1 00:00:10,000 --> 00:00:11,440 [theme music playing] 2 00:00:15,120 --> 00:00:16,760 [music playing] 3 00:00:18,400 --> 00:00:20,080 [music playing] 4 00:00:30,360 --> 00:00:32,680 [music playing] 5 00:00:38,800 --> 00:00:40,600 [theme music playing] 6 00:00:49,400 --> 00:00:51,000 [music playing] 7 00:01:00,520 --> 00:01:03,720 Sharks, like thousands of fellow Indians, 8 00:01:03,880 --> 00:01:06,600 the two of us have also shared the same dream since childhood. 9 00:01:06,840 --> 00:01:08,960 That one day, we will have our own restaurant, 10 00:01:09,240 --> 00:01:12,560 a food brand, or at the very least, a shop selling chole bhature. 11 00:01:13,240 --> 00:01:14,320 There will be a long queue. 12 00:01:14,400 --> 00:01:17,280 Our branches will be everywhere and there will be a lot of money. 13 00:01:17,840 --> 00:01:21,240 But Sharks, when we took the first step towards this dream, 14 00:01:21,680 --> 00:01:25,440 our bubble burst, and we got a reality check. 15 00:01:25,840 --> 00:01:29,080 We realised how much effort it takes to build a successful food brand. 16 00:01:29,720 --> 00:01:32,280 First, finding a commercial, 17 00:01:32,280 --> 00:01:34,360 compliant space in a prime location. 18 00:01:53,680 --> 00:01:55,280 ...money and time. 19 00:01:55,640 --> 00:01:57,480 Half the people give up at this stage. 20 00:01:57,560 --> 00:02:00,440 And those who muster the courage to move forward 21 00:02:00,520 --> 00:02:02,680 often find themselves so caught up in these struggles 22 00:02:02,760 --> 00:02:05,120 that they can't focus on building their brand. 23 00:02:05,800 --> 00:02:07,960 To tackle this problem, 24 00:02:08,040 --> 00:02:10,280 the food industry needs speed. 25 00:02:10,360 --> 00:02:13,360 And we've brought just that with Speed Kitchen. 26 00:02:13,880 --> 00:02:16,000 Hello, Sharks. My name is Shamin Kapoor. 27 00:02:19,080 --> 00:02:22,280 Sharks, all of you must've heard 28 00:02:22,680 --> 00:02:25,200 of co-working offices and co-living accommodations. 29 00:02:25,560 --> 00:02:27,840 Today, we have a similar model 30 00:02:27,920 --> 00:02:29,160 with Speed Kitchen 31 00:02:29,320 --> 00:02:31,240 which is a co-working cloud kitchen. 32 00:02:35,240 --> 00:02:37,040 Speed Kitchen is a company 33 00:02:37,280 --> 00:02:39,440 that provides India's top food brands 34 00:02:39,520 --> 00:02:41,160 and aspiring food entrepreneurs 35 00:02:41,480 --> 00:02:43,200 with a comprehensive ecosystem... 36 00:02:43,360 --> 00:02:45,880 that operates 24/7, 365 days a year. 37 00:02:46,040 --> 00:02:48,000 Our kitchens are 100% compliant, 38 00:02:48,160 --> 00:02:49,280 hygienic, ready-to-move-in, 39 00:02:49,440 --> 00:02:51,560 and plug-and-play co-working cloud kitchens. 40 00:02:52,080 --> 00:02:53,920 There's no need to worry about finding a kitchen 41 00:02:53,920 --> 00:02:56,040 ...or running after licences and authorities. 42 00:02:56,120 --> 00:02:57,960 We handle all the facility maintenance... 43 00:03:02,720 --> 00:03:06,080 Great food, providing customer service, and scaling their business. 44 00:03:06,280 --> 00:03:08,040 With Speed Kitchen, a food brand 45 00:03:08,200 --> 00:03:10,920 can launch operations from our kitchen in just four days 46 00:03:11,200 --> 00:03:14,440 with minimal capital investment and low operating costs, 47 00:03:14,520 --> 00:03:17,160 with specialised cooking equipment and staff. 48 00:03:17,560 --> 00:03:19,920 Currently, we're present in four cities across India 49 00:03:20,120 --> 00:03:21,720 with over 15 locations, 50 00:03:25,640 --> 00:03:27,120 Our vision 51 00:03:27,280 --> 00:03:29,760 is to create an ecosystem in India 52 00:03:29,960 --> 00:03:32,280 where food brands can bypass the challenges 53 00:03:32,560 --> 00:03:34,560 of kitchen infrastructure and compliance, 54 00:03:34,640 --> 00:03:36,600 bringing them closer to achieving their dreams. 55 00:03:36,760 --> 00:03:38,080 To make this vision a reality, our ask 56 00:03:38,120 --> 00:03:40,200 is Rs. 2 crores in exchange for 3% equity. 57 00:03:46,680 --> 00:03:48,080 So, Shamin and Paurav, 58 00:03:48,240 --> 00:03:50,600 - welcome to Shark Tank Season 4. - Thank you so much. 59 00:04:08,240 --> 00:04:11,000 Of starting a food brand or doing something significant in life. 60 00:04:11,280 --> 00:04:12,600 So, when we grew up, 61 00:04:12,680 --> 00:04:16,240 we decided to take this dream ahead. 62 00:04:16,320 --> 00:04:19,280 As we pursued this dream, we realised that starting a food brand 63 00:04:19,440 --> 00:04:21,560 involves much more 64 00:04:21,640 --> 00:04:24,440 - than just food. - Which year did you start this? 65 00:04:24,760 --> 00:04:27,720 Sir, we launched this in March 2021. 66 00:04:27,800 --> 00:04:30,640 Just a year before starting this, I had returned to India. 67 00:04:30,720 --> 00:04:31,840 I was in London. 68 00:04:31,960 --> 00:04:33,160 I noticed something there. 69 00:04:33,240 --> 00:04:35,840 How co-working kitchens, time multiplexing, 70 00:04:35,920 --> 00:04:37,800 and how real estate can be utilised efficiently. 71 00:04:37,960 --> 00:04:40,720 When we thought of bringing this concept to India, 72 00:04:41,000 --> 00:04:43,400 we observed roadside bistros and a variety of food setups. 73 00:04:43,520 --> 00:04:45,440 But if we want to follow the same path? 74 00:04:45,520 --> 00:04:47,760 Could we have multiplied our business? 75 00:04:47,840 --> 00:04:49,600 It meant first setting up a kitchen, 76 00:04:49,840 --> 00:04:51,080 dealing with brokers, 77 00:04:51,120 --> 00:04:52,720 negotiating with landlords, 78 00:04:52,840 --> 00:04:55,000 and managing construction. It consumed a lot of time. 79 00:04:55,080 --> 00:04:57,400 That's when we realised there was a clear gap. 80 00:04:57,560 --> 00:04:59,680 If we could provide ready-made kitchens to people 81 00:04:59,760 --> 00:05:01,280 and create them at scale. 82 00:05:06,200 --> 00:05:07,960 Sir, I am a Civil Engineer by qualification. 83 00:05:08,040 --> 00:05:10,960 I completed Civil Engineering in 2012. 84 00:05:11,040 --> 00:05:12,720 - From? - VIT, Vellore. 85 00:05:12,800 --> 00:05:13,960 That is a good college. 86 00:05:19,240 --> 00:05:21,360 I returned to India after 11 months. 87 00:05:21,720 --> 00:05:24,680 I joined Unitech as a planning engineer. 88 00:05:24,800 --> 00:05:28,040 And then, I got a good opportunity with Saya Group. 89 00:05:28,120 --> 00:05:30,280 They were doing a very big housing project. 90 00:05:30,640 --> 00:05:32,280 I visited Korea for them. 91 00:05:32,400 --> 00:05:33,840 I received training for three months. 92 00:05:37,880 --> 00:05:40,280 - After that, I joined OYO. - Me? 93 00:05:40,400 --> 00:05:41,680 [laughing] 94 00:05:42,640 --> 00:05:45,880 - Thank you! What next? - Do you know him? Did you meet him? 95 00:05:47,000 --> 00:05:48,720 - Yes! - Were you in the NCR team? 96 00:05:48,840 --> 00:05:50,760 - Yes, sir. - What did you do at OYO? 97 00:05:50,880 --> 00:05:52,600 When I received a call from them, 98 00:05:52,720 --> 00:05:55,960 I had just returned from a trip to Europe. 99 00:05:56,200 --> 00:05:58,680 Yes! You went to London, Korea and Europe. 100 00:05:59,040 --> 00:06:01,320 I was asking what was your job profile in OYO. 101 00:06:01,480 --> 00:06:02,960 Tell us your role in OYO. 102 00:06:03,200 --> 00:06:05,400 I... Sir, I... 103 00:06:05,520 --> 00:06:07,800 I joined OYO in July 2017. 104 00:06:07,880 --> 00:06:10,120 - Okay. - As a Head of Transformation for Delhi NCR. 105 00:06:10,200 --> 00:06:12,480 Those in Transformation are typically Civil Engineers. 106 00:06:12,560 --> 00:06:15,160 They convert a hotel 107 00:06:15,240 --> 00:06:16,920 to our brand's standards. 108 00:06:17,480 --> 00:06:18,560 Correct! So... 109 00:06:18,800 --> 00:06:19,840 [laughing] 110 00:06:19,920 --> 00:06:22,000 That was the role. 111 00:06:22,080 --> 00:06:24,800 - I will tell you what I did. - Tell us. 112 00:06:24,960 --> 00:06:27,560 After that, I was with a team in the US. 113 00:06:27,920 --> 00:06:30,200 They sent me to Indonesia for around 2-3 months. 114 00:06:30,360 --> 00:06:31,840 [laughing] 115 00:06:32,560 --> 00:06:35,040 I went from London to India, from India... 116 00:06:35,120 --> 00:06:36,560 I still haven't reached London, sir. 117 00:06:37,360 --> 00:06:39,680 What after that? How did you reach London? 118 00:06:39,760 --> 00:06:41,320 From there, I was sent to Bangkok. 119 00:06:43,000 --> 00:06:44,440 And then I returned to India. 120 00:06:44,880 --> 00:06:45,880 This is nice. 121 00:06:45,920 --> 00:06:47,960 And they sent me to London the next day. 122 00:06:48,600 --> 00:06:50,320 Everyone should get a job like this. 123 00:06:50,440 --> 00:06:53,160 - International player. - All thanks to OYO's team. 124 00:06:53,320 --> 00:06:55,120 If you work in our company, 125 00:06:55,240 --> 00:06:57,560 you get a chance to learn in multiple geographies. 126 00:06:57,640 --> 00:06:59,000 Because we are in 40 countries. 127 00:06:59,160 --> 00:07:00,640 But did OYO send you to London? 128 00:07:00,880 --> 00:07:04,280 We had to work on planning in Scotland 129 00:07:04,360 --> 00:07:06,800 because London was almost done. 130 00:07:06,960 --> 00:07:08,680 - Okay! - Next, which country 131 00:07:08,880 --> 00:07:10,880 - did you visit? - Where did you go after Scotland? 132 00:07:11,000 --> 00:07:14,720 Next year, I returned to India, five days before COVID. 133 00:07:14,840 --> 00:07:15,720 You quit? 134 00:07:15,800 --> 00:07:18,640 I came to their office in India, but I didn't continue with OYO. 135 00:07:18,760 --> 00:07:20,000 - Why? - I left the job. 136 00:07:20,160 --> 00:07:22,640 I was not okay with the role I was given in India. 137 00:07:22,720 --> 00:07:24,600 So, I thought of starting my own business. 138 00:07:25,000 --> 00:07:28,280 Then, I was simultaneously conceptualising Speed Kitchen. 139 00:07:28,400 --> 00:07:31,040 We launched the company in December 2020. 140 00:07:31,200 --> 00:07:35,040 In March, we went live with our first centre in Indirapuram. 141 00:07:39,520 --> 00:07:41,960 I completed my Bachelor's & MBA from Singapore. 142 00:07:42,200 --> 00:07:44,200 After that, I've lived in India. 143 00:07:44,400 --> 00:07:46,440 Initially, I was working with Housing.com 144 00:07:46,560 --> 00:07:48,040 as a Performance Marketer. 145 00:07:48,320 --> 00:07:50,360 Then I shifted to an IT company. 146 00:07:50,440 --> 00:07:53,040 I was there for three years. After that, I joined Builder.ai, 147 00:07:53,160 --> 00:07:54,280 a UK-based startup. 148 00:07:54,400 --> 00:07:56,880 And then I focussed on Speed Kitchen full-time. 149 00:07:57,280 --> 00:08:00,400 Tell me about your business. What does it exactly cater to? 150 00:08:00,480 --> 00:08:02,640 What proposition do you have for your clients? 151 00:08:02,920 --> 00:08:06,000 In layman's language, it's a co-working space for cloud kitchens. 