Flatheads Shoes creator broke down in tears during the Shark Tank India Season 2 episode that aired on Friday, January 6. He said that his firm was not receiving the best reaction and that he would soon need to find a job since he was running out of money.
Keeping a business viable and persuading investors to support a start-up are both difficult tasks in the life of an entrepreneur. Before the start-up establishes its foothold, some could even describe it as a terrible existence.
The co-founder of Flatheads Shoes, Ganesh Balakrishnan, solicited funding for his startup by participating in the fifth episode of “Shark Tank India” Season 2.
Balakrishnan’s company was about to go down when the episode was filmed. In the last two months, he claimed on the programme, he personally contributed 35 lakh rupees to keep the firm viable. The shoes’ co-designer and fellow creator Utkarsh Biradar also contributed the same sum. Although Biradar left the venture in 2022, she still owns 30% of the company.
Let’s see what the Sharks had to say about it.
About the Brand
Balakrishnan graduated from IIT Bombay with an MBA and worked for a few corporations before starting his own business. In the most recent years, he established a variety of brands. As seen by his narrative on Shark Tank India Season 2 episode, the entrepreneur appears to have hit a hard point lately. He founded Flatheads in 2019 and was able to treble sales and deposit the epidemic.
The company’s items are mostly centred on casual shoes, sneakers, and knit textile shoes that provide minimalistic style and allow consumers to obtain the best all-day comfort at an accessible price.
The company’s ‘all-day casual shoes for the urban workforce’ range in price from Rs.1,000 to Rs.5,000 a pair. Additionally, it sells the first shoes made of linen in India and banana fibre.
Sales of the Company and Valuation
Flatheads shoes start-up was having trouble, which was observed by the investors in the reality TV series. The venture capitalists on the show noted that the start-4Ps up’s of marketing (product, pricing, place, and promotion) were misapplied. The company’s funding had gone dry, the co-founder had left Balakrishnan behind, and the company’s finances had stagnated.
For a 3% ownership part in his business, Ganesh required a 75 lakh investment. When questioned about “Flathead’s” sales and profit “statistics,” Mr. Balakrishnan said that “\Flatheads Shoes is presently experiencing a working capital restriction and that his runway (the number of months the firm can continue to operate before it runs out of money) is almost gone. According to him, Shark Tank’s financing is crucial in keeping the business from folding.
The co-founder of Ganesh Balakrishnan who had been creating these shoes also failed to appear. Additionally, he had raised more than Rs 10 crore from angel investors, who were now completely abandoning him.
In answer to Shark Peyush Bansal’s inquiry on if he is searching for a job, Mr. Balakrishnan stated, “If I don’t get the investment today, then I’ll hunt for a job since I don’t have money.”
Deal or No-deal?
Bansal and Vineeta Singh made an offer of 75 lakh rupees for 33.33% of the business, but Balakrishnan rejected it.
He received a job offer from Anupam Mittal, the creator of Shaadi.com. He rejected, claiming he wanted to concentrate on his company. Mittal said: “I have an open offer for you.” He then emphasised that this platform is not simply for business and finance.
Ganesh explained: “I didn’t accept the offer in a moment of emotion because I genuinely wanted to make sure I was choosing the greatest course of action for myself and my family.”
The Aftermath: FLATHEADS SOLD OUT?
“To be honest, I was dreading the airing of the Flatheads pitch on Shark Tank India. Breaking down on national TV isn’t exactly great for one’s self confidence. What I definitely didn’t expect is the episode to be received the way it has been, and it is very very heartening to see that people are applauding the entrepreneurial spirit – of all startup founders, with me as a proxy”, Balakrishnan said.
Balakrishnan’s proposal started trending on social media after the broadcast. The aspiring businessman from Bengaluru, who is experiencing a lack of operating money, has since stated that his inventory has “sold out.”
Balakrishnan said on LinkedIn: “Please excuse us if your size is not available on www.flatheads.in since we are practically out of stock in India. It would be wonderful if you could recommend our shoes to your friends in the US and the UAE “.
Anupam Mittal was one of the first ones to congratulate him,
“‘Success builds ego but failure builds character’
Spoke to @ganeshb78 of @flatheads_in today & thrilled to learn that he has landed firmly on his feet 💜… until the day he starts up again 😉🚀 #SharkTankIndia” –@AnupamMittal on Twitter
People on Twitter praised him and still are. People loved Balakrishnan so much that they actually made the company go out of products! It’s time that Flatheads Shoes starts its production at an accelerated speed.
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