1 00:00:10,520 --> 00:00:11,720 [music playing] 2 00:00:24,920 --> 00:00:26,320 [theme music playing] 3 00:00:44,040 --> 00:00:45,480 [music fades] 4 00:00:46,600 --> 00:00:49,880 What do you say if you want to look l an actress without spending a lot? 5 00:00:49,960 --> 00:00:50,960 - Yes Madam! - Yes Madam! 6 00:00:52,000 --> 00:00:53,760 What do you say if you want to flaunt your new hairstyle 7 00:00:53,880 --> 00:00:56,200 and get a thousand likes? 8 00:00:56,320 --> 00:00:57,320 - Yes Madam! - Yes Madam! 9 00:00:57,400 --> 00:01:01,000 What do you say if you want a relaxin massage after a hectic day at work? 10 00:01:01,120 --> 00:01:02,240 - Yes Madam! - Yes Madam! 11 00:01:02,480 --> 00:01:05,120 What do you say if you want a salon at home 12 00:01:05,240 --> 00:01:07,560 with full-on services? 13 00:01:07,680 --> 00:01:08,720 - Yes Madam! - Yes Madam! 14 00:01:08,880 --> 00:01:10,520 We present Yes Madam, 15 00:01:10,600 --> 00:01:13,640 India's most trusted and transparent home salon. 16 00:01:23,400 --> 00:01:25,720 and we're from the city of Delhi. 17 00:01:27,360 --> 00:01:29,360 Sharks, given our busy lifestyle, 18 00:01:29,480 --> 00:01:32,720 taking out time for the salon is next to impossible. 19 00:01:32,800 --> 00:01:35,040 Not to mention, you also have to deal with 20 00:01:35,120 --> 00:01:37,280 those untrained service professionals 21 00:01:37,440 --> 00:01:39,440 who use duplicate products 22 00:01:39,520 --> 00:01:42,240 that can cause damage to your skin. 23 00:01:42,480 --> 00:01:45,000 Or you have to visit an expensive salon 24 00:01:45,080 --> 00:01:46,480 where you get the feeling 25 00:01:46,560 --> 00:01:48,800 that your hair is being cut with a pair of golden scissors. 26 00:01:50,360 --> 00:01:52,400 Here to solve all these problems 27 00:01:52,560 --> 00:01:54,760 is our start-up, Yes Madam. 28 00:01:56,520 --> 00:01:58,920 Yes Madam is a tech-enabled platform 29 00:01:59,000 --> 00:02:01,800 where users can book a plethora of beauty and spa services 30 00:02:02,000 --> 00:02:04,040 like waxing, manicures, 31 00:02:04,120 --> 00:02:06,240 pedicures, facials and spas 32 00:02:17,760 --> 00:02:19,240 come in a one-time use packaging 33 00:02:23,520 --> 00:02:26,360 Not only that, Yes Madam is the only platform 34 00:02:26,440 --> 00:02:28,760 that gives customers the freedom to use their own products 35 00:02:28,840 --> 00:02:31,120 and book only salon services. 36 00:02:37,480 --> 00:02:40,920 We've empowered over 2,500 women. 37 00:02:54,200 --> 00:02:57,480 providing both at-home and offline presence 38 00:02:57,680 --> 00:03:00,080 so that we can solve all the problems 39 00:03:00,160 --> 00:03:01,640 of this industry together, 40 00:03:01,760 --> 00:03:03,360 and help make the lives 41 00:03:03,440 --> 00:03:06,440 of lakhs of professionals working in this industry better. 42 00:03:07,240 --> 00:03:11,640 So, Sharks, we are here with a demand of Rs. 1.5 crores 43 00:03:19,040 --> 00:03:20,160 - Yes Madam! - Yes Madam! 44 00:03:25,000 --> 00:03:27,320 A warm welcome to all four of you. 45 00:03:27,440 --> 00:03:28,680 - Thank you. - Thank you, ma'am. 46 00:03:28,800 --> 00:03:31,840 Could you give us a quick background of yourselves 47 00:03:31,840 --> 00:03:32,840 as there are four of you? 48 00:03:32,920 --> 00:03:35,280 - I am Mayank and I'm from Amroha. - Nice. 49 00:03:40,400 --> 00:03:42,200 I sailed for nine years. 50 00:03:42,320 --> 00:03:45,200 One of my uncles visited me after 2009. 51 00:03:45,280 --> 00:03:48,440 He asked me how much I earned. 52 00:03:48,520 --> 00:03:50,240 I told him I earned Rs. 1 lakh a month. 53 00:03:50,360 --> 00:03:52,720 He asked me to go to Africa with him 54 00:03:52,800 --> 00:03:54,320 if I wanted to make that much money in a day. 55 00:03:54,800 --> 00:03:55,640 I agreed. 56 00:03:55,640 --> 00:03:59,560 I started a business there in plastic manufacturing. 57 00:03:59,720 --> 00:04:01,320 Everything was going well 58 00:04:01,400 --> 00:04:04,040 but I guess God had other plans for me. 59 00:04:04,120 --> 00:04:06,520 I became a victim of an armed robbery attack there. 60 00:04:06,760 --> 00:04:08,040 Oh my God! 61 00:04:08,280 --> 00:04:11,560 There was an outbreak of Ebola over there in 2014. 62 00:04:11,840 --> 00:04:16,160 All my businesses started making losses one by one. 63 00:04:16,720 --> 00:04:18,840 I had taken loans from banks. 64 00:04:19,440 --> 00:04:22,880 So, I reached out to Aditya for support 65 00:04:22,960 --> 00:04:25,400 and he was the one who supported me. 66 00:04:25,520 --> 00:04:26,680 - Very good. - Very good. 67 00:04:26,760 --> 00:04:28,320 How do you know Aditya? 68 00:04:28,400 --> 00:04:29,760 He's my younger brother. 69 00:04:30,000 --> 00:04:33,320 I grew up watching my brother and father running the business 70 00:04:33,400 --> 00:04:35,760 and that inspired me to do something on my own. 71 00:04:35,840 --> 00:04:38,800 My wife was taking beauty services at home one day 72 00:04:38,880 --> 00:04:41,880 - and she got rashes after the service was done. - Okay. 73 00:04:41,960 --> 00:04:44,400 We figured that the product used during the service 74 00:04:44,520 --> 00:04:46,480 was taken out of a big box 75 00:04:46,560 --> 00:04:49,200 which might have been refilled or been a duplicate product. 76 00:04:49,320 --> 00:04:51,680 That's how we had the idea 77 00:04:51,760 --> 00:04:54,680 of providing beauty services in monodoses. 78 00:04:55,240 --> 00:04:57,120 Which year was this? 79 00:05:08,600 --> 00:05:11,920 Mayank and Aditya are my family friends. 80 00:05:12,360 --> 00:05:14,640 My name is Arpit. I, too, am from Amroha. 81 00:05:14,720 --> 00:05:16,880 I studied engineering at IIT Kharagpur. 82 00:05:22,200 --> 00:05:23,520 - Yes. - Yes, I'm a co-founder. 83 00:05:23,640 --> 00:05:25,000 - Tell us the cap table. - Cap table, please. 84 00:05:39,680 --> 00:05:42,640 I am the CEO and I take care of product and tech. 85 00:05:42,720 --> 00:05:44,560 I oversee strategy and expansion. 86 00:05:44,640 --> 00:05:46,600 I oversee innovation and branding. 87 00:05:46,680 --> 00:05:48,240 I oversee marketing and operations. 88 00:05:48,320 --> 00:05:50,960 Tell us about your products and services. 89 00:05:51,080 --> 00:05:51,920 Sure. 90 00:05:52,120 --> 00:05:55,520 Vineeta, suppose you want to get waxing done at home, 91 00:05:55,640 --> 00:05:57,720 which happens to be our highest-selling service, 92 00:06:06,080 --> 00:06:09,400 - Approximately. - Yes, this is the most affordable one you can buy. 93 00:06:09,800 --> 00:06:13,120 Our platform has a lovely USP 94 00:06:13,200 --> 00:06:14,480 that we split our charges 95 00:06:14,560 --> 00:06:16,840 into product cost and service charges. 96 00:06:31,320 --> 00:06:33,160 it means the product will be provided by you 97 00:06:38,120 --> 00:06:39,440 Tell me something. 