[rock music playing]
'I was interested in sports since I was a child.'
One thing was very clear in all the sports that I played.
If you cannot measure, you cannot improve.
There's no tech catering to advanced-level players or beginners.
Everyone is trying to work on their strengths and stamina only.
Nobody talks about reflex and agility.
How do we integrate this into sports?
That's how the idea started.
When we started building the product,
it was just Hitarth and me as the team members of Hyperlab.
We had too many problems and challenges to solve.
Hitarth had a prototype which was very conceptual.
On the first day, I tried to make it a little compact
so that we could reach more users.
We built our first prototype.
It was made using PVC pipes and the wires were hanging loose.
When I saw other athletes and students training with it,
I realised the product was relevant.
Our device
provides athletes with parameters
on which they can gauge themselves.
How consistent they are and how good their reflexes are.
We provide them with a detailed analysis
to help them gauge their strengths and weaknesses.
Messi and Ronaldo have their own tech,
but it is not accessible and affordable.
We want to make that tech so general and common
that every child or every person who plays any kind of sport
has that device.
[theme music playing]
[music fades]
Greetings, Sharks. My name is Hitarth Parikh.
Stamina which is physical strength.
Agility which is nimbleness,
and reflex, which is the time taken by a person to react.
From treadmills, recumbent cycle to weights.
If we look at reflex and agility,
there's nothing to help you practice.
To validate this market gap
and provide a complete solution to athletes,
Helios is the planet's first laser assistive training device
which trains as well as tracks its users.
Or be it high-intensity interval training for a gym lover.
To build Helios, it took us two years of hard work,
over 600 prototypes
and 100 user tests.
This is the device which is portable and mobile.
This device is connected to an application via Bluetooth.
It knows exactly at what distance it is projecting
You three don't look like
They're busy making the product. [laughs]
What is your age?
Twenty-two.
This shouldn't be the case at 22.
I don't think you work out even for half an hour.
There's this thing that...
Should I say it?
- Say it! You're here to talk. - If you see,
even the best salon guy is also...
Blad!
Yes, bald. I mean...
[hysterical laughter]
Sir, it took us two years,
but we're going to kill it now. Believe me.
Okay, finish your demo.
We'll be giving a demo for the sport of badminton.
- Okay. - So, all the drills have been designed for badminton.
For that, I would like to call Nihal on stage
who represents Gujarat.
- Very nice. - Oh, wow.
Hi, Sharks. Hello.
- Hello. - Hi, Nihal.
Welcome to Shark Tank, bro.
Thank you.
which is the Point Based Mode.
[device beeping]
Just as Nihal attains the first target,
The device analyses
the direction and the speed of the user.
It shows limited information during the live session.
If you want an in-depth analysis,
and faster while going forward,
it shows that his frontal speed was faster.
If you wish to see it more in-depth, then we'll select 'Graphs'.
It shows you the deviation from the average speed.
The second mode is the Buffer Mode
which basically sharpens your reflexes.
at the centre.
Every time I come back to the centre.
Then it randomly...
Later, it gives you an overall analysis
of which direction his performance was good in
and which one it was bad in.
It shows you all the data.
[music fades]
- Thanks, Nihal, for demonstrating two of the modes. - Thank you.
- Thank you, Sharks. - Tell us something.
As part of your professional coaching,
do you do these drills before the game?
Yes, sir. Of course.
How do you know them?
They came to our academy and gave a demo of the product.
A lot of the students tried it.
And then, we really liked it.
How many students are in your academy?
Um, 20 to 25.
- Thank you. - Thank you, Nihal.
- Thank you, Sharks. - Thank you.
Is the demo over?
There's one last mode which we call the Killer Mode.
Fine, show it to us.
Amit, we've seen you on Instagram
and you're really active in sports and fitness.
Would you like to try it?
Sure, let's do it.
Why would I?
[light-hearted music playing]
In the Killer Mode,
the device will basically study you.
The first drill has to be done at the base speed.
And every time you do it after that,
- You said it's a killer product. - Killer mode.
- No. - Will you kill him?
[Sharks laugh]
Start with high intensity.
- No. It... - It will learn my intensity.
No! You don't know him. He's a solid guy.
- Just start. - Okay, sir.
[whimsical music playing]
Faster!