152 00:08:06,160 --> 00:08:08,960 First, we search for a real estate property 153 00:08:38,600 --> 00:08:41,440 For example, if Ritesh runs a burger company 154 00:08:41,640 --> 00:08:43,680 and you plan on starting a burger company, 155 00:08:43,840 --> 00:08:46,840 we know that if Ritesh is running a burger company in Indirapuram, 156 00:08:47,000 --> 00:08:49,160 we have the data on their average order volume 157 00:08:49,280 --> 00:08:52,240 - and average order value. - This is sensitive data, right? 158 00:08:52,440 --> 00:08:55,200 With this data, you can approach the third burger company 159 00:08:55,280 --> 00:08:58,040 and tell them that you can offer them space to operate in Indirapuram. 160 00:08:58,120 --> 00:09:00,560 Why are brands sharing 161 00:09:00,720 --> 00:09:03,360 these sensitive data with you? How will it benefit them? 162 00:09:03,480 --> 00:09:06,600 The brands who work with us are not paying us a fixed rental. 163 00:09:06,720 --> 00:09:08,200 So, we are not a fixed rental company. 164 00:09:08,720 --> 00:09:11,120 We have a minimum guarantee and revenue share. 165 00:09:17,120 --> 00:09:19,280 All my leases with the landlords 166 00:09:25,360 --> 00:09:26,520 ...of 12 months. 167 00:09:26,560 --> 00:09:28,320 Its duration will be 3, 5, and 9 years. 168 00:09:28,560 --> 00:09:30,720 Is the lock-in for the same duration on both sides? 169 00:09:30,840 --> 00:09:32,160 Is the lock-in period you give to the landlord 170 00:09:32,200 --> 00:09:34,160 and the one the client gives you roughly the same? 171 00:09:34,520 --> 00:09:37,080 - Do you have photos of your cloud kitchen? - Yes, sir. 172 00:09:37,280 --> 00:09:38,960 This is one of our kitchens in BKC. 173 00:09:50,920 --> 00:09:52,880 ...and five individual entities can utilise them, 174 00:09:52,960 --> 00:09:55,400 allowing them to run multiple brands from each kitchen. 175 00:10:01,640 --> 00:10:03,520 CCTV, Wi-Fi, gas bank, 176 00:10:03,880 --> 00:10:06,480 plumbing, civil work, 177 00:10:06,600 --> 00:10:08,280 security, facility managers, 178 00:10:08,360 --> 00:10:09,480 garbage disposal. 179 00:10:09,600 --> 00:10:11,400 Instead of making a kitchen for yourself, 180 00:10:11,560 --> 00:10:13,720 you help others run their business. 181 00:10:13,800 --> 00:10:14,920 The model is good. 182 00:10:15,000 --> 00:10:17,160 For any brand, it works when they are starting off. 183 00:10:17,360 --> 00:10:18,720 Why would brands 184 00:10:18,800 --> 00:10:21,600 continue to share their revenue and data with you in the long run? 185 00:10:21,720 --> 00:10:24,280 Once my business is successful in BKC, 186 00:10:24,440 --> 00:10:25,600 I will move out. 187 00:10:25,720 --> 00:10:27,040 That's something I've learned. 188 00:10:27,120 --> 00:10:28,520 I've built a defensibility model. 189 00:10:28,640 --> 00:10:29,680 What is that? 190 00:10:29,760 --> 00:10:31,160 We've implemented a cap on revenue sharing. 191 00:10:31,160 --> 00:10:32,640 - Implemented a cap? Okay. - Yes. 192 00:10:32,720 --> 00:10:34,920 It ranges from 1.5x to 2x and in certain cases, it goes up to 2.5x. 193 00:10:34,920 --> 00:10:36,600 1.5x of? 194 00:10:36,760 --> 00:10:37,760 Minimum guarantee. 195 00:10:43,200 --> 00:10:45,360 Or revenue share on net sales, 196 00:10:50,400 --> 00:10:52,000 How much will you make? 197 00:10:52,320 --> 00:10:54,840 Our minimum revenue share is 6% 198 00:10:55,000 --> 00:10:56,000 and the maximum is 10%. 199 00:11:01,600 --> 00:11:03,320 - ...and a 6% revenue share. - Hmm! 200 00:11:03,480 --> 00:11:04,760 If their sales amount to Rs. 10 lakhs, 201 00:11:04,760 --> 00:11:07,480 my invoice will be Rs. 60,000 plus GST. 202 00:11:07,880 --> 00:11:09,880 Regarding capping, I informed them 203 00:11:09,960 --> 00:11:11,880 that if their sales exceed Rs. 18 lakhs, 204 00:11:11,960 --> 00:11:15,120 the 6% revenue share amounts to Rs.1.2 lakhs. It's an example. 205 00:11:15,200 --> 00:11:17,280 For any sales above that, 206 00:11:17,360 --> 00:11:19,920 is entirely their revenue, and I won't take any commission on it. 207 00:11:22,200 --> 00:11:23,840 Sir, for every site I do it. 208 00:11:24,160 --> 00:11:26,520 - How much is it? - For any property where I invest in CapEx, 209 00:11:26,560 --> 00:11:28,560 if I calculate the return on it, 210 00:11:28,640 --> 00:11:30,800 it comes out to be around 15% to 18%. 211 00:11:33,000 --> 00:11:35,720 ROCE! ROCE means Return On Capital Employed. 212 00:11:35,800 --> 00:11:37,040 This is a financial metric 213 00:11:37,120 --> 00:11:40,160 that indicates how efficiently you have run your company. 214 00:11:40,280 --> 00:11:43,880 For instance, if you invested Rs. 50 lakhs in a business 215 00:11:44,080 --> 00:11:45,760 and made a profit of Rs. 30 lakhs, 216 00:11:45,920 --> 00:11:48,160 your ROCE would be 60%. 217 00:11:48,280 --> 00:11:51,520 It reflects the efficiency with which you managed the company. 218 00:11:52,400 --> 00:11:55,320 Please tell us your revenue, cost and EBITDA. 219 00:11:55,440 --> 00:11:56,640 We have been profitable 220 00:12:01,280 --> 00:12:03,240 In the first year, we did Rs. 36.5 lakhs. 221 00:12:03,360 --> 00:12:05,360 After that, it was Rs. 1.51 crores. 222 00:12:05,480 --> 00:12:07,760 Followed by Rs. 3.25 crores. 223 00:12:07,880 --> 00:12:10,600 And this year our sales will be around Rs. 5-Rs. 5.5 crores. 224 00:12:10,680 --> 00:12:11,520 That will be the minimum. 225 00:12:11,600 --> 00:12:13,760 How much have you made in the first six months, Paurav? 226 00:12:13,840 --> 00:12:14,840 Rs. 3 crores. 227 00:12:15,040 --> 00:12:17,240 Okay! What has been the bottom line in these years? 228 00:12:17,440 --> 00:12:20,680 Sir, last year, our EBITDA was roughly around 13%. 229 00:12:20,760 --> 00:12:22,920 And our PAT was 9.5%. 230 00:12:32,880 --> 00:12:35,760 - Tell us. - Sir, the audited number shows an EBITDA of 4.5% 231 00:12:43,680 --> 00:12:45,960 - Without that cost, my EBITDA would've been 13.5%. - It's 13%-18%. 232 00:12:46,000 --> 00:12:48,040 - Okay! It went from 13% to 18%. - Correct. 233 00:12:48,360 --> 00:12:50,080 You were telling us about fundraising costs. 234 00:12:50,120 --> 00:12:51,320 Where did you raise funds from? 235 00:12:51,360 --> 00:12:52,960 Inflection Point Ventures and HNI. 236 00:12:53,040 --> 00:12:54,920 How much have you raised and for what valuation? 237 00:12:55,160 --> 00:12:56,640 Sir, we have raised Rs 2.5 crores. 238 00:12:56,760 --> 00:12:58,560 Pre-money valuation is Rs. 20 crores. 239 00:12:59,080 --> 00:13:01,560 He also gives a lot of money. Why didn't you reach out to him? 240 00:13:03,840 --> 00:13:06,000 I was not really in touch with him after 2020. 241 00:13:06,080 --> 00:13:07,400 But I did try. 242 00:13:07,480 --> 00:13:09,800 But he was busy with other things. 243 00:13:10,120 --> 00:13:12,680 That's why you came here. Well done. 244 00:13:12,760 --> 00:13:14,320 - An incredible business. - You have high energy. 245 00:13:14,360 --> 00:13:16,560 - But your voice goes down in front of him. - I noticed. 246 00:13:16,600 --> 00:13:18,000 - His pitch is... - No... 247 00:13:18,160 --> 00:13:19,720 - It's high. - Yes, there is something. 248 00:13:20,160 --> 00:13:21,920 - Once we mention Ritesh... - Something is fishy! 249 00:13:21,920 --> 00:13:22,920 Nothing is fishy. 250 00:13:23,080 --> 00:13:25,320 Believe me. We have worked together. 251 00:13:25,440 --> 00:13:27,440 I have seen the highs and lows. 252 00:13:27,520 --> 00:13:28,720 When it comes to his temper. 253 00:13:28,840 --> 00:13:31,320 I know him closely. So, nothing is wrong. 254 00:13:32,640 --> 00:13:33,640 His temper? 255 00:13:33,680 --> 00:13:36,000 His temper can never go above this. 256 00:13:36,080 --> 00:13:38,120 - He is always smiling here. - We don't believe you. 257 00:13:38,200 --> 00:13:41,360 Okay, fine! Let's see what the site level unit economics 258 00:13:41,440 --> 00:13:43,280 of one location is. 259 00:13:43,800 --> 00:13:46,680 - If the top line for that location is Rs. 3 lakhs. - Hmm! 260 00:13:47,040 --> 00:13:48,760 The fixed rental cost 261 00:13:48,880 --> 00:13:51,240 is approximately Rs. 1.6 lakhs. 262 00:13:51,680 --> 00:13:52,880 So, my CM1 263 00:13:53,280 --> 00:13:55,960 is always around 44%-47%. 264 00:13:56,040 --> 00:13:58,440 After that, we account for employment costs, office costs, 265 00:13:58,560 --> 00:14:01,560 maintenance, and repair expenses, 266 00:14:01,760 --> 00:14:03,920 the CM2, which represents the EBITDA number, 267 00:14:04,040 --> 00:14:05,520 is 17%, as I mentioned earlier. 268 00:14:05,600 --> 00:14:06,600 And after accounting 269 00:14:06,800 --> 00:14:08,720 for depreciation and other expenses, 270 00:14:08,800 --> 00:14:10,240 the PAT ranges from 11%-13%. 271 00:14:10,440 --> 00:14:14,360 We were discussing the adjusted EBITDA earlier and got derailed. 272 00:14:14,440 --> 00:14:16,040 So, let me tell you about the previous year. 273 00:14:16,040 --> 00:14:19,320 At that time, my EBITDA was 11.5%. 274 00:14:19,400 --> 00:14:20,960 And my PAT was 7.5%. 275 00:14:24,200 --> 00:14:27,840 I've learnt things after starting my business. 276 00:14:28,600 --> 00:14:30,040 Everyone runs a business, 277 00:14:30,200 --> 00:14:32,760 but it's fun to work when it's profitable. 278 00:14:32,960 --> 00:14:35,080 You can look the other person in the eye and speak. 279 00:14:35,320 --> 00:14:37,560 We've taken very small steps. 280 00:14:37,680 --> 00:14:40,200 We made a cloud kitchen and went to quite a few locations. 281 00:14:40,360 --> 00:14:41,720 Then I realise that it is working. 282 00:14:41,800 --> 00:14:43,080 So, we started with base kitchens. 283 00:14:43,120 --> 00:14:45,880 We made small cloud kitchens. 284 00:14:46,040 --> 00:14:47,960 They need food from a main place. 285 00:14:48,040 --> 00:14:51,680 For example, Chef Ritu Dalmia, who had worked at the Ambani's wedding, 286 00:14:51,760 --> 00:14:53,800 entrusted us with the design, 287 00:14:53,880 --> 00:14:56,120 execution, and launch of her entire kitchen. 288 00:14:56,440 --> 00:14:58,680 The base kitchens of the travel food services 289 00:14:58,840 --> 00:15:00,800 that handle airport lounges 290 00:15:13,960 --> 00:15:15,560 - Correct! - I'll give a classic example. 291 00:15:15,720 --> 00:15:17,000 My third client was Chaayos 292 00:15:17,360 --> 00:15:19,040 in Indirapuram, which was our first location. 293 00:15:19,080 --> 00:15:21,160 They've been in the same kitchen number for four years. 294 00:15:21,160 --> 00:15:23,520 To this day, they continue operating from that same kitchen. 295 00:15:23,840 --> 00:15:26,240 - There must have been some customer churn by now. - Yes, sir! 296 00:15:26,240 --> 00:15:27,480 What is the reason behind that? 297 00:15:27,520 --> 00:15:30,960 Mainly, this churn comes from new brands, sir. 298 00:15:31,160 --> 00:15:34,840 They begin their journey, but sadly, they fail to succeed. 299 00:15:34,920 --> 00:15:37,280 To date, from an operations perspective, 300 00:15:37,360 --> 00:15:40,440 no brand has left us because of that. 301 00:15:40,520 --> 00:15:43,280 - How much percent churn was there? - Only around 10%-12%. 