This is Shark Tank India episode number 27. In this episode of Shark Tank India Theka Coffee
a new generation coffee chain, Watt Technovations, a compact ergonomic ventilation system for PPE kits, Aliste Technologies
a home automation solution and Insurance Samadhan, an insurance problem-solving company are the pitches.
1. Theka Coffee
Theka Coffee Owner:
Bhupinder Madaan is the owner. He is 27 years old and comes from Gujrat. He started doing business at the age of 14 years old. He first started with selling momos, then started a marketing company. He has done multiple food business and finally came to Theka Coffee. Theka Coffee is his 8th business which he started 3 years back.
About Theka Coffee:
Bhupinder realised that in cafes there is that same cappuccino and americano served with no creativity. Then this business idea hits him. They roast the coffee by themselves and serve it to customers in cool cans. From three Kiosk they have served more than 3 lakhs coffee to the customers. This is not just a cafe, but a new generation cafe chain. They make coffee in just 59 seconds. In this process, at first they put the coffee base, then add the milk with sweetener, mix and serve it in beer bottles. He has 12 SKUs and inventory is 6. Initial product shelf life is 1 months and bottles shelf life is 3 days. He wanted to cut down fixed expenses and work more on the quality of the product. Their capital investment is very low as everything is handmade. They want to sell 100% arabica coffee beans which are the best quality of coffee beans at ₹100 to the customers.
Theka Coffee Gross profit and sales:
The company’s valuation is 5cr. His first year sales are 1.20 cr, second year sales is 1. 80cr And relaunch it after the end of covid and sales were 30 lakhs. Last month sales were 4lakhs. His own invested money is 5 lakhs.
Asks by the Theka Coffee pitchers:
Pitchers approach with a ask of 50 lakhs for 10 % equity of the company
Theka Coffee Final offer: All the sharks stepped out and no final deal was done.
2. Watt Technovations
Watt Technovations Owner:
Nihaal Singh Adarsh, 19 years old engineering student. He wants to make a big tech company which focuses on day to day problems of the common people and can help in solving those problems.
About Watt Technovations:
It is very difficult for the doctors, sanitary workers, chemical factory workers, pharmaceuticals factory workers, car painters to wear a PPE kit for so long as it produces a lot of heat and due to this a heavy sweat is the outcome. So for solving this problem he invented the COV-Tech ventilation system which is a compact ventilation system and can be attached with any PPE kit just like a plug and play device which keeps cool and fresh, reduces the sweat and suffocation.
Watt technovations Gross profit and sales:
The company’s valuation is Rs.5050.
Asks by the Watt Technovations pitchers:
Pitchers approach with a ask of Rs.101 for 2% equity in the company.
Watt Technovations Counter offers:
No such counter offers were there.
Some suggestions were given by all the sharks about what to do, how to do, where to do.Peyush Bansal told that he will not be a part of investment but he assured Nihaal to keep his contact number and will invest in an innovation which he will find interesting.
Anupam and Namita jointly agree to be a part of investment by paying Rs.101.
Pitcher asked whether Peyush will join Namita and Anupam for 4% equity in exchange of Rs.101 at a valuation of Rs.2525.
Watt Technovations Final offer: The final deal was by Peyush, Namita and Anupam with 4% equity in exchange of Rs.101.
Aliste Technologies Owner:
Shreyansh Konark, Akarsh,Anant,Udit and Bhavya and they are 23 years old. They are all college mates.
About Aliste Technologies:
This company provides home automation solutions. They want to turn every Indian home into a smart home. With their device, one can automate the lights , curtains, fans of their homes and can control them from any part of the world. Their flagship product is a small debit card size like product that can fit behind the existing switchboard and any electrical appliances of the home can be controlled from the phone. To make the ecosystem strong, they have made integration of smart curtains, door locks and CCTVs in their app so that all the solutions are available in an app. They have 2 channels, B2B and B2C.
Aliste Technologies Gross profit and sales:
The company’s valuation is 12cr. Their most sold out product is one which has 5 switches and its MRP is ₹12k. Average price of a product is 8k. Manufacturing cost of the device is ₹1100. They give this to the distributor at ₹4500 plus GST. Then distributors add their margin and these to customers at 8k. Total revenue till date is 1.1cr. Their sales are 30 lakhs in 15 months. Last month sales were 7. 5 lakhs. Net profit is 40%. They want to use the investment in increasing production capacity and improving the technical team.
Asks by the Aliste Technologies pitchers:
Pitchers approach with a ask of 60 lakhs for 5 % equity of the company
Aliste Technologies Counter offers:
Anupam Mittal gave an offer of 10 lakhs at 10% equity of the company and 50 lakhs debt at 12% interest.
Founders gave a counter offer of 85 lakhs for 10% equity.
Aliste Technologies Final offer:
As Anupam declined the offer and no deal was done.
Insurance Samadhan Owner:
Ravi Mathur, Deepak Bhuvneshwari Uniyal, Shilpa Arora. All are co-founders of the company.
About Insurance Samadhan:
In India there are a lot of misuse of insurance policies. A common man is fooled and they are being sold insurance policies instead of Fixed deposits.A businessman also can be fooled for a loan to sell Insurance policies. So solving this problem Insurance Samadhan was born.Being expertise for 45 years in financial fields this venture was found.They provide all main three categories of insurance: Life Insurance, Health Insurance, and General Insurance. Their business model is that they have a website and a whatsapp number where a bot is there to welcome. Both will ask several inputs like age, policy types and one has to put the datas and accordingly the staff of the company get engaged with the customers.
Insurance Samadhan Gross profit and sales:
The company’s valuation is 100cr. In this 3 years of journey they have solved 14000+ complaints, and helped in getting back an amount of 30 crore rupees of many common people together. The revenue comes from any completion of cases and they charged a success fee of 12% and they charged it at the end of solving the issue.The success rate of the company is 70%. According to industry patterns it can vary from 6 months to 2 years to solve an issue but at sometimes it can be solved within 3 days and few hours too. The company has generated a sales of Rs.1 crore in the past 3 years and in the FY21-22 they have generated a sales of Rs.104 lakhs rupees. Last month they generated a revenue of 22 lakhs rupees.
Asks by the Insurance Samadhan pitchers:
Pitchers approach with a ask of 1cr. for 1% equity of the company.
Insurance Samadhan Counter offers:
Anupam backed himself from the deal. Namita and Ghazal were a bit confused with the scalability and valuation so they were out of the deal.
Vineeta counter offers for 4% equity in exchange for 1crore rupees.
Peyush counter offers for 10% equity in exchange for 1crore rupees.
Pitchers counter offers for 1.3% equity in exchange for 1crore rupees.
Peyush counter offers for 5% equity in exchange for 1crore rupees.
Pitchers counter offers for 2.5% equity on exchange for 1 crore rupees.
Final offer- Final deal was done by Peyush Bansal for 4% equity in exchange for 1 crore rupees in the company.
Shark lesson of the day:
Shark Ghazal gave a lesson on failures. She advised not to be afraid of failures. It doesn’t even matter whether you have failed or not,or how many times you have failed. The important thing is what you have done after failure. Either you can drop your passion or you can learn from it to improve in future. And from that, the persistence and consistency you developed in yourself, stand you out from others.