- Oh, my! - It gives you visual feedback
of how you've to go to that point.
Kabaddi! Kabaddi...
[whimsical music playing]
So, that was your base speed.
Now, it will upgrade you.
Breathe, Amit. Breathe.
I should have gone slow the first time.
[Sharks laugh]
Increase the timer's duration.
It will increase automatically.
[device beeping]
[clapping]
You've done it.
You've done both.
[Aman mumbling]
Well done, Amit. Come on.
- Good sport. - Good...
I hope you're speechless and won't ask questions.
Not going to.
He won't ask you about the unit economics.
No, I won't.
- I've to catch my breath for sure. - Yes, please.
Give us the machines.
- We'll take a look. - Yes, give it here.
I'll give you all the three machines.
- Okay. - And this is the whole product.
- Oh. - This is just the stand.
Oh, okay.
I'll get the other product.
- Okay. - Okay, that's fine.
- This is the white one. - Okay, thank you.
Can you also do the wall exercises?
Yes. You can set it up anywhere.
That's the internal mechanism.
We have patented it in India and the US both.
Sharks, I had an interest in industrial designing.
The third year of our course is the internship period.
I interned with a company called Studio Carbon.
I gave them this idea.
I got the idea
- when a cat... - I was...
[laughter]
Kids do that.
- They point a laser... - I was about to say
- that this reminded me of cats. - Yes.
If cats are curious animals, well, so are we.
Why aren't we chasing it?
That's when I had the idea.
Then I tried to make the prototype myself,
but failed.
So, I connected with Chahil.
How? Where was Chahil?
Previously also, I tried to invent a product
which could convert a regular faucet into an automatic one
and save a lot of water.
You're an inventor.
The one thing that was missing was the electronics.
So, I connected with him
and he outright refused saying he didn't have time.
He had his hands full with a lot of freelancing projects.
- He was a star. - I see.
When I started the second product,
the timing of Studio Carbon's backing
and Chahil's internship coincided.
My internship was going on too.
I was always interested in product design.
I've done IT,
but I also do robotics and electronics as a hobby.
He pitched the project to me.
Then we started it and it has been a great journey.
How old are you?
Twenty-three.
The moment our hardware was ready,
I knew we needed one hell of a software.
So, we emailed Harsheet's college.
Which college?
Nirma University.
- Twenty-two. - Wow.
Coming up with this...
Actually, my sister owns a cat.
I like to play with it using a laser.
It pounces on the light.
Taking inspiration from that
- and making human beings do this... - Turn them into cats.
Turning them into cats!
Is the device already in the market?
We just got done with the R&D phase last September.
so that we can launch it in March.
For gyms with Zumba spaces
where this could be deployed,
we are selling it.
Sports academies, on the other hand,
can't spend that kind of money at one go.
If we want to make it a sports tech for all,
then we have to reach them.
We've introduced a subscription model for them
So, the target market depends on its application.
- This has become a platform-based product. - Hmm.
How much money have you invested in this so far?
We've received a grant of Rs. 45 lakhs from the government.
Anyway, continue.
Neel Mehta is associated with us
who is the CEO of Studio Carbon.
He has invested Rs. 50 lakhs.
- Rs. 50 lakhs at what valuation? - 10%.
- When was this? - September 2022.
- You've run out of money. - No.
We have Rs. 47 lakhs in the bank.
- What are your monthly expenses? - Rs. 4 lakhs.
How big is the team?
We're 12 of us.
What's the equity split?
- Um, I hold 70%. - And they?
2% and 1%.
- Whoa! - Vast difference.
- And the remaining? - 5% is with Studio Carbon.
10% is with Neel Mehta...
- Okay. - Who made the initial investment.
3% is with the advisors.
- And 10% is with ESOPs. - Okay.
What is the next plan?
This technology is scalable across platforms.
So, if I want to compete with Saina Nehwal,
I need to upload a video of her on my software
and the product will replicate her moves along with the timing.
We want to take sports tech by storm.
Do you have more ideas?
We have more ideas.
Okay, I'll make an offer to you.
When I was 22, I didn't know what I wanted to do in life,
you guys are so sorted.
Rs. 50 lakhs for 5% equity.
I'll match Namita's offer
and the other offer you have is Rs. 50 lakhs for 5% equity.
