1 00:00:10,000 --> 00:00:11,360 [music playing] 2 00:03:14,360 --> 00:03:15,320 [Anupam] Ooh! 3 00:03:15,760 --> 00:03:17,440 This is the very car which I use 4 00:03:17,440 --> 00:03:19,880 for my product's marketing and branding. 5 00:03:20,320 --> 00:03:23,200 Frankly, Sharks. I had no interest in studies. 6 00:03:23,400 --> 00:03:25,560 I dropped out of college after a year 7 00:03:25,640 --> 00:03:27,720 to start a business of my own. 8 00:03:27,960 --> 00:03:30,160 After doing research for a year, I got to know 9 00:03:30,280 --> 00:03:32,760 that the energy drink market in India was huge, 10 00:03:32,920 --> 00:03:35,320 but the market was dominated by foreign brands. 11 00:03:35,800 --> 00:03:36,920 So, I decided 12 00:03:37,000 --> 00:03:39,760 to launch a pocket-friendly energy drink in India 13 00:03:39,960 --> 00:03:43,000 which is healthy and tasty and has the best ingredients. 14 00:03:43,200 --> 00:03:45,880 So, Sharks, I started Vold Energy Drink. 15 00:04:06,040 --> 00:04:09,600 Sharks, we're available in Goa, Pune, Mumbai, Nashik and Beed 16 00:04:09,720 --> 00:04:11,240 which is a total of five cities. 17 00:04:11,320 --> 00:04:13,960 Sharks, who would like to make Vold Energy Drink 18 00:04:14,040 --> 00:04:16,160 India's leading energy drink brand? 19 00:04:16,320 --> 00:04:18,600 Sharks, to fulfil my dream, 20 00:04:27,600 --> 00:04:29,120 Devesh, where did you say you were from? 21 00:04:35,800 --> 00:04:36,520 Yes. 22 00:04:36,600 --> 00:04:39,160 I had a strong dislike for Mathematics. 23 00:04:39,320 --> 00:04:41,960 So, I switched to Geography after six months in eleventh grade. 24 00:04:42,040 --> 00:04:42,880 - [chuckle] - Wow. 25 00:04:42,960 --> 00:04:44,880 I had six friends back then. 26 00:04:45,120 --> 00:04:47,360 I compelled them to switch to Geography too. 27 00:04:47,440 --> 00:04:49,360 - Huh? - I had no company. 28 00:04:49,480 --> 00:04:50,400 [laughs] 29 00:04:50,720 --> 00:04:54,040 After the twelfth grade, I enrolled for the D.Pharm course. 30 00:04:54,120 --> 00:04:55,440 I dropped out after a year. 31 00:04:55,520 --> 00:04:57,480 How many friends' lives did you ruin there? 32 00:04:57,880 --> 00:05:00,360 I didn't, it was an online course. 33 00:05:02,560 --> 00:05:05,600 Devesh, you realised you didn't have an interest in studies. 34 00:05:06,000 --> 00:05:07,360 Why did you enrol for it? 35 00:05:07,440 --> 00:05:09,040 I didn't have an interest, 36 00:05:09,120 --> 00:05:12,160 but if I studied the night before the exam, 37 00:05:12,280 --> 00:05:14,040 I could attempt it. 38 00:05:14,200 --> 00:05:16,880 You see, it was Covid season back then. 39 00:05:16,960 --> 00:05:19,440 - Season! - I mean, it was the pandemic. 40 00:05:20,200 --> 00:05:23,360 - And everyone was inclined towards medical... - Buddy! 41 00:05:23,440 --> 00:05:26,960 Dad told me to get enrolled for the pharmacy course. 42 00:05:27,200 --> 00:05:29,360 That's why I enrolled for the course. 43 00:05:29,400 --> 00:05:30,480 Which year was this? 44 00:05:30,600 --> 00:05:32,200 Um, 2021. 45 00:05:32,320 --> 00:05:33,640 After 2021, 46 00:05:33,760 --> 00:05:36,320 I wanted to start my own manufacturing business. 47 00:05:36,400 --> 00:05:37,880 I mean, I wanted to make a brand. 48 00:05:37,960 --> 00:05:39,000 I did a lot of searching, 49 00:05:39,080 --> 00:05:41,080 and I finally settled on the concept of energy drinks. 50 00:05:41,160 --> 00:05:42,720 I had faced those issues myself. 51 00:05:42,840 --> 00:05:44,080 For instance, the pricing. 52 00:05:44,200 --> 00:05:47,120 - Other energy drinks cost Rs. 100 and above. - Yes. 53 00:05:47,200 --> 00:05:49,040 - And yours? - Rs. 60. 54 00:05:49,960 --> 00:05:51,160 What does your father do? 55 00:05:51,320 --> 00:05:54,080 My father has a welding workshop and owns wedding lawns. 56 00:05:54,240 --> 00:05:55,040 What happened after? 57 00:05:55,160 --> 00:05:57,640 Then I used to call companies 58 00:05:57,840 --> 00:06:00,360 and tell them that I wanted to start my own brand. 59 00:06:00,520 --> 00:06:03,680 They told me the budget would cross Rs. 30 lakhs 60 00:06:03,840 --> 00:06:06,400 - as the minimum quantity was 3 lakh cans. - Right. 61 00:06:06,520 --> 00:06:10,240 - So, 27 companies in India rejected my proposal. - I see. 62 00:06:10,360 --> 00:06:13,080 One day, I found a contact in Gujarat. 63 00:06:13,200 --> 00:06:14,480 I got in touch with him. 64 00:06:14,560 --> 00:06:17,800 "Sir, here's the thing. I want to start and need your help." 65 00:06:17,920 --> 00:06:19,200 He called me to Gujarat. 66 00:06:19,480 --> 00:06:21,880 We discussed it at length and he agreed. 67 00:06:21,960 --> 00:06:23,160 Then, I started Vold. 68 00:06:23,280 --> 00:06:25,400 - You're persistent! - You have a fighting spirit. 69 00:06:25,480 --> 00:06:27,520 - Persistent. - Very good. 70 00:06:27,600 --> 00:06:30,040 Dad gave me Rs. 5 lakhs. 71 00:06:41,680 --> 00:06:42,680 I travel everywhere by car. 72 00:06:42,760 --> 00:06:45,120 My friends also take the car home. 73 00:06:45,200 --> 00:06:47,080 So, that helps with marketing. 74 00:06:47,160 --> 00:06:48,520 That's fantastic! 75 00:06:50,080 --> 00:06:53,280 How about the product now? We need energy too. 76 00:06:53,360 --> 00:06:54,680 - Sure, taste it. - Let's try it. 77 00:06:56,440 --> 00:06:58,200 - Oh! It's in the car. - Whoa! 78 00:06:59,640 --> 00:07:01,280 - He has a cool box! - Wow! Lovely. 79 00:07:01,640 --> 00:07:02,760 [light-hearted music playing] 80 00:07:20,920 --> 00:07:21,840 Oh. 81 00:07:22,600 --> 00:07:24,960 What does Vold mean? Is it derived from bold? 82 00:07:25,080 --> 00:07:26,120 I wanted a catchy name. 83 00:07:26,200 --> 00:07:27,760 So, I went with Hold, 84 00:07:28,120 --> 00:07:29,400 but it was already registered. 85 00:07:29,560 --> 00:07:33,320 I was riding the motorbike one day and wondering what name to go with. 86 00:07:33,400 --> 00:07:34,560 All the names were registered. 87 00:07:34,880 --> 00:07:36,280 Then I said let's try Vold. 88 00:07:36,440 --> 00:07:38,280 When I looked up the meaning on the internet, 89 00:07:38,400 --> 00:07:41,400 force, assault and power came up as the meanings. 90 00:07:41,520 --> 00:07:42,720 So, I went with Vold. 91 00:07:43,800 --> 00:07:45,600 Who designed the logo and the packaging? 92 00:07:45,680 --> 00:07:48,360 My friend and a graphic designer made it at home. 93 00:07:48,440 --> 00:07:50,800 - Okay. - The concept was mine and he made the design. 94 00:07:51,040 --> 00:07:52,840 It took me two days to come up with the design. 95 00:07:52,920 --> 00:07:54,120 - Two days! - Yes. 96 00:08:03,480 --> 00:08:05,720 they had started the business with an energy drink? 97 00:08:05,840 --> 00:08:08,280 - Tzinga. - It didn't do well. So, they... 98 00:08:08,360 --> 00:08:09,360 Why didn't it do well? 99 00:08:09,520 --> 00:08:10,360 Precisely! 100 00:08:10,440 --> 00:08:12,280 "Give me Tzinga." That sounds lousy! 101 00:08:12,360 --> 00:08:13,480 "Give me Vold." 102 00:08:13,560 --> 00:08:15,200 [hysterical laughter] 103 00:08:16,440 --> 00:08:17,800 The name Vold exudes power. 104 00:08:17,960 --> 00:08:19,040 - Tzinga is so lousy! - [laughs] 105 00:08:19,120 --> 00:08:21,000 - "Give me Tzinga." - Don't talk about Sugar next. 106 00:08:21,120 --> 00:08:23,320 - I'm scared of you. - [both laugh] 107 00:08:23,680 --> 00:08:26,360 You claim this is a healthy drink, but is this really healthy? 108 00:08:26,440 --> 00:08:27,640 - What are your thoughts? - It is healthy. 109 00:08:28,800 --> 00:08:30,400 It contains inositol. 110 00:08:30,480 --> 00:08:33,640 It is also helpful in PCOS among women. 111 00:08:41,280 --> 00:08:43,560 If you add 'ashwagandha' to cigarettes, 112 00:08:43,640 --> 00:08:45,080 would that make cigarettes healthy? 113 00:08:45,160 --> 00:08:46,960 - No, it wouldn't. - Then why the false claim? 114 00:08:47,240 --> 00:08:48,600 [sombre music playing] 115 00:09:07,600 --> 00:09:10,120 - Yes. - Do you have an idea of its market size? 116 00:09:10,280 --> 00:09:12,400 The Indian energy drink market size 117 00:09:17,920 --> 00:09:19,400 - How much share does Red Bull have? - 61%. 118 00:09:19,680 --> 00:09:20,520 Gosh! 119 00:09:20,640 --> 00:09:22,680 This market, you see... Take Red Bull for instance. 120 00:09:22,760 --> 00:09:24,400 - Yes? - They sell a lifestyle. 