Shark Tales Week 1 - Humility in Adversity Is Character of True Entrepreneur

Shark Tales Week 1 - Humility in Adversity Is Character of True Entrepreneur

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Mon Jan 09 2023

10 min read

techadmin

techadmin

What was earlier thought to be the domain of elites and grads from IIT & IIM has today spread its foot in India’s hinterland. Otherwise, who would have thought that brands catering primarily to Bharat could be valued at a massive ₹300 Cr and is only growing stronger!

We at Klub are launching ‘Shark Tales’ a weekly blog article where readers can get a brief weekly summary of everything that happened in Shark Tank India.

Season 2 started on a great note with JhaJi Store raising ₹85 lakhs for 8.45% equity from Namita Thapar, Vineeta Singh, and Jharkhand Angels.

(Quick Recap - Founded by Ms. Kalpana and Ms. Uma, Jhaji Store pitched during Season 1. However, they were unable to raise funding then.)

Key takeaways from Shark Tank Season 2, Week 1:

  • An entrepreneur never fears to take on the goliaths - ‘Recode Studios’ not only took on goliaths but also created a successful business in the competitive personal care segment.
  • Even in the age of machines, there’s a big business opportunity in what’s handmade - The success of ‘Very Much Indian’ shows consumers love to pay a premium for finesse.
  • Brand Bharat is a big business opportunity waiting to be tapped - 'STAGE' is leading the OTT revolution in India’s towns and villages that loves dialogues in their dialects.
  • There’s no perfect age to startup - 47-year-old Geeta Patil and 21 old partners show the only perfect age to startup is when you are ready.
  • Humility is an entrepreneur's greatest strength - A true entrepreneur always keeps aside the past glory, takes feedback, and is willing to reinvent the wheel when required.

Here are the dreamers and doers who featured this week on Shark Thank India Season 2:


EPISODE 1

Key takeaway: Only an entrepreneur can identify business opportunity which none can and take on goliaths when most would just withdraw.

Episode 1 Brand 1:

  • Hoovu

Founders:

  • Rhea Karuturi
  • Yeshoda Karuturi

Ye inki expertise hai:

  • Hoovu sells fresh pooja flowers, mainly via quick commerce channels. It also sells other items used in pooja like agarbattis and incense cones.

The problem it solves:

  • The loose flowers sold openly in the market have a very short shelf life of 2-3 days, Hoovu through technology and packaging increases it to 15 days.

Ask:

  • ₹80 L for 1% equity (₹80 Cr valuation).

Deal or no deal?

  • DEAL - Hoovu raised ₹1 Cr from Aman Gupta and Peyush Bansal for 2% equity at a valuation of ₹50 Cr.

Episode 1 Brand 2:

  • Dorje

Founders:

  • Ishaan Kanoria
  • Sparsh Agarwal

Ye inki expertise hai:

  • A speciality tea brand. They sell black tea and green tea basis when they were harvested, first flush (spring harvest), second flush (summer harvest), third flush (monsoon harvest), and final flush (autumn harvest).
  • Users can also buy other types of flavoured tea from Dorje.

The problem it solves:

  • They are trying to make authentic and certified Darjeeling Tea easily available to users.

Ask:

  • ₹30 L for 5% equity (₹6 Cr valuation).

Deal or no deal?

  • DEAL - Dorje raised ₹30 L from Anupam Mittal, Peyush Bansal and Vineeta Singh for 15% equity at a valuation of ₹2 Cr.

Episode 1 Brand 3:

  • Recode Studios

Founders:

  • Dheeraj Bansal
  • Rahul Sachdeva

Ye inki expertise hai:

  • They sell quality personal care products with a focus on catering to underserved markets.

The problem it solves:

  • While there exist several personal care brands that sell products but very few educate users. Recode Studios educates users via offline sessions. This helps build trust, creates brand awareness, and ultimately conversion.

Ask:

  • ₹1 Cr for 1% equity (₹100 Cr valuation).

Deal or no deal?

  • No Deal

EPISODE 2

Key takeaway: With a passion to do good and benefit the society at large you can create a meaningful and scalable business.

Episode 2 Brand 1:

  • Very Much Indian

Founder:

  • Slony Baldev Gambhir

Ye inki expertise hai:

  • They are reviving Maharahtra’s traditional Paithani weaves sarees. What started with a journey with 25 weavers is today 400 weavers strong and only growing bigger.

The problem it solves:

  • The market is flooded with power loom sarees. Very Much Indian is trying to revive the Paithani weaves, this is not only enabling authentic saree lovers to buy a true piece of art, but it is also providing livelihood to handloom workers in their native places.

Ask:

  • ₹50 L for 3% equity (₹16.67 Cr valuation).

Deal or no deal?

  • DEAL - Very Much Indian raised ₹50 L from Aman Gupta and Namita Thapar for 10 % equity at a valuation of ₹5 Cr.

Episode 2 Brand 2:

  • WatchOut Wearables

Founders:

  • Abhishek Baheti

Ye inki expertise hai:

  • WatchOut Wearables sells smartwatches for kids based on 3 fundamentals; safety, connectivity, and curiosity.

