Shark Tank India, despite being in its fourth season, keeps on introducing the audiences to new new businesses. In the recent episode of the business & finance related reality show, a woman had come on the show to pitch their healthy snack company Eat Better Co, along with her son and daughter-in-law. As they opened up about their business and revealed their financials, the sharks were left impressed. The pitchers revealed that they are aiming at earning a revenue of Rs 30 crore this year. They went on to ask for Rs 50 lakh in exchange of 0.5% and valued their business at Rs 100 crore.
Explaining more about their business, they revealed that they started as a home kitchen, however, over the years they expanded and now operate their own manufacturing unit of around 20,000 square feet. They even mentioned that they earn Rs 1 crore in a month, just by selling their products on BlinkIt, which left the panel impressed. While the sharks showed their interest in investing in the brand, Anupam Mittal expressed that the valuation was “simply too high” for him to make a reasonable offer. He expressed his wish of having met them earlier, as he loves everything about them.
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Ritesh Agarwal praised the products, but revealed that he wouldn’t be able to make them an offer. However, he expressed his desire to partner up with them through OYO Rooms. Despite pointing out faults in their packaging and some of their claims, Namita Thapar readily made an offer. She shared that she is ready to give them Rs 50 lakh for 0.5%, retaining their valuation. She added that she wanted 1% royalties until her Rs 50 lakhs are recovered. On the other hand, Vineeta Singh offered them Rs 50 lakh for 1.5% equity with no royalties.
Thapar went on to point out how it is common for companies to strike up exclusive deals with e-commerce players. However Mittal disagreed with the statement and warned the pitchers, “Never hand over power to the distributor, remember this.” However, one of the founders reminded him of his company Shaadi.com had struck a deal exactly like this one with Zepto. Impressed with the quick witted response, Namita saluted the pitcher.
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Last one to enter the negotiations, Kunal Bahl expressed how he doesn’t deal in small figures and he likes to have “skin in the game” and he doesn’t deal in small figures. He offered the pitchers a Rs 2.5 crore, five times their ask, for 5% equity. He emphasized that he doesn’t want any royalty from them. The founders countered by asking if he and Namita would like to join hands, however they refused. After much back and forth, they decided to go with Namita’s offer.
For those who don’t know, Shark Tank India 4 sees entrepreneurs Anupam Mittal, Peyush Bansal, Ritesh Agarwal, Vineeta Singh, Aman Gupta, Namita Thapar, and Kunal Bahl along with others as sharks.