You asked for Rs. 10 lakhs for 1% equity and I gave it to you.
Why are you asking for more?
I've also heard that God gives you more than what you ask for.
[chuckles] In abundance!
A quick question.
How do you plan to mass manufacture
because our investment won't suffice?
We'll need to raise more funds.
All right.
Look, you still have about Rs. 40 to 45 lakhs in the bank.
You're almost down to the wire.
You have a burn of Rs. 4 lakhs.
- You'll run out of money by March. - That's right.
And before you run out of money,
you should always have at least a six-month runway to raise money.
Which is why you should raise more.
Which is why you should not dilute
- more at this equity. - We will help you.
We'll connect you to investors.
Tell me about your distribution plans.
You said you'll launch in March. What's the plan of action?
We want to do both online and offline sales.
We feel this would scale more globally.
Absolutely right.
India has to be there,
We will have to bring someone else on board.
You're taking too long and will lose the offers.
Yes! The offers get revoked.
Don't be under any pressure. The offers aren't going anywhere.
Do you want investors who ask a lot of questions
or do you want investors who believe in you?
I think you need investors who can help you.
Aw!
Have you thought about how much sales you want to do next year?
We want to do sales of Rs. 6 crores next year.
- Rs. 6 crores. - We want to sell 3,000 products.
Is the manufacturing ready for this capacity
or does it need to be arranged?
Electronics-wise, it is fully ready.
In what area is it not ready?
Injection moulding.
We understood the business in no time,
but some people are taking way too long.
What are you doing?
Are you the decision maker or is it one of them?
All three of us are.
- Who is the CEO? - I am.
Hitarth, what kind of a CEO are you?
I gave you five times your ask for the same valuation.
I wonder what you're doing!
I'll give you 20 minutes to answer their questions.
Accept my offer first.
- Then you can answer them. - Come on!
- No, I will let you answer... - They're listening to get an offer.
Well done, Vineeta. Well done!
After accepting my offer,
I will stand there and answer his questions!
[music playing]
I offer you what you asked for. Rs. 10 lakhs for 1% equity.
- I'll give you Rs. 1 crore. - Oh, my!
All your problems will be over.
- For? - For 5% of your company.
I'll revise my offer.
[tense music playing]
Could I make a call?
Sure, go on.
This is the first time
we have started doubling the valuations!
- From Rs. 10 crores to... - Why do you double it?
- Increase it by 10 or 20%. - She started it.
Why are you doubling the valuation?
Namita is doing it!
[sombre music playing]
- You started it. - No!
- How can you do that? - You double it from 10 to 20.
Increase it by 20% or 10%.
Don't get furious.
Why so...
Come on, take a call.
[suspenseful music playing]
Aman.
I cannot believe this.
- Good job. - [Vineeta] Aman fan club!
I doubled your valuation and you picked him!
- Good job. - We were getting a good deal,
but the Sharks dug their own grave!
You were getting Rs. 1 crore.
- You're leaving with change! - Ignore him.
He has never set foot in a gym!
What are you guys doing?
I'll start going to the gym from today!
[Sharks laugh]
[camera shutter clicking]
- See you. I'll escort you out. - Thank you.
Otherwise, they'll hound you.
May I take our products?
- Yes! - Sure, take them.
- Take your 30,000-rupee product! - It's expensive.
[pleasant music playing]
I would love to help you anyway.
- Thank you so much. - All the best.
- Good job, guys. - Superb.
Thank you.
[music fades]
Greetings, Sharks. I'm Binal Shah from Ahmedabad.
[claps hand]
Actually, Sharks, the most dangerous weapon in the world
is a tiny, 5mm-sized mosquito.
In all the wars to date, there have been crores of casualties.
But mosquitoes have taken more lives than that.
Dengue, malaria, chikungunya,
It just drives mosquitoes away.
So, we're shifting the problem.
And if we want to eradicate this problem from the root,
then we have to stop their reproduction cycle too.
Eco Biotraps is a sustainable way
Sharks, our product is science-based.
And it's approved by scientists.
So, we have chosen the world's difficult terrain,
which is Dharavi.
And this is the only set, world's first set
which is 100% dengue, mosquito-free zone.
- [clapping, laughing] - You won't get dengue here.
So Sharks,
join us in this war
because if they breed
we all bleed.