The problem it solves:

  • Currently, the smartwatches available are primarily designed for adults. WatchOut designed the smartwatch, especially for kids. These are designed with a safety-first approach and they can help a child connect with their parents even when they are outside their home and raise an alarm in case of emergency.

Ask:

  • ₹2 Cr for 5% equity (₹40 Cr valuation).

Deal or no deal?

  • DEAL - WatchOut Wearables raised ₹1 Cr from Anupam Mittal and Vineeta Singh for 10% equity at a valuation of ₹10 Cr. The Sharks will also provide an additional ₹1 Cr in debt at 15% interest.

Episode 2 Brand 3:

  • SoupX

Founders:

  • Priyank Jain
  • Uttam Kumar

Ye inki expertise hai:

  • They sell 99 varieties of freshly prepared, calorie-counted, preservative-free soups that contain no artificial additives and make for a wholesome meal.

The problem it solves:

  • Eating healthy need not be extremely expensive. The SoupX founders are on a mission to make healthy soup-based meals affordable and reach the masses.

Ask:

  • ₹75 L for 6% equity (₹12.5 Cr valuation).

Deal or no deal?

  • DEAL - SoupX raised ₹50 L from Vineeta Singh for 18% equity at a valuation of ₹2.78 Cr. The Shark will also provide an additional ₹25 L in debt at 12% interest.

EPISODE 3

Key takeaway: When trouble knocks the door, peep out the window for jugaad. Also, jugaad isn’t always a negative, it can help you tide over temporary problems and provide a permanent solution.

Episode 3 Brand 1:

  • Atmosphere Kombucha

Founders:

  • Ariella Blank
  • Rebekah Sood

Ye inki expertise hai:

  • True pioneers and visionaries. Not only are they creating a market for a completely new category but through jugaad they are scaling as well. They make a variety of kombuchas, additionally, users can also buy pasta, pancake mix, and other products from their website.

The problem it solves:

  • Around 56% of Indian families suffer from problems related to digestive health issues. Atmosphere Kombucha aims to make kombucha widely and affordably available. Kombucha being a fermented product may improve gut health and also boost immunity.

Ask:

  • ₹75 L for 3% equity (₹25 Cr valuation).

Deal or no deal?

  • No Deal.

Episode 3 Brand 2:

  • STAGE

Founders:

  • Praveen Singhal
  • Shashank Vaishnav
  • Vinay Singhal

Ye inki expertise hai:

  • Delivering the dialogues in dialects Bharat speaks. STAGE has created 300+ hours of original content in the Haryanvi and Rajasthani dialects. In the process, it has provided a stage to 1000+ local artists!

The problem it solves:

  • OTT platforms are filled in content in English, Hindi, and other major languages spoken in India. But what about the dialects? STAGE is addressing this gap by creating original content in various dialects.

Ask:

  • ₹3 Cr for 1% equity (₹300 Cr valuation).

Deal or no deal?

  • DEAL - STAGE raised ₹1.5 Cr from Aman Gupta, Namita Thapar and Peyush Bansal for 0.6% equity at a valuation of ₹250 Cr. The Sharks will also provide an additional ₹1.5 Cr in debt at 18% interest.

Episode 3 Brand 3:

  • Girgit Store

Founders:

  • Benoy Shah
  • Pooja Benoy Shah

Ye inki expertise hai:

  • Giving kids, men, and women fashion a fun touch. They sell apparel, sneakers, and accessories that change colour when exposed to sunlight! Now, this Girgit is something users will love!

The problem it solves:

  • Colour-changing fashion is both expensive and less widely available. Through its D2C model and strong control over raw material procurement at affordable pricing, Girgit is aiming to colour changing fashion easily accessible.

Ask:

  • ₹20 L for 10% equity (₹2 Cr valuation).

Deal or no deal?

  • DEAL - Girgit Store raised ₹20 L from Namita Thapar for 20% equity at a valuation of ₹1 Cr.

EPISODE 4

Key takeaway: Consumers are always on the lookout for a better alternative. For businesses that provide an alternative to existing, there’s a market waiting.

Episode 4 Brand 1:

  • Gear Head Motors

Founders:

  • Gunda Nikhil
  • V Sai Meher Krishna

Ye inki expertise hai:

  • Many kickstart their entrepreneurial journey in college but rarely do they sell their venture back to college. Gunda Nikhil did just that! He and his partner aim to make e-cycles and tricycles widely available at an affordable rate. They’ve bagged a contract to supply 1500 tricycles to the government and that’s no mean feat.

The problem it solves:

  • Vehicular pollution is a major issue globally. In India, over 74,000 lives were lost due to pollution caused by vehicles. Gear Head Motors through its e-cycles and tricycles is making mobility pollution free and our cities cleaner.

Ask:

  • ₹75 L for 2% equity (₹37.5 Cr valuation).

Deal or no deal?

  • DEAL - Gear Head Motors raised ₹1 Cr from Aman Gupta and Peyush Bansal for 6.67% equity at a valuation of approx. ₹14.99 Cr.