98 00:06:42,880 --> 00:06:44,160 We all know, Urban Company. 99 00:06:44,240 --> 00:06:46,000 What gap did you notice 100 00:06:46,200 --> 00:06:48,360 that made you want to make a foray into this? 101 00:06:58,080 --> 00:06:59,680 How do you view it now? 102 00:06:59,760 --> 00:07:02,360 India's beauty salon market size 103 00:07:12,640 --> 00:07:14,400 - Okay. - I'm an investor in that company. 104 00:07:14,480 --> 00:07:17,200 What are their and your revenues in this category? 105 00:07:58,760 --> 00:07:59,640 We have not raised funds. 106 00:07:59,720 --> 00:08:00,640 - We... - We are bootstrapped. 107 00:08:04,080 --> 00:08:06,120 I had a negative mindset. 108 00:08:21,320 --> 00:08:22,560 As a policy, 109 00:08:22,680 --> 00:08:25,960 we don't deactivate or block our partners. 110 00:08:26,080 --> 00:08:27,800 We grow their business. 111 00:08:27,920 --> 00:08:30,240 Our motive is to motivate them, 112 00:08:30,360 --> 00:08:33,560 retrain them and help them grow their business. 113 00:08:33,800 --> 00:08:36,160 We have certain top-rated partners. 114 00:08:36,240 --> 00:08:39,560 Out of 2,500 partners, 500 are gold partners 115 00:08:39,640 --> 00:08:42,440 depending on their rating and the jobs that they are doing. 116 00:09:29,160 --> 00:09:30,440 It will have repeat customers. 117 00:09:30,520 --> 00:09:32,880 The only reason we are standing here 118 00:09:32,960 --> 00:09:35,440 is because our customer repeat is 80%. 119 00:09:36,400 --> 00:09:38,880 If you have 100 customers, would 80 of them be repeats? 120 00:09:39,040 --> 00:09:41,840 - Or 80% of the revenue is from repeat customers? - Revenue... 121 00:09:53,560 --> 00:09:54,600 - Right. - Right. 122 00:10:28,000 --> 00:10:30,520 This means your repeat rate is good 123 00:10:30,600 --> 00:10:33,560 but your new customer acquisition isn't very high at the moment. 124 00:10:34,480 --> 00:10:37,360 92% of our users... 80% are repeats, 125 00:10:37,480 --> 00:10:39,200 we acquire 12% organically 126 00:10:39,280 --> 00:10:40,560 and 8% are our paid customers... 127 00:10:40,680 --> 00:10:42,120 New customer acquisition is low. 128 00:10:42,200 --> 00:10:44,560 That's because we have a limited budget for branding. 129 00:10:45,640 --> 00:10:47,200 To answer the question 130 00:10:47,320 --> 00:10:49,200 of why you're more profitable than your rivals is 131 00:10:49,320 --> 00:10:53,040 because they're still aggressively engaging in acquiring new customers. 132 00:10:53,160 --> 00:10:55,440 That's where they spend but you've slowed down on it. 133 00:10:55,520 --> 00:10:57,720 No, we have not slowed down. We're chasing growth as well. 134 00:10:57,800 --> 00:10:59,200 We are continuously growing 135 00:10:59,320 --> 00:11:01,520 but not for the sake of the bottom line. 136 00:11:02,640 --> 00:11:04,680 What is your plan? How do you want to go about it? 137 00:11:04,800 --> 00:11:08,040 I think five years from now, 138 00:11:37,040 --> 00:11:39,480 - Yes Madam has not become a household name. - Hmm. 139 00:11:39,600 --> 00:11:41,760 That's where we need your expertise. 140 00:11:42,600 --> 00:11:44,600 Do you feel 141 00:11:44,760 --> 00:11:47,000 that you didn't do as good a job with the branding 142 00:11:47,120 --> 00:11:48,920 as your competitors perhaps? 143 00:11:49,000 --> 00:11:50,440 They had Rs. 1,000 crore 144 00:11:50,520 --> 00:11:52,960 - to spend on the branding. - Why didn't you raise funds? 145 00:11:53,040 --> 00:11:55,920 Sir, we tried, but people were sceptical about... 146 00:11:56,040 --> 00:11:58,240 I can't believe nobody would give you funding. 147 00:11:59,280 --> 00:12:02,600 If you wanted to raise funding with such numbers... 148 00:12:02,680 --> 00:12:05,280 Anybody would give you funding for a revenue of Rs. 50 crores. 149 00:12:06,360 --> 00:12:08,960 What's the month-on-month revenue scale-up for the last six months? 150 00:12:23,480 --> 00:12:24,560 The moment you spend money, 151 00:12:24,640 --> 00:12:26,560 you will go from profitability to non-profitability. 152 00:12:27,320 --> 00:12:28,760 No, I believe that 153 00:12:28,880 --> 00:12:31,840 UC has spent crores of rupees 154 00:12:31,960 --> 00:12:34,600 - and created this category already. - Correct. 155 00:12:34,680 --> 00:12:37,200 Now, all we need to do is create awareness 156 00:12:37,280 --> 00:12:38,720 to build the brand. 157 00:12:38,840 --> 00:12:41,320 If there is a Zomato in this business, 158 00:12:41,400 --> 00:12:42,840 there must be a Swiggy too. 159 00:12:43,120 --> 00:12:45,840 Say after five years, if you wish to run this company 160 00:12:45,960 --> 00:12:48,400 as a family business, because you three are related, 161 00:12:48,400 --> 00:12:51,040 or you wish to sell out or bring more investors. 162 00:12:51,240 --> 00:12:52,680 You'll need to think about that too. 163 00:12:52,760 --> 00:12:55,360 We've received two acquisition offers so far. 164 00:12:55,480 --> 00:12:56,440 Oh! 165 00:12:57,120 --> 00:12:58,320 - Who from? - Strategic... 166 00:12:58,440 --> 00:12:59,720 - I can't tell you the name. - Strategic. 167 00:12:59,840 --> 00:13:02,840 I was discussing it with my wife and brother. 168 00:13:08,600 --> 00:13:10,120 That was when I realised 169 00:13:10,320 --> 00:13:13,000 I needed to create this legacy. 170 00:13:13,560 --> 00:13:15,280 Akanksha and Arpit, this goes to you. 171 00:13:15,360 --> 00:13:17,280 Do you align with this vision? 172 00:13:17,360 --> 00:13:19,040 Sir, we want to expand the business. 173 00:13:19,200 --> 00:13:21,280 In the next five years, we'll offer an IPO. 174 00:13:21,280 --> 00:13:24,880 So, it is not like the investors wouldn't get an exit. 175 00:13:25,200 --> 00:13:27,280 - When you tried to raise funds... - Right. 176 00:13:27,600 --> 00:13:28,600 You didn't get any. 177 00:13:30,720 --> 00:13:31,720 Have you tried? 178 00:13:31,800 --> 00:13:33,920 We've tried and even gotten a term sheet. 179 00:13:34,040 --> 00:13:35,760 Since we didn't get the right valuation, 180 00:13:35,840 --> 00:13:37,680 we rejected it. 181 00:13:37,760 --> 00:13:39,160 Can I know the valuation? 182 00:13:39,280 --> 00:13:40,640 - That was Rs. 150 crores. - Okay. 183 00:13:40,760 --> 00:13:41,600 And you rejected it. 184 00:13:41,760 --> 00:13:42,960 - You rejected it. - We turned it down. 185 00:13:43,040 --> 00:13:44,240 This is the problem. 186 00:13:46,400 --> 00:13:48,200 Time is already ticking. 187 00:13:49,080 --> 00:13:52,200 When there's a significant gap in the market 188 00:13:52,440 --> 00:13:53,920 between big and small players, 189 00:13:53,920 --> 00:13:55,840 the funding will dry up even further. 190 00:13:56,680 --> 00:13:59,320 At this point, do you wish to stay valuation-sensitive 191 00:13:59,400 --> 00:14:02,320 or do you want to take some money and go to the next level? 192 00:14:02,320 --> 00:14:03,640 Not because of the valuation. 