[music playing]
[music concludes]
[theme music playing]
- Anupam, this cushion is better than the other one. - I know.
This is from Trajectory, guys.
Once they leave, take the cushions.
- Permanent. - I guess we'll have to.
Actually, this cushion is pretty nice.
[theme music concludes]
Greetings, Sharks.
- Greetings. - Greetings.
By God's grace, you have everything.
Money, fame and dignity.
What you don't have is comfort.
Where do you get comfort?
Hey! I guess you didn't read today's newspaper!
With Trajectory, everyone will get comfort with ease!
Lovely.
Trajectory is a lifestyle brand
whose comfort products make your life better.
Sharks, do you like to travel
but because of not getting enough sleep,
you end up spending more time being lethargic
than enjoying yourself?
Worry not.
Use Trajectory's neck pillows
and focus on your family trips
- with ease! - With ease!
Sharks, do you want to invest in the next unicorn?
But is sitting on those seats for hours
shifting your focus to body pain rather than the pitch?
Then use Trajectory's chair cushions
Normally, comfort products are either functional or aesthetic,
and if they're both, then they cost you a bomb!
But Trajectory goes easy even on your pockets.
It took us five years to master comfort and build Trajectory
and today, we're present on all major platforms and at airports.
that comfort is necessary to find their trajectory.
But to take this comfort across India with ease,
we need your help, Sharks.
This is why two terrific boys from Delhi,
I, Raghav Mahajan...
And until we close this deal,
use Trajectory's comfort products
- and decide with ease. - With ease!
Raghav! Himanshu!
Welcome to Shark Tank India Season 4.
- Yes, sir. - Thank you, Anupam.
Absolutely, sir. Then we'll make the pitch with ease.
Can I give you my first reaction?
Yes, sir.
You might feel bad.
We'll take it with ease.
What have you brought and why are you here on Shark Tank?
These are such commoditised products.
You get them everywhere. At the airport and even online.
Sir, firstly, you mentioned airports.
Only we are present at airports.
But am I wearing a Trajectory neck cushion?
No one would know that.
Number one, this isn't a shirt or pants
where you have manufacturers in every alley.
The industry has specific manufacturers only.
Now coming to most of the brands,
we manufacture products for them.
We believe that Red Bull does sell a good energy drink
but they focus on energy rather than the drink.
Similarly, Trajectory focuses
on giving you superior comfort products
but we want you to focus on all that during your journey
rather than the discomfort.
We wish to take this message to all of India.
And that is where we feel Trajectory is more than a commodity.
Your business needs to be studied to be understood,
but no matter what tactic you use, it isn't going to work.
I think these comparisons with Red Bull and all
are absolutely...
Baseless.
May we show you the products first, sir?
The products are on our seats.
It's great. The product is very good.
It always surprises me.
Very unique. It feels like...
It wouldn't occur to anyone to make neck and back cushions.
How did your journey begin and how do you know each other?
Sir, it's a largely fragmented market
for instance VIP or Sleepwell.
They treat it as a subcategory kind of product
and they do not give proper attention
to comfort accessories particularly.
- So... - I always say
that these products are treated like stepchildren
but we consider them the Salman Khan of the film 'Baghban'.
Our journey started in 2018.
We both did BTech from Delhi Technological University.
He was in the mechanical section and I was in the chemical section.
A long weekend was approaching.
And like every Delhi lad, he asked me,
"Where to, brother?"
The mountains are calling.
Then again...
I said, "Let's go to the mountains if they are calling."
- So... - Do you have a community that travels to the mountains?
Sir, he completed a 4-hour trip in 7 hours,
but at least he did it.
So, I believe that every founder is first a consumer
who is facing a problem.
What problem did we face?
We visited Amazon as we needed sleeping bags for camping.
Every time we visited Amazon,
we got products with ratings of 3.5 or 3.7.
The ones with a good rating were priced at Rs. 3,000 back then.
So, we bought cheap sleeping bags.
We reached the mountain, finished the trek,
set up camp and saw the stars.
When we woke up the next morning...
This camping sleeping bag you see is six feet long.
It is stuffed into a tiny bag.
We both folded it and tried to put it in the bag
and the sleeping bag ripped.
We decided to solve this problem.
Because we're product development engineers,
we designed a sleeping bag.
Now, the question that arises is, will it last?
- Then... - Does the story ever end?
Sir, the story is very long. We've had many stories in 5 years.
You enjoy narrating stories. End it quickly.
- All right. - What happened then?
After a month, we launched our sleeping bag on Amazon.
And within a month,
we were the bestsellers on Amazon in this category.
And sleeping bags.
Do you have only three products?
What are you selling?
The first category is travel comfort in which we have 9 SKUs.
Sir, our comfort operating officer, COO, will answer that.
You've rehearsed these lines you keep throwing at us.
I love the passion,
but the jokes are not landing, my friend.
- We're trying, sir. What can we do? - [laughter]
Just be yourself.
Just leave that, it'll unnecessarily harm your pitch.
Sir, in the last five years,
we have done trial and error on multiple fabrics and foams.
Each one has an intended purpose.
The air mesh fabric supports breathability.
whose durability is long-lasting
and the feel it lends is so luxurious.
It also comes at an affordable price.
Don't they give such a feel?
In the last five years, we have garnered 30,000 reviews
and served 10 lakh customers.
Sir, in the best-seller category...
I mean, best sellers and...
Are you number one revenue-wise?
Actually, the thing is, this is not the primary product of such brands.
- They... - No, in this category.
In this category,
is your revenue and volume the highest in the market?
Sir, we are definitely growing. We...
Answer in yes or no!
- In yes or no. Okay. - Don't beat around the bush.
Peyush advised you it'd ruin your pitch.
Why do you want to do that?
Give a direct answer.
- Are you number one or not? - No.
Who's the number one player?
Sir, we can't name any one brand
because, again, their revenues are distributed
among their primary and second categories.
But someone must be number one in this category, my friend.
There's Wakefit. Their turnover is Rs. 800 crores,
but they're into overall home decor.
How much would Wakefit be doing in just your category?
- Let's take another brand that operates in our category. - Okay.
Let's talk about Frido.
Their last year's turnover was Rs. 25 crores.
And we're tentatively at Rs. 15 crores.
- Wow! You're doing Rs. 15 crores a year. - This year?
- Run rate? - Our target is Rs. 15 crores.
How much did you do last year?
Rs. 6.2 crores.
- You'll do Rs. 15 crores this year. How? - Yes.
Sir, our trailing sales for the last 12 months are Rs. 8 crores.
Sir, we don't save anything.
