exists... - Hmm.
But it is not like someone else wouldn't be able to do it, right?
- Eventually, it will be about execution. - Yes.
Tell us your numbers.
Our first full year was 2021.
Today, we're a very digital-first company.
We're focusing primarily on D2C and marketplaces such as Amazon.
We've just started our quick commerce journey
primarily, due to burn in performance marketing.
What is your marketing percentage as a revenue?
41% of the net revenue is performance marketing.
41% performance marketing at a Rs. 10-crore net revenue scale
means something is not working.
The consumer doesn't want to buy. Why is that?
We do marketing on Meta and Google to drive traffic to our website.
There, it's a little over 50%.
The growth will be higher there.
Even if you're doing it on your website,
a lot of brands that come here
whose CAC reduces over a period of time through repeats,
yours doesn't seem to be reducing. It's holding right up there.
We are still focusing on acquiring new customers.
- Let's do the unit economics once. - If you take the repeat...
That ought to make the picture a bit clearer.
Can we just go through the unit economics?
So, for April to September of this year,
if our net is 100,
our cost of goods is 36%.
The gross margin is 64%.
That makes our cost of selling 34%
which encompasses payment gateway, logistics
and trade margins of marketplaces.
- Does it include shipping? - Yes, it does.
So, the CM1 is 30%.
41% performance marketing.
So, we are -11% on CM2.
Go on.
The remaining expenses are 28%.
What does 28% include?
Sir, it's mainly salaries, platform fees and rental.
But 28% is still high.
28% is encompassing,
- as I said, salaries. - How much are the salaries?
Rs. 9.5 lakhs.
- Per month? - Per month. Yes, sir.
What are the sales from the website and Amazon?
38% from D2C and 48% from Amazon,
6% offline and 9% is the other channels.
We have some B2B sales.
Long tail marketplaces like Big Basket, FirstCry and Flipkart.
That encompasses the 9%.
How much money do you have in the bank?
Sir, about Rs. 1.5 crores.
- That's left? - Yes.
And working capital?
The working capital is about Rs. 33 lakhs.
In every product,
you're losing Rs. 11 for every Rs. 100.
So, the more you sell, the greater your loss.
If I talk about retention,
suppose our revenue for M0, month zero,
is Rs. 100 from new customers.
Till M6, we get Rs. 55 already from those same customers.
And till M12, it becomes about Rs. 82.
But the same 55 customers that were repeats,
55% till M6,
their CAC must have also been very high.
Not very high, ma'am.
- 55% revenue coming back in six months is very good. - Hmm.
But that doesn't tally with your performance marketing of 41%
because it can't be that high.
Actually, the reason is
our first-time acquisition
is the one that has been going up more.
Our repeat acquisition has always been very steady.
Less than Rs. 50.
We market over email, WhatsApp or texts...
Don't you do retargeting via Meta?
We most certainly do.
That's the major expenditure...
What's your new customer CAC versus repeat CAC?
Our new customer CAC is about Rs. 670
and repeat is less than Rs. 50.
Rs. 670 for what AOV?
About Rs. 640.
Oh!
Is this your main product?
- Laundry? - Liquid detergents.
This is the major share of the revenue.
What percentage?
Detergents is 33%.
Let's take a few top brands,
new-age as well as legacy.
How much do they cost the customer per load?
Could you tell us that?
Ours is Rs. 10. Surf's is about Rs. 13.
If you take new-age brands,
it is about 5-6% premium only.
Let's name specific brands.
than... Let's forget Surf. Than new-age brands?
- Yours is Rs. 10. - Hmm.
You said Koparo's is Rs. 13 or 14.
Koparo's detergent sales and overall sales are way higher
compared to Born Good,
- but we are... - Even if your price is low,
their sales are higher!
At their price, they are a little bit higher
but it's also a factor
of marketing spends at the end of the day.
You didn't quote the numbers of one brand
which I'm very surprised.
I asked you about Beco.
Their monthly sales are Rs. 10 crores.
I'm very surprised you don't know the numbers.