193 00:14:03,720 --> 00:14:05,960 - They couldn't bring anything more to the table. - Wanted the money... 194 00:14:06,080 --> 00:14:07,520 We were not sure 195 00:14:07,600 --> 00:14:10,120 - they could become a part of our growth story. - Personal liability. 196 00:14:10,320 --> 00:14:11,960 One thing is bothering me. 197 00:14:13,160 --> 00:14:16,200 Why do I get the feeling you're not investor-friendly entrepreneurs? 198 00:14:16,320 --> 00:14:17,520 [sombre music playing] 199 00:14:18,840 --> 00:14:20,800 You said they didn't offer a fair valuation. 200 00:14:20,880 --> 00:14:22,160 You don't have any investment. 201 00:14:23,200 --> 00:14:25,320 Your son told you not to sell it, 202 00:14:25,440 --> 00:14:27,720 so you decided not to sell the business for his sake. 203 00:14:28,800 --> 00:14:31,160 You don't want to give returns to the investors 204 00:14:31,240 --> 00:14:32,240 when they ask for it. 205 00:14:32,360 --> 00:14:35,120 It's your duty to repay someone when you've taken money from them. 206 00:14:35,960 --> 00:14:37,360 Sometimes, when people don't get an investment, 207 00:14:37,440 --> 00:14:39,640 they start saying things like the valuation was not right 208 00:14:39,720 --> 00:14:40,920 - or they didn't like it. - Yes. 209 00:14:41,560 --> 00:14:43,920 I don't think I'll make money on this deal. 210 00:14:45,200 --> 00:14:47,800 I do not think you'll be able to give me an exit. 211 00:14:49,000 --> 00:14:51,960 An influx of incremental investment 212 00:14:52,440 --> 00:14:55,040 will put you on the same treadmill as your competitors. 213 00:14:56,560 --> 00:14:58,560 I agree with Aman to a certain extent. 214 00:14:58,680 --> 00:15:01,240 I'm not clear whether you're investor-friendly 215 00:15:01,320 --> 00:15:03,400 or actually want an investment in the first place. 216 00:15:04,680 --> 00:15:05,880 So, I am out for that reason. 217 00:15:06,040 --> 00:15:07,480 [tense music playing] 218 00:15:09,480 --> 00:15:11,120 Can you wait for one minute? I'll just... 219 00:15:11,240 --> 00:15:12,080 Sure. 220 00:15:14,000 --> 00:15:16,560 Hang on, please wait. I'll join you. 221 00:15:16,640 --> 00:15:18,680 - Have you made all these products? - Yes, ma'am. 222 00:15:18,760 --> 00:15:20,280 Your competitor might invest. 223 00:15:20,360 --> 00:15:23,120 You made an app and better products in seven years. 224 00:15:23,200 --> 00:15:24,920 Our app has two million downloads. 225 00:15:29,800 --> 00:15:32,000 How do we know you're not a spy? 226 00:15:36,680 --> 00:15:38,040 An offer is coming up. 227 00:15:38,720 --> 00:15:39,680 [music playing] 228 00:15:41,520 --> 00:15:42,960 We'll offer you a deal. 229 00:15:43,040 --> 00:15:44,400 Four Sharks will be coming on board. 230 00:15:44,480 --> 00:15:47,480 That's Peyush, Vineeta, Ritesh and me. 231 00:15:47,640 --> 00:15:49,920 We will give you Rs. 1.5 crores 232 00:15:50,920 --> 00:15:54,120 at 3% equity in your company. 233 00:15:55,200 --> 00:15:57,280 Plus we will take a royalty. 234 00:15:58,480 --> 00:16:00,040 2% of net sales 235 00:16:00,160 --> 00:16:02,480 until our Rs. 1.5 crores is recouped. 236 00:16:07,280 --> 00:16:08,160 You should discuss it. 237 00:16:08,320 --> 00:16:09,720 [pensive music playing] 238 00:16:19,400 --> 00:16:20,800 How did you find the offer? 239 00:16:20,880 --> 00:16:22,880 Sharks, thank you so much for the offer. 240 00:16:23,280 --> 00:16:24,840 Rs. 50 crores valuation 241 00:16:24,920 --> 00:16:27,600 for a business with a profit of Rs. 30 crores 242 00:16:27,680 --> 00:16:29,040 is way too less. 243 00:16:29,160 --> 00:16:30,200 It's very low. 244 00:16:31,520 --> 00:16:33,720 Sharks, here's our counteroffer. 245 00:16:44,880 --> 00:16:46,160 Radhika counted herself out. 246 00:16:46,280 --> 00:16:48,240 We have the same reasons as her. 247 00:16:48,480 --> 00:16:49,720 [tense music playing] 248 00:16:51,280 --> 00:16:52,920 Can we do it at 2%? 249 00:16:54,000 --> 00:16:56,960 How about Rs. 1.5 crores for 2% equity 250 00:17:04,720 --> 00:17:06,160 Why not, sir? That... 251 00:17:06,280 --> 00:17:07,400 - On sales. - That's on the sales. 252 00:17:07,480 --> 00:17:10,440 - The sales... - 1% of Rs. 50 crores is Rs. 50 lakhs. 253 00:17:10,560 --> 00:17:11,920 It will take three years at this rate. 254 00:17:12,040 --> 00:17:13,920 Let's increase the royalty a bit. 255 00:17:14,120 --> 00:17:15,360 [sombre music playing] 256 00:17:16,800 --> 00:17:18,680 - Here's our final offer. - Yes. 257 00:17:18,680 --> 00:17:21,200 The four of us will give you Rs. 1.5 crores 258 00:17:21,280 --> 00:17:23,160 for 2% of your business. 259 00:17:23,240 --> 00:17:24,320 Apart from that, 260 00:17:24,440 --> 00:17:27,920 we will take a royalty of 2% of the net revenue 261 00:17:35,880 --> 00:17:38,000 What do you say when we've accepted the deal? 262 00:17:47,840 --> 00:17:48,800 [camera shutter clicking] 263 00:17:49,480 --> 00:17:50,960 - Thank you. - Thank you so much. 264 00:17:51,280 --> 00:17:53,480 I am very excited about this deal. 265 00:17:53,560 --> 00:17:54,720 - Me too. - Super excited. 266 00:17:54,840 --> 00:17:55,960 I hope the money comes back. 267 00:17:56,080 --> 00:17:57,200 [music fades] 268 00:22:01,760 --> 00:22:05,000 [music playing] 269 00:22:19,320 --> 00:22:22,720 Sachin, the washroom was smelling so bad, right? 270 00:22:23,400 --> 00:22:25,400 Yes, I was looking for a washroom 271 00:22:25,480 --> 00:22:29,080 and the watchman asked me to follow the trail of odour. 272 00:22:29,160 --> 00:22:30,600 It will take you to the washroom. 273 00:22:30,680 --> 00:22:32,000 Oh! 274 00:22:32,200 --> 00:22:33,840 Really. I mean, 275 00:22:33,920 --> 00:22:36,640 for 100 ml of urine 276 00:22:37,040 --> 00:22:38,880 we waste this bucket full of water. 277 00:22:50,560 --> 00:22:53,040 For this odour and dirt, we do so much. 278 00:22:53,200 --> 00:22:56,520 We flush water, use varied chemical cleaners, 279 00:22:56,600 --> 00:22:58,160 even use fragrances. 280 00:22:58,240 --> 00:23:00,240 But the odour remains. 281 00:23:00,560 --> 00:23:03,480 We can say that our sanitation system 282 00:23:03,480 --> 00:23:05,200 is on the verge of dying. 283 00:23:05,320 --> 00:23:07,440 What do we do when death arrives, Sharks? 284 00:23:07,520 --> 00:23:09,320 We give CPR, right? 285 00:23:09,520 --> 00:23:13,400 We are trying to do the same through Zerodor's products. 286 00:23:13,480 --> 00:23:16,000 [music playing] 287 00:23:16,600 --> 00:23:19,960 Greetings, Sharks. I'm Sachin. I'm from Mumbai. 288 00:23:25,480 --> 00:23:27,480 Sharks, through these products and solutions 289 00:23:27,600 --> 00:23:31,040 we are trying to do a CRP on our sanitation system. 290 00:24:05,120 --> 00:24:07,080 So far, we have installed more than 30,000 291 00:24:07,160 --> 00:24:09,120 Zerodor Waterless Urinals. 292 00:24:39,880 --> 00:24:41,360 or to eliminate odour? 