Trajectory's hunger devours all the profits.
Where do you invest that money?
Working capital and inventory.
'Working capital.'
'The funds available to a business'
'to run its day-to-day operations seamlessly'
'is known as working capital.'
'Working capital is of two types.'
'Positive working capital and negative working capital.'
'Positive working capital entails borrowing funds from the market.'
'By contrast, negative working capital'
'is where you need to pay off liabilities.'
'So, first, you get money from the customers'
'and then, you pay to the market.'
'Sharks always try to invest'
'in working capital negative'
'or low working capital positive businesses'
'so that when the business grows, it doesn't require too many funds.'
Do you sell everything online or offline as well?
Ma'am, we sell online also.
And at airports too.
What percent is online and offline?
If I talk about online, Amazon is 57%.
Quick commerce is 32%.
- Airports and corporate gifting are 11%, ma'am. - Okay.
So, do people search for Trajectory online
or perform a generic search?
When we look up Trajectory,
- it's our competitors who use our keywords. - Okay.
- Now... - Sir, it's a neglected thing.
It feels like you're beating around the bush again.
It's a normal question. Search keywords.
Is it branded or generic?
In neck pillows, we're in the top two or three.
In car headrests also, we're in the top one or two.
We just got into hip pillows. It has only been six months.
In six months,
we are generating an 11% revenue in the office category.
- What's your best seller? - Neck pillow.
- Which one? - I'll get it for you.
- Travel pillow, right? Bring it. - Yes.
Let's see the product.
- Sir, play into nirvana with ease. - Okay.
[light-hearted music playing]
What percentage of your sales is this?
- So, people are buying this for the low price. - And high rating.
With a high rating.
What's your rating?
Sir, 4.2 for this product.
Is this pillow's comfort attributed to something special
which other pillows don't offer?
Everything can be copied
but we keep everything plain.
For example, memory foam.
Are virgin chemicals being used in it or are additives?
So, we focus on giving the customer an experience
and hence, use virgin chemicals that too...
Suppose I go to the market and buy neck pillows of five brands.
Will your comfort be best out of all five?
Absolutely. It goes without saying, sir.
Let me give you an example of the small changes we make.
If you look at this neck pillow,
- we've given a cord lock design. - This?
The other competitors normally affix a button.
Here's what happens.
Every person has a different neck size.
With that button,
either it fits your neck or it doesn't.
So, customer returns are higher
and ruins the customer's experience.
We, on the other hand, give a cord lock design.
If your neck is broad, you can loosen it.
- Or tighten it as per the size. - Understood.
Doesn't your logo resemble that of Tesla?
That's true.
Sir, if you look closely, you'll see an inclination in the T.
[Sharks laugh]
What a guy!
I think your focus on the product is very good.
Unfortunately, you didn't focus on the brand.
Like Ritesh said, your logo is a little...
And because you come from Havells, the white and red...
You seem to be inspired by them.
Work on the branding and the product
because I feel that every product without branding is just a commodity
and you are right now, just a commodity.
Because you're not focusing on that right now and just the price...
And even when I asked you, your focus was more on the price.
Unfortunately, I cannot join you.
Let me add to that, sir.
Our focus isn't on the product either.
Our focus is, no matter what you do in life,
do it with passion.
You didn't talk about passion!
Sir, the modern-day customer is beyond just the basic needs.
They want 'Zindagi Na Milegi Dobara'.
Write books!
Hey, are you a poet or a businessman?
Put all this aside, will you?
Raghav, I am out.
Let's get down to numbers.
You've built a commendable business.
Rs. 1 crore sales and Rs. 21 lakhs profit.
It's not a joke.
Are you bootstrapped?
Yes, bootstrapped.
- We started with Rs. 25,000. - Even better.
If your net sales are Rs. 1 crore,
what is your gross margin?
What is your contribution margin?
How much do you spend on marketing and how much do you take home?
Our COGS is 38%.
- Our gross margin is 62%. - Okay.
Commissions are 11%. Logistics are 19%.
If I talk about our CM1, gross contributing margin, it's 32%.
If I talk about CM2, if I reduce our marketing spend
which is currently 3%, it's 29%.
- Only 3%? - Yes, sir.
- Where do you spend it? - Just on Amazon.
- 50% of your business is Amazon. - 57%.
57%, 10% at airports.
- The rest? - Quick commerce.
You're not spending on quick commerce.
- Not yet. - Sir, we have the first-mover advantage there.
We're the only brand in India to be present on Swiggy.
- No one else is. - Your sales are Rs. 30 lakhs.
Um, within 4 months.
Okay. So, your CM1 is 32%.
Marketing is 3%.
- Yes, 29%. - CM...
And 8% is our office expenses and employee costs.
Got it. Last question.
Only travel comfort, forget everything else.
Don't tell me stories.
- I won't. - Don't digress. I want a direct answer.
- If you don't know, say so. - Okay.
- Sure. - Yes?
What's the travel comfort market size?
The market size for travel comfort is Rs. 2,000 crores.
Who's the biggest player?
- I'm only talking about accessories. - Okay.
Okay? There's Travel Blue which sells neck pillows.
What size is their business?
Rs. 60 crores worldwide.
So out of Rs. 2,000 crores, most of it is unorganised?
Yes.
Understood.
Did you reduce marketing to 3% temporarily to get profitability
so that the EBITDA increases,
or has it always been 3%?
No, sir. Our marketing spend has consistently been a maximum of 5%.
Our ROAS fluctuates between 5-7%.
Why don't you sell on your website?
Why haven't you developed that channel?
Earlier, our goal was to sell on Amazon
so the delivery took two days.
Then our goal was... Step two.
"Let's sell it in ten minutes."
So, we got listed on Swiggy.
Then our goal was the last-mile delivery customers.
"We've reached the airport."
"What do we do? I need a pillow or I can't sleep."
Then we began selling at airports.
When we thought, "Yes, we're at good places."
"The customer can see us and find us."
"Now, we should go to our website."
So, we came here to inaugurate the website
as well as the marketing.
After that, our spend will be Rs. 5-10 lakhs on average per month.
How much cash do you have in the bank?
We have a debt of Rs. 50 lakhs.
Out of Rs. 50 lakhs, Rs. 37 lakhs has been utilised.
What about inventory?
In total, we have about Rs. 90 lakhs in-house
and also in Amazon warehouses.
- Where? - In Rohini, Delhi.
If you get funding today, what will you use that capital for?
We'll use it for our multiple pain points.
Our goal is to invest 40% of it in marketing
so that we can get to a ROAS of at least 1.5-2%
and create awareness.