You don't know or you don't want to tell?
I know that number is lower.
I've heard it's this but I don't have the exact number.
But to my knowledge, they are maybe
lower than a regional brand as well.
Is that the issue?
That you're somewhere in the middle?
Neither are you an aspirational brand like Koparo
nor a budget-friendly one.
Just somewhere in the middle.
We're neither that nor this.
Frankly, sir, this is the first time I'm hearing this perspective
and I think it is insightful.
So, I'll also have to think, are we stuck on this?
Look, Mohit.
Your branding, positioning and packaging are all good.
Then what's causing the product-market fit issue?
I'm not clear about that.
However, I clearly see one challenge
and that is your go-to market.
And your go-to-market is absolutely wrong.
For a customer
on whose CAC you spend Rs. 650
for an order worth Rs. 650,
it effectively means you're giving the customer your product for free.
To the one lakh people who you've sold orders to,
had you distributed your products for free
and if your 55% retention would have held,
then your hit or the losses you incurred
would've been far lesser
because only your COGS would've been hit.
Your cost of making the first sale
is absolutely unsustainable.
You'll really need to rethink.
Either you'll have to base your entire business on quick commerce
or do it offline,
but with this first order value, it does not work at all.
So, I am out for now.
- Thank you. - Best of luck.
Thank you, ma'am.
You have an MBA from INSEAD.
What's really going on?
It's very hard to make money at the pace you're going.
- Sir... - What is your plan?
You'll exhaust that Rs. 1.5 crores very soon.
- If you go back a few months... - Yes.
Our website's contribution was higher than 38%.
What Vineeta said, we're understanding this.
Just getting eyeballs on Meta and Google
is proving to be very expensive.
Amazon's contribution was lower,
but we're seeing less friction there.
So, we're focusing more on Amazon now.
We feel this is a quick commerce brand
at least for the next 12-24 months
and in the long term, offline.
So, the unit economics will get better.
No, I understand that.
If I just look at the last two years,
it's not like your numbers increased 4 to 5x.
That you know, I can accept
that your cohort of first orders is so huge
that it will make up through renewals
because your CAC is much lower.
In the first three years, you grew by 20-30%.
And after that, perhaps, you're doing double per year, right?
We've doubled in the last 2-3 years,
but to address your point,
we haven't raised that much capital either
at least compared to some of our competitors.
If we talk about Koparo...
- No, but you could have done that! - Yes.
That's not a bad thing.
- That's not a problem. - It is not like,
"I didn't do it, so I'm allowed to make mistakes."
- I see your point, sir. - You...
Do you want success
or do you want to be a small business
with the highest ROCE, return on capital employed?
I get what you're saying, sir.
Why didn't you raise more investment yet?
We are in the process now. We're just getting started.
Why do you think you can raise at this stage?
What is the size of the round you're looking for?
We have to raise around Rs 12 crores to Rs 14 crores.
- I see. - That's the amount
- we need to raise. - What's the valuation?
Sir, I've asked Rs 70 lakhs for 1 per cent.
So, our expected valuation is Rs 70 crores.
Why is that justified?
In the next few months, we will reach Rs 1 crore net.
If you take a multiple of 6x, it's around that number, sir.
- 6x? - Yes, sir. 6x revenue.
Tell me, what is the revenue of the new-age brands?
Where are you standing in the order?
Beco is probably the highest
with about Rs 8 crores or Rs 10 crores net.
Koparo reaches around Rs 2 crores to Rs 2.5 crores,
but you know better.
We are the next ones.
No. He has missed a company.
The Honest Home Company is earning Rs 5 crores monthly.
Liquid detergent.
What is the first result for liquid detergents?
We'll be in the top four, sir.
Do you have your website? Can we check the marketing?
We can open the website, sir.
This is our homepage.
It is a winning construct for us.
We prefer that first-time customers
purchase two or more products
to experience more.
This is one of our fast-moving newer products.
In the first three to four pages, you've only shown
20 per cent off, 30 per cent off, two for three
- or buy three for Rs 699. - Yes, sir.