293 00:24:41,560 --> 00:24:45,520 It started after my wedding actually. 294 00:24:45,600 --> 00:24:49,800 So, I was born and raised in a small village in Jharkhand. 295 00:24:49,920 --> 00:24:52,000 Mud house, full greenery, 296 00:24:52,080 --> 00:24:53,280 a beautiful river, 297 00:24:53,400 --> 00:24:56,080 it had such things but no toilets. 298 00:24:57,040 --> 00:24:58,640 So, when I got married in 2010. 299 00:24:58,760 --> 00:25:00,600 I told my wife 300 00:25:00,680 --> 00:25:03,160 that I'll take her to my village, that it's beautiful. 301 00:25:03,360 --> 00:25:06,400 The first question she asked is if there's a toilet. 302 00:25:06,480 --> 00:25:08,360 And on hearing my answer, she refused. 303 00:25:08,360 --> 00:25:10,360 She said that she won't go if there's no toilet. 304 00:25:10,720 --> 00:25:12,160 When I reached there alone, 305 00:25:12,240 --> 00:25:14,240 the beautiful memories of childhood 306 00:25:14,320 --> 00:25:16,800 where toilets never existed 307 00:25:16,920 --> 00:25:18,240 suddenly changed. 308 00:25:18,320 --> 00:25:20,280 The river was different now. 309 00:25:20,360 --> 00:25:22,280 There were toilets at home but people didn't use it. 310 00:25:22,360 --> 00:25:24,240 People had contracted infections. 311 00:25:24,360 --> 00:25:26,480 So, they had constructed it as a storage. 312 00:25:27,240 --> 00:25:28,680 And then I decided 313 00:25:28,760 --> 00:25:30,800 to quit my job and start this. 314 00:25:30,880 --> 00:25:33,440 To do some meaningful work on sanitation. 315 00:25:33,960 --> 00:25:34,720 Very interesting. 316 00:25:34,800 --> 00:25:36,240 When did you start? 317 00:25:49,240 --> 00:25:50,360 In 2013. 318 00:26:03,240 --> 00:26:06,480 Tell me something. What's this? What's the product? 319 00:26:06,600 --> 00:26:08,200 I'd like to give you a demo. 320 00:26:08,320 --> 00:26:09,320 No, don't do that. 321 00:26:09,400 --> 00:26:10,840 [laughing] 322 00:26:12,560 --> 00:26:16,160 This urinal flushes around 1.5-2 litres, 323 00:26:25,080 --> 00:26:28,920 So, after the urine passes, when it dries up in the drain line, 324 00:26:29,000 --> 00:26:30,640 it causes a chemical reaction 325 00:26:30,720 --> 00:26:32,080 which releases ammonia. 326 00:26:32,160 --> 00:26:34,920 So, ammonia is the odour that we get. 327 00:26:47,000 --> 00:26:48,920 And there's a mechanism inside. 328 00:26:49,960 --> 00:26:52,080 It creates a one-way passage. 329 00:27:00,560 --> 00:27:01,920 So, you don't need water. 330 00:27:02,000 --> 00:27:04,320 So, you put this product in your hand 331 00:27:04,400 --> 00:27:07,320 - in existing urinal. - Yes, here. In existing urinal. 332 00:27:07,400 --> 00:27:10,400 And once you install it, it doesn't need to be replaced. 333 00:27:10,520 --> 00:27:11,600 You don't need to replace it. 334 00:27:11,680 --> 00:27:13,280 How long does it last? 335 00:27:13,400 --> 00:27:15,880 Our present installations 336 00:27:15,880 --> 00:27:18,120 have already been working for 10-12 years. 337 00:27:18,240 --> 00:27:19,920 In fact, before the life span of this gets over, 338 00:27:19,920 --> 00:27:21,800 people have to replace the pan. 339 00:27:21,920 --> 00:27:22,600 Ah. 340 00:27:22,600 --> 00:27:25,680 But many brands have waterless urinals. 341 00:27:25,760 --> 00:27:29,000 The products in competition have a gel 342 00:27:29,080 --> 00:27:31,480 which gets gradually washed away 343 00:27:31,600 --> 00:27:34,000 because you urinate and clean 344 00:27:34,080 --> 00:27:36,160 so you have to replace a cartridge. 345 00:27:36,240 --> 00:27:38,320 That becomes a recurring cost for the consumer. 346 00:27:38,400 --> 00:27:40,560 Is there a difference in the effectiveness? 347 00:27:40,640 --> 00:27:43,120 Actually, we have a much better product. 348 00:27:43,200 --> 00:27:44,440 In terms of efficiency, 349 00:28:03,120 --> 00:28:05,280 For women, there are different kind of challenges. 350 00:28:05,600 --> 00:28:07,600 Firstly, the posture. 351 00:28:07,680 --> 00:28:09,640 We mostly stand and pee, right? 352 00:28:09,720 --> 00:28:11,480 But women have 2-3 different postures. 353 00:28:11,560 --> 00:28:13,800 We modified the mechanism 354 00:28:13,880 --> 00:28:16,680 and designed a new pan 355 00:28:16,800 --> 00:28:18,960 that's ergonomically comfortable 356 00:28:25,600 --> 00:28:27,440 This is the mechanism. 357 00:28:27,560 --> 00:28:31,880 As soon as urine passes through it, the flap opens 358 00:28:31,960 --> 00:28:34,240 and it closes after the urine passes. 359 00:28:34,320 --> 00:28:35,960 And then it blocks the odour. 360 00:28:36,560 --> 00:28:39,320 If you have to fit it into corporate bathrooms, 361 00:28:39,400 --> 00:28:42,520 do you have to set it separately as women urinals? 362 00:28:42,640 --> 00:28:44,200 And set up a different one for defecation. 363 00:28:44,200 --> 00:28:45,400 - Right? - Yes. 364 00:28:45,400 --> 00:28:47,640 - So, double the space will be used. - Yes. 365 00:28:47,720 --> 00:28:49,920 Don't focus on this, focus on your core. 366 00:28:49,920 --> 00:28:50,280 Yes. 367 00:28:50,280 --> 00:28:52,320 - Else all problems will crop up. - This is a distraction. 368 00:28:52,440 --> 00:28:55,040 You have made a new innovation here. 369 00:28:55,920 --> 00:28:58,040 What is this? The products here? 370 00:28:58,200 --> 00:29:00,720 [music playing] 371 00:29:01,400 --> 00:29:03,400 - Oh, there's a hand wash too. - Yes. 372 00:29:03,520 --> 00:29:04,360 He has everything. 373 00:29:04,440 --> 00:29:05,200 He has everything. 374 00:29:05,200 --> 00:29:06,880 - He has a whole market. - Didn't make towels yet? 375 00:29:08,160 --> 00:29:10,880 Sir, these products that you hold 376 00:29:20,840 --> 00:29:24,280 We started work on this after 2018. 377 00:29:24,360 --> 00:29:25,960 And we started this 378 00:29:26,040 --> 00:29:28,160 because while working on toilets 379 00:29:28,280 --> 00:29:30,000 we encountered two more major problems. 380 00:29:30,080 --> 00:29:31,360 One is cleaning, 381 00:29:31,440 --> 00:29:34,280 and the other is the waste produced after cleaning, 382 00:29:34,360 --> 00:29:37,840 the final sludge deposit becomes difficult to treat. 383 00:29:38,000 --> 00:29:39,360 So, then we 384 00:29:39,480 --> 00:29:43,040 decided to present a complete end-to-end sanitation solution. 385 00:29:43,240 --> 00:29:44,760 - You made that too. - Yes. 386 00:29:44,880 --> 00:29:45,480 Where is it? 387 00:29:45,600 --> 00:29:47,800 These are bacterial cultures. 388 00:29:53,880 --> 00:29:57,040 How much does this gadget cost to them? 389 00:29:57,120 --> 00:29:59,320 And how much is the cartridge for? 390 00:29:59,400 --> 00:30:01,120 How frequently is it replaced? 391 00:30:01,200 --> 00:30:02,360 What's the difference in costing? 392 00:30:02,440 --> 00:30:04,160 If you install the cartridge system, 393 00:30:04,240 --> 00:30:08,400 the costing starts from Rs 15,000-20,000. 