- You mean, brand marketing. - Yes.
Raghav, what as per you will this business become in five years?
Sir, our two-year goal is to capture 20 lakh customers,
target them and make sales.
Our sales target is Rs. 100 crores in the first two-three years.
What next? Suppose you hit Rs. 100 crores.
Getting an exit in such businesses is not at all easy.
We're not limited to travel comfort.
If a customer travels,
he will drive a car to and from home to the office.
So, we're creating a synergy
where we add comfort to these products
and build it thereafter.
So, in future, you'll expand to more categories in comfort.
Majorly, sir, if we capture these properly,
the profit from them alone will be Rs. 100-500 crores.
That product...
- You put backrest on our chairs. - Hmm.
When you designed this,
what did you have in mind to make this more comfortable?
Because I don't feel that comfort yet.
Continue using it.
You'll get addicted to it in a week.
How is it helping me?
Two types of materials are majorly used.
PU foam and memory foam.
PU foam doesn't take your body's shape.
Memory foam, being soft,
is able to adapt to our body's shape and hence is called memory foam.
There must be many players who make foams and memory foams.
Is your design unique? What makes you stand out?
Number one, ma'am.
All the backseat pillows in the market are made with one fabric.
What difference do two fabrics make?
Majorly, they are aesthetically more pleasing.
- What about in terms of utility? - It is more breathable, ma'am.
Do none of your competitors use two fabrics?
- There are plenty of people who are doing it. - That's not a USP then.
If I talk about backseat pillows, no one uses two fabrics.
In future, if someone launches a three-fabric pillow,
your business will be finished.
You're talking rubbish!
Two fabrics, three fabrics... Is that a moat?
I think their moat is distribution.
If we ask you about A, you talk about B
- and if we ask you about B, you answer about C. - Okay.
That doesn't give investors the confidence
that you can focus.
I asked you,
what's the advantage of using two fabrics?
- For... - Stick to the question.
You're using a backseat pillow.
What's the first thing to touch it?
Your lumbar area will be the first to touch the backseat.
So, we've given super-soft fabric there
so that you get softness and a luxurious vibe
and so that your body and skin get a soft touch.
Coming to the remaining area,
with time, memory foam aggregates heat.
The mesh fabric helps to dissipate the heat.
You called this a commodity earlier.
Those selling it as a commodity lack this basic sense.
We analyse everything the customer says in their feedback.
The customer says,
"Velvet fabric causes too much heat."
"The mesh feels too rough."
We use a combination.
This is why customer feedback is important.
I feel that with this product, you deliberately...
That's why you beat around the bush.
You're deliberately trying to give it a differentiation, right?
Two fabrics, three fabrics, one thread...
It doesn't have one.
So, don't try to force it.
Do not over-engineer a simple product.
Use it as your cash cow
and invest that money into a big business
where you can build a long-term brand.
- I don't see that today. That's why I'm out. - Okay.
Good luck.
I see two gaps in your business.
The first gap.
I think you have not done deep consumer research,
because does the Indian consumer want this?
I don't think the Indian mindset,
as masses,
is that big a TAM at this point.
- Okay. - Or even so much in the next 4-5 years.
Here's my second problem.
When you were questioned on the design,
your answers lacked sharpness.
Making a Rs. 15-crore business is commendable
and that too profitable.
It's a big deal, right?
So, I congratulate you
but I'm out for these two reasons.
It shouldn't come as a surprise that I like the travel industry.
On the other hand,
although your sales and distribution strength is great,
I feel that
your critical thinking ability isn't all that developed yet
which means you're not able to criticise yourself that much.
Provided you're ready to invest time
- in the next 2-3 months... - Absolutely.
I'd like for us to sit and come up with a plan.
- We've found a way to make money. - Yes.
Now, how do we make a long-term moat?
There are two ways.
The first is this.
We take one of these products and decide to be the best brand.
Here's the second one.
We're a brand of a commoditised product, right.
Cement has brands too and they're also doing quite well.
And in this,
we'll build an India-for-the-world factory facility
- and scale it. - Hmm.
- Provided you're willing to go to that extent... - Absolutely.
I'm ready to support you.
[joyous music playing]
This is my offer.
- An investment of Rs. 50 lakhs... - Hmm.
- For 3% equity. - Hmm.
Rs. 50 lakhs debt
- at 9% interest. - Hmm.
For a 3 year duration.
What's your biggest strength, Raghav?
Um, perseverance.
[laughter]
What do you think is your weakness?
Stubbornness.
Do you think he has a weakness?
Sir, as he said, he certainly is stubborn
but I believe that when it comes to listening,
- he gets passionate and... - Superb, very good.
- Don't you think you listen less and talk more? - Absolutely.
I accept that without a doubt.
How will you fix it?
I'm ready to back him, sir.
Will he change?
100%.
I feel the strength of your business is that you're good at execution.
So, I'll make you an offer.
Rs. 1 crore for 5% equity.
- Plus I want 2% of your revenue. - Okay.
Till I get my money back.
- Okay. - Royalty.
[solemn music playing]
Ritesh, we have a counter.
- Oh, wow. - Oh, my!
Could you do Rs. 50 lakhs for 2%?
- Please, sir. - Rs. 50 lakhs debt and Rs. 50 lakhs equity.
it won't make a difference to you or me.
So, here's my suggestion.
Rs. 50 lakhs for 3%.
As for the Rs. 50 lakhs at 9% interest,
I could make that 8%.
[tense music playing]
Take it, it's a good offer. Don't negotiate for 1%.
Look, Peyush agrees.
[music fades]
Okay, sir. You have a deal...
- When people listen with ease... - Well done.
[joyous music playing]
[camera shutter clicking]
'An investor can only give money but Sharks can give you ideas.'
'We got a deal at the last minute.'
'It is like a dream come true.'
Ritesh is in hospitality
and the synergy is quite like our brand.
It'd be a very good opportunity for us to grow
and take our brand to the next level.
Great! I think they were good founders.
Ritesh, was your main focus getting pillows
since you have a hotel business?
- No, my perspective was this. - [laughter]
Two people, without funding, are making Rs. 2.5 crores.
It's been a year since I came to the Tank
and in that time, I have not found a lot of companies
doing such great execution on their own
in an undifferentiated category.
I agree the category is not differentiated.
But, Ritesh, their ability to answer questions...
- They were talking in riddles. - Namita, I said...
I think the founders are...
- They'll do well. - They'll learn.
The problem in these categories is,
how do you exit once they hit Rs. 100 crores?
- How will you exit this business? - Yes, exit is a problem.