[laughing]
Such an interesting man in Pune and we've never met.
No, Ma'am.
It was a high-energy pitch. I loved it!
- Thank you so much. - You filled us with energy.
We will fight mosquitoes.
[laughing]
[mimicking] A mosquito can...
[laughing]
We have a live demo too.
Show us the video so that we can reveal what's going on here.
[music playing]
Nobody falls sick here.
We haven't had a dengue case yet.
Last year, this time, so many people died due to dengue and malaria.
- Yes. - It's very less now.
[music playing]
It's very useful.
We don't find many mosquitoes now in the evening.
And nights are almost mosquito-free.
With this, mosquitoes and dengue
issue has been resolved.
We launched the product in June 2022.
How much was the result?
We installed 3000 units
Dharavi doesn't figure even in the top 10 list.
Don't people steal it?
We faced this issue for 2-3 months in Dharavi, Anupam.
Yes.
But we conducted IEC.
but not anymore.
So, this is life-saving and it must be safeguarded.
So, we don't need to focus so much on IEC communication.
I see.
When you install it and fill it with water,
the mosquitoes lay eggs in it and they can't breed
so the mosquitoes die. What's happening exactly?
What chemical have you added that makes it work?
Basically, this is a bucket.
So, we have to add water to it.
[music playing]
And I see a poison packet in it.
There are two things in it.
One is an attractant, that is animal fodder.
And the second thing in that packet is government-approved IGR,
doesn't get hatched.
Do you have to install it as per square foot area?
One Biotrap covers an area of 400 square feet.
Their lifespan is 15-30 days.
And they lay anywhere between 500-1000 eggs.
If there's a water body nearby and your pot is lying here.
Why will the mosquito choose this place to lay eggs over that?
Amit, I was just waiting for this question.
[laughing]
It's the attractant.
And we have ideated it through the mind of a mother.
She won't see her children growing up.
So, a mother will worry about three things.
Food, clothing, and shelter.
[laughing]
The container is the clothing and shelter.
And especially food for her kids
- that the other water body lacks. - Oh!
- It attracts her-- - Sir.
I don't know about the rest.
But you've been bitten by mosquitoes a lot.
[laughing]
You enjoy so much
destroying them
and completely wiping them out from the world.
- That's the war. - That's your war, boss.
Anupam, I'll be very honest.
- Yes. - It was capitalism.
We were in a bar in California, in America.
In that bar suddenly, there were a lot of mosquitoes.
And you know that
mosquitoes make everyone paranoid in America.
That time, it struck us
why there's not much work in this field.
Then I went into the depth of the science.
And what did Covid teach us in terms of science?
If you have to come out of something,
the multiplication factor is so high
so you have to break the chain.
And to break the chain, we have no device.
We are either driving it away, slapping it, or using a racket.
What is important for source reduction?
- These chemicals inside. - Yes.
You don't make it. You source it from someone and add it.
Correct.
So, your intellectual property, or invention is that
we took those two things,
designed a bucket,
pasted on it, and created a system
this is our invention.
No, Anupam. This is not it.
Our patent is granted in 50 countries
It's the material with which egg trays are made.
Yes.
If you add water to egg tray,
- it will fall within seconds. - Right.
So far, we've timed that it lasts for 4-6 weeks.
But we can create it to last 3-6 months.
Your bucket mentions Rs 500 and can only be used for 4 weeks.
I can add it into that.
Namita, these sachets
are being sold by many companies for the last 20 years.
But it doesn't work out.
You have to paste all the ingredients at the bottom.
What's the big deal? I'll stick it with a cellotape.
It's not practical.
- People will buy this instead. - Why?
Buy a sachet, stick it, and use.
Would it be equally effective if it were in plastic?
The problem with plastic is that we can install plastic buckets
but the killing ingredient lasts only for a month.
So, you have to replace it.
If you don't change it, it will become a breeding ground.
If you leave it in this for 2 months,
it will become a breeding ground too.
- No, it will melt. - No.
Water will start dripping and there will be no water left in it.
Let's talk about the price.
In industry, fogging is used, and it's two times more expensive.
But it's very important. The way dengue was spreading
then why hasn't this product become viral yet?
Our focus is B2B as of now, Aman.
B2C becomes an eventuality.
