[music] [music] [music] [music] [music] Sharks We all know that nowadays Modern health issues such as low energy, Weak immunity, poor gut health. The main of all these The reason is nutrition gap. But I don't understand Let me tell you how to fill this gap. [music] Worry Not Nutrition Genie is here. What What is your order, my lord? I wish I had something like this So that I could feed my family every day It can easily provide good nutrition. just this much C thing. So here you go. Feed me ridge gourd, ladyfinger and ridge gourd. Jeanie ji, in the name of healthy vegetables, my The family makes new excuses every day. So this Try it. multivitamin tablets, Syrups, Held Drinks, Gummies. Ginny, So many bitter medicines and this sugar shop It is impossible to give to my family, Impossible, impossible. Wish impossible. Your Wish It is impossible to complete. I wish there was someone who could fulfill my wish. I could do it. Mill Went. Found it. What? What? Good monk. Bus Mix it in food. family's Fix nutrition. Yes, that's right. Wow, what acting. plenty of practice Curry. I am Amarpreet Singh Anand. And I am Sahiba Kaur and Hum Hain Founders Gurm Of. We are from Bengaluru where we Expert Nutritionist and Food Together with technologists, we created such a Unique powder formula that tastes like food, Gives you without changing the color, smell Vitamins, Minerals, Fiber, Probiotics and Ayurvedic herbs. so much Nutrition and no added white sugar. No artificial colours, no No artificial preservatives. Good Monk It is clinically proven. glad to know you It would be that from our internal clinical studies It turns out that 95% of people's energy, There is a huge difference between immunity and gut health Fell. And Sharks, we didn't stop there. We Good for people above 50 years of age Month Healthdi Plus. their physiological For the requirements and only the last In one and a half years, we have helped 400 families. Has impacted positively. Our vision is That we can serve easy and delicious food on the dining table of every home. Want to deliver effective nutrition. And this will be the biggest victory for us. Its For this we ask you ₹1 crore off Investment for 1.67% equity in our Company. So let's mix Sharks Gurman in the food Do it. Fix your nutrition. Amarpreet Sahiba welcome welcome welcome welcome to thank you You. It was great to hear your pitch. It was different. something about yourself I will tell you. Originally I am from Gurgaon. I am from a business family. I mine Graduation Bachelors Information Technology and did Masters Computer In applications. Then we get married Gayi and I have two lovely sons. Now give R 16 and 14 Years of Age. I am in Rishikesh I am lying here. After 12th, I completed my Engineering Curry from IIT Varanasi. I vent after four years of engineering To I Mk. Marketing of Finance I did MBA. My first job was at Catbury's I had joined. I Work at Cadbury's There for 15 years. And what was the last role? Yours? Category Head for Chocolates. Ok. Same You also used the same colour. Dairy milk color He used to joke about us. You will cut their veins Then purple blood will come out. First company like your first lover right. So After that I moved to DJ Jahan Pe Me Joy in the role of the first Chief Innovation Officer Had done. And then after that I got Promoted into a more operating job where I lead the Indian Spirits business. used to do. Other options in the market There is no such nutrition in powder form. Ritesh which is available in the market in powder form The products all have taste inside them. Comes. They have a different design. He is one Targeted towards adult audience. These Everything is tasteless. Kunal, if I tell you If I give it separately, then the taste of each ingredient Is. But our patented approach Inside this, when you mix all the things You do this and then you put it in food. which we will be testing with you now that you You won't even know it's inside two dishes. Who was put inside? Oh, absolutely do it Just give it to me. Yes sir. So definitely do this Are. Yes. Brother, let's start from here. Madam We will start from here. What is this ma'am? This is lentils. Sharks So you have these two bowls. One bowl contains plain lentils and one bowl We have added jaggery in the dal. You have to test both and tell me What is the difference between them and which one is good mango? It is inserted. I miss my children They are there now because no matter what they do, how much Conceal it too, let's figure it out. You Please try it once. This is definitely They will not know. Wow. I think both taste the same. Did you like the taste? Difference in test I didn't feel it. Yes. They are quite similar to each other. Although this The left one seemed a little thicker to me. But I think it is roughly similar. It is roughly similar. So the red dot is yours Wali's is a black dot. Who do you think C? Red dot. Black dot Oh my god. Black dot me too which is the red dot I also felt red, since then you have given us some relief. fooled We are actually fooling everyone. Everyone is fooling the kids, I love This is revenge on the child So look, this is your plain dal. The quantum of nutrients inside it is how much vitamin A and iron is in it how much d b12 b9 b6 so this if we dal See without Gugam Mang toh yeh iska Has nutrient value. If we next If you go to the slide, you will see that the lentils Your nutrients inside with good mango How much has the value improved? Oh your Ultimately we are giving medicines to children. We are starting to give regular doses. We When eating food in a natural way like You showed gourd, those natural ingredients. Were. Now what did we do? every day he has a Started giving the dose. So his whole life Depends on that dose. This means if If you take it, how good is it for your health? The Long Run. So look at the first S Parent We founders always say that Feed your family healthy food There is nothing better than that, but what The reality of today is that he It is not possible. That's why 80% of Indians Micronutrient deficiencies within Is. That's why such creative sessions are needed. End From a safety perspective, we have Clinical study was done over four months of Regular usage with 72 participants Safety tests on, such as liver tests There is a urine test and blood test. There were also markers that we had blood at one and a half. Tested Products View Products Can you tell me what you did the testing on? You were one of our external contestants. It was done with an external CRO and this All I'm Assuming Certified is S products than to come yes yes yes so Friend, something different and it could mean everything. Not purple. There is also green and red. Main So this is your mirror, right? Yes sir. Yes sir. How many sachets do they put at a time? Yours Whatever bowl is there in the food plate, whatever 12 One sachet a day for those under one year old For anyone who is an adult. two a day Sachet as a part of any two meats. One sachet So it comes to 202. So that means every day ₹40 If you eat it with dal then it is not very expensive Will be saved. When we launched, one of the sachets was made. If you have to pay