121 00:09:24,560 --> 00:09:28,040 In colleges, people think drinking Red Bull is cool... 122 00:09:28,160 --> 00:09:29,520 - Yes, drinking something cool. - To drink. 123 00:09:29,600 --> 00:09:30,360 - Correct? - Yes. 124 00:09:30,480 --> 00:09:32,720 What are your brilliant strategies to defeat them? 125 00:09:33,360 --> 00:09:35,440 I don't have enough budget for marketing as of now. 126 00:09:35,520 --> 00:09:36,600 So, what I do is this. 127 00:09:36,800 --> 00:09:39,520 I have bought 25 phone numbers in my and my friends' names. 128 00:09:39,680 --> 00:09:41,240 I do marketing through WhatsApp. 129 00:09:41,360 --> 00:09:43,400 I have the data on 80 crore Indians. 130 00:09:43,520 --> 00:09:44,560 Of 80 crore people. 131 00:09:44,680 --> 00:09:47,120 I took it from Instagram. 132 00:09:47,200 --> 00:09:48,720 You don't get numbers on Instagram. 133 00:09:48,800 --> 00:09:50,800 No, a guy placed an ad that you will get x numbers... 134 00:09:50,880 --> 00:09:53,040 Yes! You bought an email list... 135 00:09:53,160 --> 00:09:54,200 - Yes, email. - Whatever it is. 136 00:09:54,320 --> 00:09:55,880 - You're sending marketing emails to them. - Ah, yes. 137 00:09:56,000 --> 00:09:58,720 If you send over 500 texts on WhatsApp via API, 138 00:09:58,880 --> 00:10:00,040 then your number gets banned. 139 00:10:00,160 --> 00:10:01,680 That's why I bought 25 phone numbers. 140 00:10:01,760 --> 00:10:03,240 Now that you've said this on TV, 141 00:10:03,320 --> 00:10:05,000 WhatsApp is going to shut down your business. 142 00:10:05,120 --> 00:10:05,960 No, they won't. 143 00:10:06,720 --> 00:10:08,480 So, before getting a distributor, 144 00:10:08,640 --> 00:10:09,880 this is what I do. 145 00:10:10,000 --> 00:10:12,200 The numbers are as per a particular PIN code. 146 00:10:12,400 --> 00:10:14,040 The data for Ahmadnagar is separate. 147 00:10:14,160 --> 00:10:16,600 Pune will have its own data and so will Mumbai. 148 00:10:16,720 --> 00:10:20,120 I upload all the files at night before I go to sleep. 149 00:10:20,280 --> 00:10:22,600 The system automatically functions on the computer. 150 00:10:22,720 --> 00:10:24,840 In one night, around 12,000 texts 151 00:10:24,920 --> 00:10:27,840 are sent on WhatsApp to prospective customers. 152 00:10:27,960 --> 00:10:31,080 - In that area. So, they approach distributors for Vold. - Yes. 153 00:10:31,200 --> 00:10:32,520 - So, the distributor stocks up. - Yes. 154 00:10:32,640 --> 00:10:34,360 You are very resourceful I must say! 155 00:10:34,800 --> 00:10:37,760 Give us your numbers for monthly sales and expenses. 156 00:10:38,000 --> 00:10:41,040 I started on 23 April 2023 which was the first month. 157 00:11:28,800 --> 00:11:30,200 No. I take an advance payment for some of it 158 00:11:30,280 --> 00:11:32,440 while some give post-dated cheques of 15 days or a month. 159 00:11:33,280 --> 00:11:34,640 How many people are in your team? 160 00:11:34,800 --> 00:11:35,960 I work alone. 161 00:11:36,200 --> 00:11:38,280 - You do it single-handedly! - Yes, I do everything alone. 162 00:11:38,400 --> 00:11:40,560 - You launched a brand single-handedly! - Yes. 163 00:11:41,000 --> 00:11:42,920 - You made sales single-handedly. - Yes. 164 00:11:43,440 --> 00:11:45,560 Is your company formed? Is it an LLP? 165 00:11:45,640 --> 00:11:47,960 - Sole proprietorship? - Private Limited. OPC Pvt. Ltd. 166 00:12:01,360 --> 00:12:02,440 Devesh, what is your ambition? 167 00:12:02,520 --> 00:12:04,120 You said you want to take the world by storm. 168 00:12:04,920 --> 00:12:06,360 - Sir, I... - How will you achieve it? 169 00:12:06,480 --> 00:12:09,640 You're alone, Devesh. I salute your spirit, okay. 170 00:12:09,760 --> 00:12:12,960 You have a solid marketing instinct and amazing resourcefulness. 171 00:12:13,080 --> 00:12:14,000 It all checks off. 172 00:12:14,080 --> 00:12:16,560 - How will you make this a big company? - Sir, I... 173 00:12:16,640 --> 00:12:17,680 Do you have a strategy 174 00:12:17,760 --> 00:12:19,880 - or are you relying solely on your spirit? - I have a strategy. 175 00:12:20,000 --> 00:12:21,040 [tense music playing] 176 00:12:21,960 --> 00:12:24,640 College festivals are just around the corner. 177 00:12:24,760 --> 00:12:27,280 I will start marketing there. 178 00:12:27,400 --> 00:12:29,080 That marketing will continue, 179 00:12:29,160 --> 00:12:31,240 and the marketing on WhatsApp will also carry on. 180 00:12:31,320 --> 00:12:33,800 How much money do you need to make this a Rs. 100-crore business? 181 00:12:33,880 --> 00:12:34,960 I need Rs. 50 lakhs. 182 00:12:35,120 --> 00:12:36,840 - You'll make a Rs. 100-crore business! - Yes. 183 00:12:36,960 --> 00:12:38,280 [intriguing music playing] 184 00:12:38,960 --> 00:12:39,920 How is it possible? 185 00:12:40,000 --> 00:12:41,840 Your working capital will be more than this. 186 00:12:42,160 --> 00:12:43,200 [sombre music playing] 187 00:12:43,640 --> 00:12:45,280 This business rests solely on marketing. 188 00:12:45,800 --> 00:12:46,640 Okay? 189 00:12:46,720 --> 00:12:48,560 You claim with an investment of Rs. 50 lakhs, 190 00:12:48,640 --> 00:12:50,200 you can make this a Rs. 100-crore business. 191 00:12:50,280 --> 00:12:51,640 You haven't thought this through. 192 00:12:51,840 --> 00:12:52,800 No! I can, sir. 193 00:12:52,880 --> 00:12:54,240 - Other marketing... - You cannot! 194 00:13:00,320 --> 00:13:01,760 How can an investment of 50 lakhs generate a Rs. 100-crore business? 195 00:13:01,840 --> 00:13:02,720 - Tell me. - Um... 196 00:13:02,840 --> 00:13:05,400 - You'll need a mere Rs. 8 crore just in working capital. - Yes. 197 00:13:05,480 --> 00:13:08,040 - Your payment from the distributors will come after a month. - Yes. 198 00:13:08,120 --> 00:13:09,360 - Then you also have... - No! 199 00:13:09,440 --> 00:13:11,560 The payment of only 20% of the distributors 200 00:13:11,640 --> 00:13:13,400 will come after a month. 201 00:13:20,000 --> 00:13:21,600 - but I don't see that... - Okay. 202 00:13:21,640 --> 00:13:23,440 As you don't have an R&D department. 203 00:13:23,760 --> 00:13:27,960 For sales of Rs. 6 lakhs a month and Rs. 70 lakhs a year, 204 00:13:28,080 --> 00:13:31,360 - you want a valuation of Rs. 25 crores. - Yes. 205 00:13:31,640 --> 00:13:33,560 It's 30 to 35 times your revenue. 206 00:13:33,840 --> 00:13:35,280 That isn't justified either. 207 00:13:35,800 --> 00:13:38,320 I don't see how this will become a big business. 208 00:13:38,400 --> 00:13:39,440 I don't see any depth. 209 00:13:39,520 --> 00:13:42,040 For these reasons, I'm out. Four Sharks are left. 210 00:13:43,480 --> 00:13:45,240 Sometimes, we do this on Shark Tank. 211 00:13:45,320 --> 00:13:47,680 A lot of founders come here who are raw 212 00:13:47,760 --> 00:13:49,840 but are high on zest and zeal. 213 00:13:49,960 --> 00:13:53,520 So, sometimes, we take a bet on them to help them build a big business. 214 00:13:53,800 --> 00:13:54,960 You have that in you, 215 00:13:55,040 --> 00:13:56,600 but what I don't understand is 216 00:13:56,680 --> 00:13:59,080 why you haven't thought ahead. 217 00:13:59,680 --> 00:14:00,880 I would say 218 00:14:01,000 --> 00:14:03,480 don't utilise any more of your dad's money. 219 00:14:03,640 --> 00:14:06,520 Take the taping off your car and return it 220 00:14:06,640 --> 00:14:08,200 until you don't figure out 221 00:14:08,280 --> 00:14:10,520 - how to make this a business... - Okay. 222 00:14:10,600 --> 00:14:11,720 And not just let it be a hobby. 223 00:14:12,040 --> 00:14:13,520 That's why, I'm out. Good luck. 224 00:14:14,480 --> 00:14:16,680 I really liked your passion. 225 00:14:16,880 --> 00:14:18,440 I don't agree with Anupam 226 00:14:18,560 --> 00:14:21,160 that you should return the car or not do this. 227 00:14:21,240 --> 00:14:22,240 You should keep the car. 228 00:14:22,320 --> 00:14:25,760 This is your superb differentiator. 229 00:14:25,840 --> 00:14:26,800 So, do keep it, 230 00:14:26,920 --> 00:14:28,840 but I would like to say 231 00:14:28,960 --> 00:14:33,280 - that you're in dire need of a co-founder. - Okay. 232 00:14:33,360 --> 00:14:36,040 You have the passion and the vision, 233 00:14:36,320 --> 00:14:38,000 but you need somebody 234 00:14:38,120 --> 00:14:41,680 - who understands marketing, financials and business. - Yes. 235 00:14:41,800 --> 00:14:44,080 You need someone with that acumen. 