Hello, Raghav and Himanshu.
Welcome to our PokerBaazi zone where you hold the cards.
There are a lot of similarities between poker and business, right?
Today, you must have learnt that
you've to change your strategies as the situation demands
and better your skills.
The same applies to poker.
- I want to play a game with you... - Hmm.
So that we can find out what your business strategy for the future is.
and I request you to set a priority for each one.
Royal Flush is the top priority and the winning hand.
Similarly, Flush is number five in the sequence.
You have to prioritise similarly.
Pick five and rank them from one to five.
- Then I'll ask you why. - Okay.
Business ethics should come first.
- Okay. So, business ethics in place of Royal Flush. - Yes.
Then I would say product.
Okay.
- He's the COO. He loves products. - Yes.
- A product is the life of a business. - Absolutely right.
Then we'll go with marketing
- because marketing was a hot topic in the Tank today. - Hmm.
- Four of a kind. - Hmm.
Then fund raising
- because this was our goal behind coming on Shark Tank. - Okay.
And then comes distribution
It's a ticket to the National Poker Series 2025
worth Rs. 1 lakh hosted on PokerBaazi,
- with a total prize pool of Rs. 100 crores. - Thank you.
You too download the PokerBaazi app
and use your strategies to make a winning hand.
Download the PokerBaazi app now.
[theme music playing]
[theme music concludes]
Here comes a couplet.
- Go ahead. - Please.
"Big cities are home to long conversations"
"and long conversations call for umpteen meetings."
"You spend days and nights eagerly waiting."
"And when we finally met,"
"you brought the drinks and we brought the glasses."
- Wonderful! - Lovely.
Fantastic.
"Pour your glasses to the brim, Sharks."
"We're poets born of scrap, Sharks."
"Give us a little of that deal too."
- Wonderful! - Lovely.
By now, you must have figured out that we're not real poets.
But our start-up
is a social impact start-up, Kavi The Poetry-Art Project,
which helps us turn even scrap into poetry.
- Oh! - As you can see,
we use empty bottles such as this and upcycle them
to make different kinds of products.
A glass bottle takes 4,000 years
to naturally decompose in the environment.
Our mission and vision are both really simple.
We don't want a single glass bottle to end up in the landfills
but to come to Kavi's workshop.
- So, our ask is Rs. 60 lakhs for 1.5% equity. - Oh!
Sharks, if you have empty glass bottles at home,
- Thank you. - Thank you.
Sir, we are ex-journalists.
As part of reporting, we attend a lot of events.
We attended an event one day
and saw some artwork there.
It was priced too high.
You always say, "We can do it too."
We also said, "Let's try. We can do it too!"
Then we made five products.
We took photos of them,
created a Facebook page and uploaded them there.
We thought people would say, "Wow! This is lovely."
But that's not what people said. They commented, "Pp."
- We thought people wanted to know the cost. - "Pee! Pee!"
- Price, please. - Oh, sorry.
We discussed what price we should sell them for.
We did the calculation.
"We'll sell five products for Rs. 500 each."
"That will fetch us Rs. 2,500."
Our salary back then was Rs. 8,000-10,000.
We thought let's sell it if we get that kind of money.
We were reporters, so obviously we had a good network.
There was Times of India's exhibition.
They called us and told us they won't charge us for the exhibition
and they will also give us the flight ticket.
We made 18 products overnight and took them to Hyderabad.
We sold those 18 products in Hyderabad.
We didn't know how to make this a business.
Our lives changed in 2017.
We get a call.
We were only making 50 products, but they asked for 5,000 products.
We didn't have space, people
or investment.
The company said they will pay us after 60 days.
We wondered how to do this as we couldn't refuse.
We rented the terraces of a few factories.
We put up tents and we completed the order in 45 days.
That order gave us an insight that there is potential.
How big was that order in terms of revenue?
- The PO was Rs. 27 lakhs. - Wow!
Oh wow!
How did you two meet?
I was an intern at Mid-Day
- and he... - I was a full-time reporter.
How is the ownership divided between both of you?
40% each and my wife has 20%.
- Did you bring something for us? - Yes.
Bring that first.
[music playing]
This is art.
Wow! You...
- This came off. - This is basically a lamp.
- We have to place this on top. - Yes.
Ma'am, this is for you.
- Ah, lovely! - Tree Of Life.
Wow, beautiful!
This has my name on it.
Very good. Thank you!
And the monk is for you. Monk glass.
You have one too. Very sweet.
- Very nice. This is so good. - Thank you.
- Thank you! - Very nice.
Sustainability is a lifestyle, not a trend.
We personally believe in that.
Do you know what the commonality
is between sustainability and business?
- Oh! - Tell me.
Huh! You have to plan it.
Plan it! 'Planet'.
[laughing]
- Anupam, did you find that funny? - You didn't understand it.
It reminded me of my 6-year-old daughter, Alyssa.
She tells me jokes like this one.
It was not a joke! It was poetry!
Actually, hold on! That reminds me.
What connection does your business have with poetry?
At the start, we thought of creating something by combining poetry.
We tried to sell it,
but we realised that the market for poetry is small.
People were talking more about the product instead of poetry.
Gradually, people were buying from us.
People started recognising us, so we didn't change the name.
- Oh! - We kept the name.
- Now, poetry has no connection with your products. - A little.
You see the essence of poetry in our products.
For example, if somebody wants to customise
and ask if we can write poetry on our product.
We made the Tree Of Life lamp.
- This one. - Yes.
How long did it take to make this?
Half a day goes
- into... - It needs to be traced.
How much does this lamp cost?
Rs. 1,299.
You took the bottle of gin,
but the top portion is wasted.
Right here!
- This is the top portion. - Tea light holder.
Rs. 1,349.
What about the glasses that we have?
There is nothing in this. You just put a cork on it.
- This is nice to serve. - The one who buys...
- Why will they buy? They'll use their bottle. - It is good to serve.
I can finish the bottle and cut them
without having to pay.
Will you cut it at home?
I can get it cut. There are many people who do it.
- Sir... - Then why not
- make them cut. - It costs Rs. 549. It can be done for Rs. 50.
- No, sir. Cutting... - What are you saying?
It looks easy, but it's
- difficult to do. - It's like I'll raise a cow to get milk.
I think you know what who would know...
Who will know... Tell us,
- there are many diverse views here. - Yes.
Everyone has different comments on your product.
- What is your customer profile? - What is your ICP?
Ideal Customer Profile!
ICP, Ideal Customer Profile, refers to
a specific set of consumer characteristics
that are ideal for your business.