302 00:15:43,360 --> 00:15:46,000 Give me the last number. How much is your occupancy rate? 303 00:15:46,080 --> 00:15:48,080 Sir, on the portfolio level, it's around 80%-85%. 304 00:15:48,320 --> 00:15:50,040 There are many other bands 305 00:15:50,160 --> 00:15:52,240 in the market who are doing what you do, right? 306 00:15:52,320 --> 00:15:54,840 In India, there is one more other than us. 307 00:15:54,920 --> 00:15:56,160 It's a company in Bengaluru. 308 00:15:56,360 --> 00:15:58,360 - Kitchens@. - Kitchens@, correct. 309 00:15:58,520 --> 00:15:59,640 What is their traction? 310 00:15:59,840 --> 00:16:02,720 Sir, Kitchens@ is dense in Bengaluru. 311 00:16:02,920 --> 00:16:05,200 They roughly have around 350-400 kitchens. 312 00:16:05,480 --> 00:16:07,320 And in their recent fund raise, 313 00:16:07,400 --> 00:16:09,080 they've raised 135 million dollars. 314 00:16:09,200 --> 00:16:11,400 How does their revenue scale compare to yours? 315 00:16:11,520 --> 00:16:13,880 They were doing a top line of Rs. 22 crores per month. 316 00:16:14,160 --> 00:16:16,920 Do they have more space or what is it? 317 00:16:17,040 --> 00:16:20,000 If you look at the revenue scale, they are around 50 times more. 318 00:16:20,080 --> 00:16:22,120 They also have company-operated food brands. 319 00:16:22,240 --> 00:16:25,080 A huge chunk of their revenue comes from there as well. 320 00:16:25,640 --> 00:16:26,920 This concept 321 00:16:27,000 --> 00:16:29,680 - started with Uber founder Travis Kalanick. - Travis Kalanick. 322 00:16:29,760 --> 00:16:31,080 He started Ghost Kitchen. 323 00:16:31,160 --> 00:16:33,160 What has been its traction, 324 00:16:33,240 --> 00:16:34,840 as it's been in the industry for 4-5 years now? 325 00:16:34,840 --> 00:16:36,320 Their way of doing business is different. 326 00:16:36,320 --> 00:16:38,320 In Western countries, they buy properties 327 00:16:38,400 --> 00:16:40,040 because the rental yield is good. 328 00:16:40,280 --> 00:16:42,880 In India, you don't get a rental yield, so we don't buy properties. 329 00:16:42,880 --> 00:16:44,280 - They left, right? - Yes, they left. 330 00:16:44,320 --> 00:16:46,880 Out of six of their kitchens, we are running three kitchens. 331 00:16:47,520 --> 00:16:50,000 - How much cash do you have in your bank? - Rs. 3.5 crores. 332 00:16:50,080 --> 00:16:52,560 - How much CapEx was invested? - How much... Exactly! 333 00:16:52,680 --> 00:16:54,720 Exactly how much was put into CapEx? 334 00:16:54,800 --> 00:16:55,640 Around Rs. 1-Rs. 1.5 crores. 335 00:16:55,720 --> 00:16:57,240 How much is it per location? 336 00:16:57,440 --> 00:17:00,480 My expense is Rs. 1,000 per sq. ft depending on the real estate size. 337 00:17:00,560 --> 00:17:03,080 - If I have 1500 sq. ft, I spend Rs. 15 lakhs. - Rs. 25 lakhs. 338 00:17:03,320 --> 00:17:04,680 - Rs. 15 lakhs for 1500 sq. ft. - Yes, 1500 sq. ft. 339 00:17:04,720 --> 00:17:07,360 If you are giving me 1/10th 340 00:17:07,480 --> 00:17:09,240 of your kitchen, 341 00:17:09,400 --> 00:17:11,000 and if I want to set up my own kitchen, 342 00:17:11,160 --> 00:17:12,680 will the total CapEx 343 00:17:12,840 --> 00:17:14,480 be around Rs. 2-Rs.3 lakhs or not? 344 00:17:14,600 --> 00:17:16,040 It will cost around Rs. 3-Rs. 3.5 lakhs. 345 00:17:16,040 --> 00:17:17,200 Around Rs. 3-Rs. 3.5 lakhs. 346 00:17:17,800 --> 00:17:19,640 - Shamin, he is the CEO. - Yes. 347 00:17:19,760 --> 00:17:21,920 - What do you work as? - Sir, I look after the revenue. 348 00:17:22,000 --> 00:17:23,680 How much is your equity split? 349 00:17:23,800 --> 00:17:26,440 Sir, I own 70% of the company after the fund raise. 350 00:17:26,520 --> 00:17:28,520 - And you? - 13%. Approximately 13%. 351 00:17:28,600 --> 00:17:29,920 And the rest is with the investors. 352 00:17:29,920 --> 00:17:31,960 No, sir. We have an ESOP pool of 4.2%. 353 00:17:32,040 --> 00:17:33,760 And the remaining 12.5%, 354 00:17:33,880 --> 00:17:35,920 approximately 13%, is with investors. 355 00:17:36,280 --> 00:17:38,280 Then why are you here for Rs. 2 crores? 356 00:17:38,520 --> 00:17:41,120 Sir, we are planning a big round, pre-series A. 357 00:17:41,200 --> 00:17:44,160 We have secured a major contract as well. 358 00:17:44,240 --> 00:17:46,360 For expansion across all of Maharashtra 359 00:17:46,440 --> 00:17:48,280 - from an IPO listed company. - Which one? 360 00:17:48,520 --> 00:17:49,680 ITC. 361 00:17:49,760 --> 00:17:52,320 How much will the yearly order value be in rupees? 362 00:17:52,400 --> 00:17:53,920 The monthly business is around Rs. 7.5 lakhs. 363 00:17:53,960 --> 00:17:55,840 - Around Rs. 7.5-8 lakhs, sir. - So, Rs. 1 crore 364 00:18:03,640 --> 00:18:06,080 - But I think it's a good thing. - And strength? 365 00:18:07,000 --> 00:18:08,280 Very hard working, sir. 366 00:18:08,840 --> 00:18:10,960 I get a sense of operational excellence from him. 367 00:18:11,080 --> 00:18:13,120 That he's an operations fanatic. 368 00:18:13,200 --> 00:18:15,640 Sir, I haven't met anyone who can take such risks. 369 00:18:15,720 --> 00:18:17,080 Executioner. I think I'm 370 00:18:17,160 --> 00:18:18,720 - an executioner. - You're making good money. 371 00:18:18,760 --> 00:18:20,520 What's your plan? What do you want to become? 372 00:18:20,720 --> 00:18:22,560 Sir, a one-stop solution for food. 373 00:18:22,640 --> 00:18:24,960 I will do forward integration after 50 more locations. 374 00:18:25,040 --> 00:18:26,760 I will introduce my company operated brands. 375 00:18:26,800 --> 00:18:28,040 How big will it grow to be? 376 00:18:28,120 --> 00:18:29,720 Sir, a company worth 500-1000 crores. 377 00:18:29,800 --> 00:18:32,520 Because real-estate business is extremely unorganized. 378 00:18:32,600 --> 00:18:35,680 You heard of what happened at Karol Bagh, and other places. 379 00:18:35,720 --> 00:18:36,240 Yes. 380 00:18:36,280 --> 00:18:38,480 If you provide a good space that's fire-compliant, 381 00:18:38,560 --> 00:18:39,640 and is regularly audited, 382 00:18:39,720 --> 00:18:41,360 with robust licenses, 383 00:18:41,440 --> 00:18:42,600 then you enjoy working. 384 00:18:42,720 --> 00:18:43,880 What are the negatives? 385 00:18:43,960 --> 00:18:46,360 Sir, real estate is a perishable asset. 386 00:18:46,480 --> 00:18:48,800 So, the negative is that it can remain vacant 387 00:18:49,240 --> 00:18:51,320 so I won't earn anything, right? 388 00:18:51,400 --> 00:18:54,560 So, I have a factor. I don't launch a location at 40%. 389 00:18:54,640 --> 00:18:56,720 So, we're ruling out negative factors gradually. 390 00:18:57,360 --> 00:18:59,280 Paurav and Shamin. 391 00:18:59,360 --> 00:19:01,440 Lovely energy. 392 00:19:01,560 --> 00:19:02,760 It's an interesting space. 393 00:19:02,840 --> 00:19:04,240 I see one or two challenges. 394 00:19:04,320 --> 00:19:06,560 And my calculation tells me 395 00:19:06,640 --> 00:19:09,520 that it's ideal for those companies 396 00:19:09,640 --> 00:19:11,920 that have capital and an urgency 397 00:19:12,000 --> 00:19:14,120 as it's not cheaper. 398 00:19:14,440 --> 00:19:16,200 The second challenge is that 399 00:19:16,320 --> 00:19:19,480 on 80-85% occupancy, 400 00:19:19,640 --> 00:19:22,080 you're making around 6-7% PAT. 401 00:19:22,160 --> 00:19:23,920 Your only leverage 402 00:19:24,040 --> 00:19:26,960 is that you will take it to 100% occupancy, which is rare. 403 00:19:27,720 --> 00:19:31,320 EBITDA and PAT percentage don't give enough room 404 00:19:31,400 --> 00:19:33,480 so which is why, as an investor 405 00:19:33,600 --> 00:19:36,640 I don't see 100x potential. 406 00:19:36,720 --> 00:19:41,040 So, Rs 2 crores at your valuation seems too high. So, I'm out. 407 00:19:42,440 --> 00:19:44,760 Paurav, I feel that 408 00:19:45,080 --> 00:19:48,680 I can't tell you how happy I feel seeing you and Shamin here. 409 00:19:48,840 --> 00:19:50,920 Specifically you because I feel 410 00:19:51,000 --> 00:19:54,240 that there can't be a better ambassador than you for OYOpreneur. 411 00:19:54,880 --> 00:19:56,280 High-operational execution. 412 00:19:56,400 --> 00:19:58,000 Good understanding of numbers. 413 00:19:58,440 --> 00:20:00,960 Working hard means giving it your all. 414 00:20:01,040 --> 00:20:03,120 No matter which market it is in the world, 415 00:20:03,240 --> 00:20:05,480 you'd be glad to know that all the countries you named 416 00:20:05,600 --> 00:20:09,000 is turning Rs 500-1000 crore revenue as of today. 417 00:20:09,080 --> 00:20:10,800 You started from zero. 418 00:20:11,000 --> 00:20:12,800 So, I'm so happy to see you. 419 00:20:12,920 --> 00:20:14,480 I think there's significant value 420 00:20:14,520 --> 00:20:16,760 to building infrastructure in the food industry. 421 00:20:16,840 --> 00:20:19,400 You need help in 2-3 critical areas. 422 00:20:19,680 --> 00:20:21,240 You will need capital in this business. 423 00:20:21,800 --> 00:20:24,400 So, I can bring you real estate players 424 00:20:24,480 --> 00:20:27,160 who will give you buildings with CapEx. 425 00:20:27,240 --> 00:20:29,080 You're aware that we did the same. 426 00:20:29,240 --> 00:20:31,880 Secondly, we will be able to share our real estate with you. 427 00:20:31,960 --> 00:20:35,520 But I need more ownership to do this level of work. 428 00:20:37,280 --> 00:20:38,840 You asked for Rs 2 crores. 429 00:20:39,200 --> 00:20:41,360 At Rs 25-crore valuation, 430 00:20:41,480 --> 00:20:45,120 I proposed 2.5 crores of investment, 10 percent of it. 431 00:20:46,080 --> 00:20:46,800 Thank you. 432 00:20:46,880 --> 00:20:49,520 Definitely, your operational excellence 433 00:20:49,640 --> 00:20:51,840 ...is evident in the numbers. 434 00:20:52,120 --> 00:20:55,080 And this market seems promising. 435 00:20:55,160 --> 00:20:57,360 So, I would like to take a bet too. 436 00:20:57,600 --> 00:20:59,440 But I believe that 437 00:20:59,520 --> 00:21:02,320 Ritesh has more experience in this field. 438 00:21:02,400 --> 00:21:04,560 So, I'd like to join him in this deal. 439 00:21:14,040 --> 00:21:16,120 - Precisely. - Creating an app, 440 00:21:16,240 --> 00:21:19,160 or bringing in a lot of users, 441 00:21:19,240 --> 00:21:20,960 this is not a sexy business. 442 00:21:22,000 --> 00:21:24,200 And maybe that's why you're making profit too. 443 00:21:25,240 --> 00:21:28,400 As founders, to pick a hard business 444 00:21:28,480 --> 00:21:30,000 is not easy. 445 00:21:30,600 --> 00:21:32,520 I feel that 446 00:21:32,680 --> 00:21:34,560 you deserve to be helped. 447 00:21:34,680 --> 00:21:36,000 Thank you so much. 448 00:21:36,280 --> 00:21:37,880 I have two offers for you. 449 00:21:38,240 --> 00:21:40,600 One, Rs 2 crores at 8%. 450 00:21:40,720 --> 00:21:43,200 Or Rs 2.5 crores at 10%. 451 00:21:44,800 --> 00:21:47,000 I think you're a solid guy. 452 00:21:47,080 --> 00:21:48,960 I'm sure that you will 453 00:21:49,040 --> 00:21:52,000 make money and launch an IPO. 454 00:21:52,440 --> 00:21:53,920 But you don't need me. 455 00:21:55,720 --> 00:21:59,640 I don't think that I can help you much as a shark. 