First of all, A distinct player called Refit is making ripples in the market in the fast-paced world of cell phones, where the newest models generate long lines and strong demand. Recently, Avneet and Saket, the founders, shared details of their ground-breaking method for refurbishing smartphones with possible investors. This blog delves into their experience, the difficulties they encounter, and the fascinating investment proposition they came upon.
The Refit Difference: Refurbished Instead of Second-Hand!
A recent smartphone makes a daring claim that calls into question the integrity of Refit’s products, sparking the topic. Avneet and Saket stress that their phones are renovated, not second-hand, drawing a comparison to remodeling an old house. To reassure customers about the caliber and dependability of their gadgets, they place a strong emphasis on the extensive testing and refurbishment procedure.
An Innovative Trip: From Delhi to a National Presence
Refit’s founders, Avneet and Saket, identify themselves as Delhi natives. They gladly offer their experience of restoring outdated phones and starting exchanges on well-known websites like flipkart.com. Their offline strategy, which is predicated on the idea of zero-date stock, guarantees a broad presence throughout the nation, even in isolated regions.
Getting Around the Market: A Multibillion-Dollar Sector
When the topic turns to the state of the market, Avneet and Saket highlight the enormous potential of the reconditioned electronics sector, which is projected to be worth 2.5 billion dollars. They discuss how disorganized the market is and forecast a move in the next years toward major brands doing renovations.
Crunching the Data: An Open Perspective on Finances
Investors examine Refit’s financial statements, raising concerns about sales, profit margins, and valuation. An analysis of Avneet and Saket’s business from the previous year is presented, with a profit of 35 crores on sales of 187 crores. The industry growth rate and the company’s distinct position in the market are also discussed.
The Investment Proposal: Equity, Royalties, and Rebuttals
Negotiations start when the investors show interest. Amit, the main investor, suggests a royalty agreement based on phone sales. Anupam responds with an offer of finance and stock, sparking a back-and-forth over the conditions. The founders try to find a balance between royalties and equity by weighing different proposals.
Offer Given By Sharks :
Original ask 2cr for 0.5% equity | Valuation Rs 400 CR
Amit And Anupam Offer: 2 cr for 1% equity+ Rs 100 per unit sold as royalty until 4 cr is Recouped !
Vineeta’s Offer: 2 cr for 0.5% equity + 1.5% royalty until 4 cr is Recouped !
Amit And Anupam revised the Offer: 2 cr for 1% equity+ Rs 70 per unit sold as royalty until 4 cr is Recouped !
Finally, the Deal Closed (Amit And Anupam Vineeta’s) At 2 cr for 1% equity+ 1% royalty until 3 cr is recouped !
Click Here to Read Shark Tank Judge’s Biography!
In conclusion, a vision and numerical deal sealed
A contract is reached following rounds of discussions and counteroffers. The investors consent to provide a combination of royalty and stock of Rs. 3 crores. With congrats to Refit, the blog ends, underlining the exciting path that lies ahead and encouraging readers to subscribe for further information.
In conclusion, the Refit narrative illustrates the difficulties and achievements encountered when negotiating the cutthroat field of smartphone restoration. The blog sheds light on the complexities of getting investment in a dynamic market and well reflects the core of the negotiation process.
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