that ₹20 then repeat it. The cost of the sachet for which the customer comes After you know the prepaid discount and The repeat discount is ₹15. Then What we did was we launched Jars So that our packaging cost is further reduced It happens. So now they are providing a service to the consumer. The cost increases by ₹12. and our The intent is that as we scale We want to reach the service at ₹10 Are. It's a good session but no one else can do it except you Why didn't you think about it? Inspite of our background in product Development Innovation took me 15 months in cracking this thing because every The ingredients are tasted. Wright and When you add the combination to your food, taste it. No, there should be no change. So basically the first one was Science, the second was chef. that chef game Which ingredient was at which level? If you mix it, the taste will not change. I understood the product and it was effective and efficient. Sales Numbers So what we launched it for was January 2023. I did it so within the first year we Our net sales value was Rs 75 lakh. This year our plan is 5 Crore from which we can make 2 crores How much was the sale last month till now? 35th and earlier months under the net Around 33 lakhs so in February Kunal our The sale was for 6 lakhs net which Trajectory from 6 to 35 lacs last Month Overall What is the company's current burn? Overall burn comes roughly around 45 lax Comes around Rs. 35 lakhs per month Off Sales on 35 Lacs of Net Sales, which I would explain to you the breakdown 25% of this is cogs so our Our inherent gross margin is 75%. Primary, Secondary Freight and Market Places The commission is around 16%. Is. Ours because the scale is still low. Our marketing costs are Roughly around 80-85% performance Marketing comes at a premium. 8085% off the Sales. 85% off the net sales. Goods worth ₹100 You spent ₹85 on marketing to sell Have been. Yes sir. Oh My God. Which is equivalent roughly around Cake for ₹550 which was ours for ₹150 in February What a cake it was. So, as if our Increasing efficiency and scale Because the business is small right now, so less than 150 It has reached ₹550. So our net CM2 It turns out that it is -26 currently, which is January of By this year we will complete the process of being neutral. R on the road map of that. So marketing The cost would be a big concern for me. 85% is going. Let's say that the first If it is a new product then it takes time to explain. It seems. Too much money is going out. But you said this is the need for everyday shower. Will happen. Meaning, those who buy it will buy it every day. What percentage of the users do you have? after the first time they bought Are you using it every day? So five three 32% of our customers return within a month Let's come. Our repeat customer Jo Aovi Hota Hai Wo Ruffly Around 60 Sachets is AOV. And that customer typically It comes to us after 50 days. Tell M1 Give it. Yes. 32% of our sales are inside M1 Whatever comes, it comes from repeat customers. 22% who Customers are repeat customers Every month our If you tell me that who took it last month, how many If people are repeating this month then that is my I think it will be around 9 to 10%. Yours How much is the D2C channel distribution? How much of the market place is there and some outside it Is it there too? 70% of our sales come from our website Is. 25% of our sales come from the marketplace Is. And 5% sale our currently we retail I am doing pilot. and Quick Commerce You haven't been able to enter yet. Hopefully its What is the total burn so far? So By now our total burn would have been rough. Around Rs 11 crore. O or 11? Yes sir. Crazy and total sale today How much has happened so far? Life time sale? Sales worth ₹2.75 crore have been made. 11 crore rupees There has been a loss. Yes sir. First we bootstrapped So we put ₹1 crore of our own money into The company to just get the ball rolling. So that Did. We have done two rounds so far. Tell us about both funding rounds Will give. So the first round was the seed round. Which was in December 22 Pre-revenue. So at that time we invested Rs 34 crore. Rs 6 crore was raised as pre-money. give him The recent round we raced after I raised in January of 24th so that was a At what valuation did the 65 crore round come? The valuation at the time was ₹40 crore and we People right now we're in the middle of another round Right Now Which Is The Pre Series A Round Where we are raising Rs 10 crore Now 70% of which are held by all three investors. Have committed for a follow-up investment Tell me the equity split in a minute. I own 48% of the equity. 12% is Sahiba's. The The rest is with the investors. and this round I will go inside by 15-20%. Roughly 15% so you both will be left at about 40 50 I don't think this one, two, 3 crore, 5 crore, There will be categories from Rs 6 crore. you have money It is not there. The five of us here don't know. I thought such an option was available. that option It will cost a lot of money to tell. what are you doing boss Are you waiting for him? This product is what If ultimately any nutrition product If it starts working on me So I go and tell 10 more people. One It was word of mouth and yes sir. So the second The thing is, this is the approach to building. Through Nutritionist Wright. so we have We have 350 nutritionists who are our affiliates. Partners that we've had over the last year No, 18 months, I understand. Understand? That's a good one. Amanpreet, I have a question for you. Are we in a Rush are we in for to build the business? So Kunal I don't think so that we are in a rush Because I will tell you with one or two examples. I can. Right? When we have the product Let's innovate. Right? So I have two There are so many amazing ideas that we The team pushes us to do it, friend. Business will increase. Right? But we love them not doing it because we are above them Gathering clinical evidence. So I came Wood Say We're Not in the Rush to Launch the Products and Build a Short Term Business But Are We in the Rush to Let More and More People Know About Our Winning Products and Get to a 1 million store distribution and Make a Real Impact in the Country Absolutely yes but what is that thing which is available for ₹20 Sash is sold in India for Rs 10 lakh. How can it reach the shops in GT? It can become a business, I don't understand this. Nowadays, grocery stores sell only what One means per annum household income of Rs 56 lakh Even a person with a hood can buy it at the grocery store. How can you tell me this, Cyber? You can talk about them directly. Need No, I was telling Amar that our Our sales are our maximum sales. Actually she doesn't come from a small town. There are many people in small towns who can afford it. If you can do it then there is no problem in a small town. The same products are sold. Why? big The company has launched its larger bottles recently. Did ₹5% because bite size is a Problem. Look at our little bit of clarity in this. and this will keep evolving that initial Inside the stage, our online Will have to remain a centric brand. because here Pay humare ko oporrchuni milte hai brand Good enough to