456 00:21:59,760 --> 00:22:02,320 - I know the answer to it. - [chuckling] 457 00:22:02,720 --> 00:22:04,240 What is it? Tell me. 458 00:22:04,320 --> 00:22:05,560 Apart from your time, 459 00:22:05,640 --> 00:22:07,000 advice has a thing. 460 00:22:07,120 --> 00:22:10,760 Because as mentioned, I have a range 461 00:22:10,840 --> 00:22:13,240 and I'll be able to earn that much money or EBITDA. 462 00:22:13,320 --> 00:22:16,960 What I'm doing for cloud kitchens today 463 00:22:17,040 --> 00:22:19,960 can be done for more people in the future. 464 00:22:20,080 --> 00:22:23,160 If you trust execution then, 465 00:22:23,280 --> 00:22:25,520 I'm a soldier in front of my investors. 466 00:22:25,600 --> 00:22:27,800 But again, I'm General in front of my team. 467 00:22:27,920 --> 00:22:30,080 So, I follow this policy and I know 468 00:22:30,160 --> 00:22:33,040 that if we build it, it will grow very quickly. 469 00:22:33,560 --> 00:22:34,560 So, that's my vision. 470 00:22:34,640 --> 00:22:38,120 I love associating with people like you. 471 00:22:38,240 --> 00:22:39,760 So, I'll make you an offer. 472 00:22:40,080 --> 00:22:41,960 Rs 2 crores at 10%. 473 00:22:42,040 --> 00:22:46,760 It will be a lower valuation than them. 474 00:22:46,840 --> 00:22:50,120 But I'm supporting you on ethics and morals. 475 00:22:50,240 --> 00:22:52,560 Come to me whenever you need me. 476 00:22:52,760 --> 00:22:54,800 You have all the offers now. 477 00:22:54,880 --> 00:22:57,160 Do you want to take some time to think and let us know? 478 00:22:57,240 --> 00:22:58,400 - Give us two minutes. - Yeah. 479 00:23:16,080 --> 00:23:18,680 Speed Kitchen's speed decision making. 480 00:23:18,760 --> 00:23:19,560 Very happy. 481 00:23:19,640 --> 00:23:23,040 The Jan 2023 round that I mentioned, 482 00:23:23,160 --> 00:23:25,440 the business has grown 4x ever since 483 00:23:25,520 --> 00:23:29,200 so the valuation you've offered will take me two years behind. 484 00:23:29,520 --> 00:23:31,160 My counter offer 485 00:23:31,240 --> 00:23:33,840 will be straight-forward and applicable to all. 486 00:23:34,720 --> 00:23:36,360 Rs 2 crores for 4%. 487 00:23:37,440 --> 00:23:39,360 Or Rs 2.5 crores for 5%. 488 00:23:45,080 --> 00:23:48,000 Uh, I don't want to go below Rs 2 crores at 10%. 489 00:23:48,280 --> 00:23:50,560 And I don't want to negotiate with you. 490 00:23:50,800 --> 00:23:53,160 If it's not agreeable... 491 00:23:53,240 --> 00:23:55,520 No? No discussion? 492 00:23:58,160 --> 00:24:00,600 You said that you won't negotiate. I'm willing to discuss. 493 00:24:00,680 --> 00:24:02,200 - [laughing] Good one. - No negotiation 494 00:24:02,320 --> 00:24:04,880 - on Rs 2 crores at 10%? - No. 495 00:24:05,160 --> 00:24:06,840 - I'm out. - I'll go two years behind. 496 00:24:08,200 --> 00:24:10,440 I billed a few discounts 497 00:24:10,520 --> 00:24:12,640 that one year later in your business, 498 00:24:12,720 --> 00:24:14,680 you were saying that you'll get it from ITC. 499 00:24:15,600 --> 00:24:17,400 Even if I remove that, 500 00:24:17,800 --> 00:24:20,880 still it's Rs 2.5 crores at 7.5%. 501 00:24:28,320 --> 00:24:29,920 I'll make you a revised offer. 502 00:24:31,440 --> 00:24:32,840 Rs 3 crores at 10%. 503 00:24:39,360 --> 00:24:41,800 - Okay, you decide. - We can give it too. No issues. 504 00:24:41,880 --> 00:24:43,000 Money is not a problem. 505 00:24:43,760 --> 00:24:44,960 What's your offer? 506 00:24:59,200 --> 00:25:01,920 Rs 2 crores at 6%. 507 00:25:02,120 --> 00:25:03,200 This sounds fine. 508 00:25:03,280 --> 00:25:04,560 - Rs 2 crores. - Now you three... 509 00:25:09,640 --> 00:25:11,800 If you've learnt something 510 00:25:11,880 --> 00:25:12,960 that we don't take time. 511 00:25:13,040 --> 00:25:15,200 He has decided, tell us that the deal is final. Done! 512 00:25:22,320 --> 00:25:23,360 - Sir, mid-offer. Please. - No! 513 00:25:23,360 --> 00:25:26,040 - No. - It means a lot to me. 514 00:25:26,120 --> 00:25:28,800 Rs 2 crores for 6%. Yes or no? 515 00:25:31,200 --> 00:25:32,440 Become decisive. 516 00:25:53,400 --> 00:25:56,200 Along with skillsets, their contacts, network. 517 00:25:56,320 --> 00:25:58,120 We will get that too. 518 00:25:58,200 --> 00:26:01,960 So, we feel that they will add a value to our company. 519 00:26:02,040 --> 00:26:04,200 And they will help us grow. 520 00:26:04,480 --> 00:26:07,360 Like they mentioned that we could've sped up a bit. 521 00:26:07,440 --> 00:26:09,480 So, by coming together 522 00:26:09,560 --> 00:26:12,720 our 4-5X might turn into 10X or 100X. 523 00:26:24,320 --> 00:26:26,560 [music playing] 524 00:26:30,080 --> 00:26:33,600 Welcome to Acko Changemakers where we really welcome change. 525 00:26:33,680 --> 00:26:36,960 And it's beautifully portrayed here. 526 00:26:37,040 --> 00:26:39,360 Behind me, on this Changemakers Wall. 527 00:26:42,880 --> 00:26:44,560 We are building digitally empowered, sustainable future. 528 00:26:44,600 --> 00:26:48,360 And our changemakers are Team Speed Kitchen. 529 00:26:48,560 --> 00:26:49,800 Firstly, welcome, of course. 530 00:26:49,880 --> 00:26:51,920 But congratulations on getting your cheque. 531 00:26:52,000 --> 00:26:52,760 Thank you so much. 532 00:26:52,840 --> 00:26:54,640 - How are you feeling? - Feeling good. 533 00:26:54,760 --> 00:26:56,680 I'm sure you know that during Covid, 534 00:26:56,760 --> 00:27:00,240 many cloud kitchens opened up but quickly closed down. 535 00:27:00,320 --> 00:27:03,680 Because rental, operations, they don't have an idea. 536 00:27:03,800 --> 00:27:05,560 And you're helping them. 537 00:27:05,640 --> 00:27:07,080 So thank you for doing what you do. 538 00:27:07,200 --> 00:27:07,920 Thanks. 539 00:27:07,920 --> 00:27:09,520 The service is unique. 540 00:27:09,640 --> 00:27:11,560 And this change is great. 541 00:27:11,880 --> 00:27:14,200 But obviously, it becomes an echo chamber 542 00:27:14,280 --> 00:27:16,560 where people feel that the industry is easy 543 00:27:16,680 --> 00:27:19,000 with immense opportunities. 544 00:27:19,080 --> 00:27:22,600 So, any advice to our viewers who want to get into this industry? 545 00:27:22,680 --> 00:27:25,480 Points to keep in mind before doing so. 546 00:27:25,560 --> 00:27:28,000 Market research is a must for any brand. 547 00:27:28,080 --> 00:27:31,640 For those who wish to enter this field. And focus on execution. 548 00:27:31,720 --> 00:27:34,040 Great advice. Thank you. I hope it brings a change. 549 00:27:34,120 --> 00:27:36,200 - For people who want to get into this industry. - Sure. 550 00:27:36,200 --> 00:27:39,640 And Acko is also bringing change with its revolutionary offering 551 00:27:39,720 --> 00:27:41,600 in the insurance space. 552 00:27:41,680 --> 00:27:44,920 Only buy a car from the showroom. 553 00:27:45,040 --> 00:27:47,200 Don't be pressurized to buy a car insurance from there. 554 00:27:47,280 --> 00:27:50,920 You didn't know that you don't need to buy a car insurance from them. 555 00:27:51,160 --> 00:27:53,320 You can buy a new car insurance directly from Acko 556 00:27:53,400 --> 00:27:55,840 and save up to Rs 36,000. 557 00:27:56,320 --> 00:27:59,080 Guys, to celebrate you and your time in the Tank, 558 00:27:59,160 --> 00:28:02,120 we have a memento on behalf of Acko and Shark Tank. 559 00:28:02,200 --> 00:28:03,200 Thank you so much. 560 00:28:03,240 --> 00:28:04,600 Congratulations! 561 00:28:04,680 --> 00:28:06,040 Thank you. 562 00:28:07,080 --> 00:28:08,760 [music playing] 563 00:28:08,880 --> 00:28:09,880 Oh! 564 00:28:11,960 --> 00:28:13,120 Unexpected. 565 00:28:14,280 --> 00:28:16,320 [music playing] 566 00:28:22,680 --> 00:28:23,680 Wow! 567 00:28:27,440 --> 00:28:29,400 [music playing] 568 00:28:32,280 --> 00:28:33,320 Whoa! 569 00:28:38,040 --> 00:28:40,440 [music playing] 570 00:28:49,240 --> 00:28:50,320 Whoa! 571 00:29:00,120 --> 00:29:02,200 [music playing] 572 00:29:07,680 --> 00:29:09,840 - Wow! Are you the founder? - Amazing. 573 00:29:10,160 --> 00:29:11,160 Unbelievable. 574 00:29:11,240 --> 00:29:13,520 Greetings, Sharks. I'm Sanjit Suhag. 575 00:29:13,600 --> 00:29:15,120 And I'm Anjit Suhag. 576 00:29:17,800 --> 00:29:19,480 - Oh! - What you just saw 577 00:29:19,560 --> 00:29:21,960 was the excellence of Mudgar. 578 00:29:22,600 --> 00:29:26,040 Mudgar is the world's original workout tool. 579 00:29:57,160 --> 00:30:00,760 ...core strength, and breathing. 580 00:30:00,840 --> 00:30:02,480 It has so many benefits 581 00:30:02,560 --> 00:30:05,120 and despite being a part of our culture, 582 00:30:05,200 --> 00:30:06,960 we have forgotten it. 583 00:30:07,040 --> 00:30:10,840 But today, we're on a mission to bring back this Mudgar. 584 00:30:10,960 --> 00:30:13,160 Presenting Mudgar Club. 585 00:30:13,480 --> 00:30:15,520 We not only manufacture Mudgar 586 00:30:15,600 --> 00:30:18,200 but also teach how to use it. 587 00:30:42,640 --> 00:30:44,560 Similarly, we want to make Mudgar 588 00:30:44,640 --> 00:30:46,960 a part of modern lifestyle. 589 00:30:47,040 --> 00:30:51,360 We're asking for Rs 50 lakhs for 10% equity. 590 00:30:51,600 --> 00:30:55,160 So, Sharks, do you want to take Mudgar to every home? 591 00:30:55,880 --> 00:30:57,960 - Greetings, Suhag brothers. - Greetings. 592 00:30:58,200 --> 00:31:02,440 You are here to make the world strong. 593 00:31:02,520 --> 00:31:04,160 So, I'd like to understand 594 00:31:04,240 --> 00:31:05,640 how you guys 595 00:31:05,720 --> 00:31:10,200 got motivated to promote Mudgar. What's your story? 596 00:31:10,280 --> 00:31:13,720 I studied in Haryana. I did my 12th there. 597 00:31:13,800 --> 00:31:16,200 Because of poor financial condition, 598 00:31:16,280 --> 00:31:19,120 I had to move to Delhi after my 12th. 599 00:31:19,240 --> 00:31:21,760 And I did an internship there. 600 00:31:21,840 --> 00:31:23,600 I started running 601 00:31:23,680 --> 00:31:25,320 and yoga too. 602 00:31:25,400 --> 00:31:28,040 From basics, I moved to 603 00:31:28,120 --> 00:31:29,960 Mysore style Ashtanga 604 00:31:30,040 --> 00:31:31,520 and started practising it. 605 00:31:31,640 --> 00:31:33,320 I quit that job 606 00:31:33,400 --> 00:31:37,840 and started working as a freelancer yoga teacher. 607 00:31:42,600 --> 00:31:44,320 It piqued my interest. 608 00:31:44,400 --> 00:31:47,000 And that was the start of my Mudgar journey. 609 00:31:47,440 --> 00:31:49,000 Which year was it? 610 00:31:49,120 --> 00:31:50,240 2023. 611 00:31:50,320 --> 00:31:53,960 By December, we started selling it. 612 00:31:54,040 --> 00:31:56,960 - What's your story? - I've passed 10th. 613 00:31:57,080 --> 00:32:00,560 As my brother mentioned, our financial condition was bad. 614 00:32:00,640 --> 00:32:04,720 So, I quit education and started working. 615 00:32:04,800 --> 00:32:07,520 In 2023, I received a call in November. 616 00:32:07,600 --> 00:32:09,440 And he said that he's starting this. 617 00:32:09,560 --> 00:32:10,920 So, he asked me to come and take a look. 618 00:32:10,920 --> 00:32:12,280 I went to Dehradun 619 00:32:12,360 --> 00:32:14,680 and got into manufacturing. 