It includes factors such as behaviour patterns,
demographics, income, age, gender, and other relevant details.
Defining your ICP
allows you to target a specific audience
with your business offerings, services, branding, and marketing,
which helps increase the effectiveness of your business.
The customer range is from 20-45 years.
Mostly metros.
- Metros. - Mostly metros, yes.
What is the customer repeat rate?
- 15%. - 15%.
How much is B2B and B2C?
50% each.
Is this a business yet?
Tell us the numbers.
Last year, we made Rs. 3.56 crores.
Wow!
- Whoa! - What?
The year before that, our revenue was Rs. 1.59 crores.
- Wow! - The year before that was Rs. 94 lakhs.
It was Rs. 89 lakhs the year before that.
What is the run rate this year?
This year, we are closing at almost Rs. 6 crores.
What is the margin?
Our net margin is 20%.
- Wow! - So, you...
- Amazing. - You have Rs. 1.20 crores.
- Yes. - You are making good money,
then why do you want to get rid of it?
Why are you seeking investment?
When an investor comes in, they will ask you to grow in certain areas,
organise processes.
- Correct. - And then make it into a home improvement company.
Structure this. Why?
Recently, we just... Very little.
We sent 5% of our product abroad.
We noticed that the queries we received
were such that they indicated the kind of business
- we have built in the past 6 months. - Did you try Etsy?
Did you try selling on Etsy?
Instead of trying on Etsy, we tried in three countries.
- Okay! - Sending one product gets expensive.
We tried three countries first.
- Dubai, Canada and UK. - The UK.
We have resellers there.
We shipped them products in bulk.
To see if it works.
We just started this.
We recently received a query.
The quantity they asked for...
It was the biggest order and they asked if we can do it.
We think our vision was limited.
There is a high demand.
One more question.
When you think about your business,
do you visualise it as a home improvement company
in the future?
Or do you visualise it as an arts and crafts company?
Sir, we want to become a sustainable gifting company.
Where do you bring these bottles from?
We have a network of ragpickers.
Do you have your own network or do you buy it from them?
- No, we have a network. - It's our network.
How many ragpickers are in your network?
We have around 200 ragpickers.
- 200 ragpickers. - 200? Very nice.
So, because of your business,
how much has their income grown?
Ma'am, let's suppose that someone is earning Rs. 10,000,
and if they are selling the bottles to us,
it must be around Rs. 45,000.
- So, four times. - Yes.
- Four times. - Their income can grow four times by joining you.
- Of course. - Normally, ragpickers
don't take beer bottles.
- No! - They don't.
With this in mind, we started a campaign last year.
We shot with an international agency.
Because they said no one was doing this in India
in such an organised way.
Because this is an unorganised sector.
It's difficult to get bottles
from so many ragpickers.
If somebody comes to us and asks us to give 1,000 or 10,000 glasses
of blue bottles,
I need to have an entire ecosystem.
I should know that I need so many bottles.
I can't make the raw material unless I have raw materials.
This is also a kind of strength.
- Supply chain. - Yes.
Supply chain.
Ms. Madhuri, tell me something.
To sell this monk glass for Rs. 500, how much do you have to spend?
We are spending Rs. 8 lakhs on advertisement on Facebook and so on.
Do you get corporate inquiries from that?
Yes. Our social media is quite impactful.
How are you sure? Show it to us.
When you say 'social media', you mean Instagram, right?
- Yes, Instagram. - Instagram.
How many followers do you have?
- We have 244K followers. - Yes.
244K is not bad.
Our social media presence is strong.
And on the other hand, we get good media promotion.
You will get that for free.
- Your friends are journalists. - It's your industry.
No! That was in the past.
- You can ask your friends to help you. - No!
It's not that easy.
If you look at the traction, it's organic.
The international media agency that came to us is huge.
How did this happen?
They came to us through social media.
Madhuri, your revenue is Rs. 6 crores. Amit, it's fantastic.
What is your vision to make it Rs. 600 crores from Rs. 6 crores?
Tell us your journey from Rs. 6 crores to Rs. 50 crores.
Sir, Rs. 50 crores, right?
We've understood the international market.
- In India, after Covid, people are... - Movement!
There is a wave.
People are just talking about sustainability.
No one is really working on it.
But if we talk about foreign countries
like Germany and Netherlands,
and other countries,
this has become their mission.
Tell me something, Madhuri. Take this bottle, for example.
The bottle belongs to the brands.
Say someone is drinking milk at home in this.
Won't the brand have an issue
with someone drinking milk
whereas it was meant for something else?
Have they not come to you yet?
They did, sir. They are supporting us.
To be honest,
not just them, all the brands you see here
have come to us and are supporting us.
They give us a lot of orders.
Next year, we are going to organise a nationwide campaign.
It is happening for the first time in India.
But do you have a small workshop
- with machines where people make this? - We have a factory.
- There is a factory. - How many people are working there?
They came looking for a job.
Once someone completes 12th grade, they come to us.
If we have 15 employees,
then 10 employees are those who know everything.
Very good!
Can this business become huge after seeking investment?
Probably! But you need to choose a direction.
I don't think sustainable gifting is the right path.
You can either be a sustainable home improvement
or a home decor company.
But it seems difficult to make it just about gifting glassware.
Sir, this is not just a glass.
- Anyone can buy glass in the market. - Yes.
If someone wants to buy Milton glasses, they'll buy it.
People are visiting my website as they don't want ordinary things.
Why do you need funding?
That's the point. It will be an arts and crafts company
if you don't choose a direction.
You are making good money.
You are getting more orders and are going international.
You did your marketing on Shark Tank.
So, why do you need money?
If you give us your money, you will show interest
- and push us. - Guide us.
How will you give us an exit? Tell me that.
Sir, don't always focus on the money.
- Sir, think about... - Cause.
- Look at cause. - You are making money.
- You are making good money. - Sir...
I think all your friends
will gradually open a shop.
That would be great, sir.
But we put a lot of effort into this business.
It was really difficult.
Your answer is to keep the money aside
and invest it in the purpose.
- Is that your response? - You will get the exit.
How?
You didn't think about exit, right?
We didn't...
We didn't really think about it.
You built this business through hard work.
From Rs. 10,000 to Rs. 1.2 crores.
A lot of respect for you all.
I believe that what you are doing
is scrap to quirky.
I want you to pursue this path.
But I feel you are slightly confused
about making this a home improvement business,
quirky business or sustainable one.
So, for that reason,
I have two offers and an update.
One, I like your lampshade.
I think our guests in the hotel will love it.
So, I will order 100 of these.
If it goes well, we might buy more.