394 00:30:08,480 --> 00:30:10,560 But you get a pan with it. 395 00:30:10,680 --> 00:30:11,560 And ongoing cost? 396 00:30:11,640 --> 00:30:15,200 Ongoing cost is approximately Rs 2000, 2500, or 3000. There are 397 00:30:15,280 --> 00:30:16,080 - types of... - Per? 398 00:30:16,160 --> 00:30:16,760 Per cartridge. 399 00:30:16,840 --> 00:30:19,680 - How often do you have to replace? - Almost monthly or bi-monthly. 400 00:30:19,800 --> 00:30:21,520 So, about Rs 20,000 I will spend. 401 00:30:21,600 --> 00:30:23,000 Approximately, yes. 402 00:30:23,120 --> 00:30:24,000 And this? 403 00:30:36,880 --> 00:30:40,080 So far, we have more than 700 clients. 404 00:30:40,400 --> 00:30:42,160 Edelweiss is also one of our clients. 405 00:30:42,240 --> 00:30:44,240 - Edelweiss is your client? - Yeah. 406 00:30:45,000 --> 00:30:46,840 Tata Group. Then we have 407 00:30:46,920 --> 00:30:49,680 PVR and INOX is also tying up with us. 408 00:30:49,760 --> 00:30:52,520 Their annual contract has been made so it's being deployed. 409 00:30:52,800 --> 00:30:54,120 McDonald's. 410 00:30:54,200 --> 00:30:56,960 We have DCB Bank, DHL. 411 00:30:57,040 --> 00:30:59,840 You gave them a one-time solution of Rs 5000. 412 00:30:59,920 --> 00:31:02,520 I'm assuming that commercially people must be installing steel. 413 00:31:02,760 --> 00:31:05,000 So, your business is over. 414 00:31:05,080 --> 00:31:08,400 - Right? It's one-time. - Also, often drain line cleaners, 415 00:31:08,480 --> 00:31:11,760 and other products are also sold as add-ons. 416 00:31:11,840 --> 00:31:14,040 That's why you ventured into this category. 417 00:31:14,160 --> 00:31:15,560 Because there was no recurring income. 418 00:31:15,560 --> 00:31:16,200 Yes. 419 00:31:17,160 --> 00:31:18,440 Tell us more about the market. 420 00:31:27,280 --> 00:31:28,320 Share your sales data. 421 00:31:59,840 --> 00:32:01,680 In ten years, 422 00:32:01,760 --> 00:32:03,000 you built a business of Rs 2.5 crores. 423 00:32:03,120 --> 00:32:05,240 Why is the business growing so slowly? 424 00:32:05,760 --> 00:32:08,160 There's so much cost-saving. 425 00:32:08,280 --> 00:32:10,280 Rs 5000 one-time 426 00:32:10,280 --> 00:32:14,120 versus Rs 15,000 yearly. Your business should grow a lot. 427 00:32:14,720 --> 00:32:17,280 Radhika, Peyush, there are two points here. 428 00:32:17,400 --> 00:32:19,360 One is that when we started, 429 00:32:19,440 --> 00:32:21,520 waterless urinal's market potential was very low. 430 00:32:21,600 --> 00:32:23,240 Because people lacked awareness. 431 00:32:23,360 --> 00:32:26,920 A corporate has 500 toilets that can generate a revenue of Rs 25-30 lakhs. 432 00:32:27,000 --> 00:32:30,000 I think there must be 500 toilets in our building. 433 00:32:30,600 --> 00:32:34,120 You should be making Rs 25 lakhs to Rs 1 crore revenue from each company. 434 00:32:34,200 --> 00:32:35,400 But your total revenue is around Rs 2 crores. 435 00:32:35,480 --> 00:32:36,680 Something is not adding up. 436 00:32:40,000 --> 00:32:42,440 before Covid and then the phase of Covid 437 00:32:42,520 --> 00:32:46,160 impacted us a lot because of the impact on B2B. 438 00:32:46,240 --> 00:32:48,120 Because B2B revived slowly. 439 00:32:48,240 --> 00:32:51,320 But their focus to invest on sanitation sector, 440 00:32:51,400 --> 00:32:54,920 water saving, or sustainability 441 00:32:55,000 --> 00:32:56,120 happened pretty late. 442 00:32:56,200 --> 00:32:58,680 In fact, it has started growing since last year. 443 00:32:58,760 --> 00:33:02,080 If we talk about this year's revenue, 444 00:33:02,160 --> 00:33:05,320 then we have made around Rs 2.3 crores without taxes. 445 00:33:09,600 --> 00:33:12,560 Then no matter how fast this market grows, yet 446 00:33:12,640 --> 00:33:16,040 the market would've been around Rs 7000-8000 crores 5 years ago. 447 00:33:16,120 --> 00:33:17,920 So, why didn't you grow faster? 448 00:33:18,440 --> 00:33:21,760 We lacked the resources to be able to deploy. 449 00:33:21,880 --> 00:33:23,240 No, what was the resource problem? 450 00:33:23,320 --> 00:33:26,320 Was it a manufacturing bottleneck or lack of sales? 451 00:33:26,400 --> 00:33:27,240 Or working capital? 452 00:33:27,320 --> 00:33:29,640 Or was it that, this increased it? 453 00:33:29,760 --> 00:33:31,400 The products that you've launched increased the sales. 454 00:33:31,480 --> 00:33:34,400 The cleaning solutions have contributed a lot too. 455 00:33:34,520 --> 00:33:35,320 What's the split? 456 00:33:46,240 --> 00:33:48,360 You are naming big banks. 457 00:33:48,800 --> 00:33:51,640 - I don't understand that such big-- - Business worth Rs 80 lakhs. 458 00:33:51,720 --> 00:33:53,000 - Yes. This year. - No, this year. 459 00:33:53,080 --> 00:33:54,480 - This year, so far. - In the last 6 months. 460 00:33:54,560 --> 00:33:59,600 Yes, so your market share is 0.005 per cent out of Rs 16,000 crores. 461 00:33:59,680 --> 00:34:01,800 So, it doesn't seem right. Why? 462 00:34:02,840 --> 00:34:04,120 Something is fishy. 463 00:34:05,680 --> 00:34:07,320 In maximum cases, 464 00:34:07,400 --> 00:34:10,520 the philosophy of saving water 465 00:34:10,520 --> 00:34:14,240 has not reached people yet. The awareness-- 466 00:34:14,320 --> 00:34:16,960 Disagree. Waterless market is big 467 00:34:17,040 --> 00:34:18,560 so it's for water saving. 468 00:34:19,160 --> 00:34:20,200 Tell me something. 469 00:34:20,280 --> 00:34:22,520 When you do a demo for a corporate, 470 00:34:22,600 --> 00:34:24,120 what's your conversion rate? 471 00:34:24,200 --> 00:34:27,080 The whole conversion is around 6-8 months. 472 00:34:27,200 --> 00:34:28,280 How much cash do you have? 473 00:34:28,360 --> 00:34:29,840 Cash is around Rs 80 lakhs. 474 00:35:05,120 --> 00:35:05,880 No. 475 00:35:05,960 --> 00:35:07,200 Don't you think 476 00:35:07,280 --> 00:35:10,800 people who invested Rs 2 crores, their time, value of money, 477 00:35:10,880 --> 00:35:12,680 since it has reached Rs 5 crores 478 00:35:12,760 --> 00:35:15,240 must get an exit or 479 00:35:15,480 --> 00:35:17,440 payback. 480 00:35:18,000 --> 00:35:19,600 - Yes, I definitely agree. - Yes. 481 00:35:19,680 --> 00:35:22,320 So, don't you feel that pressure because 482 00:35:22,400 --> 00:35:23,920 when I raise funds, 483 00:35:24,040 --> 00:35:26,840 I hear a clock ticking. 484 00:35:26,920 --> 00:35:29,920 We had a discussion with the investors 485 00:35:30,000 --> 00:35:31,400 and mutually decided that 486 00:35:31,520 --> 00:35:34,960 let's first focus on the numbers to achieve positive figures. 487 00:35:35,080 --> 00:35:37,640 And then we will start the next round of fundraising again. 488 00:35:37,920 --> 00:35:39,680 Listen, I'm out today. 489 00:35:39,760 --> 00:35:42,480 I still don't understand 490 00:35:42,600 --> 00:35:45,840 what's the problem so I'm not getting comfortable. 