So, all I see is,
'Come to me if you want to purchase things for cheap.'
- This is what works in India, sir. - That is true.
The first startup I was involved in
was a detergent startup when I was in college.
Since then, I have had an immense love for laundry detergents.
Whenever I go to supermarkets around the world,
I check the laundry aisle.
I was interested when you came.
But this business is stuck in a weird place right now.
If you want to succeed online,
you must raise prices
to create a larger margin
that covers the rising advertising costs.
Only then will you be CM positive.
Otherwise, the money you raise will be over eventually.
Our second choice is to become an offline-first brand.
We have to drop the price for that.
But this price itself doesn't give us a margin.
So, the margin will decrease upon lowering the rates.
The contribution margin will go further negative.
So, this brand is stuck in a no man's land.
You need to think deeply about it.
How can we fix the unit economics?
Or how can you strengthen your value proposition
for the customer
so that he will let you make money and a margin at this price?
I am out today for these reasons, but I wish you all the best.
Mohit, we spoke about brands.
You dismissed a few and didn't know about others.
These are all very hungry founders who are ready to do anything
to set their cap correctly
and run a business of Rs 20 lakhs to Rs 40 lakhs.
So, who knows who will emerge?
After that, I still didn't understand
why it took you four to five years to realise that
D2C should be your brand store.
These other established channels
will help you set a margin if you find a PMF.
Then, I come to valuation. Rs 70 crores!
You think this round will work without issues because
your business has expanded. But how has it expanded?
By giving away free products!
You said you wanted to create a legacy.
Are you so emotionally attached that you can't see the truth?
You're using words like capital-efficient,
cheapest or plant-based,
but that is not the consumer's perspective.
So, shift that a little.
- Look at it from the user's view. - Sure.
- Don't look at it as Mohit Belani. - Sure, sir.
For those reasons, I'm out. Good luck.
Do you know the problem in your business right now?
I partly agree with sir.
Product-market fit, helping with pricing,
building the right team,
and I'm a little emotional. So, there are a few problems.
- You are willing to correct them. - Definitely, sir.
I'll tell you where I am stuck.
At some level, people deserve a chance.
You've come up with a good product.
Many things are good. Not everything is bad.
The issues do not concern the product-market fit.
- The issue is with marketing the product. - Okay.
- Right? You've not communicated what's essential. - Right.
What disappoints me
is that you're not going deep into the numbers.
You don't have a hold on the numbers.
I have a hold on it. You may ask me, sir.
Okay. Please tell me your detergent business revenue
for last year and this year
and your marketplace revenue for last year and this year.
- Quickly. - Okay.
I don't have the specific numbers.
It's a 33 per cent market share of Rs 70 lakhs.
So, about Rs 21 lakhs was last month's detergent business.
It would have been less than Rs 7 lakhs a year before, sir.
- You need to get that depth a bit more. - Sure.
I am out.
- But get on this. You can do something terrific. - Thank you.
Mr Born Good!
When Simran came here with Koparo,
she got five offers. Instead, she got three offers.
She didn't even hear Peyush out and closed the deal.
Let me tell you about yourself.
You are Born Good. Agreed! Brand? Very good!
I like the brand, positioning, colours and the category.
Your price point is also good.
Do you know the difference there?
When I asked about Simran, Koparo or you,
the founder there is better than you.
She came. She impressed. She got offers.
Even now,
the investors are betting on her.
She has term sheets today, as well.
It doesn't matter if you're capital-efficient.
But her execution is way better than you.
Learn from her. What does a founder need?
Hunger! We don't see it, man.
- Don't be discouraged, man. - All the best. - Keep at it.
I didn't compare.
The comparison was a bit extra, in my opinion.
The founder should've had a chance to explain his business first.
But people became emotional as they have invested in the category.
He, too, got nervous because only Koparo was being discussed.
But such it is. What can we do?
If this man comes again, I will again ask him about Koparo.
I'll ask him several times.
Something is wrong with a man who doesn't want to talk
about someone who has come here, and India has watched her.