236 00:14:44,240 --> 00:14:46,680 - So, you should get a co-founder on board. - Okay. 237 00:14:46,800 --> 00:14:48,160 Increase your sales. 238 00:14:48,400 --> 00:14:50,160 - Then, we'll meet again. - Okay. 239 00:14:50,240 --> 00:14:51,480 Today, I'm out. 240 00:14:56,600 --> 00:15:00,440 That's why I have a really strong desire to support you. 241 00:15:00,640 --> 00:15:04,240 Red Bull used to do this when they started out 20 years ago. 242 00:15:04,320 --> 00:15:06,800 - Sampling at college festivals... - Yes. 243 00:15:06,880 --> 00:15:09,240 - They used to crush their cans and throw them outside bars. - Yes. 244 00:15:09,320 --> 00:15:10,720 So that people would think 245 00:15:10,800 --> 00:15:12,280 - it's a great product and they'd buy it too. - Yes. 246 00:15:12,360 --> 00:15:15,920 You're replicating the same 20-year-old techniques now. 247 00:15:16,000 --> 00:15:17,480 You haven't worked hard yet. 248 00:15:17,560 --> 00:15:20,000 You haven't explored how you could make this a big brand 249 00:15:20,080 --> 00:15:22,280 in tier 2 and tier 3 cities using social media. 250 00:15:22,320 --> 00:15:24,920 That can help you grow much faster. 251 00:15:25,320 --> 00:15:28,160 As of now, I don't find this investible, Devesh. 252 00:15:28,240 --> 00:15:29,160 I am out. 253 00:15:29,600 --> 00:15:31,160 Your marketing is very basic. 254 00:15:31,720 --> 00:15:32,640 Yes, it is basic. 255 00:15:32,760 --> 00:15:34,480 You won't be able to grow beyond a certain level 256 00:15:34,560 --> 00:15:35,640 - as they said. - Yes. 257 00:15:36,000 --> 00:15:39,200 When I start getting funds, 258 00:15:39,320 --> 00:15:41,800 I will invest in better channels of marketing. 259 00:15:41,880 --> 00:15:44,960 - It feels like... Have you heard of building castles in the air? - Yes. 260 00:15:45,160 --> 00:15:47,800 - Aren't you building castles in the air? - No. 261 00:15:48,120 --> 00:15:50,200 - Why is that? - I can do it, sir. 262 00:15:50,400 --> 00:15:53,000 No, there's a difference between confidence and overconfidence. 263 00:15:53,080 --> 00:15:54,080 - No... - How will you do it? 264 00:15:54,760 --> 00:15:57,360 I will do it, sir. I will learn and implement. 265 00:15:57,520 --> 00:16:00,360 As I was advised, I will get a co-founder on board 266 00:16:00,560 --> 00:16:04,080 who has experience in marketing and all other areas. 267 00:16:30,880 --> 00:16:32,480 I feel like my money will sink. 268 00:16:33,040 --> 00:16:34,800 - No, sir. It won't. - Why not? 269 00:16:34,880 --> 00:16:36,520 No, sir. I won't let it. 270 00:16:36,640 --> 00:16:37,520 How? 271 00:16:37,760 --> 00:16:40,000 I won't let it. I will get a co-founder 272 00:16:40,080 --> 00:16:41,640 and you will also lend your expertise. 273 00:16:41,920 --> 00:16:45,320 If not ten days, you could give me at least a day. 274 00:16:45,480 --> 00:16:48,120 I will learn whatever you teach me in that one day 275 00:16:48,240 --> 00:16:50,160 and grow the business by implementing it. 276 00:16:52,040 --> 00:16:53,560 Okay. I'll give you an offer. 277 00:16:54,160 --> 00:16:55,040 Wow! 278 00:16:59,480 --> 00:17:00,640 - Okay? - A valuation of Rs. 1 crore. 279 00:17:00,720 --> 00:17:03,360 And Rs. 40 lakhs debt at 12% interest 280 00:17:03,520 --> 00:17:04,240 for two years. 281 00:17:15,240 --> 00:17:16,360 That's right. 282 00:17:16,720 --> 00:17:18,440 - Rs. 10 lakhs for 10% equity. - Okay. 283 00:17:18,520 --> 00:17:21,600 - Rs. 1 crore valuation. Correct? - Yes. 284 00:17:21,880 --> 00:17:24,160 I'll give you the rest Rs. 40 lakhs as royalty. 285 00:17:24,920 --> 00:17:27,480 Royalty at 3% for every can sold 286 00:17:35,440 --> 00:17:37,240 - It's a very good deal. - Great. 287 00:17:37,280 --> 00:17:40,120 Your sales is a mere Rs. 30 to 35 lakhs. 288 00:17:40,200 --> 00:17:41,280 This is a good valuation. 289 00:17:41,360 --> 00:17:42,800 - It's the first step. - You'll get there. 290 00:17:42,880 --> 00:17:45,000 - It'll be the same... - Shark, deal done. 291 00:17:50,520 --> 00:17:51,720 You're really cool. 292 00:17:52,000 --> 00:17:53,640 Oh my God! How sweet! 293 00:17:53,880 --> 00:17:55,400 'Aman Gupta is a cool guy.' 294 00:18:05,520 --> 00:18:07,040 he has turned boAt into a very big empire. 295 00:18:07,160 --> 00:18:08,600 He can do the same for Vold too! 296 00:18:08,760 --> 00:18:10,240 [joyous music playing] 297 00:18:11,480 --> 00:18:12,680 [theme music playing] 298 00:18:28,560 --> 00:18:29,920 [music fades] 299 00:18:30,120 --> 00:18:32,040 'I tread against the waves,' 300 00:18:32,360 --> 00:18:34,360 - 'what harm can the storm do me?' - Nice. 301 00:18:34,640 --> 00:18:36,440 'I fly even with broken wings,' 302 00:18:36,640 --> 00:18:38,400 'the direction of the wind also does change.' 303 00:18:38,760 --> 00:18:40,400 'This rebellious mind is obstinate,' 304 00:18:40,680 --> 00:18:42,960 'it does what it wants and spares no thought.' 305 00:18:54,360 --> 00:18:55,160 Right? 306 00:18:55,240 --> 00:18:58,320 Jewellery is also a form of self-expression. 307 00:18:59,640 --> 00:19:00,640 We believe that 308 00:19:00,720 --> 00:19:02,680 jewellery is more than just a piece of decoration. 309 00:19:02,800 --> 00:19:05,080 It is a conversation starter. 310 00:19:05,200 --> 00:19:07,200 That's why we started Quirksmith. 311 00:19:09,360 --> 00:19:12,240 Quirksmith is a silver jewellery brand 312 00:19:12,360 --> 00:19:13,480 inspired by poetry 313 00:19:19,920 --> 00:19:21,600 Our product range includes 314 00:19:21,760 --> 00:19:23,800 the Hazaaron Khwahishein Aisi Necklace 315 00:19:23,880 --> 00:19:26,160 which will inspire you to dream. 316 00:19:26,320 --> 00:19:28,520 Or the Aham Brahmasmi Thumb Ring 317 00:19:28,640 --> 00:19:30,920 which will give you strength on your difficult days. 318 00:19:31,080 --> 00:19:32,560 Our biggest USP is 319 00:19:32,640 --> 00:19:34,560 our complementary skillsets. 320 00:19:34,840 --> 00:19:37,640 Divya is the heart and soul of the entire set up. 321 00:19:37,800 --> 00:19:41,520 And Pragya is the brain and body of this entire set-up. 322 00:19:41,600 --> 00:19:44,280 And when the mind and body meet, 323 00:19:44,440 --> 00:19:46,240 magic is bound to happen! 324 00:19:47,600 --> 00:19:48,920 In the last seven years, 325 00:19:49,040 --> 00:19:51,120 we have built a loyal community of over 3 lakh customers. 326 00:20:01,960 --> 00:20:03,760 Not just in India, 327 00:20:03,920 --> 00:20:07,160 we want people all over the world to wear their emotions. 328 00:20:07,880 --> 00:20:11,760 Our ask is Rs. 80 lakhs for 1% equity. 329 00:20:17,360 --> 00:20:19,360 'Who says the sky cannot be breached?' 330 00:20:19,520 --> 00:20:22,120 'Throw a stone with all your might.' 331 00:20:22,200 --> 00:20:23,040 Lovely. 332 00:20:30,520 --> 00:20:31,720 [light-hearted music playing] 333 00:20:33,520 --> 00:20:34,880 That is for you, Aman. 334 00:20:37,440 --> 00:20:38,360 Thank you. 335 00:20:38,760 --> 00:20:39,600 Thank you. 336 00:20:39,680 --> 00:20:42,360 - Is all your jewellery from Quirksmith? - Yes. 337 00:20:42,440 --> 00:20:43,280 - Yes. - Beautiful. 338 00:20:43,560 --> 00:20:45,080 [light-hearted music playing] 339 00:20:48,760 --> 00:20:51,880 - 'Not noise, but the rise of a new voice.' - New voice. 340 00:20:52,480 --> 00:20:53,400 Beautiful. 341 00:20:53,520 --> 00:20:55,160 I've given you Manmauji. 342 00:20:55,800 --> 00:20:57,360 - [laughs] - Manmauji! 343 00:20:57,640 --> 00:20:59,320 Given how carefree you are... 344 00:20:59,480 --> 00:21:03,680 Keeping that in mind, we chose Manmauji for you. 345 00:21:05,360 --> 00:21:08,720 So, I have written a few lines on Manmauji as well. 346 00:21:08,920 --> 00:21:12,000 'O, tread these paths with me blithe and carefree.' 347 00:21:12,160 --> 00:21:14,520 'Why worry about the destination, I am happy-go-lucky.' 348 00:21:14,760 --> 00:21:15,640 Ah! 349 00:21:16,440 --> 00:21:17,440 Beautiful. 350 00:21:17,640 --> 00:21:20,200 The one we gave to Namita 351 00:21:20,320 --> 00:21:23,320 is the Hasrat Hai Shadeed Necklace. 352 00:21:23,600 --> 00:21:25,560 This is hopeful. 353 00:21:27,120 --> 00:21:28,240 The poem goes like this. 354 00:21:28,440 --> 00:21:32,360 'You must have seen a cactus in bloom sometime.' 355 00:21:32,680 --> 00:21:34,920 - Wow! - 'It must have found' 356 00:21:35,000 --> 00:21:36,120 'an oasis even in the desert.' 