491 00:35:45,960 --> 00:35:48,080 If a business holds on Rs 2 crores 492 00:35:48,160 --> 00:35:50,560 of an investor for seven years 493 00:35:50,680 --> 00:35:53,200 then there's some big problem. 494 00:35:54,440 --> 00:35:57,080 So, I wish you the best. I'm out for today. 495 00:35:57,160 --> 00:35:58,160 - Thank you so much. - Thank you, Vineeta. 496 00:35:58,840 --> 00:36:01,600 I'm not in love with the toilet. 497 00:36:02,280 --> 00:36:05,440 So, I'm out. You didn't build a big business. 498 00:36:05,600 --> 00:36:06,960 It wasn't fun. 499 00:36:08,160 --> 00:36:09,840 You are very distracted. 500 00:36:10,280 --> 00:36:12,960 You have a waterless urinal. 501 00:36:13,040 --> 00:36:14,960 You have a concept for women 502 00:36:15,080 --> 00:36:18,160 and thirdly, the other product segments that you have. 503 00:36:18,240 --> 00:36:21,480 It's a D2C, FMCG product. In this, Harpic, 504 00:36:21,600 --> 00:36:23,040 I have a handwash here. 505 00:36:23,040 --> 00:36:24,720 Who all are you competing with? 506 00:36:24,800 --> 00:36:28,000 According to me, your winner product is this one. 507 00:36:28,080 --> 00:36:29,240 Waterless urinal. 508 00:36:29,360 --> 00:36:31,560 Focus on that and make it big. 509 00:36:32,080 --> 00:36:33,120 I'm out. 510 00:36:33,280 --> 00:36:35,200 I think you have 511 00:36:35,280 --> 00:36:36,920 not realized the true potential of your business. 512 00:36:37,520 --> 00:36:38,960 Pick any one. 513 00:36:39,040 --> 00:36:41,440 And decide to make a 1000-crore business. 514 00:36:41,520 --> 00:36:43,720 Then everybody will join you. 515 00:36:43,800 --> 00:36:45,920 People around you. 516 00:36:46,000 --> 00:36:48,440 But it's not finalised yet. 517 00:36:48,560 --> 00:36:50,920 So, I'm out. The day you finalise, 518 00:36:51,000 --> 00:36:53,280 please reach out to me. I'll try and support. 519 00:36:53,360 --> 00:36:54,440 - Sure. - Thank you, Ritesh. 520 00:36:55,480 --> 00:36:58,200 I feel that your 521 00:36:58,280 --> 00:36:59,840 purpose and passion was great. 522 00:36:59,920 --> 00:37:01,200 In the beginning, you shared 523 00:37:01,280 --> 00:37:04,080 your story of growing up in a village, there's a problem of 524 00:37:04,080 --> 00:37:06,200 waterless urinals, even urinals are a problem. 525 00:37:06,200 --> 00:37:08,400 Government is also talking about it. 526 00:37:08,400 --> 00:37:11,440 Somewhere, your design has depth. 527 00:37:13,360 --> 00:37:15,000 Somewhere, you're very distracted. 528 00:37:16,040 --> 00:37:17,920 So, I think you need a third person. 529 00:37:18,000 --> 00:37:19,480 A third person who can drive the sales. 530 00:37:20,680 --> 00:37:21,680 That is Peyush. 531 00:37:22,680 --> 00:37:24,760 No, that will not be me. You will have to hire. 532 00:37:25,480 --> 00:37:28,320 So, I'll give you Rs 1 crore 533 00:37:28,440 --> 00:37:31,440 but I have a condition. You have to stop the rest. 534 00:37:39,240 --> 00:37:41,320 I'm assuming it will become Rs 2 crores. 535 00:37:41,840 --> 00:37:43,200 We will double it in H2. 536 00:37:43,200 --> 00:37:45,320 So, I'm considering a revenue of Rs 2 crores. 537 00:37:45,480 --> 00:37:47,600 My offer is Rs 1 crore for 10 per cent. 538 00:37:54,920 --> 00:37:56,360 Thank you so much for the offer, Peyush. 539 00:37:56,440 --> 00:37:58,200 Can we make a small change? 540 00:37:58,280 --> 00:37:59,880 Instead of Rs 1 crore for 10 per cent, 541 00:38:00,000 --> 00:38:02,000 can we do Rs 1.5 crores for 10 per cent. 542 00:38:11,600 --> 00:38:14,160 Or else, then Rs 1 crore for 6.5 per cent. 543 00:38:20,320 --> 00:38:22,640 [music playing] 544 00:38:24,000 --> 00:38:25,560 Thank you so much for the offer. 545 00:38:25,680 --> 00:38:27,480 - Thank you. - But I don't think 546 00:38:27,560 --> 00:38:29,080 we can accept it. 547 00:38:30,080 --> 00:38:32,520 Okay, that's your choice. But best of luck. 548 00:38:32,600 --> 00:38:33,760 - Thank you so much. - Best of luck! 549 00:38:33,880 --> 00:38:35,720 - Keep on building and saving water. - Thank you. 550 00:38:35,840 --> 00:38:37,720 Thank you, Sachin and Uttam. 551 00:38:39,240 --> 00:38:41,160 [music playing] 552 00:38:45,200 --> 00:38:46,440 [theme music playing] 553 00:40:02,600 --> 00:40:03,960 [music fades] 554 00:40:04,520 --> 00:40:07,160 Sharks, breaking news just came in! 555 00:40:07,240 --> 00:40:10,560 Three people disappeared while drinking coffee. 556 00:40:12,160 --> 00:40:15,000 Vineeta from Mumbai, who was having Ethiopian coffee, 557 00:40:15,080 --> 00:40:17,640 was teleported to Ethiopia while consuming the coffee. 558 00:40:17,760 --> 00:40:18,800 I landed in Ethiopia! 559 00:40:19,280 --> 00:40:22,200 Aman, who was brewing Brazilian coffee in Delhi, 560 00:40:22,320 --> 00:40:23,680 was teleported to Brazil. 561 00:40:24,680 --> 00:40:27,360 And, Radhika, who was drinking coffee from Karnataka, 562 00:40:27,440 --> 00:40:29,000 was teleported to Karnataka. 563 00:40:30,360 --> 00:40:31,840 We have Rishabh at the scene 564 00:40:31,920 --> 00:40:33,760 who will give us some more details. 565 00:40:33,840 --> 00:40:35,480 That was bound to happen, Nandini. 566 00:40:35,560 --> 00:40:38,120 They were drinking coffee from Toffee Coffee Roasters after all! 567 00:40:38,520 --> 00:40:40,320 This coffee is so authentic 568 00:40:40,440 --> 00:40:42,160 that the moment you take a sip, 569 00:40:42,240 --> 00:40:45,160 you'll feel you've been teleported to the place the coffee is from. 570 00:40:45,880 --> 00:40:48,600 Signing in on Shark Tank India, my name is Rishabh. 571 00:41:17,000 --> 00:41:19,160 So, our vision is to make Toffee Coffee Roasters 572 00:41:19,240 --> 00:41:21,080 a top speciality brand 573 00:41:30,960 --> 00:41:33,080 I've never had coffee in my life before. 574 00:41:33,160 --> 00:41:34,280 So, this will be my first time. 575 00:41:34,360 --> 00:41:36,080 Oh my God. Drink slowly, okay? 576 00:41:36,200 --> 00:41:37,440 Which one do you recommend? 577 00:41:37,520 --> 00:41:40,000 This is our signature flavour Whiskey Barrel Aged Coffee. 578 00:41:46,280 --> 00:41:48,280 I drink five cups of coffee a day. 579 00:41:48,800 --> 00:41:49,720 Thank you. 580 00:41:49,800 --> 00:41:51,360 Let me help you. 581 00:41:51,880 --> 00:41:53,680 Tear off the packaging 582 00:41:53,880 --> 00:41:56,960 and take out the sachet. 583 00:41:57,240 --> 00:41:58,760 Smells good! 584 00:41:58,840 --> 00:42:01,320 Tear the sachet in this manner. 585 00:42:12,080 --> 00:42:14,200 How many minutes does this need to be brewed for? One or two? 586 00:42:14,280 --> 00:42:15,680 Two to three minutes at the most. 587 00:42:19,720 --> 00:42:21,280 - Thank you. - The coffee is good. 588 00:42:21,560 --> 00:42:23,400 Coming from you... [chuckles] 589 00:42:23,480 --> 00:42:25,960 - The master chef! - Biggest... Yes, thank you. 590 00:42:26,040 --> 00:42:27,960 You made me drink my first cup of coffee. 