Second, I am ready to meet you outside to support you.
But because you are not sure about the direction,
whether this is a sustainability company
or an arts and crafts company.
For that reason, I am out today.
- Thank you! - Thanks!
I should learn how you are so happy.
Sir, invest money in our company, you will also be happy.
That is why I don't want to invest.
If I invest, all of us will cry.
Sir, be positive.
I am here because I am positive.
But I have seen all this.
I would suggest this to you too.
If you want to grow this company like this,
you do that and double your income.
You can take home 20 lakhs each in 2-3 years.
The outcome is good.
But if you want to make this a big company,
then you have to give this a direction.
You can possibly stand for quirky sustainable brands.
If you are in the gifting business,
then this will grow well but slowly
and I doubt it will be a huge business
that can afford an investor.
Then you will cry and so will the investor.
For that reason, I am out. Good luck to you.
Madhuri, when I asked you a question
about how you will make it Rs. 600 crores from 6 crores,
you didn't have an answer.
And most founders have an answer to this.
So, as an investor, we invest in founders.
A founder must have clarity in vision.
I think both of you are slightly unprepared.
Go back to the drawing board.
So, I think I would like to meet you again
when you have a plan in place.
Today, I am out. But come back with a plan.
Sure.
I think, in your business,
if you really want to pick gifting,
then instead of using
normal people, use specially-abled people.
I hope you understand that people are not buying your design.
That could be secondary.
But primarily, they are buying for a cause.
If you increase the value,
and your cost is not going up.
You can continue to sell your product for the same price.
In fact, your cost could remain the same
- and you will have availability of workforce. - Okay.
You need advice...
I just gave you advice. I can help you outside.
But I am out.
- This specially-abled idea is a good one. - Right!
It will align with your story
and the business will magnify without spending more.
Okay! Thank you.
Amit and Madhuri, as everyone mentioned,
you have pleasing personalities.
You started with Rs. 10,000 and now you are making Rs. 5 lakhs.
So, you are inspiring Indians.
I think when it is aired on Shark Tank
and people know that they can make a business from this,
a lot of them will try to do the same.
They won't be able to do it, that's something else.
The awareness will grow now and when that happens,
you might have to expand.
This might limit growth.
I want to give you a suggestion.
'The Poetry -Art Project' is confusing.
Remove that.
- Okay! - Get rid of that pen too.
- You need to think big. - Okay!
We don't think big.
As I mentioned, even we never thought we would be this big.
You need to start thinking big.
You can be big.
You have a good platform and everyone gave good advice.
Take that as feedback and go for it, guys.
And keep smiling.
Yeah! That's your plus point.
- We love your smiles. - Smile
and give your energy to everyone around you.
- Thank you! - Love your energy!
All right!
- God bless you! - Thank you, Amit and Madhuri.
I was slightly disheartened.
But also, as Ritesh mentioned,
he can't invest, but he will order from us and give us time.
Saying this motivates us
to do something more in the future.
We don't have a deal, but we are hopeful
that we will meet Sharks outside.
You never know, they might invest.
[music playing]
And you can see the beautiful representation
on our change makers wall.
By empowering change, we are planting the seeds of a brighter,
more equitable future.
And today's change makers are Madhuri and Amit.
In India, we usually see
our relatives buy weird
and shiny gifts that go to waste.
So, it is necessary to change the mindset.
And you thought of sustainable gifting,
which is a very innovative change, and we welcome change here.
- Thank you. - On an individual level, if someone wants
to bring a change in life and move towards sustainability,
what advice would you like to give?
You don't have to do something big to bring change.
- You can create a big change with small steps. - Agreed.
You should do that regularly.
- You can turn a glass bottle into a water bottle. - Yes.
If you are going out, carry a tote bag.
- Don't take polythene. - Exactly!
Okay! Or things at home... Instead of buying something new,
if you check your wardrobe, you will find many clothes.
- Yes. - You don't have to buy anything new.
If we have less, that is enough.
You spoke just like my mom.
Don't buy more, you have enough.
We welcome this change.
Just like ACKO has changed the landscape of insurance
with its range of revolutionary offerings.
In health insurance, you get 100% bill payments,
which ensures customers don't have to worry about
out-of-pocket expenses during claims.
By appreciating this change,
we want to give you a special gift from Shark Tank and ACKO.
Thank you!
You are truly Acko Change Makers.
'Shark Tank India, co-presented by ACKO Insurance,'
'PokerBaazi and Swiggy Instamart.'
'Co-powered by Adani, and Jaquar Bath and Light.'
'And partners, Rayzon Solar, ICICI Direct and Lenskart.'
[theme music playing]
- Greetings, I am Ishwar Sinhmar. - Greetings!
Greetings, my name is Rahul Dhingra.
Sharks, we are from Jind, Haryana and we come from a farmer family.
Today, everyone is talking about issues faced by the farmers,
but the problem is, who will find the solution?
- Hmm! - We will, Sharks.
From our platform, F2DF, a marketplace for farmers.
First, the farmer is unable to sell his produce for a good price
because the middleman takes all the profit.
We buy the farmers' produce directly
and send them to big companies and the HORECA industry
so that the farmers get the right price and make a profit.
I know that a lot of schemes given by the government
meant for the farmers
never reach them.
Our platform helps the farmers
get access to those schemes.
through online platforms.
We want to contribute to this economy of Rs. 2 lakh crores.
For this, our ask is Rs. 50,000 for 1% equity.
So, Sharks, are you ready for T2DF?
Amazing!
Would you like to have a seat?
- With your permission. - Yes, please.
Be comfortable.
- Is Mr. Ishwar your dad? - Yes.
Tell us your story. How did F2DF start?
Did you face problems in your life
where you felt the market was taking advantage?
Or is there something you tried to solve?
The major issue was...
Because we come from a farming family,
I have seen this issue since childhood.
I used to visit the market with my dad often.
I've seen his state.
Many times,
when we didn't get a good price
for our vegetables, we had to throw them away.
We didn't harvest it.
A lot of money was spent on harvesting.
A significant amount also went into transportation after selling.
We witnessed things like this a lot.
I had a government job.
Which government job?
I was in a bank and then I became an auditor.
I was a senior auditor in the Ministry of Defence.
- Okay! - When the farmers' protest started,
that is when my life changed.
When I used to go to work, I used to meet them on the way.
I used to talk to them often.
That is where I started identifying the problem.
I started working as a YouTuber.
I went to people and started making videos of them.
I asked for the reviews and the problems they faced.
And we started to get to the root of the problem.
We started doing our research.
If we can reduce the farmers' input costs
and increase their output, even slightly,
this business can grow, and they can benefit as well.