build. But Our vision within 5 years That is, our business will be 50-50%, There will be 50% online and 50% offline. When If we go to GT, we will not have the entire compartment. Will sell. Right? We are not a ₹300 box Will sell. We try to be like our There are strings attached. Right? and over there Individual sashes are ₹1 each. End Mix the concept of food and Fix the notification. If we differentiate in simple language In other words, we can consider multivitamins as a powder. I am taking it easy in the form of taking it. From A customer stand point once I I decided that brother, I should visit him every day. I have to take supplements, I have to take tablets So whether it's in tablet form, whether Whether it's in the form of food, it's very useful to me. Not a big differentiator. me a pill There will be no problem in taking it also. Once I have decided that I Life has to be lived through supplements only. We in turn me in different forms It is visible too. You increased your M1 retention to 9% told. Meaning the customers who come to you Out of that, only 9% of them did your business the next month. Ordered this everyday product Is. M1 above 50% of a good business It definitely should be. which is 70-80% There are many good businesses. So that region Whatever it is, I would like to get out today. Thank you You. Thank you. Thank you. Thank you. You had two options. There may be a way I was on top of the D to C segment. Make a line product. spend a little To acquire customers initially. But after that with significant repeat Should I come? Your repeat rate is a bit much for him. Not fully matured today. Me It may take time, but it is essential. If you want to become a D2C business. Second The way is you have to become GT. GT ones The scale you have to spend on the way You will have to worry about distribution You will not be left with anything in the price. Net Off Your expenses. So today because I Clarity could not be achieved. That's why I got out Am. Thank you. Today I am out of it. But I Hope You Can Focus Your Energy, Focus Your Talent, Focus Your vast experience or and make this a Successful company. Thank you. Thank you. Thanks. I also have two children, six years and nine years old. Of. And as a mother, give her five almonds every day. Feeding is the task I have been doing for so many years. I have failed because I am the only option for him. Grate it and mix it with rice with ghee. with. I don't know, and it would have been useful. Is. So I think this is a very real problem. Yes, and this is a problem in every household. But you I have made a lot of mistakes. I think your For marketing you just need to know all these things. Instead of raising so much money, one Celebrity mother and a celebrity Funding nutritionists by providing equity You should bring it. Two to three years older than them Creation should be done. We have a lot The capital is lying there. But still, when we had a Launched a Korean beauty brand, we Partnered with Kareena Kapoor Khan. Because India listens to Kareena when it Comes to skin care. We are in touch with many Of them. Right? But before that you had 11 crores burnt Given. I will give you a conditional offer. End The condition is that you are marketing Will bring down the spend by 20%. because again and again If you raise and reach 5% equity So there is no benefit to any investor. End You also need to reduce your fixed costs. Will have to. -Running at 5 - 10% EBITDA Will have to. If you can do it, do the next 3 During the due diligence term in months. Sure. Time period. So my offer to you is On your last round valuation which is 50 lakh for 1.25% plus 50 lakh dept. 10% Interest on interest for 3 years. Sure, thank you. Not much in your business All the problems are there, boss. Frankly I don't Want to be the muck here who will sell is F Ferrari by Investing in Your Business. So Unfortunately, I am not in this yet. I will not be able to invest. If Vinita offers If she hadn't given it, I would have given it. But Vinita's The offer is so good. You then negotiate do it. Please discuss. what he meant was offered That's so good. You don't negotiate. That's what he meant. accidentally made a typo Went to speak. Can we just take some time? take some time thank you Vinita, you ruined my deal, I hate you. You what an offer from Vinita Wright and the The offer is how much you were going to give at least takes 10% [music] 10% thanks Vinita for the Offer can we go with 50 less for 1% equity End balance 50 lacs for four days at 10% No you know you will get another offer of 10% was about to So I have actually given a very fair offer. Because the investors of the last round Our last round to respect Was not even posted 46.5 so this is Going below that it's just 0.25% from What You're Asking and Just to Keep the You have to show him something else even 0.25%. Can show advisory type Are. It's a very small difference. Tell me Sahiba ji. Sahiba ji, you have not said anything. Deal Now Tell me for sure. Ah come on. Let's do it. Or let's do it. Ok. The deal is confirmed. All right. Survived by 10%. Super thank you. Thank you. Create a business. Thank you so much. 20 years in the making It seems so. [music] [music] Sharks are the current philosophy of life. Yellow Meaning you only live once, just mind and bag I picked it up and left, oh hey wait in my pocket Neither money nor the support of friends. Just this work Benefits of coming from home and emotions like bunny. Old jeans and a guitar, no roof over your head and Strangers turned friends. A new city of Wandsworth Dreams. That's why solo traveling is so Love. Unfortunately, in this love story It becomes a pancharat because whenever we budget When we go to hotels, we encounter Yellow washrooms, sheet turning service and centuries By eating old stale food. Their specialty is female solo. Making travelers uncomfortable and everyone Get rid of your city instantly. That's why In 2022, we decided that everyone's yellow Will fulfill dreams. Hello Sharks. I I am Shashank. And I am Anubha. We are in Delhi We are from and we are the founders of Art Baaz. Art Baaz are youth hotels that offer modern Provides all the facilities to the travelers but Affordable prices. Private rooms, Cafes, coworking spaces and domes. But now What are these domes, you ask? Domes Dude, childhood bang beds. today's youth Shared accommodation option in hotels It happens. Instead of private room. Today's Travelers need everything. But at art baz v Always pass the white check. Socializing and Affordability? Check. Room service and fresh Food, check. Food location and a memorable Stay. Check. As is our name, so is our All properties are very artistically designed Has been done. Isn't it Instagram uniform? We have eight buses in eight locations pan India have expanded and gradually become a Developing a Loyal Community of Travelers Have been. 10 years ago, the youth who No one knows the hospital segment Was. Today it has taken a market share of Rs 1500 crore. Is. And this trend will only grow. We are going to do this want to seize opportunity and of the youth hospitality segment in India Want to become leaders. Today our ask