Neomotion ₹1 Crores for 1% Equity +royalty of 5% Win on Shark Tank India

Neomotion appeared on Shark Tank India Season 2, and it was founded by Swostik Dash, Ashish Sharma, and Siddharth Daga, who are friends from IIT Madras. The company has created two products, Neofly and Neobolt, to help people with disabilities become more self-reliant. Neofly is a customized wheelchair crafted for individual needs. On the other hand, Neobolt is designed for outdoor mobility and can be attached to a wheelchair to turn it into a scooter. What’s more, Neobolt comes with a detachable battery that can be charged separately, and it can travel up to 25 km on a single charge.

Click here to visit their official website: Neomotion

They kicked off in 2020 and have shipped products to over 2000 users throughout India. In the 21-22 fiscal year, they made revenue of 4.7 crore rupees, with a profit after tax of 30 Lakh. Most of their orders, 65%, were from individuals, while the remaining 35% came from governments and CSRs. They were seeking a 1 Crore investment for a 1% stake in the company. The complete set’s MRP is ₹1.18 Lakh, but they sell it for ₹99.9 thousand, while NeoFly’s MRP is ₹49,000. Additionally, they secured a grant for ₹44 Lakhs from IIT Madras Incubation Cell in exchange for 6.5% equity.

Related: Janitri Wins 1Cr Crore for 2.5 Percent Equity on Shark Tank India

Swostik Dash, Ashish Sharma, and Siddharth Daga came together to establish Neomotion. Their friendship blossomed during their time at IIT Madras. Prior to founding Neomotion, Siddarth gained experience as a field engineer at SBI, while Swostik was a Project Manager at IIT Madras, where he worked alongside Ashish.

Anupam initially offers ₹50 lakh in exchange for 4% ownership of the company, with the remaining amount as a debt. Namita asks to join Anupam’s deal, and he agrees. Then, Peyush offers ₹1 crore for 5% of the company, but he wants a 5% royalty of profits until he recovers his ₹1 crore, which he plans to use for donating free bikes to people in need. Anupam matches Peyush’s offer with no conditions.

Amit also wants to invest but insists on running the company at only 5% ownership. The entrepreneurs reject this as they want to run the company profitably and sustainably, so Amit exits the deal. Aman also leaves, saying the company already has good offers. The founders then decide not to dilute more than 1% of the company, so Namita exits the deal. Anupam changes his offer to ₹1 lakh for 1% ownership and ₹99 lakh as debt at a 15% interest rate. Peyush then offers ₹1 crore for 2.5% ownership, but the founders refuse, and Anupam leaves the deal.

Later, Peyush offers ₹1 crore for 1% of the company, but with the condition that he wants the ₹1 crore back, which he plans to donate afterward. The company accepts this offer, and they agree on the terms.

Neomotion had a deal with Peyush Bansal but for some unknown reasons, the deal did not go through after initially seeming promising. However, despite this setback, the company is doing well and growing. They have expanded their production and now sell their products on platforms like Amazon. Additionally,  Neomotion, is actively involved in pushing the limits in sports, working with athletes in sports like Cricket and shooting.