How do you know, Rahul?
When I used to work in a government job, he was a CA in our office.
Rahul is his brother-in-law.
This is a gift for me from my in-laws.
Oh, a gift from your in-laws.
That's a good one.
If you take the middleman out of every business,
then the income of buyers and sellers can go up.
What is the specific problem we have in farming because of the market?
When the farmer goes to sell his crops in the market,
those who buy from them
buy less than MSP.
They just keep robbing the farmers.
The main issue is
that there are only around 13 crops that have MSP.
That's the problem.
And there are many crops that do not have MSP.
There are fruits, vegetables,
dry fruits, and spices.
When a farmer sells these products,
the buyer
gives them the price he wants.
The farmer is helpless, so he sells it
because he can't keep it at home and he needs money.
- It is not a big issue where there is MSP. - Yes.
For the crops and regions where MSP is unavailable,
you found a solution to that problem. Explain the solution.
We do three things.
First, we buy input directly from local manufacturers
and big dealers
and give them to the farmers.
We reduce the commission by a lot
that the farmer pays.
Give us an example.
For example, I'll talk about pesticides.
If there is an agrochemical product,
the cost is around Rs. 100.
But the MRP is around Rs. 500.
What we do is, we buy the product from a local manufacturer.
We put our margin
in that Rs. 100 product
and shipping cost and send it to the farmer for Rs. 200.
- Rs. 200. - AgroStar and DeHaat are doing the same.
The agriculture sector is so vast
that even if there are 100 players like us,
there is still a lot of potential. That's the first thing.
So, in input, you are reducing the cost by 50%.
- In some products 50%... - Average.
The average is approximately 15%.
- 15%! 15%-20%. - 15%-20%.
That is the price. Do you also do quality checks?
Namita, with quality checks,
the farmer knows that they want certain equipment from a company.
The only difference is, that instead of buying from a local shop,
they purchased it on our platform.
- Branded things. - We are not forcing them to buy.
The farmer decides what he wants to buy.
Second, output.
In output, the products that don't have MSP
are fruits, vegetables and perishable items.
We buy them directly from farmers and deliver them
to HORECA industries or big companies.
The benefit is that we take it from the farmer's field,
so he saves on the transport cost.
The farmer harvests in the evening
and goes to sell in the morning.
There is a gap of 12 hours.
The quality starts to deteriorate.
We take produce from the farmers and send it directly,
this way it remains fresh.
You are quiet. You tell us, what do you do?
I work for women. I am a part of a self-help group.
How are you connected in this business?
I list their product on my app
so that they get the best rate.
- Do you do this full-time? - Yes.
- Are you a founder? - Yes, sir.
What are your designations and roles?
I am the CEO.
Okay! You?
- I am the Chief Operating Officer. - Okay.
I am the Director.
Uncle is also a Director, but he handles farmer connect.
Your model is similar to a company called AgroStar.
No! What differentiates us
is that our platform is phygital, physical and digital.
on marketing on Google and Facebook.
That is not the case with us. Phygital is physical and digital.
Our online platform has a wide reach
and we manage an online community with 17 crore farmer members.
The reason why the farmers join us...
The farmers are uncertain
about whom to trust because there are many companies,
as you mentioned. There are a lot of companies.
We work with them on the ground.
We go to their villages, provide them with advisories,
- You will understand better with a video. - Sure.
[music playing]
These are our fairs.
We are organising 12 similar events in 12 different states
for the Central Government
It is private, but we execute government orders.
Uncle mentioned that they don't get the benefit of government schemes.
The government has made schemes for government like FPOs.
Currently, I have a running order,
which includes a pending order worth Rs. 2 crore
from the Ministry of Agriculture.
There's another order worth Rs. 14 crore from PMFME.
How did they connect with you?
- There are many topics in farming, Anupam. - Yes.
There is a tractor.
Wheat cultivation itself is a topic in itself.
We run issue-based communities online.
Do you mean on this app?
We run communities on Facebook.
How many communities exist?
There are 1,700 communities.
Are there 17 crore people in 1,700 communities?
There are 17.5 crore people.
- 17.5 crore? - Yes.
- Online? - On Facebook?
- Online! - Yes, Facebook.
- Facebook. - Did you create communities?
- No! - We are a part of it.
- We started some. - We have around 100.
We have an administrator role where we can post.
- Got it! You can post, but someone else is the owner. - Yes.
What is your commission model?
You mentioned 'no-commission', then how are you making money?
We do not charge any commission from farmers on any product.
You need to change that to 'No Commission From Farmers'.
- Got it! - It will be easier.
Tell us your numbers.
Last year, in FY23-24, our sales were Rs. 9.2 crores.
Okay!
We sold inputs worth Rs. 1.3 crores to the farmers.
We purchased Rs. 7.7 crores worth of output
from farmers and sold it further.
Additionally, Rs. 18 lakh is from Agri Media.
We made a revenue of Rs. 32 lakhs from output.
And we made a revenue of Rs. 20 lakhs from input.
Your earning is Rs. 70 lakhs.
- Rs. 70 lakhs for the year. - Yes.
What is your net profit after taking away the expenses?
How is the equity distributed?
Neeraj and I have 10% each.
- Monica has 51%. - 51%.
- Oh! - Silent Director.
Silent Director.
And the rest 30%?
- 28.6%. - He has 28.6%.
We only gave 0.4% outside.
Monika, you have 51%.
Because when I got married,
my family gave me Rs. 40 lakhs as a gift.
I kept it aside as savings.
I wanted to make a good house for myself.
Neeraj took that from me, so I have more share.
- Oh! - Nice!
That's amazing. But tell me something.
- Be honest. - Yes.
How much did you give? Rs. 40 lakhs?
We took more than that, Anupam.
- I sold my gold too. - Oh!
We took a loan against her gold. In fact...
Hold on! You are all in.
But did you ask for 51% or did they give it to you?
I said, if I give more money, I will have more share.
- Whoa! - Amazing!
- Wow! - Brilliant!
- Outstanding! - Lovely!
We should learn something from you.
You are an inspiration for the people of the country.
Beautiful!
Did you take funding from outside for your business?
We recently raised Rs. 20 lakhs at a valuation of Rs. 50 crores.
From whom?
If we look at real earnings,
last year, it was Rs. 70 lakhs.
How did you ask for a valuation of Rs. 50 crores?
They did the valuation.
The government did the valuation. There was an impact assessment.
Don't you think the valuation is high
compared to the real earnings?
What is the valuation of AgroStar?
I don't know about others, so I can't commit.