is ₹1 crore for 3% equity in our company. So Shark Let's Go Solo and Get Buzzing. The Shashank Experience Welcome to Shark Tank. Thank you You. Thank you Kunal. So tell me a little about yourself story about. I am a single mother of Two children. We live in Delhi. I did my studies in Art History. I was very fond of art from the beginning. I wanted to be a curator. I want to open the gallery Was. But I got married quickly. So my The in-laws said, son, come and sit in the office. It was a very big business. So for eight years I Worked in his business. by the end of It I was heading it as their CFO. But Something in my personal life in 2021-22 Changes happened. I thought maybe I I can no longer work in the company. So I I found out what else I could do. I am a I was looking for a proper one to call my own. Find an entrepreneurial venture. Then I Make an Instagram post saying "Looking for a I got DM from Collaborator and Shashank. we met In 2017. I manage HAI events Was in Delhi and Dubai. first time we I met Anubhav at an event in Dubai. Then we had Instagram exchanges. End That's it. And after that our straight The conversation took place in 2021. Anubha How many hours do you sleep a day? How many I I sleep for hours? Why? Single Mom of Two Plus founder means this is the hardest job in The world is. Yes it is a hard job. I Don't know I always like to count my Blessings. Very good family, good Parents, good sisters, good co-founders all They happen. Great attitude. Super Super Resilient. So tell me a little about your background. Mr Shashank. I am born in race in Delhi. So I started working very early. By the time I reached college, I had participated in many events. Was involved. After that, I spent two years Did a corporate job in an events company. After a point I felt that this is not my Calling and I went on a soul trip to South East Asia. First Destination Vas Thailand. First time visiting a hostel there Experienced it. We are so amazed It so happened that in two or three days, I made so many friends. Went. To visit that country with him. I so much Excited that I thought this was it. I want to bring this to India. So I hired two interns, paid the back end Started working and started a brand Under the name House of Amigos. And then Covid I have arrived. Then your message happened, you guys. We I messaged but on the side I was a She ran a small coworking space to fulfill her hobbies. To do which was named Art Bus. There We are just artists and creatives. Professionals used to do it and I did that too. Started in 2018. my passion It was a project. But it was not enough for Me. He told me that I run a hostel. Am. I said I run a coworking space. I think it was 202. During that lockdown, we Got my website done. Inventory complete I did it for the artist. i.e. paintings and so Original paintings, watercolours, Photographs, flat. For three or four months we That coworking space is called Art Buzz. There was, there was a website also. But it didn't feel very Exciting to us. A physical space that something was missing and these too It was going missing. And it slowly gets to me Were taking a train. We run a hostel. We Runs a hostel. It is a good business. Finally, the SED came in December 202 and is now operational. Let's take it. And V launched in April 2022 Our First Art Bus. Where was this? Mussoorie. [music] Do you have anything in Goa too? Goa right now I am also there. Yes I have seen it. Ok. So you've picked the first location. How were his results in the first year? It's A very small property. It was a trial. We neither had to invest nor do this. Was. So we did a small inventory. We Opened at a very good time. Our Season Vas sold out and Vas came in three to four months Cummins said that we can do this. After that We signed Jaipur, Manali, Dehradun. How many total rooms are there today? 94 rooms, 228 beds. No, but your in this Also showing cafe, Korking. Our four There are things. One is our private rooms. One is domes, one is co-working spaces And there are cafes. Cafes at all our locations Is. Co-working spaces in three locations It is on. It's just in the same properties as the eight Located inside the property. of the same building There is a working area inside, there is a cafe as well. There is also a hostel. How big are these spaces? Average properties are 14 beans. Space How much is it? 15, 18,000 square feet. What is your typical capex? To build inside the building? on n Average 30 L. That Includes Advance Rentals and Securities. That's very good. Divide that advance rental slush How much is the security and how much is the capex? 18 But ours is only recoverable. So If I take a room for a lakh rupees, In that we just have to do branding. It has to be yellowed. putting up art work It happens. Don't tell them too much, it is from o. From You We Are Learning. How the name was told You already know? And what is your payback? Does it come approximately? About 18 to 24 months. 24 Months. Not bad. You spoke in your pitch Yellow bathroom and sheet flip. So what are you Are doing to make sure because in India The biggest problem is hygiene. all eight All eight locations are hand picked. very much Nicely made. Some photos or videos Will you show me? This is Dehradun. It looks good. this is The Dehradun Pvt. running very nicely This is it. This is Co-working Dehradun. Doz R Private cabins. I used to stay in OYO. From today onwards I will have to stay in bus number eight. niche It's good, friend, it's very cool, not so nice This is and every room has one Dedicated Art Work A Room Is Dedicated How many beds would an artist have? Average in a room in your Dom There are six beds, six is your rating. You will find how much the property is worth on booking Wise, if I talk about what we have now Lowest rating and oldest property Key is which is 8.1 vs Mussoorie than Jaipur which is 8.4 Everything Else Is Above 8.5 is good. Not bad. Is it good. Vai good. either what Do you do it for maintenance? Hum Reviews I believe a lot in reading. Because we Customers can be identified only through feel reviews. That's how we track. Off Course SOPs have been made. How to sweep? When are the fans to be cleaned? Make a checklist of everything Have been kept. But this one is housekeeping SOP And that prints out with check boxes. this is all do. I Think It Is What You Are Aspiring for. And we are really Aspiring for this. This is very Important to us because we know we will Not for sale. We will not get a repeat rate if We don't provide this. I love your matter of Factless with everything. And that thing to me I liked it very much. I think it is most important There are customer reviews. I mean, I personally I also try to do that thing definitely Very actively means read. A little of your business Come on. Occupancy ARR slightly higher than that Tell me about it. Our occupancy is 51% Till November means not till date. Urban You run 70-75% occupancy in cities. and their properties are mostly off-the-beaten-path Typically for locations that are seasonal Occupancy of hotels is also 40 to 50%. It runs annually. And ₹100 ADR ₹100 is The Average Night Cost. Or get me one for ₹1100 Will I get this bunk bed or a single room? ₹100 Our average is Sara. But the day you You will get a bunk bed for ₹500 that day. Private room will be available. And coworking has different pricing. Is. It is in three locations. About 106 There are seats. We have a seat for ₹8000 Pricing. And how do you sell it? But per month and per day and for meeting rooms per hour. One got a stay, one got a working one, one The cafe is done. Which part of the revenue How much percentage does he contribute? 