591 00:42:30,120 --> 00:42:32,200 Well done. It has a chocolatey... 592 00:42:32,320 --> 00:42:34,280 - Yes. Mysore... - Mysore Nuggets is a dark roast. 593 00:42:34,360 --> 00:42:36,360 - It's a dark roast. - It tastes chocolatey and nutty. 594 00:43:37,880 --> 00:43:39,560 How big is the coffee market? 595 00:43:39,680 --> 00:43:41,240 The Indian coffee market 596 00:43:57,040 --> 00:43:58,760 Followed by new-age coffee brands. 597 00:43:58,840 --> 00:44:03,160 70% of the at-home coffee market is captured by traditional brands 598 00:44:11,760 --> 00:44:13,040 Almost 90 to 95%? 599 00:44:13,160 --> 00:44:13,960 In today's date, 600 00:44:14,040 --> 00:44:16,600 90% of the at-home coffee is instant coffee. 601 00:44:24,200 --> 00:44:25,560 - is the flavours, right? - Correct. 602 00:44:25,640 --> 00:44:27,920 They come up with 50 different types of instant flavours. 603 00:44:28,000 --> 00:44:29,320 This is also instant coffee. 604 00:44:29,400 --> 00:44:31,160 - This is... - This is instant coffee. 605 00:44:31,240 --> 00:44:32,720 This is not instant, this is Bru. 606 00:44:32,800 --> 00:44:34,960 We have a range of speciality instant coffees 607 00:44:35,040 --> 00:44:38,000 which is India's first speciality instant coffee brand 608 00:44:38,080 --> 00:44:40,240 where whilst declaring the origin, 609 00:44:40,320 --> 00:44:41,680 we've procured high-grade beans... 610 00:44:41,760 --> 00:44:42,800 - I agree. - Yes. 611 00:44:42,880 --> 00:44:44,000 Then why are you doing this? 612 00:44:44,080 --> 00:44:46,520 All your SKUs are the same. 613 00:44:52,560 --> 00:44:55,480 First off, our focus is on speciality coffee 614 00:44:55,560 --> 00:44:57,320 that is majorly grounded. 615 00:44:57,440 --> 00:45:01,680 We believe the easy-brew sachets are really picking up 616 00:45:01,800 --> 00:45:03,080 because people are transitioning. 617 00:45:03,160 --> 00:45:04,920 - You wish to upgrade. - They wish to do both. 618 00:45:05,000 --> 00:45:07,120 Exactly, we want to upgrade... 619 00:45:07,200 --> 00:45:10,600 The at-home speciality coffee market will be less than Rs. 1,000 crores. 620 00:45:17,240 --> 00:45:18,040 Tell us your numbers. 621 00:45:43,440 --> 00:45:47,280 We shifted our base to Bengaluru as majority of the coffee is there. 622 00:45:47,360 --> 00:45:50,200 We could optimise our supply chain by doing so. 623 00:46:32,160 --> 00:46:32,960 - No. - It isn't. 624 00:46:33,040 --> 00:46:35,600 The funds we received were in July. 625 00:46:35,680 --> 00:46:37,640 If you look at our quarterly revenue, 626 00:46:37,760 --> 00:46:38,560 it is growing. 627 00:46:53,760 --> 00:46:56,240 Overall, we'll have a profitability of Rs. 60 lakhs. 628 00:46:56,320 --> 00:46:57,680 - 60 to 70... - At Rs. 6 crores sales? 629 00:46:57,760 --> 00:46:58,560 Yes. 630 00:46:58,640 --> 00:47:01,000 What if your sales are just Rs. 4 or 5 crores? 631 00:47:04,240 --> 00:47:05,640 We will close at breakeven. 632 00:47:05,720 --> 00:47:07,120 Where do your main sales come from? 633 00:47:16,880 --> 00:47:18,120 Instamart and BigBasket. 634 00:47:18,200 --> 00:47:19,720 What's your pricing like? 635 00:47:19,960 --> 00:47:21,560 Starting from Rs. 450... 636 00:47:39,120 --> 00:47:44,280 This one comes to around Rs. 45 to 50 per sachet. 637 00:47:44,360 --> 00:47:46,800 The one I buy which is Blue Tokai or Third Wave 638 00:47:46,920 --> 00:47:50,200 generally costs me Rs. 25 to 30 after a discount. 639 00:47:50,320 --> 00:47:52,720 I buy Nescafé and a sachet costs Rs. 2. 640 00:47:53,240 --> 00:47:57,080 Secondly, you get a 100-gram jar of Bru 641 00:47:57,160 --> 00:47:59,520 for the same price as you charge for 50 grams. 642 00:47:59,760 --> 00:48:01,240 [sombre hearted music playing] 643 00:48:01,320 --> 00:48:02,800 - Tell me something. - Yes. 644 00:48:02,880 --> 00:48:04,640 In such a competitive market, 645 00:48:04,720 --> 00:48:06,840 where people have raised good funds too... 646 00:48:06,920 --> 00:48:10,400 - You've got a total funding of Rs. 1 crore. - Correct. 647 00:48:10,480 --> 00:48:11,480 Why will you win? 648 00:48:11,560 --> 00:48:13,200 We're in the speciality coffee space. 649 00:48:13,320 --> 00:48:16,200 Anybody can do that. I can also do what you're doing. 650 00:48:17,000 --> 00:48:19,040 - Correct, so... - Why will you win? 651 00:48:19,120 --> 00:48:22,000 Correct. So, they say we celebrate Indian farmers 652 00:48:22,080 --> 00:48:24,040 versus we say the world of coffee... 653 00:48:24,200 --> 00:48:25,600 They won't say it from tomorrow. 654 00:48:26,280 --> 00:48:28,880 - They'll stop if you don't like it. - You can't change your vision 655 00:48:28,960 --> 00:48:30,000 - overnight... - You cannot change it. 656 00:48:30,080 --> 00:48:31,760 No, companies can do anything. 657 00:48:32,640 --> 00:48:33,680 Why will you win? 658 00:48:33,760 --> 00:48:36,240 - Firstly, for our product differentiation. - Okay. 659 00:48:36,360 --> 00:48:38,360 Which I don't think is a long-term sustainable... 660 00:48:38,480 --> 00:48:40,240 We... - Because everybody can do everything. 661 00:48:40,360 --> 00:48:43,240 I... - You can't sue them for copying you. 662 00:48:43,320 --> 00:48:44,720 You cannot do this. 663 00:48:45,040 --> 00:48:46,680 We have a unique product differentiation 664 00:48:46,760 --> 00:48:48,120 which we have started, 665 00:48:48,200 --> 00:48:49,400 and we can build it too. 666 00:48:49,520 --> 00:48:51,920 What makes you stand out and only you can build the business? 667 00:48:52,520 --> 00:48:53,520 [tense music playing] 668 00:48:53,720 --> 00:48:55,560 Do you have a team apart from you both? 669 00:48:55,640 --> 00:48:57,880 We have a team but not a core team. 670 00:48:58,000 --> 00:48:59,080 We're the main team. 671 00:49:00,680 --> 00:49:02,440 How much revenue can you make three years from now? 672 00:49:17,880 --> 00:49:19,560 This is just the tip of the iceberg. 673 00:49:19,680 --> 00:49:21,280 How much profit will you make? 674 00:49:21,360 --> 00:49:24,480 Our gross margin is 70% of the MRP. 675 00:49:24,600 --> 00:49:26,960 Tell us your margin on the net figures. 676 00:49:34,600 --> 00:49:38,280 We have about Rs. 2.5 to 3 lakhs in the bank right now. 677 00:49:41,840 --> 00:49:43,280 [tense music playing] 678 00:49:47,640 --> 00:49:49,840 - No, it's not like that. - No, we have receivables too. 679 00:49:58,120 --> 00:50:01,040 When that happens, they don't clear the receivables. 680 00:50:01,200 --> 00:50:02,800 - Correct. - They wait for the stock to sell. 681 00:50:02,880 --> 00:50:04,520 - If you receive it, that's great. - Correct. 682 00:50:04,600 --> 00:50:05,600 What if you don't? 683 00:50:06,520 --> 00:50:09,520 The first thing is, we deliver really small lots to retailers 684 00:50:09,600 --> 00:50:10,840 as it's freshly roasted coffee. 