620 00:32:14,800 --> 00:32:17,600 I started enjoying it. 621 00:32:17,680 --> 00:32:19,520 So, leadership... 622 00:32:19,600 --> 00:32:23,560 In Haryana, leadership is a totally different craze. 623 00:32:24,320 --> 00:32:25,520 Shall we try it? 624 00:32:25,600 --> 00:32:26,760 I'll bring it. 625 00:32:27,960 --> 00:32:30,200 Oh, god! Will we be able to lift it? 626 00:32:30,600 --> 00:32:32,240 Absolutely. This is the lightest. 627 00:32:34,080 --> 00:32:35,200 Thank you. 628 00:32:35,440 --> 00:32:38,080 Praise be to Sultan! Smash it! 629 00:32:40,720 --> 00:32:43,200 Train us like you would train your users. 630 00:32:43,280 --> 00:32:43,800 Sure. 631 00:32:43,840 --> 00:32:45,720 You have five students. Teach us. 632 00:32:45,800 --> 00:32:47,000 Come on, Sultan. 633 00:32:47,200 --> 00:32:49,560 The first movement that I teach 634 00:32:49,640 --> 00:32:52,720 is called front lower 360. 635 00:32:52,880 --> 00:32:54,720 If your left hand is below 636 00:32:54,800 --> 00:32:57,320 then we will make a basic circle, 637 00:32:57,400 --> 00:32:58,920 drop it on the left, 638 00:32:59,000 --> 00:33:02,520 and complete the circle by moving to the right. 639 00:33:04,080 --> 00:33:06,560 So, left to right. 640 00:33:06,640 --> 00:33:08,440 Back to the starting position. 641 00:33:11,160 --> 00:33:12,320 The second movement. 642 00:33:12,440 --> 00:33:14,280 Drop it behind the left shoulder 643 00:33:14,400 --> 00:33:16,840 and draw it from the right shoulder. 644 00:33:17,720 --> 00:33:19,240 Back to the starting position. 645 00:33:19,320 --> 00:33:20,320 - Left. - Oh! 646 00:33:20,360 --> 00:33:21,680 To right. 647 00:33:21,760 --> 00:33:22,880 It's paining. 648 00:33:23,320 --> 00:33:24,480 - To right. - [laughs] 649 00:33:24,560 --> 00:33:26,920 You must've all lifted 650 00:33:27,000 --> 00:33:29,200 5kg dumbbells. 651 00:33:29,280 --> 00:33:31,000 This is a Persian Meel. 652 00:33:31,080 --> 00:33:33,440 But it's not possible to lift these. 653 00:33:33,520 --> 00:33:34,640 - What are you saying? - They're 5 kg. 654 00:33:34,680 --> 00:33:36,800 So, how is it lifted? 655 00:33:37,760 --> 00:33:40,040 We place both the Persian Meel. 656 00:33:40,360 --> 00:33:41,680 We will hold it 657 00:33:41,760 --> 00:33:44,600 Swing it a bit. 658 00:33:44,720 --> 00:33:48,440 Then lift it and hold. 659 00:33:48,640 --> 00:33:51,160 - Don't try it. Looks tough. - Very easy. 660 00:33:54,680 --> 00:33:57,760 - Swing, left. Yeah! - Oh, damn! 661 00:33:58,320 --> 00:34:00,600 Swing, and then lift. 662 00:34:01,640 --> 00:34:03,600 - Woah! - Save. 663 00:34:07,000 --> 00:34:07,920 Oh! 664 00:34:08,040 --> 00:34:09,080 Look at him! 665 00:34:09,160 --> 00:34:11,040 - Brother! - Let's have a match. 666 00:34:11,120 --> 00:34:12,120 Not bad. 667 00:34:12,200 --> 00:34:13,400 What's this? 668 00:34:13,560 --> 00:34:15,480 This is from Iran. 669 00:34:15,600 --> 00:34:17,040 Whenever they want to do a pushup, 670 00:34:17,120 --> 00:34:19,520 they used this board. 671 00:34:19,600 --> 00:34:20,440 - Awesome. - And this? 672 00:34:20,520 --> 00:34:22,280 This is from India. 673 00:34:22,360 --> 00:34:24,240 - This is called a Samtola. - Okay. 674 00:34:24,320 --> 00:34:27,440 So, it's mainly for the lower body. 675 00:34:27,640 --> 00:34:29,960 My point is that when there are gyms, 676 00:34:30,240 --> 00:34:33,480 why should we workout with Mudgar? 677 00:35:13,000 --> 00:35:15,280 We feel that it's for them. 678 00:35:15,360 --> 00:35:17,000 Not for common people. 679 00:35:17,080 --> 00:35:20,600 Nobody told us that it's not for wrestling arena alone. 680 00:35:20,680 --> 00:35:22,680 It's meant for everyone. 681 00:35:22,760 --> 00:35:26,160 Is it a bigger issue that there are not people to teach? 682 00:35:26,240 --> 00:35:28,240 Because trainers don't know. 683 00:35:28,320 --> 00:35:31,560 Mudgar trainer as a career doesn't exist. 684 00:35:32,040 --> 00:35:34,920 Tell me something. Why does it need to be made of wood? 685 00:35:35,000 --> 00:35:37,760 Because these traveling sticks 686 00:35:37,840 --> 00:35:40,400 - are found in gyms. People use it. - Yes, barbells. 687 00:35:44,440 --> 00:35:47,360 One, even if this starts trending in gyms, 688 00:35:47,440 --> 00:35:49,400 - that 3D movements are important. - Right. 689 00:35:49,480 --> 00:35:51,200 So, why aren't there rods in the gym? 690 00:35:51,320 --> 00:35:53,680 Second, why wood and not metal? 691 00:35:53,760 --> 00:35:55,680 If you've done a pull-up, 692 00:35:55,760 --> 00:35:58,800 or if you've worked out in gym, your hands develop calluses. 693 00:35:58,920 --> 00:36:02,600 But if you work out for an hour with this Mudgar, 694 00:36:02,680 --> 00:36:04,600 your hand will remain soft. 695 00:36:04,680 --> 00:36:07,320 We are not against gyms. 696 00:36:07,440 --> 00:36:10,440 So, we want to place mudgars inside gyms, as well. 697 00:36:10,520 --> 00:36:11,760 But why don't you upload it on YouTube? 698 00:36:11,800 --> 00:36:14,840 We've not used YouTube yet. 699 00:36:14,920 --> 00:36:17,520 - We have some videos on Instagram. - Show your Instagram account. 700 00:36:18,240 --> 00:36:21,000 The middle video has been viewed a lot. 701 00:36:21,080 --> 00:36:22,160 Play it. 702 00:36:26,000 --> 00:36:27,120 How many views does it have? 703 00:36:27,200 --> 00:36:28,560 It has 17,000 likes 704 00:36:28,640 --> 00:36:31,160 and around 5 lakh views. 705 00:36:31,280 --> 00:36:32,840 When I started, 706 00:36:33,000 --> 00:36:36,080 95 per cent of it was a male community. 707 00:36:36,160 --> 00:36:38,360 - Only 5 per cent were females. - We can see both here. 708 00:36:38,440 --> 00:36:40,720 What's the situation now? 709 00:36:40,800 --> 00:36:44,080 There are 70 per cent females and 30 per cent males. 710 00:36:44,200 --> 00:36:46,120 How many orders do you get via your social media? 711 00:36:46,200 --> 00:36:49,360 All our orders come from social media. 712 00:36:55,000 --> 00:36:58,360 What has been your sale for the last 11 to 12 months? 713 00:36:58,760 --> 00:37:02,960 We sold around 5000 mudgars within a year. 714 00:37:03,040 --> 00:37:04,240 How much does one mudgar cost? 715 00:37:04,280 --> 00:37:06,600 A 5 kg mudgar is for Rs 4,000. 716 00:37:06,720 --> 00:37:09,720 We increased the price three months ago. 717 00:37:09,800 --> 00:37:12,600 Before that, a 5 kg mudgar would cost Rs 3,000. 718 00:37:19,600 --> 00:37:23,800 Before that, it was around 15 to 18 lakh. 719 00:37:28,680 --> 00:37:30,440 Gradually, we're shifting 720 00:37:30,520 --> 00:37:32,360 to selling more products. 721 00:37:32,480 --> 00:37:34,880 How much was it contributing to those 15 lakh? 722 00:37:34,960 --> 00:37:35,800 50-50. 723 00:37:35,880 --> 00:37:39,320 Our service and products are equal right now, as well. 724 00:37:39,440 --> 00:37:41,120 Then, didn't both of them decrease? 725 00:37:41,240 --> 00:37:43,880 I had 25 employees. 726 00:37:44,000 --> 00:37:46,200 I decreased them to five 727 00:37:46,280 --> 00:37:50,360 as I wanted to convert this to a pre-recorded course. 728 00:37:50,440 --> 00:37:52,440 That's why I reduced my team 729 00:37:52,520 --> 00:37:53,720 and increased my profit. 730 00:37:53,800 --> 00:37:55,120 What was your marketing budget before? 731 00:37:55,120 --> 00:37:56,560 It used to be around 4 to 5 lakh. 732 00:37:56,640 --> 00:37:58,040 How much is this 5 lakh now? 733 00:38:04,760 --> 00:38:08,680 We've earned a 30 per cent profit in these three months. 734 00:38:08,800 --> 00:38:11,960 What was the profit and loss before three months? 735 00:38:12,040 --> 00:38:13,360 We were breaking even. 736 00:38:13,480 --> 00:38:15,880 So, are you earning 3 lakh per month now? 737 00:38:16,000 --> 00:38:16,800 Yes. 738 00:38:16,880 --> 00:38:17,960 We use that to pay salaries. 739 00:38:18,000 --> 00:38:20,120 Okay. How much cash is there in your bank right now? 740 00:38:20,200 --> 00:38:21,320 We have 2 lakh right now. 741 00:38:22,560 --> 00:38:24,840 How much time does manufacturing take? 742 00:38:24,920 --> 00:38:26,720 How much margin is there only in the product? 743 00:38:26,800 --> 00:38:30,120 Let's take, for instance, one 5 kg mudgar. 744 00:38:30,240 --> 00:38:35,360 We get a 2.5 feet log from a tree. 745 00:38:35,520 --> 00:38:37,560 We have two options now. 746 00:39:02,760 --> 00:39:05,120 How much does it cost to make it? 747 00:39:05,200 --> 00:39:08,920 We pay Rs 2000 for manufacturing and shipping. 748 00:39:12,400 --> 00:39:15,680 We manufacture mudgars of 3 kg to 10 kg. 749 00:39:21,320 --> 00:39:23,880 Everything is natural. 750 00:39:29,960 --> 00:39:31,880 That is also why 751 00:39:31,960 --> 00:39:33,280 we started writing names. 752 00:39:33,360 --> 00:39:35,720 We are trying to make a product 753 00:39:35,800 --> 00:39:39,880 that stays for years together, 754 00:39:40,000 --> 00:39:41,840 so even your children will know it is your mudgar. 755 00:39:41,880 --> 00:39:44,640 After some decades, their children will say, 756 00:39:44,720 --> 00:39:46,520 'That is my grandfather's mudgar.' 757 00:39:46,640 --> 00:39:49,800 So, it is sustainable and has a prolonged usage. 758 00:39:49,880 --> 00:39:50,920 Exactly! 759 00:39:51,040 --> 00:39:54,680 In which channel do you invest the most for your marketing? 760 00:39:55,000 --> 00:39:56,840 Our primary marketing channel is Meta, 761 00:39:56,960 --> 00:39:58,000 especially Instagram. 762 00:39:58,080 --> 00:40:00,440 Does a particular age group buy this more than the others? 763 00:40:00,520 --> 00:40:02,440 Yes, 30 to 40 years. 764 00:40:02,520 --> 00:40:04,960 What will you use your funding for? 765 00:40:05,040 --> 00:40:06,320 Inventory building. 766 00:40:06,440 --> 00:40:07,880 As I told you before, 767 00:40:07,960 --> 00:40:10,840 we have to dry a log for six months. 768 00:40:11,080 --> 00:40:12,840 We've never taken funding 769 00:40:12,920 --> 00:40:15,040 or investment till now. 770 00:40:15,160 --> 00:40:18,800 We started this venture with the 50,000 we had in our accounts. 771 00:40:18,880 --> 00:40:23,240 So, we will build an inventory and invest more in wood. 772 00:40:23,800 --> 00:40:26,360 Okay. Thank you for telling us about mudgars. 773 00:40:26,440 --> 00:40:29,960 I don't know whether people 774 00:40:30,080 --> 00:40:34,120 will accept and use it like an everyday product. 775 00:40:36,200 --> 00:40:38,440 It might be of use, but not now. 776 00:40:38,520 --> 00:40:42,200 That is why I am doubtful right now. Hence, I am out. 777 00:40:42,920 --> 00:40:46,240 Your sense of purpose 778 00:40:46,320 --> 00:40:48,640 and commitment to the cause 779 00:40:48,760 --> 00:40:51,320 of taking mudgars to every household, as you've written on it... 780 00:40:51,400 --> 00:40:53,680 - Hashtag every house will have mudgar. - Yes. 781 00:40:53,760 --> 00:40:56,520 So, it has become a purpose of your life. 782 00:40:56,600 --> 00:40:58,440 It is incredible. 783 00:40:58,520 --> 00:41:01,760 But as of now, it's too early. 784 00:41:02,120 --> 00:41:04,960 Looking at your numbers, 785 00:41:05,040 --> 00:41:08,280 you're not even selling 100-150 mudgars per month. 