There can be four chip brands. I don't care if I like the category.
I would've invested if he was good. I don't have a problem.
I felt something was wrong with him.
I will compare it with Koparo again.
I feel the founder was not a market fit.
The founder didn't have the impact one should have in this category.
Asking for comparison is fair.
Three out of the five judges were investors there.
So, they know a lot about this category.
Genuinely, the sharks are here to help every brand.
Irrespective of whether or not they've invested in the competitor,
they want to do good for the person pitching.
I take their words at face value.
There are a few things we can implement.
- Hello, Mohit. - Hi, Aashish.
- How was your experience? - Too good!
Was it good? Did you get good feedback?
I received valuable feedback.
I had heard things,
but everyone was kind.
They gave me logical feedback.
Very nice. I appreciate you taking this positively.
I saw your pitch.
I loved your products.
- Thank you. - I will use them in my bathroom.
I want to set a vibe in my bathroom.
So, I opened Swiggy Instamart and ordered essential oils,
essential oil diffuser and some towels.
Look. It's here in ten minutes.
Thank you so much.
I just remembered that I should have ordered speakers to set the vibe.
That sets the vibe well.
It enhances the vibe, for sure.
I think you should also order a plant with it.
That's the spirit! That's called giving and taking feedback.
Okay. I'll order a houseplant and some speakers.
- It'll come in ten minutes on Swiggy Instamart. - Super.
What are you waiting for?
Open Swiggy Instamart and order whatever you want. Order now.
'You will get movies, web series'
'and many other things in our national languages.'
'We've created more than 300 hours'
- 'of original library in Haryanvi and Rajasthani. - Wow!'
'We ask for Rs 3 crores for 1 per cent equity.'
'Jeez!'
'Where did the number of Rs 300 crores come from?'
'We have prior funding. We've taken money in three different rounds.'
'What will you do by taking money from us?'
'It won't make a difference.'
The founders with us today
not only created their startup on this belief system
but also gave entertainment a new signature
and a platform for the Indian languages.
'India needs people like you.'
'Namita, Aman and I would like to come'
'for Rs 1.5 crores for 0.6 per cent equity.'
'The remaining Rs 1.5 crores will be debt at 18 per cent.'
'That's our offer for you.'
- 'Deal done. - Deal done.'
- Congratulations! - Yes!
Hello, and welcome to Adani presents Beyond the Tank.
Adani celebrates every Indian's go-getter spirit.
In this special segment, we talk to the founders
who turned their dreams into reality
through their success and hustle.
So, let's see their go-getter journey.
We have the founders of STAGE, Vinay and Shashank, with us.
Thank you for having us, Aashish.
You finalised a deal on Shark Tank with a valuation of Rs 250 crores
and found three marvellous investors.
How did you celebrate that day? Could you sleep?
We couldn't sleep that night out of the excitement.
It was a day of closure.
What happened was beyond our imagination.
At that moment, we didn't realise what had happened.
We spoke on this nation's most prominent platform.
After that, we walked on the streets of Mumbai all night.
- The ocean seemed different that night. - Exactly!
Bombay seemed different.
- We went to the Taj. - We went to the Taj.
We drank tea there and relaxed for more than a couple of hours.
That was a night of reflection.
How did your parents receive it?
I'll tell you what my father did.
He organised the screening of Shark Tank on the main square
- on the day it aired. - What are you saying?
He put up a vast screen
and invited people. People watched it there.
This is what Shark Tank is all about.
Let's call the ones who gave you the deal.
- Yes. Let's have them. - Yes, please. We'd love to.
Oh!
Shashank, how are you? Vinay!
- Hi, Shashank. Good to see you. - It's good to see you.
What's going on?
Movies are going on.
How many movies do you have now?
- Our platform's content lasts 700 to 800 hours. - Wow! Fantastic!
You have a high renewal rate, too.
70 per cent quarter on quarter.
That proves people are enjoying your content.
It means we invested in the right place.
I was waiting for it.
You've reached Rs 600 crores. Awesome!
