Gud Gum Update | Shark Tank India Season 03
Gud Gum founders Bhuvan B Nagori and Mayank B Nagori pitched on the Shark Tank India for ₹50 lakh investment in return for 5% equity. In their pitch, Bhuvan said that Gud Gum is made from natural ingredients, sugar-free, and plastic-free material.
Founders are primarily targeting athletes, smokers, diabetic people, parents, and kids, and their target age group is between 22 to 45 years.
Will any shark invest in this chewing gum company? Find out in the Gud Gum Shark Tank India episode recap.
| Company Name | Gud Gum |
|---|---|
| Founders | Bhuvan B Nagori and Mayank B Nagori |
| Founded | 2022 |
| Products | Natural Chewing Gum |
| Ask | ₹50 lakh for 5% equity |
| Deal | ₹80 lakh for 10% equity + 4% royalty until ₹80 is back |
| Sharks | Aman Gupta, Anupam Mittal, Vineeta Singh, and Ritesh Agarwal |
What does Gud Gum Do?
Bhuvan B Nagori and Mayank B Nagori started Gud Gum in 2022. They started the venture with their own resources. And, their only financial assistance came from their father.
Bhuvan owns half of the company; meanwhile, Mayank holds 30%, and the remaining 20% belongs to Mayank’s wife.
Gud Gum proudly introduces India’s inaugural plastic-free and entirely natural chewing gum. It is made from essential oils, fruit extracts, and natural sweeteners.
And, most importantly, they’re completely safe for kids. It is also eco-friendly because it biodegrades, unlike conventional gums.
And they come with a palette of nine flavors, so they are suitable for adults aged 22 to 45. Gud Gum also boasts a customer base of over 17,000. This is helpful in preventing a remarkable 850 kg of plastic from polluting the environment.
You can find Gud Gum on their website, Amazon, and in over 120 retail outlets across 14 cities. Plus, each packet also includes a bonus sticker and a convenient spit-out paper.
Gud Gum differs from traditional gum in that it doesn’t contain PVA. It is a harmful material commonly used in glue and tires. And, even though gum typically contains only a small amount of PVA, it takes a hundred years for it to degrade naturally.
Therefore, Gud Gum opts for chicle tree sap. Thus eliminating the issue of gum sticking to surfaces and making it easily disposable by mixing it with dirt.
Gud Gum Financials
The chewing gum market in India totals ₹1000 crores. Meanwhile, each packet of Gud Gum is priced at ₹99, offering a discount of ₹10.9, and ₹17.8 is allotted for GST.
Moreover, ₹23 is dedicated to COGS, ₹7 for salaries, ₹3 for administrative expenses, ₹7 for shipping, and ₹7 for advertising and marketing. And rent and electricity expenses come to ₹3, resulting in a profit before tax of ₹20.3.
During the fiscal year 2022-2023, they got sales of a whooping ₹29.7 lakhs. And, for the November of fiscal year 2023-2024, their sales had already reached ₹53 lakhs.
They anticipate closing this year’s sales at 1 Crore. Their sales are also evenly split. A huge 50% comes from online channels, and the remaining 50% from offline sources.
Gud Gum Shark Tank India Episode Recap
Bhuvan B Nagori and Mayank B Nagori came to Shark Tank India to raise funds for their chewing gum brand.
During their pitch, the founders highlighted the negative impacts associated with conventional chewing gums found in the market.
They emphasized that many of these gums contain plastic, which makes them non-biodegradable. So, in response to this environmental concern, they introduced Gud Gum.
According to the founders, they have catered to over 17,000 customers through their website and platforms such as Amazon.
Following their introduction, the founders proposed a deal seeking ₹50 Lakhs for a 5% stake in the company. They are valuing it at ₹10 crores.
Namita Thapar expressed interest in learning about their career journey and the inception of their brand.
Meanwhile, Aman Gupta noted that their packaging was lacking. He particularly highlighted the use of plastic pouches for their chewing gums.
Anupam Mittal mentioned that he had connected with them nine months ago and noticed significant improvements in their business since then.
Vineeta Singh also inquired about their products, competitors, and target market during the discussion.
Gud Gum secured a deal worth ₹80 Lakhs for a 10% stake, along with a 4% royalty until the investment of ₹80 lakhs is recovered.
This deal was from all four sharks, Aman Gupta, Ritesh Agarwal, Vineeta Singh, and Anupam Mittal, who were involved in this deal.
Who are the Founders of Gud Gum?
Bhuvan B Nagori and Mayank B Nagori co-founded Gud Gum.
How much is Gud Gum Valued?
Gud Gum secured investment in Shark Tank India at a valuation of 8 crores.
Did Gud Gum secure a Deal in Shark Tank India?
Yes, Gud Gum was able to secure a deal of ₹80 Lakhs for a 10% Stake.
Final Words
The future of Gud Gum looks promising as they have a backing of four sharks. And they also got a good deal, which will help them to expand their business and reach new customers.
It’s too early to say anything about the company’s future yet. However, we’ll tell what happened to Gud Gum after Shark Tank in our company update article. Stay tuned!