357 00:21:36,560 --> 00:21:40,640 'A plant will grow even out of a moist wall.' 358 00:21:40,880 --> 00:21:43,400 'If the desire is strong, you will find the way.' 359 00:21:43,520 --> 00:21:44,480 Wonderful. 360 00:21:44,600 --> 00:21:46,280 Fantastic! 361 00:21:47,000 --> 00:21:48,960 I love the way you put things. 362 00:21:49,080 --> 00:21:49,920 Thank you. 363 00:21:50,000 --> 00:21:51,320 I would just like to point out one thing. 364 00:21:51,400 --> 00:21:53,800 What we gave you is a Musaafir Car Hanging 365 00:21:53,880 --> 00:21:54,760 for CarDekho. 366 00:21:55,080 --> 00:21:56,200 - So... - Oh, wow! 367 00:21:56,440 --> 00:21:58,160 - Thank you. - It wasn't meant to be worn. 368 00:21:58,240 --> 00:21:59,560 - It looks good. - Then what? 369 00:21:59,640 --> 00:22:00,680 It's a car hanging. 370 00:22:01,040 --> 00:22:03,120 It looks good on me too. I'm also a traveller. 371 00:22:17,560 --> 00:22:18,360 [music fades] 372 00:22:18,360 --> 00:22:19,880 What have you done before? 373 00:22:20,000 --> 00:22:21,480 I passed out from NIFT. 374 00:22:28,440 --> 00:22:29,880 Before I started Quirksmith, 375 00:22:29,960 --> 00:22:32,040 I had worked for 15-16 years. 376 00:22:32,120 --> 00:22:33,800 You have a lot of experience in jewellery. 377 00:22:33,880 --> 00:22:35,040 - Yes. - And you? 378 00:22:35,240 --> 00:22:37,840 I have a business background. I did my B.Tech 379 00:22:38,160 --> 00:22:40,440 and M.Tech from IIT, Delhi in biochemical engineering 380 00:22:40,520 --> 00:22:42,680 and biotechnology in 2007. 381 00:22:42,840 --> 00:22:45,320 I joined Bain & Company after that. 382 00:22:45,400 --> 00:22:47,840 I worked with them for six years. 383 00:22:58,320 --> 00:23:01,120 After that, we were toying with the idea of doing something together 384 00:23:01,360 --> 00:23:04,440 and in 2016, we launched Quirksmith online. 385 00:23:04,560 --> 00:23:05,880 You started it together? 386 00:23:05,960 --> 00:23:09,120 For almost two years, Divya was with her existing company... 387 00:23:09,200 --> 00:23:10,760 Because her involvement was only limited to design. 388 00:23:10,760 --> 00:23:11,320 It was part-time. 389 00:23:11,440 --> 00:23:12,920 And she had to put in less time. 390 00:23:13,040 --> 00:23:15,080 I quit InMobi 391 00:23:15,160 --> 00:23:18,080 and set up a website on Shopify in the next three months. 392 00:23:18,160 --> 00:23:20,280 I took the help of friends and built 393 00:23:20,400 --> 00:23:22,520 the website in a bootstrapped manner. 394 00:23:23,400 --> 00:23:25,280 Tell me something, you're such an amazing team 395 00:23:25,360 --> 00:23:28,120 with complimentary skills, fantastic presentation, 396 00:23:28,280 --> 00:23:30,360 great marketing, from what I see so far, 397 00:23:30,440 --> 00:23:31,440 the full package. 398 00:23:31,840 --> 00:23:33,800 You never raised any funding? 399 00:23:33,880 --> 00:23:35,200 - Fully bootstrapped. - Yes, so far. 400 00:23:35,240 --> 00:23:37,680 - How come? - We were on a good path till Covid. 401 00:23:37,840 --> 00:23:40,200 We were doubling our sales every year. 402 00:23:41,200 --> 00:23:43,200 When Covid hit, our business steeply went down, 403 00:23:43,320 --> 00:23:45,840 our risk taking ability was also reduced at that time. 404 00:23:45,920 --> 00:23:48,120 So we focused all our attention on building the brand. 405 00:23:48,200 --> 00:23:49,640 Like that is the difficult part. 406 00:23:49,840 --> 00:23:52,640 I think we've now achieved the difficult task of building a brand. 407 00:23:52,720 --> 00:23:54,480 Now we're at a stage where 408 00:23:54,720 --> 00:23:56,760 our online business has reached a certain scale. 409 00:24:25,760 --> 00:24:26,720 This was last year, Namita, from 2022-23 410 00:24:26,840 --> 00:24:28,360 we've invested in a team. 411 00:24:28,440 --> 00:24:29,560 You can't base your valuation on the 412 00:24:29,560 --> 00:24:30,920 team. Tell us last month's numbers. 413 00:24:43,800 --> 00:24:45,320 What's the traffic on your website? 414 00:24:45,600 --> 00:24:49,120 1.2 lakh visitors per month. 415 00:25:00,240 --> 00:25:02,080 When your brand becomes strong, that will increase. 416 00:25:02,200 --> 00:25:04,200 You'll have to work harder on building your brand. 417 00:25:05,400 --> 00:25:06,840 And how much does it cost to manufacture? 418 00:25:07,040 --> 00:25:08,560 The MRP is Rs. 3000. 419 00:25:15,920 --> 00:25:18,640 Our average order value is around Rs. 2500. 420 00:25:32,400 --> 00:25:34,120 your salary after so many years, 421 00:25:34,200 --> 00:25:36,640 given your experience, must have been 1.5-2 crores. 422 00:25:36,640 --> 00:25:37,440 Yes. 423 00:25:37,520 --> 00:25:40,080 After that, for seven years, you did this business. 424 00:25:40,160 --> 00:25:42,600 You made Rs. 24 lakhs between both of you. 425 00:25:42,680 --> 00:25:44,680 Something is not adding. 426 00:25:49,960 --> 00:25:51,000 Like I said, 427 00:25:51,360 --> 00:25:53,720 we've come so far by improving on small things, 428 00:25:53,800 --> 00:25:55,960 we've purposely not sold in marketplaces. 429 00:25:56,040 --> 00:25:56,560 Getting a GMV on marketplaces 430 00:26:01,560 --> 00:26:03,040 Because we were focusing on building our brand. 431 00:26:03,120 --> 00:26:04,640 On our storytelling. 432 00:26:04,800 --> 00:26:07,720 People aren't transacting online on websites nowadays. 433 00:26:07,840 --> 00:26:09,440 Like I said, we attend pop-ups. 434 00:26:09,520 --> 00:26:10,880 There's a lot of love for the brand. People 435 00:26:10,880 --> 00:26:12,120 have been following us for 1.5 years. 436 00:26:12,120 --> 00:26:13,400 They know all the stories. 437 00:26:13,560 --> 00:26:14,760 But they haven't shopped yet. 438 00:26:14,840 --> 00:26:17,040 Why didn't they? Is it because you're very expensive? 439 00:26:17,120 --> 00:26:18,560 Is there a problem with the pricing? 440 00:26:19,600 --> 00:26:20,840 We're very competitive. 441 00:26:20,920 --> 00:26:23,360 Do your customers tell you that you're expensive, 442 00:26:23,440 --> 00:26:24,880 or they don't? 443 00:26:24,880 --> 00:26:26,320 No, in fact, for the designs we offer 444 00:26:26,440 --> 00:26:28,840 we're quite well priced. 445 00:26:28,920 --> 00:26:31,120 There's a perception that our jewellery 446 00:26:31,480 --> 00:26:32,640 is very creative. 447 00:26:32,720 --> 00:26:34,200 And I don't wear this on a regular basis. 448 00:26:34,240 --> 00:26:36,280 It's not that we don't have those products. 449 00:26:36,520 --> 00:26:38,840 What we have to do for our marketing now is that 450 00:26:39,080 --> 00:26:41,720 we've to popularise the daily wear designs. 451 00:26:41,800 --> 00:26:44,080 And we've built a very strong brand now 452 00:26:44,240 --> 00:26:46,480 which people trust and believe in. 453 00:26:46,640 --> 00:26:49,240 The next step from here is also to make things that 454 00:26:49,400 --> 00:26:50,480 more and more people want. 455 00:26:50,560 --> 00:26:52,480 You said multiple times that 456 00:26:52,680 --> 00:26:54,600 our brand has been built. 457 00:26:55,960 --> 00:26:57,440 When a brand is built, 458 00:27:03,240 --> 00:27:05,080 wanting to pay that Rs. 3000 459 00:27:05,160 --> 00:27:06,200 price point. 460 00:27:07,120 --> 00:27:08,600 You'll find the answer. 461 00:27:08,680 --> 00:27:10,480 You don't have it right now. I'm out. 462 00:27:11,080 --> 00:27:12,080 Good luck. 463 00:27:30,040 --> 00:27:33,600 I think your market segment is very niche as of now. 464 00:27:33,800 --> 00:27:37,400 And as long as you don't change your 465 00:27:37,720 --> 00:27:39,360 collections and pricing, 466 00:27:39,520 --> 00:27:42,080 you'll take a lot of time to scale. 467 00:27:42,360 --> 00:27:44,080 So, I hope you do that. 468 00:27:44,240 --> 00:27:46,920 But I'm out for today. I wish you the best. 469 00:27:49,120 --> 00:27:50,520 Great products. 470 00:27:50,720 --> 00:27:52,720 Your presentation was also amazing. 471 00:27:52,920 --> 00:27:54,960 But I see struggle and confusion somewhere. 472 00:27:55,600 --> 00:27:58,640 I think this Hindi scripted jewellery is your identity. 473 00:27:59,120 --> 00:28:01,640 I'm not sure how you can take it forward 474 00:28:09,920 --> 00:28:12,320 You're going to face a big challenge in moving from 475 00:28:12,520 --> 00:28:14,280 occasion wear to daily wear. 476 00:28:14,440 --> 00:28:16,920 And for that reason, I'm out. I wish you the best. 477 00:28:17,200 --> 00:28:18,280 Thank you. 478 00:28:19,600 --> 00:28:22,800 I really liked your complimentary skills. 