75% We have hostels. 13% are cafes. 12% Ko is working. If I stay in a room So that is complimentary. No separate bills Is. So in this 12%, these 75% people who How much contribution do those people who are staying? We do? 99% of normal audiences do. 1% Someone is going, someone is stopped. He one day Took a day pass. It means that whatever there Coming to stay him from coworking It doesn't make any difference. So Art Buzz has mixed these two and Tried to start a new business. There is no mixing involved. you are right Have been. Actually, it was more like a Unit Economics for Us. Assume that an empty It is the floor. Now let's make it a common room. Due to which we will not get any revenue. Or We can put a little desk in there and generate some revenue. Do it. Ok. On the customer side, either of these There is no linkage. A brand to the customer Repeatability is achieved. In Dehradun If we have coworking. When those people go Yes, we have property in Mussoorie also. We also have property in Rishikesh. Its Do you have any data points? So much we Did not take down the note. This is the claim again Yours is a very subjective claim. [music] Let's get into the numbers a bit. FI 20 We had only two properties. That Time was ours ₹ lakh revenue. ₹30 lakh Loss. FI 24 turnover was ₹2.1 crore and Our EBITDA was -30% and 30% was ₹ lakh And tell me about the current eight months. 3.78 Our revenue is crores. 22% of There is contribution and minus 10% is beedi. So Why is it running in minus? Our season He will come right away sir. So how much will you do in this? 6 1 And 1/2 crore. 56% ₹1808R Breaking. But Why did you do it last year then? last year too It was the season, so last year it was also opening. The property that we had the most The property which was opened earlier last year All our units were profitable It is profitable, how much total capex has been invested 4 and a half crore in this, which you Originally it was said that the average is 30 lakhs. This becomes 50 lakhs on average, I will tell you. breakup de deti hoon 30 lacy six Properties 1.8 crore ok after that around The loss I just told you is 1.3 The total would probably be crores. Well, you are Are you telling me after meeting me? ok yes everything Mixing. So your capex till now is this 2 crores He has just gone. No, so we have a property Signed in Himachal and ended in Kasaul Unluckily floods came to Himachal. So that Our property was destroyed and we got that. Property This Year in June. that property Because of this our average cost would have been slightly reduced. Is. Have you been funded? No. No. No. Everything is boosted. Yes. of a unit You will tell me about economics. Rent about 34% Maintenance and utility is 16% of the unit Salary 22% and what we sell in the cafe If I consume it, then 6% will be 22%. is the unit level Ib and then our fix What is the cost of the business? 12% of our It is done by combining marketing and commission. 20% is our corporate cost. So the unit Level Profitability Post Marketing 10% it occurs. Yes. But this is with 50% Occupancy. If we raise our occupancy To 70% than that comes down. because the cost Said it is not possible. what you are talking about There are pay on average right now, our very young Is a brand. Easily on an average 70 75 plus Occupancy can be done. Its your main What will be the mode? It's not work. It's Not What kind of building do you guys live in? Dome Beds is a very big offering which hotels Can't do it. Is your main running from the dome or from the room? Used to be? Revenues come from more rooms Comes. Breakup Kitna Hai Dom Vers Of a private room? 35 to Domes 65 to Private room. What inventory do you have? What is the percentage? We have 94 rooms. 26 We have domes in the rooms. the rest of us There are private rooms. So that means In real estate, we have only 25% of the domes Has given. But contribute that 35% of your is generating revenue. This means your Dom is More Successful Than Your Private Room. In fact, you need private rooms. There should not be a private room. The owner has the option of hotels. Let's Tech Ajars Argument. Can you create an Art bus that only has terms. No. I won't make it because you think I will not be able to fill it. No, because the mix Needed Every type of client comes. That's why I told you yes, maybe. A The couple is tabling. They are intending to stay In a hostel. they are searching for that Category Now. Is couple and core consumer. Couple There are millions of properties behind it. I Guess We should mix and analyze this. So Who is your core customer? Friends, Solo Travelers, workers, 18 to 40 are our age groups. We are able to track the group. is it More Male, More Female, Small Town, Large City. And where are you coming from? Big cities Are coming from. Coming from small towns. Coming from the big ones too. Even coming from small Are. No, this is the answer, isn't it? Not a perfect answer. We are coming from a big Are. Even the little ones are coming. Mail Our Core There should be only one customer. Because our The clientele is very mixed. We think that Hostel for friends or solo travelers only Is for. But family is also preferred From two. As long as you know your core consumer You are not in business until you can tell me Will be able to make it. You have added so much in the original pitch Solo women travelers said a good thing. That's somewhere in the rest of your pitch. Got lost. And I feel that you are in the same place We've gotten stuck where many founders get stuck. Let's go. which is that if you don't stand For something you fall for everything. I really Like you Anubha because of the way you Let's talk and conviction you both have I have invested Rs 4 crore of my own money in it. It's Incredible. First, in a property you Figure it out exactly. what are you doing Are? I am out for now. But I wish you the Best. Thank you. Your concept for Genjis It will work fine. If you stick to this I have to focus on Genghis. is tall A little period. He will come. when they find out He will come. But when you give it to everyone Sir, aunties and couples are also coming there. He is coming, uncle is also coming. So Jenji will also run away saying that brother does not live here. Can. The financials are a bit weak right now. End Secondly it brought a lot of money. Big Round You will have to race. Visit Investors Will have to. When your business model is clear If you go, you can dismiss even the big ones. yes. Unfortunately, I am out right now. Thank you You. big People generally exclude the hotel industry. and guess how many It is exciting and glamorous. But come inside You know how much hard work it takes Is. You did some