786 00:41:09,520 --> 00:41:12,560 - So, it's hard to bet on it. - Right. - That's why I'm out. 787 00:41:13,080 --> 00:41:14,400 - Thank you. - Thank you. 788 00:41:14,480 --> 00:41:15,920 I've seen this many times. 789 00:41:16,000 --> 00:41:19,680 Most historic things go out of trend 790 00:41:19,760 --> 00:41:23,320 - when the value they add to our lives decreases. - Yes. 791 00:41:23,400 --> 00:41:25,720 Many times, after a couple of decades, 792 00:41:25,800 --> 00:41:29,240 - we try to build it out of nostalgia. - Right. 793 00:41:29,360 --> 00:41:30,840 But the reality is 794 00:41:30,960 --> 00:41:34,600 that it went out because it is not required. 795 00:41:35,040 --> 00:41:38,720 It would never go out of trend if it were valuable enough. 796 00:41:38,840 --> 00:41:41,880 So, I don't see a possible business here 797 00:41:41,960 --> 00:41:43,440 as it might not be in demand. 798 00:41:44,680 --> 00:41:47,280 That is why I want to be out. 799 00:41:48,760 --> 00:41:51,120 This business seems early to me. 800 00:41:51,840 --> 00:41:55,520 Mudgars will return to our minds 801 00:41:55,600 --> 00:41:59,480 - because they came to Shark Tank. - Right. 802 00:41:59,560 --> 00:42:02,080 That will be your greatest service. 803 00:42:02,200 --> 00:42:03,960 I am out today, but I wish you all the best. 804 00:42:04,080 --> 00:42:05,480 - Thank you. - Thank you. 805 00:42:06,000 --> 00:42:09,480 You don't have any professional experience. 806 00:42:09,760 --> 00:42:12,360 Despite that, you've proved that 807 00:42:12,440 --> 00:42:15,640 this business has early signs of community building 808 00:42:15,720 --> 00:42:19,440 and generated a profit of 3 lakh from revenue of 10 lakh. 809 00:42:19,760 --> 00:42:22,960 I give you credit for that. 810 00:42:23,040 --> 00:42:24,120 Thank you. 811 00:42:24,640 --> 00:42:26,600 But your business has some challenges. 812 00:42:27,200 --> 00:42:29,840 If you want to build this community, 813 00:42:29,920 --> 00:42:31,800 - you need to hire trainers. - Right. 814 00:42:31,920 --> 00:42:33,560 You have to build a community. 815 00:42:33,680 --> 00:42:35,320 - You have to form a brand. - Right. 816 00:42:35,400 --> 00:42:39,440 So, realistically, this business has a long way to go. 817 00:42:39,520 --> 00:42:42,960 It is not a short-term business effort. 818 00:42:44,800 --> 00:42:48,880 But this business can become a movement. 819 00:42:49,000 --> 00:42:49,920 Absolutely! 820 00:42:50,000 --> 00:42:54,520 If I don't support such a business at this early stage, 821 00:42:54,640 --> 00:42:56,960 it will go against my thesis. 822 00:42:57,040 --> 00:42:59,240 - So, I want to support you. - Thank you. 823 00:43:02,120 --> 00:43:06,040 My offer is this. I will invest Rs 50 lakh in your company 824 00:43:06,640 --> 00:43:08,280 for 12.5 per cent equity. 825 00:43:16,440 --> 00:43:19,000 Your business will have some ups and downs. 826 00:43:19,080 --> 00:43:20,800 I will support you with it. 827 00:43:20,960 --> 00:43:24,600 Of course! I will try to use most of your products. 828 00:43:24,720 --> 00:43:26,080 - Yeah, definitely. - My best wishes are with you. 829 00:43:26,120 --> 00:43:29,200 You have this offer from me. You can decide. 830 00:43:29,280 --> 00:43:30,760 Amazing! Congratulations! 831 00:43:34,480 --> 00:43:35,920 Ritesh, the deal is final. 832 00:43:44,800 --> 00:43:46,280 [camera shutter clicking] 833 00:43:46,800 --> 00:43:48,520 Best of luck. 834 00:43:48,600 --> 00:43:50,480 - All the best best. - Thank you. - Thank you. 835 00:43:51,240 --> 00:43:54,040 [theme music playing] 836 00:43:58,400 --> 00:44:01,840 My perspective is that these people marketed 837 00:44:01,920 --> 00:44:04,200 this product on social media in one year 838 00:44:04,280 --> 00:44:06,640 and got hundreds of people to utilise it 839 00:44:06,760 --> 00:44:08,440 as an entirely new experience. 840 00:44:09,080 --> 00:44:11,680 It may be nostalgia or an experience. 841 00:44:12,120 --> 00:44:15,440 You can make a business return in nostalgia by selling 100 people. 842 00:44:15,520 --> 00:44:17,080 But their worst case 843 00:44:17,160 --> 00:44:19,160 is not so bad, so I hope 844 00:44:19,240 --> 00:44:22,360 the better case, where it becomes a movement, can be disproportionate. 845 00:44:22,440 --> 00:44:26,760 I feel you need not think that far in an investment like this. 846 00:44:26,840 --> 00:44:30,440 I believe they're doing a good job. The founders are promising. 847 00:44:30,520 --> 00:44:32,560 - Their product's quality is amazing. - Yeah. 848 00:44:32,640 --> 00:44:34,840 They need support. 849 00:44:34,920 --> 00:44:38,040 It's great that someone is supporting them on this stage. 850 00:44:38,360 --> 00:44:39,360 - Absolutely! - Good job. 851 00:44:39,440 --> 00:44:41,200 - Super awesome, Ritesh! - Thank you. 852 00:44:41,280 --> 00:44:43,880 Mudgar Club, welcome to the PokerBaazi Zone 853 00:44:43,960 --> 00:44:45,520 where you hold the cards. 854 00:45:13,480 --> 00:45:14,920 Business has phases, too. 855 00:45:15,000 --> 00:45:17,160 - You start with the introductory phase. - Yes. 856 00:45:17,240 --> 00:45:19,320 Then, your sales go up and growth increases. 857 00:45:19,440 --> 00:45:21,600 - Then, you sustain, and it leads to maturity. - Right. 858 00:45:21,720 --> 00:45:24,320 I've heard you have a story 859 00:45:24,400 --> 00:45:26,440 of a phase you want to tell us. 860 00:45:26,560 --> 00:45:30,400 Yes. I want to tell you a story about our introductory phase. 861 00:45:30,480 --> 00:45:32,320 When we started, 862 00:45:32,440 --> 00:45:34,480 many people questioned 863 00:45:34,560 --> 00:45:38,080 - how a woman could touch God Hanuman's mace. - Oh! 864 00:45:38,160 --> 00:45:40,000 Then, 865 00:45:40,080 --> 00:45:43,400 we developed a marketing strategy to inform people 866 00:45:43,480 --> 00:45:46,200 that this practice was related to health 867 00:45:46,280 --> 00:45:48,720 and had no connection with gender. 868 00:45:48,840 --> 00:45:52,840 So, today, 70 per cent of women practice with us, 869 00:46:16,960 --> 00:46:19,080 The entire prize pool 870 00:46:19,160 --> 00:46:20,720 is 100 crores. 871 00:46:20,800 --> 00:46:23,480 I hope you use this and enjoy it. 872 00:46:23,560 --> 00:46:24,920 [camera shutter clicking] 873 00:46:26,080 --> 00:46:28,920 Download the PokerBaazi app. Make your winning hand. 874 00:46:29,040 --> 00:46:31,960 'Shark Tank India, co-presented by Acko Insurance, 875 00:46:32,040 --> 00:46:34,120 'PokerBaazi and Swiggy Instamart,' 876 00:46:34,200 --> 00:46:36,880 'co-powered by Adani and Jaquar Bath and Lights,' 877 00:46:36,960 --> 00:46:39,920 'and partners Rayzon Solar, ICICI Direct,' 878 00:46:40,040 --> 00:46:41,720 'Lenskart and Sofy.' 879 00:46:46,280 --> 00:46:49,120 [theme music playing] 880 00:47:05,520 --> 00:47:09,280 You must've heard that kids learn a lot while playing. 881 00:47:09,480 --> 00:47:11,960 We raise slogans about being vocal for locals. 882 00:47:12,040 --> 00:47:14,160 But even today, the toys we get in India 883 00:47:14,280 --> 00:47:16,800 talk about the world but not about India. 884 00:47:16,880 --> 00:47:21,160 So we thought of doing something unique and fun. 885 00:47:21,440 --> 00:47:23,800 Vineeta, the tray you have 886 00:47:23,880 --> 00:47:28,920 can send kids to Chandrayaan using Vikram Sarabhai's rocket. 887 00:47:38,880 --> 00:47:41,920 Ritesh, if you want to draw Warli, Madhubani, 888 00:47:42,000 --> 00:47:44,280 and Lippan art in a mess-free way, 889 00:47:44,400 --> 00:47:46,120 you can use these pens. 890 00:47:48,320 --> 00:47:51,000 Kunal, you can join these magnetic pieces 891 00:47:51,080 --> 00:47:53,760 and go to Lanka from Ayodhya. 892 00:47:53,840 --> 00:47:57,680 Aman, look at it through Mr India's red lens 893 00:47:57,840 --> 00:47:59,600 and you will see how Maratha soldiers 894 00:47:59,680 --> 00:48:02,080 climbed massive forts. 895 00:48:02,160 --> 00:48:06,600 These toys are a combination of History, Geography and culture. 896 00:48:06,680 --> 00:48:10,520 Kids won't realise how much they learned while playing. 897 00:48:10,680 --> 00:48:13,040 So, Sharks, welcome to Play with Imagimake. 898 00:48:14,640 --> 00:48:17,240 - Namaste! My name is Ravi. - I am Disha. 899 00:48:34,040 --> 00:48:35,960 Take quilling, for instance. 900 00:48:42,600 --> 00:48:45,320 ...kids come up with endless questions. 901 00:48:45,440 --> 00:48:48,280 Making the entire ocean together 902 00:48:48,400 --> 00:48:51,840 enhances their compassion and collaborative spirit. 903 00:48:51,920 --> 00:48:54,080 That is how we Imagimake! 904 00:48:54,200 --> 00:48:57,960 It means we hand over your imagination in your own hands. 905 00:48:58,960 --> 00:49:01,320 Since we started in 2014, 906 00:49:01,440 --> 00:49:02,720 we've sold more than 907 00:49:02,800 --> 00:49:05,240 - 1 lakh products to households every month. - Wow! 908 00:49:05,640 --> 00:49:07,400 Apart from online channels, 909 00:49:07,520 --> 00:49:10,240 we're available in more than 4000 offline stores. 910 00:49:13,920 --> 00:49:15,280 ...and compassion 911 00:49:15,360 --> 00:49:17,240 worldwide through our innovative toys and games. 912 00:49:17,320 --> 00:49:19,320 Sharks, we ask 913 00:49:19,400 --> 00:49:22,320 - for Rs 1.5 crore for 0.5 per cent equity today. - Oh! 914 00:49:27,520 --> 00:49:29,040 300 crores! 915 00:49:29,800 --> 00:49:33,600 Ravi and Disha, welcome to Shark Tank season 4. 916 00:49:33,680 --> 00:49:34,520 - Thank you. - Thank you. 917 00:49:34,600 --> 00:49:36,120 I have to tell you. 918 00:49:36,200 --> 00:49:39,320 I've played with several of your products. 919 00:49:39,400 --> 00:49:41,880 I have two to three of your Mapology kits. 920 00:49:41,960 --> 00:49:43,400 - Thank you. - I love the product. 921 00:49:43,480 --> 00:49:46,040 I also have this quilling kit. 922 00:49:46,160 --> 00:49:49,520 I was placing a new battery in it two days ago using a knife. 923 00:49:49,640 --> 00:49:52,560 My boys love quilling. 924 00:49:52,640 --> 00:49:56,280 How much would you rate them out of ten as a consumer? 925 00:49:56,360 --> 00:49:59,280 The products would be around ten. 926 00:49:59,400 --> 00:50:01,160 - Amazing! - They're very engaging. 927 00:50:01,240 --> 00:50:04,120 You need to use an app for a few of their products. 928 00:50:04,200 --> 00:50:05,160 My problem is that 929 00:50:05,240 --> 00:50:07,800 they don't get downloaded and work well. 930 00:50:08,320 --> 00:50:10,440 If you check our overall product portfolio, 931 00:50:10,520 --> 00:50:12,000 only one of our products needs an app. 932 00:50:12,080 --> 00:50:15,040 It's not a significant part of our portfolio. 933 00:50:15,120 --> 00:50:17,400 Okay. Let's talk about business now. 934 00:50:17,520 --> 00:50:18,680 When did you start it? 935 00:50:18,760 --> 00:50:21,880 We started the Imagimake activity centre in 2012. 936 00:50:21,960 --> 00:50:23,240 Its concept was 937 00:50:23,320 --> 00:50:26,880 that kids could come there and get involved in creative ideas. 