Episode 4 Brand 2:

  • PatilKaki

Founders:

  • Darshil Anil Savla
  • Geeta Govinda Patil
  • Vinit Govinda Patil

Ye inki expertise hai:

  • Home-style snacks, just the way it’s made at home. They sell several types of healthy ladoos, salted makhana, namkeens, and a few other types of sweets and savouries as well.

The problem it solves:

  • Both branded and unbranded snacks are easily available. In the case of unbranded snacks quality of ingredients may be questionable and branded snacks may be expensive. PatilKaki aims to provide branded snacks made using high-quality ingredients at affordable prices.

Ask:

  • ₹40 L for 2.5% equity (₹16 Cr valuation).

Deal or no deal?

  • DEAL - PatilKaki raised ₹40 L from Anupam Mittal and Peyush Bansal for 4% equity at a valuation of ₹10 Cr.

Episode 4 Brand 3:

  • Brandsdaddy

Founders:

  • Annkita Roshaan Mishra
  • Roshan Vivekanand Mishra

Ye inki expertise hai:

  • Brandsdaddy makes products for firefighting. Its hero product, called Auto Fire Extinguisher Ball aims to make buildings more secure in case of fire hazards.  

The problem it solves:

  • Around 35 lives are lost daily to fire-related incidents in India. In case of fire, every second is precious and even a few extra seconds can give occupants of a building a chance to escape. Through innovation, Brandsdaddy is aiming to make buildings more secure and help save lives.

Ask:

  • ₹70 L for 5% equity (₹14 Cr valuation).

Deal or no deal?

  • DEAL - Brandsdaddy raised ₹35 L from Namita Thapar for 5% equity at a valuation of ₹7 Cr. The Shark will also provide an additional ₹35 L in debt at 12% interest.

EPISODE 5

Key takeaway: Consumers lifestyle is changing and with that the products they use. Businesses must continue to innovate to have both first-mover and fast-mover advantage.

Episode 5 Brand 1:

  • Winston

Founders:

  • Himanshu Adlakha
  • Nikita Adlakha

Ye inki expertise hai:

  • Winston sells grooming and personal care products that are easy to use. They sell via their own website and marketplaces.

The problem it solves:

  • Several of the regular use grooming and personal care products are extremely expensive. Also, in case of damage, getting them serviced is challenging. Winston is solving this problem by pricing its products economically and focusing on after-sales service.

Ask:

  • ₹1 Cr for 4% equity (₹25 Cr valuation).

Deal or no deal?

  • DEAL - Winston raised ₹1 Cr from Anupam Mittal and Vineeta Singh for 10% equity at a valuation of ₹10 Cr.

Episode 5 Brand 2:

  • Flatheads

Founders:

  • Ganesh Balakrishnan

Ye inki expertise hai:

  • Creating a mark in an industry as competitive as footwear is no easy task. Flatheads in a short span of time created a wide range of footwear suitable for the Indian climate. Their footwear usually weighs less than 500 grams! Also, they are made of sustainable and environment-friendly materials like banana stem fiber, linen, bamboo fiber, etc.

The problem it solves:

  • Shoes made of non-breathable material are uncomfortable and wearing them for long hours may make the feet sweaty and uncomfortable. Flatheads understood this problem and creates footwear most suited for Indian climatic conditions. Its minimalistic design, usage of natural and sustainable materials, and extremely lightweight feature are loved by its users.

Ask:

  • ₹75 L for 3% equity (₹25 Cr valuation).

Deal or no deal?

  • No Deal.

Episode 5 Brand 3:

  • Organic Smokes

Founders:

  • Gaurav Chhabra
  • Nitin Chhabra
  • Piyush Chhabra

Ye inki expertise hai:

  • The brand is aiming to add a touch of ayurveda to the smoking industry. It does this by making smoking products that contain several types of herbs in them instead of the widely used tobacco.

The problem it solves:

  • Although in a nascent stage, India’s herbal cigar and cigarette market are expected to grow significantly. Being early in the industry, Organic Smokes aims to benefit from early-mover advantage and through a wide range of smoking products gives an option to those looking to switch from tobacco-based smoking products.

Disclaimer: Smoking is injurious to health and may cause lung cancer and heart-related diseases.

Ask:

  • ₹1 Cr for 1% equity (₹100 Cr valuation).

Deal or no deal?

  • No Deal.

klub’s conclusion:

Startups are hard, at times it may look like you’ve hit a dead end, but an entrepreneur is resilient and navigates through problems that come their way. Brands like Recode Studios and STAGE when faced with adverse situations chose to innovate and emerged stronger.

This week’s episodes again highlighted a key problem faced by Indian startups, which is access to funding. Today, startups aren’t just concentrated in cities like Delhi but have spread to places Darbhanga (JhaJi Store) and Darjeeling (Dorje). Amidst ever-rising number of entrepreneurs, it’s only rational that avenues of funding available to them rise too.

Now, it’s possible for entrepreneurs to raise funding without losing equity and without collaterals. This is made possible by ‘Revenue Based Financing’ which is available to businesses with recurring monthly revenue.

Raise capital for your startup today.

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