WHAT IS SHARK TANK? SHARK TANK INDIA | SONYLIV

 WHAT IS SHARK TANK ? 

Shark Tank is an Business reality television series that premiered on August 9 2009 on ABC and continued till now. It shows entrepreneurs making business presentations to a panel investors or 'sharks' who decide whether to invest in their business plan or not.

Aspiring entrepreneurs from around the world pitch their business models to a panel of investors and persuade them to invest money in their idea.

The Sharks looks for the best products and businesses entrepreneurs has to offer.Entrepreneurs come to the Shark Tank seeking an investment to start, grow or save their businesses. If the Sharks hear a great idea, they’re ready to invest using their own money. And they’ll fight each other for a piece of the action. But first, the entrepreneur must convince a shark to invest the full amount they are asking for.

THE NEED FOR SHARK TANK

Shark tank was basically introduced so that people having with great startup ideas get a platform so that they can show there business plans, products and services to the world and can get recognition, resources and investors. The other reason for shark tank to be introduced was that people have'd ideas of startup but don't have resources to start it, so sharks i.e businessman's/investors provide them the resources , so that they can set-up their business.

HOW IS A BUSINESS VALUED IN SHARK TANK? 

The underlying theme of shark tank tv series is for the Sharks(the investors) or the enterprenuer (pitching their business) to convince the other side to accept the valuation of their business and negotiate a deal based on it. The entrepreneurs tend to come in with high valuations, and the shark counter with lower valuations. 

Every Shark Tank pitch starts with contestants asking for a specific amount of money in exchange for a specific percentage of ownership in their business. That establishes their proposed valuation. So for example, if they want to give 10 percent of the company for $100,000, that’s a valuation of $1 million; and 30 percent for $150,000 is a valuation of $500,000. It’s simple math.

Investors like valuation to relate to actual business numbers, such as sales, gross margin (price less direct costs), and burn rate or fixed costs. On the show, the sharks frequently object to unrealistically high valuations; sometimes they make their own offers based on much lower valuations. That’s a simple matter of making offers and counter offers. Very rarely, they’ll accept a valuation based on the value of proprietary technology, or brand impact, aside from actual business numbers.

SHARK TANK INDIA

SOURCE: SONY LIV

Shark Tank India is an upcoming Indian business reality television series that will be premiered on 20 December, 2021 on Sony TV. It shows entrepreneurs making business presentations to a panel of seven investors or sharks who decide whether to invest in their company. The show will be hosted by Ranvijay Singha.

The 'Sharks' are:

1. Ashneer Grover, Founder and Managing Director of BharatPe.
2. Vineeta Singh - CEO & Co-founder of SUGAR Cosmetics.
3. Peeyush Bansal - Founder & CEO of Lenskart.com.
4. Namita Thapar - Executive Director of Emcure Pharmaceuticals.
5. Anupam Mittal - Founder and CEO of Shaadi.com - People Group.
6. Ghazal Alagh - Co-founder and Chief Mama of Mamaearth.
7. Aman Gupta - Co-Founder and Chief Marketing Officer at boAt.

3 MOST SUCCESSFUL PRODUCT FROM SHARK TANKS

1.SLEEP STYLER

• The product: Heat -free hair rollers created from memory foam, to use while sleeping. 

• Shark that bit: Investor and entrepreneur Lori Griener ($75000 for a 25% stake in the company) 

• Sales: $100 million

2. THE BOUQS

• The product: An online seller of flowers that partners with eco-friendly farms. 

• Shark that bit: Canadian entrepreneur Robert Herjavec invested. 

• Sales: $100 million

3. BOMBAS

• The product: Comfort socks and more recently T-shirt too - for every item purchased, the company donates an item to organisation that help homeless people - it has donated more than 40 million items to more than 2500 community organisations to date . 

• Shark that bit: Daymond John founder of global hip-hop fashion brand FUBU ($200000 for a stake of 17%) 

• Sales: Co -founders David Heath and Randy Goldberg were inspired to create bombas after discovering that socks were the most needed items at homeless shelters, since then lifetime sales have reached $225 million. 

OUR FINAL WORDS 

Over the years, the shark tank stage has been many great ideas and also a lot of duds. The countdown of its three most successful products demonstrates, there is still room for new ideas. No doubt by offering exposure to million of viewers and funding from shark investors the shark tank will continue to launch successful entrepreneurs and products.

Happy Learning

Team,The Successlogy

[Article By Dewang Singh and Anurag Tripathi]