938 00:50:26,960 --> 00:50:28,480 At the same time, it was a retail space. 939 00:50:28,520 --> 00:50:31,880 We used to deal with toys and craft supplies there. 940 00:51:08,080 --> 00:51:12,360 We saw good growth on platforms like Amazon and Flipkart. 941 00:51:12,840 --> 00:51:14,760 Since then, 942 00:51:14,840 --> 00:51:16,480 we have only focused on 943 00:51:16,600 --> 00:51:18,360 expanding our product portfolio, 944 00:51:18,440 --> 00:51:20,240 increasing distribution, 945 00:51:20,320 --> 00:51:22,240 and reaching more countries. 946 00:51:22,320 --> 00:51:23,480 Countries? 947 00:51:23,680 --> 00:51:24,840 - Countries? - Yes, countries. 948 00:51:33,320 --> 00:51:35,800 - We have arranged a demo for you. If we have your permission... - Yes. 949 00:51:35,840 --> 00:51:37,200 - Please. - Why not? 950 00:51:37,280 --> 00:51:40,680 - Aman, if you have time, Disha can give a demo. - Sure. 951 00:51:40,880 --> 00:51:43,480 All right. Thank you very much for volunteering. 952 00:51:48,880 --> 00:51:51,240 Can do this. - Fish is a little related to boats and sharks. 953 00:51:51,320 --> 00:51:53,000 - Sure, that is why. - I'll do it. 954 00:51:53,200 --> 00:51:55,760 There is glue here, as you can see. 955 00:51:55,840 --> 00:51:58,400 Which colour fish do you want to make? 956 00:52:00,600 --> 00:52:01,600 Okay. 957 00:52:03,960 --> 00:52:05,800 Please press this button. 958 00:52:06,400 --> 00:52:08,520 Our coil is in the making. 959 00:52:10,240 --> 00:52:12,720 Fine. Stop! Excellent! Okay. 960 00:52:12,800 --> 00:52:14,280 Which alphabet is this? 961 00:52:14,720 --> 00:52:15,560 [laughing] 962 00:52:15,720 --> 00:52:17,600 You see, madam. Listen. 963 00:52:18,600 --> 00:52:20,320 I have volunteered to make this. 964 00:52:20,400 --> 00:52:23,000 - It doesn't mean you ask me this. - He only knows four alphabets. 965 00:52:23,200 --> 00:52:26,160 Okay. There's B here. 966 00:52:26,240 --> 00:52:28,840 Let's pick it from here and put it in B. 967 00:52:29,320 --> 00:52:30,840 Perfect! Excellent! 968 00:52:30,960 --> 00:52:33,120 We'll stick it like this. 969 00:52:34,080 --> 00:52:35,920 We have to give it a shape now. 970 00:52:36,000 --> 00:52:37,320 Something like this one. 971 00:52:37,400 --> 00:52:39,680 We will pinch it. One, 972 00:52:41,200 --> 00:52:42,480 and two. 973 00:52:43,960 --> 00:52:47,200 Perfect! You can stick it here now. Okay. 974 00:52:47,840 --> 00:52:49,840 Perfect, and one more. 975 00:52:51,960 --> 00:52:54,200 Now, that's the world's greatest boatman 976 00:52:54,280 --> 00:52:55,640 making the world's best fish. 977 00:52:55,720 --> 00:52:56,600 Oh! 978 00:52:56,720 --> 00:52:59,320 You wanted me here just for that. 979 00:52:59,400 --> 00:53:01,240 [laughing] 980 00:53:01,400 --> 00:53:02,720 Not bad. 981 00:53:03,000 --> 00:53:04,320 - May I? - Please. 982 00:53:04,600 --> 00:53:06,720 Sir, that is our patented tool. 983 00:53:06,840 --> 00:53:10,120 It gives children a hands-free and mess-free quilling experience. 984 00:53:15,880 --> 00:53:18,160 So, we address different purchase prompts, 985 00:53:18,240 --> 00:53:20,920 starting from Rs 199, it goes up to Rs 2000. 986 00:53:21,040 --> 00:53:23,360 What is your bestseller product? 987 00:53:23,440 --> 00:53:25,080 Sir, we have an India map puzzle. 988 00:53:25,160 --> 00:53:28,000 - Can you show it to us so we'll understand? - Sure. 989 00:53:31,120 --> 00:53:32,920 Aman, we have Spin and pop kit for you. 990 00:53:33,040 --> 00:53:35,120 - It's an automated bracelet maker. - Okay. 991 00:53:35,240 --> 00:53:36,240 Thank you. 992 00:53:39,880 --> 00:53:42,880 He is holding the World map puzzle. 993 00:53:42,960 --> 00:53:44,320 In that kit, you can see 994 00:53:44,400 --> 00:53:48,600 puzzle pieces of all the countries in the world. 995 00:53:48,720 --> 00:53:50,800 While playing with our India map puzzle, 996 00:53:50,920 --> 00:53:54,440 the kids place the Indian map together like a puzzle. 997 00:53:54,520 --> 00:53:56,320 They learn a lot from it. 998 00:53:56,400 --> 00:53:59,520 Which state is in the East? Which one's in the West? 999 00:53:59,640 --> 00:54:02,160 Which state is bigger? Which one is small? 1000 00:54:02,280 --> 00:54:05,280 The upgraded version you're seeing here 1001 00:54:05,360 --> 00:54:07,680 also has flashcards. 1002 00:54:07,760 --> 00:54:11,000 Your tray had Madhya Pradesh's flashcard. 1003 00:54:11,080 --> 00:54:13,840 You scratched it 1004 00:54:13,960 --> 00:54:16,840 and read about tigers in the Kanha national park. 1005 00:54:16,920 --> 00:54:20,960 Similarly, kids can learn a lot through these flashcards. 1006 00:54:21,240 --> 00:54:22,400 Raavan is kidnapping Sita here. Right? 1007 00:54:22,440 --> 00:54:25,200 Yes. It's like this. Place it like this. 1008 00:54:25,840 --> 00:54:27,600 We were very curious after seeing the map 1009 00:54:27,680 --> 00:54:29,400 because you've given such small things here. 1010 00:54:40,120 --> 00:54:42,680 - Have you designed all these products? - Yes. 1011 00:54:45,960 --> 00:54:47,560 - Okay. - Disha heads the product design. 1012 00:55:06,880 --> 00:55:09,000 We have two investors too, in our cap table. 1013 00:55:18,840 --> 00:55:22,280 Who will make the final decision regarding which Shark you will go with? 1014 00:55:22,360 --> 00:55:23,240 If there is a disagreement. 1015 00:55:23,320 --> 00:55:25,040 - Both of us. - We'll take a joint decision. 1016 00:55:25,640 --> 00:55:27,720 Please tell us your channel distribution, first. 1017 00:55:27,840 --> 00:55:29,720 How is it distributed between retail and online? 1018 00:55:30,000 --> 00:55:32,720 - 35% comes in from our e-commerce export. - Okay. 1019 00:55:32,800 --> 00:55:36,640 Out of the remaining 65%, 35% is from our domestic online channel, 1020 00:55:36,720 --> 00:55:39,280 like Amazon, Flipkart or our website. 1021 00:55:39,360 --> 00:55:41,920 18% comes from general trade and modern trade. 1022 00:55:42,000 --> 00:55:44,960 And 12% is from quick commerce and other channels. 1023 00:55:45,040 --> 00:55:49,120 Which is the biggest country outside India where you distribute? 1024 00:55:49,480 --> 00:55:50,960 The USA is the biggest market for us. 1025 00:55:51,040 --> 00:55:52,480 The export numbers that I told you, 1026 00:55:52,560 --> 00:55:54,440 almost 90% of that is from the USA. 1027 00:55:56,560 --> 00:55:58,080 If I begin from 2021, 1028 00:55:58,200 --> 00:56:00,200 we made a revenue of 13 crores. 1029 00:56:00,280 --> 00:56:03,240 In 2021-22 we made 29 crores. 1030 00:56:03,720 --> 00:56:05,920 In 2022-23 we made 40 crores 1031 00:56:06,000 --> 00:56:09,600 and in 2023-24 we closed at 56 crores. 1032 00:56:09,720 --> 00:56:11,080 - Wow. - Wow, well done. 1033 00:56:11,160 --> 00:56:12,560 And this year, so far 1034 00:56:12,640 --> 00:56:15,080 we have clocked YTD October at 42.5 crores. 1035 00:56:15,160 --> 00:56:16,600 How much are you expecting this year? 1036 00:56:16,720 --> 00:56:17,440 100 crores. 1037 00:56:17,520 --> 00:56:20,040 We are targetting around 87 to 90 crores. 1038 00:56:20,120 --> 00:56:20,960 Lovely. 1039 00:56:21,040 --> 00:56:22,720 - Amazing. Well done. - Incredible. 1040 00:56:23,880 --> 00:56:24,920 What was the bottom line? 1041 00:56:25,000 --> 00:56:26,520 - Tell us the EBITDA margin. - EBITDA. 1042 00:56:27,120 --> 00:56:29,280 In 2020-21 it was 15 lakhs positive. 1043 00:56:29,360 --> 00:56:32,040 2021-22 it was minus 35 lakhs. 1044 00:56:32,160 --> 00:56:34,440 2022-23 it was minus 90 lakhs 1045 00:56:34,520 --> 00:56:36,560 and in 2023-24 it was minus 30 lakhs 1046 00:56:36,640 --> 00:56:40,080 This year the YTD is at 1.2 crore positive. 1047 00:56:40,440 --> 00:56:43,040 For the full year our projection is around 2.4 CR. 1048 00:56:43,120 --> 00:56:44,120 Who has funded your business? 1049 00:56:44,160 --> 00:56:45,800 We have taken two rounds of funding. 1050 00:56:45,920 --> 00:56:47,440 Our first round in 2020-21, 1051 00:56:52,120 --> 00:56:54,400 And the second round was with Pidilite Ventures. 1052 00:56:54,520 --> 00:56:56,480 What was the amount and what was the valuation? 1053 00:56:57,160 --> 00:56:59,240 We raised 20 crores in the second round. 1054 00:57:07,360 --> 00:57:09,800 And we have sufficient funds to run the company. 1055 00:57:09,920 --> 00:57:12,080 - What's the cash in the bank right now? - Eight crores. 1056 00:57:12,120 --> 00:57:13,280 That's great money. 1057 00:57:14,080 --> 00:57:15,880 Then you might be having a large inventory? 1058 00:57:16,000 --> 00:57:17,720 We have eight crores worth of inventory, 1059 00:57:17,800 --> 00:57:20,520 and receivables are around 5.5 crores. 1060 00:57:34,280 --> 00:57:37,480 We procure all the components from third-party vendors. 1061 00:57:37,560 --> 00:57:40,400 And all these components reach our factory, where the final assembly, 1062 00:57:40,480 --> 00:57:42,200 quality control and dispatch is done. 1063 00:57:42,280 --> 00:57:45,360 You have everything set. It's a solid pedigree. 1064 00:57:45,440 --> 00:57:46,920 You've done good work. 1065 00:57:47,000 --> 00:57:48,120 And sales are also great. 1066 00:57:48,240 --> 00:57:50,040 You've come towards profitability. 1067 00:57:50,120 --> 00:57:52,960 You've raised good funding and you understand your business. 1068 00:57:53,080 --> 00:57:55,880 Everything is going fine. What will you do coming on Shark Tank? 1069 00:57:56,440 --> 00:57:58,880 Just like how all of you have done good work in your spaces... 1070 00:57:58,880 --> 00:58:01,640 Tell us something new. We've already heard this too many times. 1071 00:58:01,800 --> 00:58:03,560 - I'm telling the facts. - You're directly... 1072 00:58:04,080 --> 00:58:06,720 But if you had come sooner, there wouldn't be a need to come at 300. 1073 00:58:06,720 --> 00:58:09,320 You are from ISB, you could've looked for our email ID from ISB 1074 00:58:09,400 --> 00:58:12,680 and emailed any one of us, we would have joined you at a lesser price. 1075 00:58:12,960 --> 00:58:14,360 We still have a long way to go. 1076 00:58:14,880 --> 00:58:17,200 If you were to double what you're doing today 1077 00:58:17,280 --> 00:58:19,520 in the US every year, 1078 00:58:19,600 --> 00:58:21,320 and scale rapidly, 1079 00:58:21,440 --> 00:58:22,920 what help would you need to do that? 1080 00:58:23,400 --> 00:58:25,520 It will be a capital intensive business there, 1081 00:58:35,560 --> 00:58:36,640 But is there a reason? 1082 00:58:36,720 --> 00:58:39,360 Why did you choose USA? Is there a bigger margin? 1083 00:58:39,440 --> 00:58:42,080 Because like you clearly mentioned, the working capital is higher. 1084 00:58:56,160 --> 00:58:59,640 And I think my time is a little limited. 1085 00:58:59,960 --> 00:59:04,640 I don't think you people need my time as much. It's my personal view. 1086 00:59:09,520 --> 00:59:11,520 Unfortunately, I'd like to stand out on this one. 1087 00:59:11,600 --> 00:59:13,000 Sorry to hear that. 1088 00:59:13,920 --> 00:59:16,680 - Ravi, Disha, incredible business. - Thank you. 1089 00:59:16,760 --> 00:59:18,920 And it felt really good 1090 00:59:19,320 --> 00:59:22,200 to see the 'Make in India' products from India 1091 00:59:22,280 --> 00:59:25,440 - are turning into so many global businesses. - True. 1092 00:59:25,560 --> 00:59:27,680 The purpose of my life, 1093 00:59:35,600 --> 00:59:37,680 You are very successful founders. 