685 00:50:10,920 --> 00:50:12,800 Isn't your approach too hand-to-mouth? 686 00:50:12,920 --> 00:50:14,760 We spent some money on building the facility too. 687 00:50:14,840 --> 00:50:17,280 Secondly, we were doing Rs. 25 lakhs monthly. 688 00:50:17,360 --> 00:50:18,760 No, Rs. 25 lakhs quarterly. 689 00:50:18,840 --> 00:50:20,960 Now, we're at Rs. 1 crore a quarter. 690 00:50:21,080 --> 00:50:24,120 I think we have grown that way in the last year. 691 00:50:25,240 --> 00:50:26,400 Rishabh and Nandini, 692 00:50:26,480 --> 00:50:28,800 I have been in that situation many times 693 00:50:28,920 --> 00:50:33,240 where it's hand to mouth and down to the wire. 694 00:50:33,720 --> 00:50:35,600 At a revenue of Rs. 15 to 16 lakhs also, 695 00:50:35,720 --> 00:50:37,680 I'd set Rs. 30 lakhs aside as shutdown money 696 00:50:37,760 --> 00:50:39,560 to pay off the final salaries 697 00:50:39,680 --> 00:50:42,160 and the vendors because it isn't their fault. 698 00:50:42,320 --> 00:50:45,600 My co-founders and I took all the risks, they didn't. 699 00:50:45,720 --> 00:50:47,720 So, their dues must be kept aside. That's one. 700 00:50:47,880 --> 00:50:50,520 The second is, your price point, 701 00:50:50,640 --> 00:50:55,080 1.5x for these and 2x for these, 702 00:50:55,080 --> 00:50:58,280 reduces your market size substantially. 703 00:50:59,240 --> 00:51:01,280 For a new brand with no cafes, 704 00:51:01,360 --> 00:51:04,160 commanding a premium rate will be very difficult. 705 00:51:04,320 --> 00:51:06,160 There's a slight confusion in your strategy. 706 00:51:06,280 --> 00:51:08,760 For that reason, I'm out, but best of luck. 707 00:51:16,600 --> 00:51:19,040 with the other players being very well-funded. 708 00:51:19,240 --> 00:51:20,960 Only for that reason, I am out, 709 00:51:21,040 --> 00:51:22,800 but I'll surely be your consumer. 710 00:51:41,760 --> 00:51:44,080 I wish to give you one piece of advice although I'm out. 711 00:51:45,560 --> 00:51:47,560 I've not heard of one of the blends you have. 712 00:51:47,680 --> 00:51:50,240 The Whiskey Barrel Aged blend. 713 00:51:50,400 --> 00:51:51,480 Double down on it. 714 00:51:51,560 --> 00:51:53,880 If this product is a hit, then you add the rest. 715 00:51:53,960 --> 00:51:55,800 Don't go all out right now. 716 00:51:55,880 --> 00:51:57,080 That's my view. 717 00:51:57,440 --> 00:51:59,920 - Thank you. - Everyone has just one question. 718 00:52:00,040 --> 00:52:01,600 Where does that conviction 719 00:52:01,680 --> 00:52:04,400 that you'll outdo your competitors come from? 720 00:52:04,480 --> 00:52:07,880 The greatest conviction comes from your consumers. 721 00:52:08,000 --> 00:52:10,200 When people would call me during the lockdown and say, 722 00:52:10,320 --> 00:52:12,840 "Nandini, Mysore Nuggets isn't available anywhere. Please send it." 723 00:52:12,920 --> 00:52:14,560 "I will pay extra for the delivery." 724 00:52:14,760 --> 00:52:17,480 I remember that was my thing. 725 00:52:18,520 --> 00:52:22,480 I believe the competition exists and that will always be the case. 726 00:52:22,560 --> 00:52:24,640 There are coffee companies now and there will be new ones 727 00:52:24,720 --> 00:52:26,640 five and even 50 years later. 728 00:52:26,720 --> 00:52:30,320 However, my coffee will stay even 50 years down the line 729 00:52:30,480 --> 00:52:32,040 and that's what I'm going to do here. 730 00:52:33,480 --> 00:52:36,680 It is said the one who wins the end game is a maverick, 731 00:52:36,760 --> 00:52:37,920 but I say it's an entrepreneur! 732 00:52:38,000 --> 00:52:39,560 I don't think you will shut down. 733 00:52:39,640 --> 00:52:41,360 Your business might be slack, 734 00:52:41,560 --> 00:52:43,800 but you will get through it is what I believe. 735 00:52:44,080 --> 00:52:45,760 So, I want to give you an offer. 736 00:52:45,840 --> 00:52:46,960 - Whoa! - Wow! 737 00:52:47,680 --> 00:52:49,960 The non-coffee drinker is making an offer! 738 00:52:52,000 --> 00:52:53,120 Here's my offer. 739 00:52:53,200 --> 00:52:54,560 You asked for Rs. 60 lakhs. 740 00:52:54,640 --> 00:52:57,920 Out of Rs. 60 lakhs, I'll give you Rs. 30 lakhs as equity 741 00:52:59,280 --> 00:53:02,040 for 2% equity in your company. 742 00:53:03,720 --> 00:53:07,120 Along with that, I wish to give you Rs. 30 lakhs debt 743 00:53:07,800 --> 00:53:09,680 for three years 744 00:53:19,840 --> 00:53:21,120 The youngest billionaire offer. 745 00:53:22,040 --> 00:53:23,560 For that reason, I'm out. 746 00:53:23,680 --> 00:53:25,720 I think he is up rounding you. 747 00:53:26,040 --> 00:53:27,680 So, my offer would not have matched. 748 00:53:27,760 --> 00:53:30,160 For now, I'm out. I think this offer is better. 749 00:53:32,360 --> 00:53:35,040 Ritesh, could we remove the debt component? 750 00:53:35,160 --> 00:53:36,640 [intriguing music playing] 751 00:53:38,920 --> 00:53:42,600 Look. Let's close it at 30 + 30 lakhs, 752 00:53:42,720 --> 00:53:44,280 or we'll remain friends anyway. 753 00:53:44,360 --> 00:53:47,160 How about we increase the equity component 754 00:53:47,280 --> 00:53:48,720 and reduce the debt? 755 00:53:50,720 --> 00:53:52,240 [pensive music playing] 756 00:53:52,880 --> 00:53:54,200 Here's my proposal. 757 00:53:54,280 --> 00:53:57,200 I will invest Rs. 35 lakhs in equity 758 00:53:57,760 --> 00:54:01,000 at a valuation of Rs. 15 crores for 2.33% equity, 759 00:54:01,280 --> 00:54:05,360 and along with that, I'll give you Rs. 25 lakhs debt 760 00:54:15,920 --> 00:54:17,600 Ritesh, you have a deal. 761 00:55:34,280 --> 00:55:35,360 [music fades] 762 00:55:41,360 --> 00:55:42,760 Ms Vineeta Singh. Thank you, Ma'am. 763 00:55:42,880 --> 00:55:44,920 Business and financial due diligence is clear. 764 00:55:54,040 --> 00:55:57,160 So, your old round or share holder agreements. 765 00:55:57,240 --> 00:56:00,960 The agreements made with your employees. 766 00:56:01,040 --> 00:56:03,160 Your contracts with vendors. 767 00:56:03,240 --> 00:56:06,240 All your agreement-related documentation 768 00:56:06,320 --> 00:56:09,000 needs to be in place because it can pose 769 00:56:09,080 --> 00:56:10,800 a big legal risk on the company. 770 00:56:10,920 --> 00:56:14,400 - If it runs on the basis of verbal agreements. - Yeah. 771 00:56:14,400 --> 00:56:16,600 Right? So that's the first set. 772 00:56:16,680 --> 00:56:18,360 Second is compliance. 773 00:56:18,840 --> 00:56:21,520 So, compliance means government laws 774 00:56:21,640 --> 00:56:23,680 around GST, TDS, 775 00:56:23,800 --> 00:56:25,200 PF, ESIC, 776 00:56:25,280 --> 00:56:27,200 if you're compliant with all of them. 777 00:56:27,280 --> 00:56:29,680 Under the Registrar of Companies, 778 00:56:29,760 --> 00:56:32,680 your company must be registered under that, if it's private limited, 779 00:56:32,800 --> 00:56:34,760 if you're filing annual taxes,