479 00:28:22,840 --> 00:28:24,480 You're like a yin-yang pair. 480 00:28:24,560 --> 00:28:26,400 One person is doing the math and the other person is 481 00:28:26,400 --> 00:28:27,840 - focusing on the design. - The mind and heart. 482 00:28:27,880 --> 00:28:29,760 I still haven't understood the business part though. 483 00:28:29,760 --> 00:28:31,240 How is this an expandable business? 484 00:28:31,480 --> 00:28:33,640 But you're amazing founders. 485 00:28:34,360 --> 00:28:36,120 And it's my gut feeling that this 486 00:28:36,120 --> 00:28:38,160 talent can be used to do something big. 487 00:28:38,400 --> 00:28:39,400 Okay. 488 00:28:39,680 --> 00:28:42,120 I found your valuation ask to be very unreasonable. 489 00:28:42,200 --> 00:28:44,160 The valuation in your original ask. 490 00:28:45,480 --> 00:28:48,680 My offer will be Rs. 30 lakhs for 3%. 491 00:28:50,040 --> 00:28:51,680 The rest Rs. 50 lakhs, I'll give in debt 492 00:28:52,520 --> 00:28:54,800 for 12% and term of the loan would be 2 years. 493 00:29:01,560 --> 00:29:03,840 has a sales of Rs. 4000 crores. 494 00:29:03,920 --> 00:29:06,040 But we still feel that we haven't built the brand yet. 495 00:29:06,800 --> 00:29:09,120 Brands keep evolving and we should keep building it. 496 00:29:09,200 --> 00:29:10,560 That's how it works. 497 00:29:10,800 --> 00:29:12,720 I'd like to say something. 498 00:29:12,800 --> 00:29:15,000 You used a word "evolve". 499 00:29:15,280 --> 00:29:18,680 Honestly, until now, 500 00:29:18,800 --> 00:29:20,480 we planned to walk slowly. 501 00:29:20,720 --> 00:29:23,480 But now for the first time, we've felt... 502 00:29:23,640 --> 00:29:24,640 Since when? 503 00:29:25,120 --> 00:29:26,520 - In the last six months? - The last six months. 504 00:29:26,560 --> 00:29:29,280 - What did you feel? - That we need to grow big. 505 00:29:29,760 --> 00:29:31,080 We've decided this now. 506 00:29:31,200 --> 00:29:32,120 Realisation? 507 00:29:32,200 --> 00:29:34,400 It's possible that we did so because so many years have passed. 508 00:29:34,440 --> 00:29:35,680 And our team 509 00:29:35,800 --> 00:29:38,200 - is so fun to work with... - Yes. 510 00:29:38,280 --> 00:29:40,680 Seeing them grow 511 00:29:40,800 --> 00:29:43,240 brings us so much joy that we can't express. 512 00:29:43,320 --> 00:29:45,480 I understand your point. 513 00:29:45,560 --> 00:29:47,040 But how will I get my money back? 514 00:29:47,160 --> 00:29:48,800 We want to retail. 515 00:29:48,920 --> 00:29:50,600 We want to start exporting. 516 00:29:50,760 --> 00:29:52,440 You don't know how to export now. 517 00:29:52,520 --> 00:29:53,520 - Yes. - Exactly. 518 00:29:53,600 --> 00:29:55,240 We've learnt so much. 519 00:29:55,840 --> 00:29:57,720 Are you ready to grow fast now? 520 00:29:57,800 --> 00:29:58,600 Yes, absolutely. 521 00:29:58,680 --> 00:30:00,400 I want adrenaline. 522 00:30:00,480 --> 00:30:01,640 I love the rush. It has to be fast. 523 00:30:01,640 --> 00:30:04,560 I have so much adrenaline that everyone gets tired. 524 00:30:04,640 --> 00:30:05,840 [laughing] 525 00:30:07,840 --> 00:30:10,040 I'll give you Rs. 30 lakhs. 526 00:30:11,280 --> 00:30:15,360 At 3.3%, which is equal to Rs. 9 crores valuation. 527 00:30:15,800 --> 00:30:19,480 The rest is Rs. 50 lakhs debt at 12% for 3 years. 528 00:30:26,600 --> 00:30:29,400 Happy-go-lucky or traveller, make your pick. 529 00:30:31,240 --> 00:30:32,760 Sir, we'll just take a minute. 530 00:30:32,840 --> 00:30:34,080 - Thank you. - Thank you. 531 00:30:35,080 --> 00:30:36,400 [music playing] 532 00:30:37,600 --> 00:30:38,840 What do we do? 533 00:30:39,680 --> 00:30:41,840 - We'll have to be together. - Yeah. 534 00:30:42,920 --> 00:30:44,120 [music playing] 535 00:30:47,080 --> 00:30:49,400 [music playing] 536 00:30:49,680 --> 00:30:51,320 Thank you for your offers. 537 00:30:51,440 --> 00:30:53,000 Thank you for your faith. 538 00:30:53,320 --> 00:30:54,680 And thanks a lot 539 00:30:54,880 --> 00:30:57,920 for giving us a crash course in such a short time. 540 00:30:58,360 --> 00:31:00,200 You've removed a lot of curtains from our minds. 541 00:31:00,240 --> 00:31:02,800 You've cleared a lot of questions and we enjoyed it. 542 00:31:02,880 --> 00:31:05,520 - Do you even reject so lovingly? - Yes. 543 00:31:05,640 --> 00:31:07,280 [laughing] 544 00:31:10,000 --> 00:31:13,080 - Do you have a counter? - We don't have a counter, sir. 545 00:31:16,280 --> 00:31:19,160 Why did you come here to waste our time? 546 00:31:19,240 --> 00:31:20,240 No. 547 00:31:21,360 --> 00:31:23,560 - They valued it at Rs. 80 crores. - But we can all... 548 00:31:23,640 --> 00:31:25,600 Forget the valuation. 549 00:31:25,680 --> 00:31:28,440 We made that big gap. It came down to 9 crores. 550 00:31:28,680 --> 00:31:30,440 What's the problem? With the valuation? 551 00:31:31,320 --> 00:31:32,320 Yes. 552 00:31:32,360 --> 00:31:34,000 So, why didn't you give a counter? 553 00:31:34,200 --> 00:31:35,440 - We... - Because of the debt. 554 00:31:35,520 --> 00:31:36,880 I think that 555 00:31:37,080 --> 00:31:40,920 debt and revenue financing is something we can get outside. 556 00:31:41,000 --> 00:31:42,760 That's not our agenda. 557 00:31:43,240 --> 00:31:46,280 You don't want debt. I'll modify the offer. 558 00:31:46,440 --> 00:31:49,080 One second. For now, I'm out. 559 00:31:51,200 --> 00:31:54,480 You came here and narrated such beautiful stories. 560 00:31:54,560 --> 00:31:56,200 You said that you want 561 00:31:56,280 --> 00:31:58,240 to learn and take it to the next level. 562 00:31:58,320 --> 00:31:59,800 - That you need direction. - Yes. 563 00:31:59,840 --> 00:32:02,000 I will stop believing the entrepreneurs 564 00:32:02,080 --> 00:32:04,080 who come and pitch their businesses. 565 00:32:05,200 --> 00:32:07,080 Something is not matching up. 566 00:32:07,200 --> 00:32:08,880 There has to be some seriousness 567 00:32:09,160 --> 00:32:11,600 in the way you're running your business, ma'am. Sorry. 568 00:32:11,680 --> 00:32:14,080 [music playing] 569 00:32:14,240 --> 00:32:16,360 I'm going to give you the final offer because I do believe 570 00:32:16,400 --> 00:32:17,600 you'll build something large. 571 00:32:18,600 --> 00:32:20,800 I'll convert the deal. Rs 30 lakhs for 3 per cent. 572 00:32:20,880 --> 00:32:22,480 The equity offer is the same. 573 00:32:23,000 --> 00:32:24,920 You will get Rs 50 lakhs 574 00:32:25,000 --> 00:32:26,840 but in the royalty format. 575 00:32:26,880 --> 00:32:31,160 In that, I'll charge you 2 per cent of sales as royalty. 576 00:32:31,240 --> 00:32:34,240 When I get Rs 1 crore back for my investment of Rs 50 lakhs, 577 00:32:42,000 --> 00:32:44,240 I'd like to give a counteroffer. 578 00:32:44,320 --> 00:32:45,280 Please. 579 00:32:59,120 --> 00:33:00,800 So you should've thought about that. 580 00:33:01,440 --> 00:33:03,960 But I definitely wanted to join and support you guys. 581 00:33:04,360 --> 00:33:05,360 It couldn't happen. 582 00:33:05,440 --> 00:33:06,600 - But thanks a lot. - But I wish you all the best. 583 00:33:06,600 --> 00:33:08,560 - Thank you so much. - I'm out now. Thank you. 584 00:33:10,080 --> 00:33:10,560 Thank you. 585 00:33:10,640 --> 00:33:12,760 Clear your confusion. 586 00:33:13,000 --> 00:33:15,200 Do you want to go international or make it local? 587 00:33:15,640 --> 00:33:17,640 Do you want to make daily wear, occasion wear, 588 00:33:17,720 --> 00:33:20,240 emotion or purpose? I think you're confused. 589 00:33:20,480 --> 00:33:21,800 Take some time out. Good luck! 590 00:33:22,160 --> 00:33:23,080 - Thank you so much. - Thank you. 591 00:33:23,160 --> 00:33:24,760 - All the best. - Thank you. 592 00:33:25,400 --> 00:33:26,280 Thank you. 593 00:33:27,280 --> 00:33:28,760 [music playing] 594 00:33:32,160 --> 00:33:35,440 Very high hopes I had. I'm so disappointed. 595 00:33:37,320 --> 00:33:38,800 [music playing] 596 00:35:13,520 --> 00:35:16,080 Greetings, Sharks. Let me start with a question. 597 00:35:16,200 --> 00:35:19,080 What's your most favourite place? 598 00:35:19,240 --> 00:35:20,560 Our home. 599 00:35:21,240 --> 00:35:22,840 Correct. But why? 600 00:35:22,960 --> 00:35:26,320 Because it's not made of bricks, but emotions. 