things very well that new Properties should go rather than old. Maintenance cost is high. Design There is value in doing it. Payback Periods You 16 Keeping it in 18 months. I actually I want to support you, but you You know, I can relate in a way. I am in the field. Good. But we are in OOO We run an initiative called ooo Explains the accelerator program. in which Come join us at Independent Hotel Chennai Let's connect. We provide them with capital. We do. providing infrastructure Are. Provide strategic guidance and Provide distribution. so that their Business grew. I'll ask you about that I would like to meet you. If you guys are interested Are. I will specifically give you guys I would like to give advice. This is one of the businesses Property Mistakes Can Lead to Business Going Bad Down. We have to take every step carefully. ma'am You have responsibility in this. And the second me I agree with Aman Bhai. You said at the beginning That each art passes the wipe check. The Vibe Is Not Just About Infrastructure. it is Also about the guest staying in our Property. We are in a similar space That's why I'm out. But we are like a The company would like to partner with you. I find Clarity of Thoughts or Clarity of numbers approaching whom Are? How exactly do we do this business? They are building me fully transferred. It has not been possible. at the moment of the It's business. I don't have any conviction in that. Is getting it. A Bet as an Investor I am not able to take it. And I'm out. Anubhav I really like you have a boy. You Are very clear in your mind? Very good There are attributes in a founder. But I does not agree that you should have a The focus is on the customer. Your value Prop Price Sensitive Accommodation which is Safe and which is clean. Is it true? that Is oy. Are you guys price sensitive or vibe sensitive? yes. Brother sister butt at good pricing? But What is Morant? Vibe Kunal the people who are coming to you It is price sensitive. India one minute let me finish. So that He is a price sensitive customer. none of it There is no problem. I like the sector a little bit. There is an issue. Three to four good years come in 10 years. in the sector and then something or the other Calamity comes and then comes back you know Stress Starts, Death Repayments. Always It feels like you're one mistake away from Motility. So that's why I'm out, but I Wish you all the best. Thank you guys. all the Best. Do thank you. I Will Come and Stay There for sure. Thank you. [music] I Think They Have Kept Lower Domes And as much as they can keep. I think They can keep 50 to 60% of the DOM and that is enough. Will go. It's a chicken and egg game that you I have to wait a little for what you asked. It takes time to ramp up. Those first three Monthly loss absorption capacity is required. Yes. And as soon as that doesn't happen, stop it. Will start. If it is 3 months or 4 months The month should stop. I think they should be hired ADR will get customers. And the customer who Have they breed other customers. And if you look Nowadays in Judges Travel and Experiences I am investing the money. Travels, See New Places and So On. Please give me your shares, PYO Of. Isn't it? We are mainly focused on Genji's end. Millennials. But we have other types of Customers also come. Now he probably misinterpreted that our market The segment is not defined. Because 90% off the Pitch vent very well. We Thought That We Are Getting the Offer Because It Was Always a Positive feedback. And never say never. Today Otherwise, the sharks themselves may come tomorrow. We have our final [music] Shargs The heart of Indian food is its spices is in. Be it simple home made potato peas Be it the aroma of vegetables or the royal aroma of a restaurant There should be aroma of cheese. Food is cooked in the kitchen But its fragrance fills the entire neighborhood. In India, everything from tea to chole There is a special spice for it. Infact the world Out of 119 spices, 75 spices are from our Grow here. That's why we were told Goes to the Land of Spices. Hello Sharks. I am Hitesh Dave and this This is my daughter and boss Richi Dave. And we came From Mumbai to Tilua. Where we make unadulterated Spices and ready to cook face. all of our Spices come from all over India. As Turmeric Powder from Lakadong and Guntur Chilli powder. And we only use these spices Not only to your house but we proudly say Can that we are also the favorite of more 100 Restaurants. We do not commodify it Look at it as a specialty. and more than That gives us a lot of confidence in our clean label policy. I am proud. That means we are none of these does not use ingredients that It is not added to home food. like no Added colors, flavors, preservatives, acidity, stabilizers and thickeners. And what about us Not only India Sharks but we USA And have exported it to Singapore. And in the last financial year we made 20X The aroma of our spices with the growth of It has spread. Our vision is to make Tulwa a Build brands that will be in your and our home kitchens Not only in India but also in more than 75 lakh countries. The number one choice of most restaurant chefs Became. For this we ask you for ₹1 Lakh against 2% of equity. So let's join Sharks Tulua Make the whole world more spicy. Nice Welcome to Shark Tank Guys. Thank you. Thank you You. Before I ask anything else. Me Tulua Don't go out of. what does tulua Pisces? Tulua means to rise in Sanskrit. So I wanted a name that is very easy for people To pronounce. whether it is in India or There's a name out there that you'll think someone If you don't remember anything else then brand it. A story can be made. Yes, nice, it's a funny thing, it's a little different. Or thank you thank you so much nice shoes by the way Thank you, thank you, how are you? This is our spice box which we Sell on the website. This has at Spices all from different regions. Smell Very nice. I've never seen this in the box. Are. And it was great where you made it. You have Rajasthan. Thank you. We felt That spices grow everywhere in India Is. So as a customer they should also know That's where each of the spices grow. No, you packed it very nicely. Because sometimes people don't pack it And if you pack it, then pack it completely. Let's do it. A specific part that you It is kept visible and that too very smart. There is a choice. Thank you. We will use it when we go home. We will make it together. Yes, definitely Zoff's spices. I don't use it. Yes, I will eat Zoff's for lunch. At night. Tell us a little about you guys. I Born and brought up in Mumbai only. Previous I have been in the sales field for 35 years. I am working. First, I used a pressure cooker. End sts etc. have been sold. After that Then inside the packaging company I corporate Used to do sailing. For the last 15 years I Works as a sales person in the HoReCa industry Am. And when Richi joined his company Later I joined them full time. From which year? 202 End Se. Now you can only work in Lua. Am. Yes, she is my boss right now. I am its Did you follow Papa's orders? actually There was no need to take it. I preplanned And poached them at the right time. Poach Done