- Okay! - I can tell you about my business
through the impact we aim to create and what we want to achieve.
And what is that?
There is a basic thumb rule.
In this country, a farmer earns
around Rs. 5,000 per acre.
Rs. 5,000 is nothing for those of us living in urban cities.
If we take that to around Rs. 6,000,
that will be a huge number.
If we can increase someone's income
even by 25% and we can do that.
We can see that through our model.
So, I think this is a noble cause.
I want to say something. Your aim is impressive.
You are trying to help the farmers, it is crucial.
And looks like
you are not just doing this for the money,
but you really want to make a difference.
- I invested in a company called Animall. - Yes.
I spend a lot of time there.
I am still learning about this industry.
I still don't know it completely.
For that reason, I am going to stay out today.
Wish you the best.
Thank you!
It is good that you know what impact you want to bring.
Unfortunately, I don't know how I can help you with this business.
So, I am out.
But I wish you the best of luck.
Thank you!
I am trying to understand how we can help.
Even now, to organise one business meeting,
- I have to take follow-up for three months. - From whom?
The MDs of renowned agritech companies. It could be anyone!
I want to target many companies.
They've been on my wishlist for 1.5 years.
In my opinion,
if your influence and contacts aid me with doing that,
it will help my business.
There are several low-hanging fruits I want to pluck.
My growth in three years
might be achieved in one year with your support.
We can give you good contacts.
Is that all you want?
No. We want money, too. We need money, as well.
[chuckles]
What is your view, Mrs Namita and Mr Ritesh? I'll hear them out.
You're running three businesses together,
I think you should choose one of these
and use your community.
Almost 17 crore people are with you.
It can be a massive opportunity for you.
But I may have failed to appreciate it entirely today.
How do we scale up
while doing all this together? When you focus on doing one thing,
it must be hard to go deeper into the other to create more value.
- I am out for that reason. - Thank you.
I had invested in a couple of agriculture companies.
To be very honest,
they don't scale up,
and investors don't get an exit in these.
You mentioned
needing networks.
I can help you with that.
But I don't know if this would be
an appropriate message as an investor
that I want to invest in this business.
I am out for that reason as an investor,
but I'm in as a mentor.
I've never invested in agricultural companies.
I don't know how this industry works.
But I am intrigued to know it.
I'll give you an investment of Rs 5 lakhs
at 2 per cent for equity.
2 per cent?
The valuation is Rs 2.5 crores.
It's not an investment. I am not giving you a valuation.
It's not a valuation.
The rest, I want to give as a debt at 10 per cent
for two years.
at 10 per cent. Such are your terms.
Once you start getting the returns,
bind me with a time frame.
- You can convert this into an investment then. - No.
It's my request.
We'll see what to do. I won't commit right now.
We'll see how the business works.
We were seeking a valuation of Rs 50 crores.
You're giving us a valuation of Rs 2.5 crores.
I'm not giving a valuation.
- You're not giving a valuation. You... - I am only seeing
how I can help you.
I will be glad if you're coming.
So,
let's go for it.
Then, say it with some happiness and love.
- Say this, 'Deal done.' - Deal done.
- Thank you. - Give the cheque to her, Aman.
[triumphant music playing]
Look. I agree that the sharks make the pitchers nervous.
They also include me at times.
They let me enter if I try to.
I am their favourite host.
Why would it be Sahiba? You know it now. You get it. Right?
I thought of organising a game night with the sharks.
It will be fun.
It will deepen our friendship. I will get rid of Sahiba next time.
It would be the best.
Let's order the gaming setup from Swiggy Instamart.
It would be fun. Right? Let's do it, then.
Board games are a must.
I'll order those.
Some card games?
Snacks! Snacks are crucial.
We can't play while starving.
Snacks! Dips!
Nachos!
Oh! Anupam eats gluten-free. I must order that for him.
Gluten-free!
The winner must get a surprise gift box. Right?
Hmm! That's perfect.
Order placed. Swiggy Instamart is the best at this.
You can order whatever you need. It'll arrive in ten minutes.
So, what are you waiting for?
Go on! Find fun in life.
Order some games and snacks. Order whatever you want.
It'll arrive in ten minutes. Order now.
'Invest Smart with ICICI Direct.'
Greetings. I welcome you to this special segment of
Invest Smart with ICICI Direct.
I am your wealth buddy.
Today, we will discuss some crucial topics
related to investment,
which will help you to make informed and confident investments.
Our aim is to make you more empowered and more aware.
Let's begin.
We have the brand Servall.
Today, I want to pitch you a product
that
can always earn you money.
The decision is yours
whether or not to invest through this.
- Sounds good? - Yeah. - Yeah. - Yeah.
So, let me introduce you
to the ICICI 3-in-1 account,
which offers Savings, Demat,
and Trading accounts in one spot.
If you invest using this,
the funds remain in your ICICI Bank Savings Account
and continue running interest
until your Buy order isn't successful.
Let me show you how.
directly from your ICICI Bank Savings Account.
When you sell the stock,
the money will be credited directly to your Savings Account.
This way, you will earn interest on your money all the time.
Would you invest through this ICICI 3-in-1 account?
Deal done!
So, why wait?
Invest smart. Invest conveniently.
The teacher needs tuition for such a student.
Please welcome the Co-founder and CEO of
Lenskart, Mr Peyush Bansal.
- How are you? - I'm great. How are you?
I'm great.
Today's question is this. 'Hi, Peyush.'
'My name is Prapti Sinha, and I am from Ranchi.'
'Peyush, my question is, if you want to buy a brand's franchise,'
'what is important to consider about that brand?'
While buying the franchise of a brand,
we buy it to reduce our work.
We don't have to work from scratch.
We work from one to ten as the brand has done some work.
So, it's crucial to understand
the brand and your role
while buying a franchise.
Secondly, we must consider
why the franchisor
is granting the franchise.
Is it because he thinks it's risky
to open it in a certain place
and wants to shift that risk to someone else?
In that case, you must not buy it.
Or is the franchisor granting it because he needs a partner
- who knows the local dynamics and can work hard? - Yeah.
Someone more than just an employee!
Is that why he's looking to grant the franchise?
If that's the reason, you must buy that brand's franchise.
But it's pointless if he's trying to mitigate his risk on you.
Eventually,
it should be a partnership where both sides must take it up.
For example, Lenskart has a franchise model.
We don't give the inventory risk to the franchise.
However, in 99 per cent of franchise models,
you buy the stock,
Hmm.
New learning! Thank you so much for the answer.
I'll see you again with your questions
with a new shark in the next Ask the Shark.