601 00:35:27,320 --> 00:35:29,760 A house is an abundance of dreams and promises. 602 00:35:30,080 --> 00:35:33,440 A house stands with you through thick and thin. 603 00:35:33,600 --> 00:35:36,240 Every corner of the house has a story to narrate. 604 00:35:36,400 --> 00:35:39,560 Because it's not made of bricks, but emotions. 605 00:35:40,520 --> 00:35:40,960 Wow. 606 00:35:41,080 --> 00:35:43,200 - Beautiful. - These emotions outpour 607 00:35:43,200 --> 00:35:44,840 when we decorate our homes. 608 00:35:45,360 --> 00:35:47,560 Because somewhere a home 609 00:35:47,680 --> 00:35:49,360 is an extension of our personality. 610 00:35:49,520 --> 00:35:52,360 But when we talk of decorating a home, 611 00:35:52,600 --> 00:35:54,720 there are two questions in front of us. 612 00:35:54,840 --> 00:35:58,040 How long will it take to gather these materials? 613 00:35:58,240 --> 00:35:59,920 And how much will we spend? 614 00:36:00,920 --> 00:36:04,840 Sharks, with our 40 years of textile manufacturing experience 615 00:36:05,080 --> 00:36:06,120 we can assure you 616 00:36:06,480 --> 00:36:11,000 that a picture-perfect home of good quality and unique design 617 00:36:11,080 --> 00:36:14,000 can be built in a short time span within affordable rates. 618 00:36:14,160 --> 00:36:15,480 You might ask me how. 619 00:36:15,640 --> 00:36:17,600 Welcome to the world of Urban Space. 620 00:36:17,720 --> 00:36:19,160 [music playing] 621 00:36:26,920 --> 00:36:29,280 And we're the co-founders of Urban Space. 622 00:36:29,400 --> 00:36:31,640 - We are from Ahmedabad. - What a cool name! 623 00:36:31,720 --> 00:36:35,360 Urban Space fulfills all your home-furnishing needs. 624 00:36:35,480 --> 00:36:37,120 We are the only brand 625 00:36:37,200 --> 00:36:39,960 that makes such a wide variety of products 626 00:37:01,960 --> 00:37:03,440 To decorate your home. 627 00:37:04,200 --> 00:37:05,600 Sharks, we want 628 00:37:05,720 --> 00:37:08,720 that whenever someone thinks of decorating their home, 629 00:37:08,800 --> 00:37:12,040 Urban Space must become their one-stop home furnishing solution. 630 00:37:12,160 --> 00:37:14,440 So, today, we're asking for 631 00:37:14,560 --> 00:37:17,280 Rs 1.8 crores for 1 per cent equity in our company. 632 00:37:25,240 --> 00:37:26,600 A valuation of Rs 180 crores. 633 00:37:26,680 --> 00:37:27,480 - Yes. - Yes. 634 00:37:27,680 --> 00:37:29,120 Why is your valuation so high? 635 00:37:30,840 --> 00:37:34,280 Aman, our ARR this year is Rs 45 crores. 636 00:37:48,280 --> 00:37:50,520 Yes, so ARR is not because of that. 637 00:37:50,600 --> 00:37:52,080 [music playing] 638 00:37:52,400 --> 00:37:54,920 No, Ma'am. By October end, 639 00:37:55,120 --> 00:37:57,160 we would have made Rs 29 crores. 640 00:38:03,920 --> 00:38:06,440 Tell me the revenue for 2 years. This year, you'll make 45. 641 00:38:06,760 --> 00:38:09,240 - What was it last year? - Rs 20.5 crores. 642 00:38:09,600 --> 00:38:12,000 We have been into textile manufacturing for 40 years. 643 00:38:12,120 --> 00:38:13,960 You're together for 40 years? 644 00:38:14,160 --> 00:38:17,120 - No, family business. - Family is into it for 40 years. 645 00:38:17,240 --> 00:38:20,200 I remember that when we used to raise funds, 646 00:38:20,280 --> 00:38:21,960 husband-wife team 647 00:38:22,040 --> 00:38:25,160 used to be at the lowest rung in the venture capitalists' hierarchy. 648 00:38:25,400 --> 00:38:28,200 So, at the end of the pitch, we used to say with fear 649 00:38:28,280 --> 00:38:30,280 as a disclaimer that we're married. 650 00:38:30,400 --> 00:38:32,800 But I like that Shark Tank is changing things. 651 00:38:32,880 --> 00:38:35,320 And people are openly, confidently 652 00:38:35,400 --> 00:38:37,120 and proudly say that they're a husband-wife team. 653 00:38:37,240 --> 00:38:39,000 - Yes. - In 2016, 654 00:38:39,400 --> 00:38:41,760 you got married. 655 00:38:42,280 --> 00:38:45,200 And that's when you found this problem and started this business. 656 00:38:45,320 --> 00:38:46,640 I started in 2018. 657 00:38:46,800 --> 00:38:48,600 So, whose idea was it? 658 00:38:48,720 --> 00:38:51,080 No, it was her idea to venture into e-commerce. 659 00:38:51,240 --> 00:38:52,040 Okay. 660 00:38:52,360 --> 00:38:54,200 - These 1200 SKUs. - Yes. 661 00:38:54,280 --> 00:38:57,040 Tell us more about it. What are your top categories? 662 00:38:57,120 --> 00:38:59,480 - We have 5 major categories. - Hmm. 663 00:39:28,320 --> 00:39:30,360 First of all, we have a backward integration. 664 00:39:30,440 --> 00:39:32,520 We have our manufacturing setup. 665 00:39:37,280 --> 00:39:39,880 Today, our e-commerce marketing spend is 666 00:39:47,240 --> 00:39:49,360 Are you the most affordable on most platforms? 667 00:39:49,480 --> 00:39:51,080 - No. - Then what's the reason? 668 00:39:51,200 --> 00:39:52,680 Spending so less on marketing. 669 00:39:53,760 --> 00:39:55,880 One is over the years, 670 00:39:55,960 --> 00:39:58,520 we have identified the competition 671 00:39:58,600 --> 00:40:01,600 like you have to identify the keywords in marketplaces. 672 00:40:01,680 --> 00:40:04,560 We spend heavily in our cataloguing. 673 00:40:04,800 --> 00:40:06,880 So, we have live shoots. 674 00:40:06,960 --> 00:40:11,160 The customer receives the product as shown. 675 00:40:11,240 --> 00:40:15,400 Our review, rating for maximum products is around 4.5 676 00:40:50,120 --> 00:40:51,480 So, you're saying that you made Rs 1 crore on the sales. 677 00:40:51,640 --> 00:40:53,040 Sir, that's what the balance sheet will say. 678 00:40:53,120 --> 00:40:55,120 How does it matter what the balance sheet says? 679 00:40:55,200 --> 00:40:57,880 - You're standing here. - We haven't withdrawn it. 680 00:40:57,920 --> 00:40:59,280 You could've sent me the balance sheet. 681 00:40:59,880 --> 00:41:01,560 I'm asking you. 682 00:41:01,680 --> 00:41:03,280 You're telling me that the balance sheet will say so. 683 00:41:03,360 --> 00:41:06,680 So, according to our ratios, we would've made around Rs 1 crore. 684 00:41:06,760 --> 00:41:08,840 You made Rs 1 crore last month. 685 00:41:09,040 --> 00:41:10,360 Tell me something. Why are you here? 686 00:41:11,680 --> 00:41:14,320 Your business is good. It's profitable, 687 00:41:14,400 --> 00:41:15,600 it's growing well, 688 00:41:15,680 --> 00:41:19,440 if you take someone's investment, you know that 689 00:41:19,560 --> 00:41:21,040 it becomes a fiduciary duty 690 00:41:21,120 --> 00:41:22,760 for you to ensure returns to that person. 691 00:41:22,880 --> 00:41:24,720 Why do you even wish to get on that treadmill? 692 00:41:24,800 --> 00:41:29,320 Sir, that's why it's said that the right investor is important. 693 00:41:29,680 --> 00:41:31,760 Who can understand business philosophy, 694 00:41:31,840 --> 00:41:33,440 how the business wants to grow, 695 00:41:33,560 --> 00:41:35,240 and we'll drive it according to that and not 696 00:41:35,320 --> 00:41:37,360 just chase top line. 697 00:41:37,520 --> 00:41:39,400 As a company, we are very focused 698 00:41:39,440 --> 00:41:40,960 on the bottom line and profitability. 699 00:42:53,400 --> 00:42:56,880 - Let's say you're at an ARR of Rs. 45 crores now. - Yes. 700 00:42:57,000 --> 00:43:00,240 How and by when will you get to Rs. 1,000 crores? 701 00:43:00,480 --> 00:43:02,360 Our first goalpost is 702 00:43:03,040 --> 00:43:06,800 to reach an ARR of Rs. 100 crores by Diwali 2025. 703 00:43:06,920 --> 00:43:10,960 Our goalpost is to reach a top line of Rs. 1,000 crores by 2030. 704 00:43:11,080 --> 00:43:11,960 How will you do it? 705 00:43:32,240 --> 00:43:34,560 Why haven't big brands emerged? 706 00:43:34,640 --> 00:43:36,680 Why is this market so unorganised? 707 00:43:37,080 --> 00:43:40,680 Trident India is the biggest domestic player at Rs. 1,500 crores. 708 00:43:40,800 --> 00:43:43,000 Even they don't have a 3% market share, right? 709 00:43:43,080 --> 00:43:46,200 Small... - Yes. So, why isn't this a branded industry? 710 00:43:46,280 --> 00:43:48,280 The first reason is this. 711 00:43:48,400 --> 00:43:51,160 Until now, this was a functional product. 712 00:43:52,920 --> 00:43:55,000 Now, because of a lifestyle change, 713 00:43:55,200 --> 00:43:57,080 decor has become an aspirational product. 