Is Falhari out of business after Shark Tank India?

• Founders: Dhruv Soni, Rahul Shankar Bhardwaj & Gulshan Sharma
• Business: Fresh Fruits
• Ask: ₹50 Lakhs for 2% equity
• Valuation/ Networth: ₹25 Crores
• Funding: No Deal
• Sharks: No Deal
• Episode: Season 1 Episode 22

Falhari Shark Tank India Pitch:

Falhari is an Indian startup that claims to be India’s biggest fresh fruit brand. They have over 200 varieties of salads, juices, lassis, etc. The founders of Falhari came to Shark Tank to seek an investment of ₹50 Lakhs in exchange for 2% of the company, valuing their business at ₹25 Crores. Falhari was started in 2015. The founders added that Falhari’s vision is to distribute 25 seasonal exotic fruits to consumers in customized form.

Falhari did revenue of ₹20 Lakhs last month and ₹17 lakhs the month prior. Their margin is at 25%, which they are discounting for marketing. Their wastage is less than 5%. They also have a repeat rate of 70%. The founders shared that they have made 4 major innovations that differentiate them from the competition. The first is how they procure, and the second is their innovation with their product. The founders added that they have also worked on technology and the matter of choice to make themselves more attractive as a company. They are burning ₹1.5 Lakhs per month.

They raised a first round of investment in January 2020, where they took an investment of ₹25 lakhs at ₹5 Crore valuation. The second round was raised at a 10 Crore valuation, where they raised ₹17.6 Lakhs. Their next round was in March 2021, where they raised another ₹31.4 Lakhs at ₹10 Crore valuation. Their final round was in August 2021, which was closed at ₹25 Crore valuation.

Falhari Shark Tank India Negotiations & Funding:

Vineeta didn’t like the revenue model, although she did like the entrepreneurs. With that, she offered ₹50 lakhs for 8% of the company, valuing their business at ₹6.25 Crores. Ashneer suggested that the founders should shut down the business and waste their time on the business. With that, he goes out of the negotiations. Anupam shared the same sentiment as Ashneer and added that there is no business here; therefore, he also goes out of the negotiations. This was followed by Peyush going out as well, due to him not having clarity on how the team is operating and their structure.

The Falhari team disclosed their team structure and equity split as follows: Gulshan is the founder and CEO of the company, and he has a 75% stake in the company. Rahul has 15%, and Dhruv has 1.5% of the company. Vineeta puts a condition on her offer that Dhruv will need to have at least a 15% stake in the company if she were to come onboard with her investment. Aman wanted to invest, but due to Dhruv not having enough stake in the company, he goes out of the deal. The founders take a moment to think about Vineeta’s offer but come back to decline her offer.

This was one of the most entertaining pitches, and I recommend y’all to watch this (opinion).

Who are the founders of Falhari?

Dhruv Soni, Rahul Shankar Bhardwaj & Gulshan Sharma founded Falhari. Gulshan has a mechanical engineering degree from Punjab University. Rahul & Dhruv are IIT Bombay graduates. Dhruv has an MBA from IIM Bangalore. Gulshan is the founder and CEO of the company, and he has a 75% stake in the company. Rahul has 15%, and Dhruv has 1.5% of the company.

How is Falhari doing After Shark Tank India?

Our research on Falhari revealed that despite not getting a deal on Shark Tank, the company is still in business as of January 2024. Gulshan shared on the podcast AdornTalks that their Shark Tank experience was positive overall. He added that as of July 2023, they were doing ₹60 lakhs a month in revenue, putting their yearly run rate at ₹13.4 Crores. Gulshan credited this to the exposure they got due to the show.

In our research, we also found that while Dhruv is still working with Falhari, he has also founded another startup, KD Ventures, where they work with brand’s early-stage investments and growth.

Here is an update on other companies from Season 1 Episode 22.