it. So this was your idea. Yes, this The idea was mine. How do you feel about your father? To be the boss of? I hear what you have to say and When there is some tough situation, I say I don't know who the father is. actually This never happens. I feel like I I am very fortunate that my parents are very Is more supportive. What I have to say I put it in front of Richi and said, look at this You can do your work in this way. Final Decision It belongs to Richi. very nice. You your Tell me the story. Sure. So in 2020 I Tulua Luch did. I was one of those students who interned Through out college. So right after my 10th Standard I started working. College After I finished my first Started the startup. it was a digital Marketing agency. So I did that in 2015 I had started it. I got that through the agency. Many upcoming Indian startups with Mainley who was in the FNB space Worked together. You just closed it agency? Yes, absolutely. So between 2015 To 2020: The Deeply Changing Consumer Was doing behavior research. then me I realized that there are many women like me. Those who do not know how to cook. only then I struck upon the idea of Tulua. Lunched with ready to cook paste. 2022 me jabhi covid se u know the things Changed Again We Noticed That Our Ready to cook orders used to come sharp It started declining. By this time we boost and I bought the sole from my personal savings Had launched. So this product at that time Yours went away because everyone was home during Covid. Were sitting. Everyone was fond of cooking, so We sold it in great haste. and Morantly There were no cooks. Yes. So one of those times Made a product that worked at that time. Now he The product is out. Now our new business Is. Yes. We still have our paste but his The quantity is very less. That's our main focus Not there. Our main focus right now is spices. In which we have two verticals. B to B Which are cells in Horeca and D to C. How do you two divide your work? I basically focus on more sales. I live. Plus a little look at operations I take it. And I Mainly Brand Strategy, Brand Design, B to C Side Of the business, product launches and growth. You have written here Lakadong Turmeric. Yes. This is the area, isn't it Lakadon? North East. North East came from here. This is where it came from Is. So what's with the differentiator? Did you get your spices? In fact yours This is also the market of Lakadong which is healthy. I get it very easily. All Over India All spices grow. So if we I want to see the best quality. Now suppose turmeric So where does turmeric grow best? And why is he called the best? because of The amount of curcumin in it. On this, when you claimed that If you have more curcumin in your As it is written here, 9.3% curcumin If we take turmeric from the safe, then it will contain How much curcumin will be generally around two to Contains 3% Cocumin and Other Brands Why don't you give Lakadong turmeric It is a difficult source and also expensive. Most Of the brands who are selling the Lakadong Turmeric wood price between 150 going Up till even ₹300 and more we sell for ₹97 Are. Our USP is that we do the same good They give things at cheap rates. This is our USP Is. Yes sir. So your overlap of SKUs What percentage will Let's Take Sea Everest be? We have eight spices that go into the house. Of which four are near Everest. They have the same origin. actually Everest or those other brands do not claim We do. From which region is it being sourced? Is. Typically packed like Everest or any other Also, what price are the famous brands available at? In range? We recommend Kashmiri Chilli for this. Let us take the example of powder. We sell it Let's do it for ₹15. Any other brand will be Around 125 to 130. Richi and Hitesh, I have met you. And Actually Richie is probably one of the most Impressive Founders I Met Recently we came very close to Investing. Why not? But we did we Didn't go ahead. For a variety of reasons. But When we had the discussion, this decision was taken right now. wasn't completely taken that you b to Do you want to do B only or can you do B to C also? want to do. Our main focus is HoReCa B to B. So when we talk about HoReCa Chefs mainly need whole spices. The reason for this is that they make their own powders. Make it. It contains most of the spices which The sale happens without any branding. There is a cell. There is no one brand that Whole Spices Single Powder Spices Good Consistently supplying quality yes. So we saw a huge gap there. B to At Babi we aim to be one of the first brands I want to. This is your claim. not like that would say that it is not a brand because the Blended Spices is a brand in it It is available. Blended means chaat masala, garam Spices. But whole spices which are the biggest There is a category in which there are no branded Players. So you have decided that Primarily this will be a HoReCa brand. And Little you'll sell online just branding For. What is the distribution going forward? We get 92% of HoReCa and retail. Then why are you powdering it at 8%? And I'm guessing this powder has you Can't even tell the difference clearly There is specially something like Kashmiri chilli I mean Kashmiri chilli in a box sabki Same, you can find many such whole spices. Just for chefs, why don't they make that? We are already doing that, that focuses mainly on Hurreka but I believe that if we d to If it is not available in C or if we If we don't make it, it will also impact us. Overall growth. The entire focus is already ours It's just above Horega. Together we are here People are doing this so that in the future we People will do D2C as well as retail. In that too, the grow market size is very big. Tell me a little about the last three years. What has been our revenue? 2021 is ours The revenue was 8 lakh. 21 22 Our Revenue It was 42 lakhs. This year we visited the US Had it exported. Then our empty paste Were. His next year our revenue was 14 lax. This time also our paste is empty It was a category. Our last financial year The revenue was Rs 2.9 crore. this financial year We had added spices in it. right now which Current financial year, till date We have generated a revenue of Rs 2.9 crore. Our monthly MRR is 37.5 lakhs. this month We're going to touch 45. and those who follow Months left, we're looking at about 50 Two 60 lacs per month. Around 6 crores We are thinking that we will do it. And What was our bottom line last year? Previous We had a negative EBITDA of 13% for the year. A Current Our 3% positive in the financial year EBITDA is with a profit of 9 lac in total. Who did the negative fund? Our two rounds It has happened so far. First was Angel Round Which we did in Start of 23. We have 2 Crores were raised of 8 10 crores Valuation. This year we raised 2.7 crore rupees Post money worth Rs 19.7 crore has been made Valuation. from negative 13% last year Why this change that they have now reached 3% positive? Came? So last year we had Spices Lunch Kare the and our strategy was to break the Price and enter as many kitchens as possible. So we have calculated the gross margin I compromised. This year we have our Gross margin increased. Which region