714 00:43:57,160 --> 00:43:58,360 So, now, all of a sudden, 715 00:43:58,480 --> 00:44:01,800 the doors to growth and brand play have opened. 716 00:44:02,520 --> 00:44:04,760 Say you hire an interior designer. 717 00:44:04,880 --> 00:44:07,240 Then you choose if you want pink curtains 718 00:44:07,360 --> 00:44:09,160 or purple or whatever it may be. 719 00:44:09,480 --> 00:44:12,240 Then you visit the shop which is in your local vicinity. 720 00:44:12,360 --> 00:44:13,440 You buy cloth from there. 721 00:44:13,520 --> 00:44:14,800 So, then what brand are you talking about? 722 00:44:14,880 --> 00:44:16,360 So, the first thing is the cost. 723 00:44:16,480 --> 00:44:19,120 The cost of cloth is a minimum Rs. 600 to 700 per metre. 724 00:44:19,200 --> 00:44:20,760 For French windows, 725 00:44:20,840 --> 00:44:23,040 it takes about four curtains that cost Rs. 10,000. 726 00:44:23,160 --> 00:44:24,600 You're right. I agree. 727 00:44:24,680 --> 00:44:26,760 We provide the same thing for Rs. 2,000 to 2,500. 728 00:44:26,840 --> 00:44:27,720 How? 729 00:44:28,000 --> 00:44:29,240 You can look at our products. 730 00:44:29,320 --> 00:44:30,800 - We have our products too. - Show them to us. 731 00:44:30,880 --> 00:44:31,800 Okay. 732 00:44:32,320 --> 00:44:33,760 [light-hearted music playing] 733 00:44:46,520 --> 00:44:49,400 The factory this is manufactured in belongs to you. 734 00:44:49,520 --> 00:44:50,320 Yes. 735 00:44:50,400 --> 00:44:52,120 Does it belong to a parental business 736 00:44:52,160 --> 00:44:54,240 or has this company set up the factory? 737 00:44:54,440 --> 00:44:56,480 The land belongs to the parental company. 738 00:44:56,560 --> 00:44:58,400 Our manufacturing facility 739 00:44:58,520 --> 00:45:01,120 sees the production mostly for Urban Space. 740 00:45:01,280 --> 00:45:02,680 We have another company 741 00:45:02,760 --> 00:45:05,320 where we do white labelling for other brands. 742 00:45:05,400 --> 00:45:08,240 So... - Hang on. It causes confusion when you say 'we'. 743 00:45:08,600 --> 00:45:10,680 - By we, do you mean yours? - Yes. 744 00:45:10,840 --> 00:45:11,880 - Or the family's? - Ours. 745 00:45:12,000 --> 00:45:15,600 So, you mean to say that other than Urban Space, 746 00:45:15,640 --> 00:45:17,480 - you own a B2B business also. - Yes. 747 00:45:17,560 --> 00:45:19,000 That is not related to the family. 748 00:45:19,080 --> 00:45:20,920 - It belongs to you both. - Yes. 749 00:45:21,000 --> 00:45:23,840 Today, you've come to raise money for Urban Space, 750 00:45:23,920 --> 00:45:25,120 - not for the B2B. - No. 751 00:45:25,200 --> 00:45:27,280 Other than that, you also have a family business 752 00:45:27,440 --> 00:45:29,680 in which you have a share but are not active. 753 00:45:29,920 --> 00:45:31,960 - We don't have a share in it. - You don't. 754 00:45:32,320 --> 00:45:35,600 5% of your sales is the revenue of that company... 755 00:45:35,760 --> 00:45:37,480 - Yes. - The manufacturing company, 756 00:45:37,600 --> 00:45:38,800 which is your company 757 00:45:39,040 --> 00:45:40,280 who is making this for you. 758 00:45:40,440 --> 00:45:42,160 How much money do you take home from there? 759 00:45:42,280 --> 00:45:45,160 Sir, the net profitability of that company is 5%. 760 00:45:45,320 --> 00:45:46,880 So, you keep that at breakeven 761 00:45:46,960 --> 00:45:48,640 and let the profit be here. 762 00:45:48,720 --> 00:45:50,200 No, you said you had a B2B business. 763 00:45:50,280 --> 00:45:52,080 - That's a different company. - No, it's the same. 764 00:45:52,160 --> 00:45:54,280 The one who manufactures for us 765 00:45:54,360 --> 00:45:56,080 also manufactures for the B2B business. 766 00:45:56,120 --> 00:45:57,400 So, what's the total profit? 767 00:45:57,480 --> 00:45:59,920 Last year, we did sales worth Rs. 12 crores. 768 00:46:00,000 --> 00:46:01,480 - That's what I was saying. - Rs. 60 to 70 lakhs. 769 00:46:01,560 --> 00:46:04,160 So, Rs. 2 crores is for you and Rs. 10 crores for others. 770 00:46:04,240 --> 00:46:05,800 - Correct. - Understood. 771 00:46:05,880 --> 00:46:08,200 When you bring such a structure in Shark Tank 772 00:46:08,280 --> 00:46:10,360 that you have interest in something else too, 773 00:46:10,640 --> 00:46:13,240 it starts seeming a little uninvestable to me. 774 00:46:14,720 --> 00:46:17,720 Guys, I don't think you need to head towards investment. 775 00:46:19,040 --> 00:46:21,200 Some businesses are not investable. 776 00:46:21,320 --> 00:46:23,720 For instance, Trident, a listed company you just mentioned, 777 00:46:23,960 --> 00:46:26,800 they've touched Rs. 1,500 crores after so many years... 778 00:46:27,080 --> 00:46:29,520 I don't know this industry well enough 779 00:46:29,600 --> 00:46:30,920 for it to have grown that much. 780 00:46:31,240 --> 00:46:32,640 So, I'm out, 781 00:46:32,720 --> 00:46:35,120 but I just hope you guys do well. 782 00:46:35,240 --> 00:46:37,880 You will get to Rs. 200 or 300 crores, 783 00:46:38,000 --> 00:46:39,560 but for me as an investor 784 00:46:39,880 --> 00:46:42,720 to get an exit seems a little difficult. 785 00:46:42,800 --> 00:46:43,640 Today, I am out. 786 00:46:43,720 --> 00:46:44,600 Thank you. 787 00:46:45,360 --> 00:46:49,720 I still don't see this as a brand story. 788 00:46:50,080 --> 00:46:53,200 Secondly, in this category, 789 00:46:53,400 --> 00:46:55,400 online sales are quite hard. 790 00:46:55,480 --> 00:46:58,240 So, at the scale you're already at, 791 00:46:58,320 --> 00:47:03,200 I believe you must be getting quite close to Amazon's market size. 792 00:47:03,320 --> 00:47:07,760 So, scaling from here in online will be very tough for you. 793 00:47:07,840 --> 00:47:09,800 So, that's the reason I am out. 794 00:47:11,120 --> 00:47:12,520 Are you planning on entering offline sales? 795 00:47:12,600 --> 00:47:15,040 It is not restricted that we cannot go offline. 796 00:47:15,160 --> 00:47:16,280 This is the beginning. 797 00:47:16,560 --> 00:47:18,840 Taking it to the next space, 798 00:47:19,080 --> 00:47:21,400 when the branding play and offline play must be done 799 00:47:21,480 --> 00:47:24,080 comes with experience which we've come here to seek. 800 00:47:24,200 --> 00:47:26,720 Look, as far as I've understood your business, 801 00:47:26,800 --> 00:47:28,600 your product is good. 802 00:47:28,800 --> 00:47:31,320 I found you to be amazing. 803 00:47:31,520 --> 00:47:33,440 The plan of action isn't quite clear to me. 804 00:47:33,560 --> 00:47:35,640 It's a little hazy. That used to happen to me too. 805 00:47:35,800 --> 00:47:37,080 You'll do it. It's a profitable business. 806 00:47:37,120 --> 00:47:38,920 A lot of people would be inspired by you. 807 00:47:39,480 --> 00:47:43,160 The valuation is a point of friction for me. 808 00:47:43,720 --> 00:47:44,880 You check off on everything. 809 00:47:44,960 --> 00:47:46,640 Good founders, everything is very nice. 810 00:47:46,720 --> 00:47:48,960 If valuation is the problem, then go lower. 811 00:47:49,080 --> 00:47:50,200 It's a valuation issue right now. 812 00:47:50,280 --> 00:47:52,280 Offer them a good valuation. 813 00:47:52,400 --> 00:47:54,920 Yes, I'll decide that. Let me do that. 814 00:47:55,000 --> 00:47:56,000 I'm helping you. 815 00:47:56,480 --> 00:47:57,720 I don't need your help, bro. 816 00:47:59,200 --> 00:48:01,960 I'll put in that Rs. 1.8 crores. I need 2% equity. 817 00:48:02,640 --> 00:48:05,760 And I'll be taking a 5% royalty... 818 00:48:07,800 --> 00:48:08,720 Ooh! 819 00:48:09,200 --> 00:48:12,120 On sales. Yes, it's high. I know, but margins are also high here. 820 00:48:12,440 --> 00:48:14,240 So, 5% in royalty 821 00:48:14,440 --> 00:48:17,440 until Rs. 1.8 crores becomes 1.5x basically. 822 00:48:23,600 --> 00:48:24,840 Very Sharky offer. 823 00:48:26,080 --> 00:48:27,720 Look. Whether you can 824 00:48:27,800 --> 00:48:30,800 make a brand in this business or not, I don't know. 825 00:48:30,920 --> 00:48:33,160 - Okay. - As a trusted outlet 826 00:48:33,720 --> 00:48:36,960 for selling home goods is where you can add value. 827 00:48:37,040 --> 00:48:38,800 That could perhaps be a brand. 828 00:48:38,880 --> 00:48:40,280 You have good designs, 829 00:48:40,480 --> 00:48:42,400 the quality is fine and the price is great. 830 00:48:42,480 --> 00:48:43,800 Amit gave you a good offer. 831 00:48:44,000 --> 00:48:45,240 I could do one thing. 