How big is the business?
Last year, our sales were Rs 84 lakhs.
What about you both?
I've been struggling with savings for the last 6-7 years.
What about you? Savings?
I had savings but this year, I'm drawing a salary.
Okay, have you raised capital?
- Yes. - Yes.
- How much have you raised? - Rs 1.25 crores.
At what valuation?
Rs 15 crores valuation.
When was this?
Last June.
- 2022. - In 2022.
[music playing]
This particular product is remarkable.
But you've created a solution for Rs 500.
Yes.
A solution for Rs 500 is not affordable for
poor people. If they have to buy and install it, it's not possible.
If we start selling 10 lakh pieces
at a monthly run rate
then we can bring it down to Rs 150 for the consumers.
In the next 3 years, what's your target for B2G,
B2CSR, and B2C?
This year, we're forecasting Rs 6 crores in billing.
- This year means FY 2024? - March end.
Rs 6 crores seems tough.
You might have a booked order for Rs 6 crores.
But you won't make a revenue of Rs 6 crores.
What will be different in B2C?
In B2C products?
Size, shape, less than Rs 50.
Rs 50 for the customer?
Yes, it won't cover 400 sq.ft.
It will cover 100 sq.ft., like a room.
[music playing]
We believe that
we will make it big, list it,
- and go global. - List it?
We have patents. We're also
exploring licensing deals.
Anyway, I feel for CSR,
I can confirm that I will invest in it.
- Thank you, Aman. - Thank you.
But as an investor, I won't.
Because I don't find it to be an investible business.
I'll give you the same advice. Take salaries,
but don't turn it into a business
because it will get into the cycle of valuation, investors.
Don't do it. I'm out.
I've decided. I'll tell you why I'm out.
Firstly, hats off to you.
You've chasing it for 5 years. What passion,
level of impact.
But as business model,
I differ from it. As I said earlier,
I think if you start a sachet business,
it will be more valuable.
And this bucket, your value proposition.
I don't agree with that.
But I wish you the best.
Thank you, Namita.
What you're doing in Dharavi is essential
but to return an investor's money,
you have to turn it into a big company.
I believe that this container
is not such a remarkable invention
that can't be created by someone by circumventing the patent.
Maybe with some other material.
Will this solution work after a year?
I don't think so. So these are the reasons, I'm out.
Uh, good luck.
Look, I'm out too.
I don't understand the moat here.
If it becomes popular, many people
will start selling such buckets for cheap on the streets.
So, I can't find a defensible moat.
I'm out today. All the best.
Thank you, Amit.
It's not an investible business.
Moreover,
all of you lack business thinking.
A 400 sq.ft. area
product is for Rs 500
and 100 sq.ft. is for Rs 50.
I don't think you've thought through your numbers.
But it's a big problem.
And you are very passionate
so just on that, I'll make you an offer.
Rs 50 lakhs for 10 per cent.
You've watched Shark Tank pitches, right?
So, have you seen any company receiving
25x of revenue? No.
Because we have confirmed orders.
Foreign companies
had also shown a lot of interest.
See now, you're digging your grave.
Because you feel valuation
is on confirmed interest but that's not true.
Okay, either counter it or refuse it. As you please.
[music playing]
Vineeta, we really wanted to but you know, I...
- I can't. - No problem.
You don't want to do it.
So, best of luck to you.
And yeah.
I will definitely put 4 of these in my house.
Thank you so much, Sir.
Thanks.
- Thank you. - All the best.
- Good luck. - All the best.
[music playing]
Oh my, Lords! It's crazy.
- Amit! - Car cleaning service.
I know that you're going to invest in this.
- CarDekho. - CarDekho.
- Wash cars. - Wash cars.
CarDhona.com
[music playing]
Sharks, do you know
who makes your car shine every day?
Yes, I do.
This cloth.
This poor cloth.
We treat them as if they're being interrogated.
We soak, wring, hit, and bang it.
If this had life, it would've been dead.
To be honest, whether it's a luxury car
or a budget car.
In the end, it will be washed with this dirty cloth.
Hoora is an app
where from the comfort of your home, through our trained partners,
you can get a car washing centre experience.
At present, we have around 15,000 car washing centres in India.
and eco-friendly too.
Our ask is Rs 80 lakhs
for 2 per cent equity.