are we in? Are you distributing now? So last In one year we worked very hard in Bombay. Were living. Right now we are in the process to Start Pune in Maharashtra and Surat in Gujarat. How many restaurant partners Will you be doing a sale? Over a 100. How many? There are restaurants that will last longer than your 15-year-old self. In experience you knew and how many such restaurants that you first encountered Talked about selling it. out of 100 25% to 30% are from my old relations. All the rest are new to us. I don't even have a little Discomfort is coming Founder Market Fit Of. Founder market fit occurs when the founder personal background, skills and The experience should be perfectly aligned From the market in which the market is Want to start a business. such a necessary Not that he has a background in that market. And you need experience to be successful. It does help though. I think your one Marketer's mind and passion There is conviction. And you are a very strong Be the founder. And because you two are together Are. This business in two directions It is being pulled. You are on such a small scale We are also exporting. in India too Are doing. Holes are being made and powder is also being made. Are doing. B to C are also doing end They are also doing Hore's. And the paste you I told you I'd left them, they're still selling them. Are. I Feel That You Know is a super in focus There is power which is very important early In stages. The team does not have that power here today. being able to get Because you guys can't decide. that what to say no to and I feel that this You will not take this decision even after paying Rs 50 lakh. You will get it and as soon as you do too many things Will remain. So for that reason I am out thank You. If you want leadership in HoReCa So you have to say this in your 5-year vision. that I joined Spices in the next 2 years Will Create Leadership But in the Long Term I will lead in multiple products. If Not then may be de to see is an opportunity and that you do very well I know. Meaning the quality of design, Thinking Everything You've Done Is Quiet Good. But I think today that clarity Not there. For that reason, unfortunately, I I am out. I wish you all the very best. Thank you You so much. I actually think your strategy That one is your consumer facing brand But primarily it is a B to B business. They Actually the strategy is fine. many such There are brands in India that have become examples like this. As Ferns and Petals so because A brand is recognition of that brand So that's your preference, let's do this It will be more reliable. But I think this that the business is still very early and Primarily in Mumbai because Hitesh is yours There has been experience in this region. Question This is when you go to five more states If so, you can replicate this now. Because there is no clarity about it right now. This Today I Am Not for Reason. Thank you Guys. I'm going to see you again. Me The product did not show a true differentiator. So I'm looking at you like yet another vendor Am. You can use as much of your experience as possible By doing this, probably a decent business Will take. But this brand is becoming and Will become a significant leader. As really I I can't see anything like that. So for that Reason I Will Be. Thank you Aaja. I felt very happy when you came. This business. I remembered Zoff. Meaning I was there. It started from here. The spices team is good. You said that I I am going towards Hore. That is also correct. This pitch came here from here. know why? Why? Because what you're doing, brother. Sir, Hitesh, you are selling it in Hareka, good? You are selling it. I would not have been in your place He tells his daughter, Boss, you do one thing. do it. You increase this D to C. you this Do it offline. Build an omnichannel brand. We They are saying that we are also doing D2C. Are. I asked you a simple question, are you Where will you focus? you know what spoke? I would like to give you a suggestion please There is power in this. What does it mean sometimes Don't we underestimate ourselves? here I think you guys are underestimating Yourself. But Raman ji, I said we are D2C We are also doing it and going forward we will also go into details. do. But today it is more horeca. God Got it. But today there was a problem with the pitch. We all felt that you were going towards Puraka. Be so focused, so focused that you Don’t want to do. So unfortunately I will be All. thank you so Mach. Thank you. Be in touch. I'm so like, I'm disappointed in the CEO But she is worth two or But power of them daddy's shadow they could do Better or she has to be separated, this is it This is not correct because whatever The decisions of the company are those of Ritchie CEO and She is the founder and she is the one who decides. It Was Richies Idea that we have to do it And I am just supporting her. We who Brands are billing it as omnichannel. At some point, perhaps Aman thought that we were D2C Not doing it at all. While we d I am doing this but more cognizantly. Doing it without spending a lot of Funds on it more organically. Welcome to Ask the Shark. with us today There's a shark that can eat the entire market. Are. If momos are available in the market. Please welcome Cofounder and CMO of Boat Lifestyle Aman Sir. How are you sir? Correct Is. Was this right? So friend, okay, good. You eat so much momos that they just defame you. Have you kept it? No no, I eat it, friend. By the way, today's question is written by him. Hello Aman. We are from Kanpur and our My name is Arvind Tripathi. We have seen peace You can do most of your ads and marketing Likes to bring celebrities into campaigns yes. So these celebrities' ads and collabs The more budget you put in, the more ROI you get. Let's earn it. Arvind thank you for the Question. Good question, friend. We There are profitable brands. We have been here for 7 years We have celebrities. It is not so That celebrities are keeping from today. So This is the main purpose of bringing celebrities. That creates a long term vibe Of the brand and of the celebrity. Ok? So ROI isn't everything. We are RI Driven is the brand. RI Driven Marketing Is. There is long term ROI. Short Term It does not have RI because awareness It is good. But yes, slowly Consideration and purchases also increase. But this Tracking the time that the celebrity Like we suppose Ranveer is our celebrity Is. Yes. So her and our brand wife It matches very well. means that too There is that much energy. He is young. Our young too Is a brand. It is an energetic brand. So our His wife matches him but if we suppose If it was ₹100 then the ROI of that ₹100 at the same time Don't want to come. But that overtime brand It goes into perception. So it is necessary I feel like a celebrity. Now just one There was time. My marketing team is five people. Had done. Just 25 brand ambassadors so the brand Ambassadors were the ones who worked for us the most. I think more and then slowly Our Boat Heads become our brand ambassadors I went well, the answer is good friend, see you soon Next, ask the suspect in a video. Question in a new shark [music]