GROWiT has raised INR 50 lakhs from shark tank season 2. Namita and Piyush have invested in this startup. The owner made an ask of 1 crore rupees for 1% equity in the company.
Piyush and Namita offered 50 lakhs for 1% equity and 50 lakhs debt at a 10% interest rate. Pitcher asked to raise the valuation to 75 crore rupees. Piyush and Namita said they had given them a proper valuation of 50 crore rupees. And the deal was done with the same offer which Piyush and Namita gave, 50 lakhs rupees in exchange for 1% equity and 50 lakhs debt at 10% interest rate.
Also Read Gladful has raised INR 50 lakhs from shark tank season 2. Amit, Aman and Namita invested in this stratup.
About Company GROWiT
The founders of the company are Saurabh Agarwal and Akshay Agarwal. They come from Surat. Saurabh graduated from Cardiff University, UK and then completed an MBA from SP Jain of College, Mumbai. Akshay has his master’s and graduation degree in Plastic Engineering from the University of Massachusetts, near Boston. They are brothers by blood relation. They are third-generation entrepreneurs.
GROWiT is a company that provides protective farming and other advice for better yielding of crops. In other countries, 70% – 80% of farmers use this technique, but in India, only 2% of farmers use this technique. This technique comes with some benefits, like Ensuring that the consumption of water, fertilizer and pesticides is reduced by 50%, Preventing sunburn and weed growth, Increase the quality and quantity of farming products, which can result in better returns for farmers.
They have already worked with 15000+ farmers in 4 states. On the shark tank, they showed an example with numbers. The farm that uses mulching is getting double the profit than the farm that does not. Mulching is a structure made up of plastic that can be used to retain soil moisture and prevent weed growth and pests and insects. The market size of mulching is 400-500 crore rupees. To convey the needs of this structure, they have made 70 demo farms and have 18 products in total. They also have added material in mulching production, which can last for one harvest season.
GROWiT has recently launched a buyback scheme where farmers can sell back used products to the company. They have brought back 40 lakhs of products from the farmers this year. On average, a farmer needs 15000-20000 rupees for one acre of land to install mulching. The best-selling product is a mulching film which ensures 80% of total sales.
GROWiT Business Statistics:
The sales were 20 crores in 2021-2022. In 2022-2023 till date, they had sales of 13 crore rupees. They have projected sales of 30-40 crore rupees. Their sales are 60% from B2B and 40% from B2C. For B2B, the gross margin is 22%. Net EBITDA is 5-6%, and profit after tax is 2-3%. In D2C, they are EBITDA positive but PAT negative. In the last year, they burnt 1.5 crore rupees. In March 2022, they raised 3 crores at a valuation of 50 crore rupees. They have diluted 6% of equity, and 94% is with them.
What Problem Do They Solve?
GROWiT was started to manufacture advanced and innovative products that ensure optimum quality and yield for the Indian Agricultural & Farming Industry while lowering its carbon footprint. Their products are plastic mulch film, shade nets, crop/fruit covers, sticky traps, pond liners, lay flat tubes, vermi beds, mulch laying/hole punching machines and agri wires that will ensure sustainable, efficient and cost-effective agricultural practices. Their primary focus areas with GROWiT are critical solutions like quality food, climate-smart agriculture, farmer empowerment and enhancing farmer productivity. They also ensure that their farmers have maximum productivity, the highest quality, and minimum wastage.
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