Harsh and Yashwant.
- Yeah. - Yes.
Welcome to Shark Tank Season 3.
Oh, you're in Nagpur
- and you're in Mumbai. - Yeah.
And our whole head office is in Nagpur.
Why?
Building the app can be done remotely.
But every month, I'm in Nagpur.
Why do you live separately?
The job gets done.
We built a decent company in 6 years.
And how do you know each other? Give us some background.
We met at a Y-Combinator platform.
So, we spoke for 3-4 months
and later, we decided to bring him on board.
So, what happens normally is
Deep cleaning is another type of washing
which we get done when we send the car to the garage.
So, which out of the two do you do?
Anupam, great question.
We don't target the daily wash segment.
So, do the consumers really face this problem?
Our services are affordable and start at Rs. 99.
You will incur losses.
We have a minimum order value
in which you have to book services worth Rs. 200.
So, this set-up is for a car wash I'm presuming.
Yes, Sharks. We have with us a soiled car
and you asked us whether consumers have a need for our service,
- so we thought of giving you a demo. - Go ahead.
He's Hemant,
our trained and verified service partner
who will be giving you a service demo.
Hi, Hemant.
Our pressure washer is designed by us.
This is the Hoora power source which is again designed by us.
using this 90-degree lance.
Did you make all the equipment?
Yes, all the equipment is made by us and is patented as well.
Fabulous.
[water spurting]
Hemant, clean the underbody.
90 degrees.
All our services are done within 60 minutes
and deep cleaning is done within three hours.
First, it will be shampooed followed by pressure washing.
- Are you a service partner? - Yes, sir.
Do you personally wash the cars?
- I used to do it myself earlier. - Okay.
I have hired people now, sir.
- How many people? - Two people, sir.
How much do you make?
After deducting their salaries,
I make Rs. 15,000 to 20,000 per person.
- So, you earn Rs. 40,000. - Rs. 35,000 to 40,000 on average.
Did you invest in this machine or did they give it to you?
They provided it to me after I invested money.
Rs. 3 lakhs!
Have you made the money back?
Yes. They gave me two kits in total.
What were you doing before this?
I used to wash cars, ma'am.
Thank you, Hemant.
- Thank you, sir. - All the best. Thank you.
I'm happy to know that you helped him make Rs. 40,000.
Very good job.
You said you sell one kit for Rs. 1.5 lakhs.
How much do you make?
Unit economics-wise, our kit costs Rs. 80,000
GST is calculated on it.
- Approximately Rs. 2.7 lakhs. - Rs. 2.8 or 2.9 lakhs.
- Okay. - You said your products were patented.
What is it for?
The patent we have filed
is for a portable backpack detailing system.
So, our power source is proprietary.
The machines we run using it...
Unless modified, you can't run the machines
on these high-voltage and high-powered batteries.
We have worked on the BMS and cell level
and made a system.
So, you've made this machine yourself.
This technology doesn't exist in the world.
It doesn't exist elsewhere.
How much business does the current car wash industry generate?
They do a business of Rs. 8 to 10 crores every day.
Every day!
- Yes, every day. - Okay.
- That's a Rs. 3,000 crore business. - Rs. 3,000 to 4,000 crores.
I thought why would I be interested in a car wash business.
My interest is aroused.
- So, first thing, good job. - Thank you.
Second thing. You've set your company's valuation
- at Rs. 40 crores. - Yes.
- Is there a basis for it? - Yes.
Firstly, at the idea stage,
That, too, in six months!
Our monthly revenue at the time was Rs. 8 lakhs.
We're doing Rs. 31 lakhs monthly as of now.
- 25% of it goes to our service partners. - Hmm.
Our kit cost is 15%.
So, our gross margin is 60%.
Post that 60%,
25% goes towards salaries to our in-house business team.
Our marketing spend is 25%.
Our other business operating expenses amount to 15%.
- We're at -5% loss now. - -5%.
Last month, we achieved breakeven and turned profitable.
Something is amiss.
- You said the average order value is Rs. 400. - Yes.
How is all this possible in Rs. 400?
Out of our revenue of Rs. 90 lakhs,
Rs. 60 lakhs is generated from the sales of kits.
- That's a one-time sale. - Take that component off. - Yes.
- Okay. - That leaves you with?