It must be a great feeling.
Shark Tank gave us closure.
An Indian OTT player can grow big.
We didn't expect it, but we bet on it.
However, the numbers prove
that regional content can have an OTT player.
Thank you. Thank you for helping.
- Proud of you. - Nice meeting you guys, and do well.
Earlier, you guys were known as the WittyFeed guys.
After coming here, that changed to being the STAGE guys.
It definitely changed.
In the last two years, whenever we have interviewed a candidate,
one obvious question is where they heard about STAGE.
One hundred per cent of the time,
the answer has been they saw a pitch on Shark Tank.
It's a very proud thing.
I think it took a lot for us to be called STAGE founders,
and not WittyFeed founders.
At one time, so many OTTs came in,
there was a boom, and they kept growing.
In such a cutthroat market, how are you able to sustain yourselves?
There are two things, content and tech.
These are the core pillars that have helped us sustain
and now become profitable.
We create content at a very low cost.
It's hyperlocal and vernacular which is the most important piece here.
I think this has been the difference that has made us profitable.
We became the only OTT in the country whose founders people know,
whose story people know.
So it became easier for them to trust the product.
And then, we brought in Neeraj Chopra as the brand ambassador,
adding another layer of trust.
And today, we have grown 60 times in terms of revenue.
We'll be doing roughly 15 crore rupees this month in revenue.
Our content has had
a colonial hangover for a long time.
When content is made in a certain language or region
it is shown in a certain way.
Only grassroots aspects are shown. What is your vision for this?
In our country, people are made to feel inferior
just for speaking their own language.
When we onboarded Neeraj Chopra
and launched our first brand campaign,
our campaign was about embracing who we are.
That's our entire vision in one hashtag.
Which means that just the way you are, you are great.
If you are Haryanvi or Rajasthani, take pride in your culture.
And that's what we are trying to build with STAGE.
Our vision has evolved into... that STAGE is a revolution.
It is about giving validation and celebration
to people's socio-cultural identities.
Have any other celebrities shown interest in your content?
One name I can reveal is Yashpal Sharma.
We have already created three pieces of content with him on our platform.
Two are under production and will be released soon.
Much bigger names and stars
will be seen on STAGE very soon.
Where does this grit come from in you?
You fell, got back up,
and are now reaching another big milestone.
Our simple belief is that
there is no more powerful medium than content for mass influence.
One company shut down,
but stories didn't stop scaling.
The impact of stories didn't stop.
So we said, okay, one shut down, we will tell stories again,
but in a different way this time. It's as simple as that.
That is what drives us.
When the reason is right, every day feels fun.
- You are not chasing a destination. - Yes.
You are enjoying every day. Making movies and seeing the impact daily,
talking to users daily.
Then it's about the journey, not the destination.
I think the motivation is very different.
By tripling your valuation and bringing regional languages
into the mainstream, you have given STAGE a new identity.
And that is why we want to honour you
with a special place in the Adani Hall of Achievements.
This is our Adani Hall of Achievements,
where we cover successful founders like you.
How does it feel to relive these moments?
There is a lot of nostalgia.
We're the second batch of Shark Tank entrepreneurs.
So coming back feels great.
[lively music]
Hello and welcome to Ask the Shark.
Once, he was coughing at home, his family said he was talking too much.
We have with us the co-founder of Snapdeal and Titan Capital
and the promoter of Unicommerce E-Solutions, Mr Kunal Bahl.
- How are you, sir? - I'm good, Aashish. How are you?
First class, sir. Meeting you gives me a lot of positive energy.
Anyway, let me ask today's question.
Today's question has been sent by Anushka Nihalani from Bhopal,
who is 31 years old.
...that actually originated in the US, in Silicon Valley,
- from a fund called Bessemer Venture Partners. - Okay.
It's a very old and large fund.
They were the ones who coined the term 'anti-portfolio.'
These are the companies that an investor had the opportunity to meet...
...about the great companies they had met
but had chosen not to invest in, which later became massive.
See you next time on Ask the Shark with a new question and a new shark.