- Founder: Sulay Lavsi
- Business: Underwear
- Ask: ₹75 lakhs for 4% equity
- Valuation: ₹18.75 Crore
- Result: ₹75 lakhs for 7.5% equity
- Sharks: Namita Thapar & Aman Gupta
- Episode: Season 1 Episode 4
Bummer Shark Tank Pitch:
Bummer is a private innerwear provider targeting millennials, with a focus on delivering comfortable and sustainable innerwear featuring bold colors and funky designs. The company offers a diverse range of new-age essential wear made from micro modal fabric, known for its eco-friendliness and sustainable sourcing.
Sulay has mentioned that Bummer innerwear is exceptionally lightweight, with boxers weighing less than 60 grams and bikinis weighing less than 30 grams. They sell their innerwear on Amazon, Flipkart, Myntra, and through their own website.
Shark Tank Negotiations:
Ashneer inquired about the company’s margins, to which Sulay replied that they have a gross margin of around 70%. The average order value is approximately INR 1,100, out of which manufacturing costs are INR 330, shipping costs amount to INR 70, and marketing expenses are INR 550. As a result, they achieved a net profit of around INR 150. Additionally, they have a loyal customer base, with 25%-30% of their customers being repeat buyers. In July, they successfully closed a fundraising round with Beenext Singapore and Fourangels, valuing the company at INR 9 Crore at that time. When asked why the valuation had doubled since then, Sulay explained that they had already achieved INR 80 lakh in sales and aimed to double that figure within the next four months.
Anumpum was the first shark to opt out of the deal, citing a previous bad experience in the lingerie business. It was a bummer ride for Sulay as Ashneer got offended from his comment “Aman and Veenta are specialized in B to C business”. Ashneer decided to withdraw from the deal as well. Veenta, declined to participate, believing that the valuation was too high for the company.
Aman and Namita then made an offer of INR 75 lakh for a 15% equity stake. Sulay countered with a proposal of INR 75 lakh for a 6% equity stake. In response, Aman and Namita made a final offer of INR 75 lakh for a 10% equity stake. After a series of counteroffers and negotiations, the deal was eventually settled at INR 75 lakh for a 7.5% equity stake.
How is Bummer doing after Shark Tank:
Our research has found that the Deal with Sharks closed. However, the founder of Bummer Sulay believes that Sharks on ‘Shark Tank’ consistently offer low valuations. Sulay mentions that after their appearance on ‘Shark Tank,’ they experienced an immense increase in their customer base.
At the time of their ‘Shark Tank’ appearance, they had 15,000 customers, and now they have more than 1 lakh customers. Their monthly revenue has increased 8-fold since ‘Shark Tank.’ In the fiscal year 2021-2022, they achieved around INR 2.45 Crore in revenue, and they are now aiming for INR 10 Crore for the fiscal year 2022-2023 and INR 25 Crore for the fiscal year 2023-2024.
In March 2024, Startup Media reported that Bummer, the direct-to-consumer (D2C) innerwear brand known for its appearance on Shark Tank, has successfully raised Rs 9.25 crore in funding. The funding round was led by Gruhas Collective Consumer Fund, which contributed Rs 8 crore, and also saw participation from Fluid Ventures Fund with Rs 1.25 crore. Gruhas has become the largest external stakeholder, holding a 17.3% stake in the company.
Other significant stakeholders include Beenext Asia, Fluid Ventures, and Thapar Vision LLP. Bummer’s founder and CEO, Sulay Lavsi, along with his family, retains a commanding 45.97% ownership of the company.
We will keep you updated on future updates but you can check out their products by clicking the Amazon button below!
Image source: @Bummer.in Instagram.
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