The founders of Nesher Miles, a luggage brand, made an impressive deal with all the sharks on the show. But before sealing the deal, Anupam Mittal decided to test the durability of their product by jumping on one of their suitcases.
The entrepreneurs asked for Rs 3 crore for a 0.75% stake, valuing their company at Rs 400 crore. Despite initial disbelief from the sharks, negotiations proceeded. The entrepreneurs claimed their brand was bootstrapped and profitable, with revenues exceeding Rs 50 crore last year and projected to reach Rs 100 crore this year.
During the negotiation, Anupam was surprised to learn that two of the entrepreneurs drew monthly salaries of Rs 7 lakh each, plus bonuses based on sales. He remarked that despite his 20 years of experience in building companies, he never drew such high salaries.
Despite interest from all the sharks, they were unwilling to accept the Rs 400 crore valuation. Eventually, after negotiations, the sharks collectively offered Rs 3 crore for a 1.5% stake, plus Rs 1 crore royalty until their investment was recovered. This brought the valuation of the company down to Rs 200 crore, and the entrepreneurs accepted the offer.