- Rs. 30 lakhs... - Rs. 30 lakhs. That's your revenue.
Rs. 30 lakhs for the quarter.
- Yes, Rs. 10 lakhs per month. - Rs. 10 lakhs per month.
If one service costs Rs. 400,
I don't understand how you'll make any money.
We have a take rate of 15% on every service.
- So, we get 15% on every service. - 15% revenue.
- Suppose you take 300 partners. - Okay.
so our operating costs will stagnate at a particular point,
but our service revenue will keep increasing.
Tell me your dream and aspiration in numbers.
How big a business will you make in two years?
We're projecting Rs. 40 crores in the second financial year.
If you do Rs. 40 crores, your revenue will be Rs. 6 crores.
Yes.
If you talk about only service revenue,
that will be only Rs. 3 crores out of Rs. 6 crores.
- Actually, it'll be Rs. 2 crores. - Yes.
You said you have big businessmen in your cap table.
What advice are they giving you?
We're in the early building stages.
In Rs. 60 lakhs,
we have created our own hardware, software and ecosystem.
We've onboarded partners on this platform...
Nobody cares, guys!
I'm just trying to be honest with you.
Who cares if you've made hardware, software or a battery?
This is a car-cleaning service, my friend.
It is completely commoditised.
No one sees how your cleaning is as long as the car is clean.
Let me tell you.
There's a thin line
between foolishness and bravery.
It's the duty of your business advisors and investors
to help you understand this.
I think you guys are very talented
and you should focus your energy on a real problem.
I noticed
that when you spoke about saving water,
your eyes lit up.
You seem to be passionate about the environment.
You have that talent.
Why don't you use that talent to solve a bigger problem?
Clean energy is a massive problem.
It will bring a transformation in the nation
if people like you work in the field of clean energy.
My advice to you is to redirect yourself,
don't go down deeper in this
and find that avenue you can be more passionate about.
Okay? Good luck. I'm out.
I find this business very difficult in terms of scaling
because you've made it really complex.
And for that reason, I'm out, but I wish you the best.
I am also out, there are two reasons.
Firstly, the market size of Rs. 3,600 crores currently,
if we even take 20% of it,
as per the fact that our revenue comes to 15% of it,
the business could go to Rs. 70 to 80 crores at the most
if you were to stretch it.
So, scalability is a concern
even if we assume 20% of people would convert to this.
Secondly, you've raised funds at a good valuation already.
It may not make sense for me to come in at this stage
and invest at that valuation.
So, I'm out. Best of luck.
Look, you're solid founders.
Your product is good.
The market and the model are not defined yet.
I am not ready to take that risk.
I don't know if I will make money.
I am out for that reason but continue doing this.
I was really keen on doing this because it's a related category.
I have the data of so many car owners.
I can ride over it. I was all in for it.
I didn't see a business mindset here at all.
If I invest, then I'll have to run the company myself.
If I have to do that, then I'll need the majority share.
Today, I am out
because I don't see a distribution mindset
nor do I see a retention mindset.
I see a technology mindset
where you get one guy on board and sell four products.
That's the essence of your business.
Making money by washing cars at Rs. 400 is impossible.
That's my final take.
Good luck, guys.
Pivot and refocus. All the best.
- Good luck. - Good luck. Bye.
- Thank you. - Thank you. Good luck.
[music fades]
Welcome to Ask The Shark, friends.
Today is slightly different
as the questions are not from you but me.
So, it is my question
and joining us to answer the question
So, we know what due diligence is
and what Shark Tank's due diligence process is.
I want to know specifically from you.
If the founder claims his revenue is Rs. 1 crore a month,
is it really so?
You said your return rate is 5%, for example.
So, is it really 5% or 10%?
So, we have to get down to that level.
What's the profit margin,
- contribution margin, contribution margin 2? - Yes.
The EBITDA?
Are these figures the same as you had claimed?
- We verify the financial metrics. - Understood.
And commercial diligence is where
we validate the commercial aspects as the name suggests.
For instance, you said the market size was Rs. 20,000 crores.
So, it's an estimate. It's not always exact.
We check whether the ballpark or estimate is right.
You said you had three competitors.
It turned out to be four, that's okay.
But broadly, whether you mentioned facts is what we check.
You stay tuned.