1094 00:59:39,560 --> 00:59:40,640 Today, I'm out. 1095 00:59:42,480 --> 00:59:44,120 But with the best of wishes, 1096 00:59:44,360 --> 00:59:47,680 and being tremendously impressed with what you've built. 1097 00:59:47,800 --> 00:59:48,600 All the best. 1098 00:59:48,680 --> 00:59:50,360 - Thank you. - Thank you. 1099 00:59:50,480 --> 00:59:53,720 My views are also almost similar. 1100 01:00:02,240 --> 01:00:04,240 And for that reason, I'm out. 1101 01:00:04,960 --> 01:00:06,760 But very good business. 1102 01:00:06,880 --> 01:00:10,600 In case you feel I can help somewhere, I'm just a call away. 1103 01:00:12,280 --> 01:00:16,240 The scale that you're at, you have 350 employees. 1104 01:00:16,320 --> 01:00:20,720 And almost 100 crore, this year. 1105 01:00:20,840 --> 01:00:24,720 It's a profitable company, with a factory. Make in India. 1106 01:00:24,920 --> 01:00:28,120 All the check boxes are there. 1107 01:00:28,560 --> 01:00:31,040 Four to five years ago, your revenue was 13 crores. 1108 01:00:31,120 --> 01:00:33,760 I mean, the journey from zero to 13, 1109 01:00:33,840 --> 01:00:36,360 you know, everyone will watch your story 1110 01:00:36,480 --> 01:00:38,720 and think, 'It's such a successful company.' 1111 01:00:38,800 --> 01:00:41,120 It looks like an overnight success. But people forget 1112 01:00:41,160 --> 01:00:44,960 - that there is a 12-year struggle before success came. - Absolutely. 1113 01:00:52,520 --> 01:00:54,640 Based on what I think makes sense, 1114 01:00:55,040 --> 01:00:58,800 I'll offer you 50 lakhs of equity at 0.5%, 1115 01:00:58,880 --> 01:01:01,400 which was your ask. Which was your last round's valuation. 1116 01:01:02,680 --> 01:01:05,360 And one crore debt at 10%, three years. 1117 01:01:12,760 --> 01:01:14,520 ...then maybe you can consider this offer. 1118 01:01:14,600 --> 01:01:17,160 Nice, you've got an offer. Now we have Ritesh. 1119 01:01:18,200 --> 01:01:22,040 In your business, you've built a bottoms-up competency 1120 01:01:22,360 --> 01:01:26,160 in your innovation, design infrastructure and distribution. 1121 01:01:27,320 --> 01:01:29,400 I think for that reason, 1122 01:01:29,520 --> 01:01:31,720 you have a disproportionate opportunity going forward. 1123 01:01:31,800 --> 01:01:34,800 I think India is certainly a significant market, 1124 01:01:34,880 --> 01:01:37,520 but it is equal or bigger than the opportunities 1125 01:01:42,320 --> 01:01:44,800 It would be wrong if you don't get an offer after coming here. 1126 01:01:44,920 --> 01:01:46,400 - She gave it. - Vineeta has given it. 1127 01:01:46,440 --> 01:01:48,880 I will try to do slightly better than that. 1128 01:01:49,440 --> 01:01:53,680 I want to offer you 1.5 crore, the ask that you have placed. 1129 01:01:54,120 --> 01:01:55,680 But for 1.5%. 1130 01:01:55,960 --> 01:01:58,360 Instead of 0.5%. 1131 01:01:59,520 --> 01:02:00,840 - What? - It's the same. - How? 1132 01:02:00,920 --> 01:02:02,160 - It's the same valuation. - Same? 1133 01:02:02,160 --> 01:02:03,880 - How much did you offer? - It's lesser. 1134 01:02:04,000 --> 01:02:05,800 - It's the same. - Right? 1135 01:02:05,960 --> 01:02:07,400 - Valuation is 100 crores, right? - You gave 1.5 crores at 1.5%, right? 1136 01:02:07,440 --> 01:02:08,240 - You gave 100. - Yes, it's the same. 1137 01:02:08,320 --> 01:02:10,080 You said 1.5 crores at 1.5%, right? 1138 01:02:10,160 --> 01:02:11,920 Yes, one second. What was your offer? 1139 01:02:12,560 --> 01:02:14,360 - I... - 50 lakhs, 0.5%. 1140 01:02:14,440 --> 01:02:15,920 Okay, you offered 50 lakhs at 0.5%. 1141 01:02:16,000 --> 01:02:19,040 - And you offered 1.5 crore at 1.5%. Her offer is technically better - Okay. 1142 01:02:19,120 --> 01:02:21,280 Because her Pre-Money will become 99.5 1143 01:02:21,360 --> 01:02:23,400 and your Pre-Money will be 98.5. 1144 01:02:23,760 --> 01:02:25,000 [laughing] 1145 01:02:25,080 --> 01:02:27,360 - Oh, my God. That's great. - Okay. 1146 01:02:27,440 --> 01:02:30,000 I'm loving your Math. 1147 01:02:30,080 --> 01:02:30,960 That was fun. 1148 01:02:31,080 --> 01:02:32,600 He's got some solid logic. 1149 01:02:32,680 --> 01:02:34,680 I made a mistake with the numbers. 1150 01:02:34,760 --> 01:02:36,320 I will edit my offer slightly. 1151 01:02:36,400 --> 01:02:38,600 1.2% at 1.5 crore. 1152 01:02:47,120 --> 01:02:48,480 'Probably try to figure it out.' 1153 01:02:48,560 --> 01:02:51,480 Azhar, man! Azhar is a star. 1154 01:02:52,400 --> 01:02:54,120 [laughing] 1155 01:02:58,080 --> 01:03:00,160 Oh, my God. This was too good. 1156 01:03:00,240 --> 01:03:01,280 This was too good. 1157 01:03:01,360 --> 01:03:03,000 'If you look at it that way,' 1158 01:03:03,080 --> 01:03:05,960 - 'his Pre-Money is less.' - My day is made. 1159 01:03:08,480 --> 01:03:09,640 Yes, sir. 1160 01:03:10,800 --> 01:03:13,560 So, Vineeta and Ritesh, thank you so much for the offer. 1161 01:03:15,680 --> 01:03:18,800 We'd definitely like to see how we can take it forward. 1162 01:03:18,880 --> 01:03:21,480 We feel we have demonstrated the growth in the last one year, 1163 01:03:21,560 --> 01:03:24,040 which should give the valuation an uptake. 1164 01:03:26,360 --> 01:03:29,960 We have to very gracefully decline the offer. 1165 01:03:30,040 --> 01:03:31,800 - Oh. Directly declined. - We absolutely 1166 01:03:31,840 --> 01:03:32,840 - understand that. - We fully understand. 1167 01:03:32,840 --> 01:03:34,960 And if I had a private equity firm, 1168 01:03:35,040 --> 01:03:38,160 then I would close my eyes, invest in you and take you to an IPO. 1169 01:03:38,240 --> 01:03:40,400 - Thank you. - But this is not my investment model now. 1170 01:03:40,440 --> 01:03:42,400 But I would love to help you. 1171 01:03:42,520 --> 01:03:43,960 - I'm based in Bombay, as well. - Sure. 1172 01:03:43,960 --> 01:03:45,800 Let me know how I can help you. 1173 01:03:45,880 --> 01:03:46,960 - Sure. - Thank you so much. 1174 01:03:47,000 --> 01:03:48,720 The gap between our expectation of valuation 1175 01:03:48,760 --> 01:03:51,080 and the offer made by the Sharks was quite wide. 1176 01:03:51,280 --> 01:03:53,280 We felt 1177 01:03:53,360 --> 01:03:56,360 it would be tough to bridge this gap in the negotiation process. 1178 01:03:56,760 --> 01:03:59,480 That's why we did not give them a counteroffer. 1179 01:03:59,600 --> 01:04:01,520 - Keep up the good work. - Thank you. 1180 01:04:01,600 --> 01:04:02,600 - Yes. - Do well. 1181 01:04:02,800 --> 01:04:03,960 All the best. 1182 01:04:04,160 --> 01:04:06,600 'Typically, if you are a consumer company in India' 1183 01:04:15,960 --> 01:04:18,360 But high-growth companies get it. 1184 01:04:18,800 --> 01:04:22,120 But more than that, I feel, would be too much. 1185 01:04:22,440 --> 01:04:24,480 It would be unfair for many other companies, 1186 01:04:24,560 --> 01:04:27,560 which get maximum P/E in the same range. 1187 01:04:27,680 --> 01:04:29,360 For that reason I did not raise the deal. 1188 01:04:29,440 --> 01:04:32,080 Team Imagimake, I can't tell you how nostalgic 1189 01:04:32,200 --> 01:04:34,280 you have made us all feel. 1190 01:04:39,080 --> 01:04:41,560 And everyone was fighting about which toy they wanted. 1191 01:04:41,640 --> 01:04:43,160 - You made us feel like kids. - Wow. - Thank you. 1192 01:04:43,200 --> 01:04:45,040 And that's exactly what your brand does. 1193 01:04:45,120 --> 01:04:48,200 - Sure. - Absolutely. - For the child and the joy it brings. 1194 01:04:48,280 --> 01:04:50,320 While watching your pitch 1195 01:04:50,400 --> 01:04:52,360 I was really excited about a few products. 1196 01:04:52,440 --> 01:04:55,800 - I logged on to Swiggy Instamart and saw your products there. - Right. 1197 01:04:55,880 --> 01:05:00,000 - I ordered one. And here it is within 10 minutes. - Wow. 1198 01:05:00,320 --> 01:05:03,080 - I can't tell you I'm overjoyed. Thank you, sir. - Oh, wow. 1199 01:05:03,160 --> 01:05:05,320 I have ordered the Window Art. 1200 01:05:05,440 --> 01:05:06,480 Fantastic. 1201 01:05:06,560 --> 01:05:09,080 So, thank you for making me also feel like a child today. 1202 01:05:09,280 --> 01:05:11,640 And great pitch. I loved it. 1203 01:05:11,720 --> 01:05:16,680 What you asked at the valuation, you're such juggernauts. 1204 01:05:16,800 --> 01:05:19,280 - It's amazing to have you here. - Thank you. 1205 01:05:19,360 --> 01:05:21,280 You can help me with this. We'll do this together. 1206 01:05:21,320 --> 01:05:23,240 - Looking forward to it. - Sure. 1207 01:05:23,320 --> 01:05:25,680 Guys, just like how I did not have to wait 1208 01:05:25,760 --> 01:05:27,200 for their products, 1209 01:05:27,320 --> 01:05:29,440 if you also want their products, 1210 01:05:29,520 --> 01:05:31,240 it's available on Swiggy Instamart. 1211 01:05:31,320 --> 01:05:33,800 It will reach you in 10 minutes. 1212 01:05:38,320 --> 01:05:40,240 Yo! Welcome to 'Ask The Shark.' 1213 01:05:48,400 --> 01:05:50,040 ...a decent, big man, 1214 01:05:52,800 --> 01:05:55,360 We are quite close. No big deal about it. 1215 01:05:55,440 --> 01:06:00,000 We have with us the founder and group CEO of OYO, Mr Ritesh Agarwal. 1216 01:06:00,760 --> 01:06:02,360 Ashish, I always believe 1217 01:06:02,480 --> 01:06:04,360 that the heart should be big, not the bank balance. 1218 01:06:04,400 --> 01:06:05,840 Your heart is big. 1219 01:06:06,080 --> 01:06:07,840 Then why should I increase your bank balance? 1220 01:06:08,080 --> 01:06:09,520 Why don't you believe your words? 1221 01:06:09,600 --> 01:06:10,600 [laughing] 1222 01:06:10,720 --> 01:06:12,120 - Can I ask you a question? - Please. 1223 01:06:12,160 --> 01:06:14,080 Today's question is from Yagya Awasthi 1224 01:06:14,160 --> 01:06:15,960 from Prayagraj. He's 28 years old. 1225 01:06:32,840 --> 01:06:36,200 Because in India there is a standard definition of start-ups. 1226 01:06:36,560 --> 01:06:39,160 - Technology-driven, young founder. - Hmm 1227 01:06:39,240 --> 01:06:41,240 And 10x, 20x growth. 1228 01:06:42,160 --> 01:06:44,640 There are many other companies that are start-ups. 1229 01:06:44,720 --> 01:06:48,040 - Someone might be running a small factory. - Hmm. 1230 01:06:48,120 --> 01:06:51,440 There's a company that's exporting a specific component. 1231 01:06:51,760 --> 01:06:54,200 These are generally called SMEs. 1232 01:06:54,320 --> 01:06:56,040 If you look at their numbers, 1233 01:06:56,280 --> 01:06:58,120 then all the companies are profitable 1234 01:06:58,480 --> 01:07:02,880 and all of them have grown with great difficulties, so they'll never close. 1235 01:07:36,760 --> 01:07:38,920 I will ask them on your behalf. We'll meet you on the next 'Ask the Shark,' 1236 01:07:38,960 --> 01:07:40,360 with a new question and a new Shark.