832 00:48:45,320 --> 00:48:46,720 I could lower the royalty for you. 833 00:48:48,000 --> 00:48:49,240 - Okay. - I'll make you an offer. 834 00:48:49,320 --> 00:48:51,880 Rs. 1.8 crores. I'll take 2% equity. 835 00:48:52,080 --> 00:48:55,080 There will be a royalty at 3% of your sales. 836 00:48:55,280 --> 00:48:56,360 - Okay. - Okay? 837 00:48:57,360 --> 00:48:59,680 Until I make 2x of my money. 838 00:49:16,720 --> 00:49:17,880 - Manufacturing... - As founders, 839 00:49:17,960 --> 00:49:20,200 we want all your eggs to be in one basket 840 00:49:20,320 --> 00:49:22,880 if we are to invest in your company. That's the only thing. 841 00:49:22,960 --> 00:49:24,920 Related party transactions are problematic. 842 00:49:51,000 --> 00:49:54,680 What we can do is not keep it under us 843 00:49:54,840 --> 00:49:57,320 and make it completely third-party operated. 844 00:49:57,440 --> 00:50:00,880 However, we don't wish to include manufacturing in the D2C business. 845 00:50:02,360 --> 00:50:05,360 You could take a minute to think and then tell us your decision. 846 00:50:05,600 --> 00:50:07,680 Sure, we'll do that. 847 00:50:07,880 --> 00:50:08,760 Yes. 848 00:50:08,880 --> 00:50:10,320 [tense music playing] 849 00:50:13,880 --> 00:50:15,280 You gave a steep valuation. 850 00:50:15,360 --> 00:50:16,600 It is quite a steep valuation. 851 00:50:16,840 --> 00:50:18,680 - Do we desperately want a deal? - [mumbling] 852 00:50:19,640 --> 00:50:20,800 What do we do? 853 00:50:20,880 --> 00:50:23,320 Do you want to combine if they're open to it? 854 00:50:23,440 --> 00:50:24,760 - We can. - You should. 855 00:50:24,840 --> 00:50:26,200 - Yes, let's do it. - It'd be best. 856 00:50:26,480 --> 00:50:27,760 [music playing] 857 00:50:31,040 --> 00:50:32,440 Amit and Anupam... 858 00:50:32,920 --> 00:50:34,160 [suspenseful music playing] 859 00:50:35,240 --> 00:50:36,560 We will not give royalty. 860 00:50:38,360 --> 00:50:42,560 The maximum we can stretch in terms of equity is 1.25%. 861 00:50:48,120 --> 00:50:50,800 so you're willing to pay 1.25% for it. 862 00:50:51,000 --> 00:50:52,280 If you don't want royalty, 863 00:50:52,400 --> 00:50:54,840 each person should get at least 5% equity, 864 00:50:54,920 --> 00:50:55,800 if we combine. 865 00:50:57,320 --> 00:50:59,600 Initially, you said you were here for mentorship. 866 00:50:59,640 --> 00:51:02,600 Now, you wish to make this a price round. 867 00:51:02,720 --> 00:51:04,120 Amit, I disagree. 868 00:51:05,400 --> 00:51:08,520 - A business has a certain value because it has been built. - True. 869 00:51:08,600 --> 00:51:10,400 We're not here to raise a round. 870 00:51:10,480 --> 00:51:14,440 I believe ours is a very fair ask of 4x for a profitable business 871 00:51:14,520 --> 00:51:17,200 whose proof of concept is almost at Rs. 50 crores. 872 00:51:17,280 --> 00:51:19,520 Think along these lines. When will we get our returns? 873 00:51:19,640 --> 00:51:22,120 Only when you get to a valuation of Rs. 1,000 crore at least, 874 00:51:22,240 --> 00:51:23,480 without further dilution. 875 00:51:23,600 --> 00:51:25,720 Do you see the chances of that happening? 876 00:51:25,880 --> 00:51:28,400 As an entrepreneur, you'll say yes because you're an optimist. 877 00:51:28,720 --> 00:51:30,720 If you look at it from a business-analysis point of view, 878 00:51:30,800 --> 00:51:32,080 it is highly unlikely. 879 00:51:32,240 --> 00:51:34,280 So, please understand it has to be a win-win. 880 00:51:34,480 --> 00:51:35,280 Yes. 881 00:51:35,360 --> 00:51:37,840 Look. You seem highly experienced to me. 882 00:51:37,960 --> 00:51:39,680 You're not looking for mentorship. 883 00:51:39,760 --> 00:51:42,560 You're looking for a marketing platform which you've already got. 884 00:51:42,720 --> 00:51:44,120 I wish you the best. I'm out. 885 00:51:44,280 --> 00:51:46,840 Anupam, maybe, it's not just that. 886 00:51:46,920 --> 00:51:49,560 They're very clear about what they want and how much they'll dilute. 887 00:51:49,640 --> 00:51:51,160 See, Namita. I'll tell you. I'll explain. 888 00:51:51,240 --> 00:51:53,160 - So, if you don't get your deal... - Let me... 889 00:51:53,240 --> 00:51:55,680 - Let me explain. - Don't say they're coming just for marketing. 890 00:51:55,760 --> 00:51:57,240 And I'll tell you, as founders, 891 00:51:57,320 --> 00:51:58,800 even if you're coming for marketing, 892 00:51:58,920 --> 00:52:00,600 - how is it wrong? It's good. - That's okay. 893 00:52:00,680 --> 00:52:02,080 When did I say it was wrong? 894 00:52:02,160 --> 00:52:03,800 I said I can't go ahead with the deal. 895 00:52:03,880 --> 00:52:06,160 - So, where does the deal stand? - It's over. 896 00:52:06,280 --> 00:52:08,040 Royalty is off the table. 897 00:52:08,160 --> 00:52:09,920 That's fine, guys. We wish you all the best. 898 00:52:10,040 --> 00:52:11,760 Great business built. Build something large. 899 00:52:12,040 --> 00:52:13,080 - Thank you. - Thank you. 900 00:52:14,400 --> 00:52:15,800 - Take care. - See you. 901 00:52:15,920 --> 00:52:17,400 [music playing] 902 00:53:49,440 --> 00:53:51,320 Thank you so much for giving us your valuable time, sir. 903 00:53:51,400 --> 00:53:52,200 Thank you, Rahul. 904 00:53:52,280 --> 00:53:53,320 We've understood due diligence. 905 00:53:53,400 --> 00:53:56,040 Now, let's understand Shark Tank's due diligence process. 906 00:53:56,120 --> 00:53:58,560 Shark Tank's due diligence process is somewhat like this. 907 00:53:58,640 --> 00:54:00,680 Generally, as far as big investments go, 908 00:54:00,760 --> 00:54:02,800 like in our companies, the process is very rigorous. 909 00:54:02,880 --> 00:54:05,840 They talk even to the employees, 910 00:54:06,040 --> 00:54:08,160 meet the customers 911 00:54:08,280 --> 00:54:09,560 and also carry out reference checks. 912 00:54:09,640 --> 00:54:11,360 They'll even check your university degree. 913 00:54:11,480 --> 00:54:12,680 It goes into such detail. 914 00:54:12,920 --> 00:54:16,280 Usually, because the investment happens fast and the process is fast, 915 00:54:16,400 --> 00:54:18,520 - we hire a third-party agency. - Got it. 916 00:54:18,600 --> 00:54:21,920 Usually, one for legal, financial and sometimes, commercial. 917 00:54:21,960 --> 00:54:24,120 They do their jobs and submit their reports. 918 00:54:24,240 --> 00:54:26,240 On the basis of that, we ask our questions, 919 00:54:26,360 --> 00:54:29,000 seek clarification and then, we either go ahead with it or not. 920 00:54:29,080 --> 00:54:29,920 Got it. 921 00:54:30,040 --> 00:54:31,160 - It isn't easy. - Yes, of course. 922 00:54:31,240 --> 00:54:32,320 - It's not simple. - Correct. 923 00:54:32,400 --> 00:54:35,360 I've watched people come to the Tank and fake numbers. 924 00:54:35,440 --> 00:54:37,920 They say the wrong market size or the revenue. 925 00:54:38,000 --> 00:54:40,280 - They say they have an offer from other investors. - Yes. 926 00:54:40,360 --> 00:54:42,240 - Whereas they don't have any offers. - Yes. 927 00:54:42,320 --> 00:54:44,280 - On the basis of that, they take a higher valuation. - Right. 928 00:54:44,360 --> 00:54:46,280 All of this gets checked later on. 929 00:54:46,360 --> 00:54:49,680 That is why in diligence, the success ratio... 930 00:54:49,800 --> 00:54:51,320 There is a chance of failure. 931 00:54:51,440 --> 00:54:54,200 Hence, I request all the entrepreneurs 932 00:54:54,280 --> 00:54:56,520 that when they give out information on Shark Tank, 933 00:54:56,640 --> 00:54:57,840 - be very careful. - Yes. 934 00:54:57,960 --> 00:54:58,920 - Ensure it is authentic. - Yes. 935 00:54:59,000 --> 00:55:00,240 Say what is true. 936 00:55:00,360 --> 00:55:02,720 No need to hype up figures. Just give a caveat. 937 00:55:02,880 --> 00:55:05,160 "We think the market size is Rs. 2,000 crores," 938 00:55:05,240 --> 00:55:06,600 - "but we're not sure." - Sure. 939 00:55:06,680 --> 00:55:09,080 If you say 2,000 crores, someone will invest on the basis of that. 940 00:55:09,160 --> 00:55:12,280 Later, you have left a point open and will be caught during diligence. 941 00:55:12,400 --> 00:55:14,640 Exactly. Were you aware of this? You weren't, right? 942 00:55:14,800 --> 00:55:16,600 This is why I ask you to watch Ask The Shark. 943 00:55:17,040 --> 00:55:18,760 My questions are good too. Hear them out. 944 00:55:18,840 --> 00:55:20,120 Okay? Stay tuned.