Shark Tank India: From a humble 80 sq ft stall to a Rs 26 cr empire—Gabru Di Chaap’s incredible rise!

Gabru Di Chaap, In an attempt to grow their restaurant franchise outside of Delhi-NCR, two business owners entered Shark Tank India. Gabru Di Chaap, a company that specializes in soy chaap dishes, was founded by brothers-in-law Tarun and Ranjit. Their goal was to make this beloved North Indian dish a nationwide attraction. They valued their company at ₹70 crore and offered ₹70 lakh for 1% stock in order to attract investment. Not every shark was persuaded, though.

Click here to visit their official website : Gabru Di Chaap

In Delhi-NCR, soya chaap is quite popular, but outside of that, not many people are aware of it. With a focus on flavor, quality, hygiene, and consistency, this startup hopes to grow into a large company. This startup began operations in 2019 with an 80-square-foot store, and as of right now, it operates over 25 locations across four cities nationwide. Within the next five years, the company hopes to expand internationally.

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The founders of Gabru Di Chaap are Tarunpreet Singh and Randhir Raj Singh. They are known for their vision to elevate the traditional street food “Soya Chaap” into a premium culinary experience through their restaurant chain.

• Company – Gabru Di Chaap
• Valuation – INR 23.33 Cr.
• Founders – Tarunpreet Singh and Randhir Raj Singh
• Headquarters – Hyderabad
• Founding Year – 2018
• Industry – Restaurants
• Profitability – Yes
• Got Investment – Yes

Randhir Raj Singh, an IIT Roorkee B. Tech and ISB MBA graduate, co-founded Grabru Di Chaap along with Tarunpreet Singh with a vision to elevate the humble Soya Chaap from street food to a mainstream delicacy. With over eight years of experience in management consulting and operations at prestigious firms like Bain & Company and Deloitte, Randhir’s entrepreneurial journey began with a small 80 sq. ft. store in 2019.

 Key points about the founders:

• Focus on quality:
  Both founders are passionate about delivering high-quality chaap dishes with creative flavors.
• Scaling the brand:
  They have grown Gabru Di Chaap from a small outlet in Hyderabad to a multi-location chain.

While acknowledging his fondness for chaap, Kunal Bahl questioned its viability as a standard option for delivery or dine-out. When dining out, Aman Gupta freely acknowledged that chaap was never his first option. In his opinion, it was a specialized product rather than a popular one. Peyush Bansal brought up other health issues. He made reference to a widely shared video that revealed unsanitary chaap production methods. He was concerned about industry quality standards and how they would affect consumer confidence.

The owners defended their brand by claiming to be the first “premium chaap brand” in India. Their product was healthier because it contained 23% soy, as opposed to refined flour like street vendors do. Vineeta Singh recommended a change in branding, telling them to highlight their special components instead of emphasizing the “premium” label.

The topic of the company’s resilience came up. Gabru Di Chaap not only survived the epidemic but also saw an increase in income from ₹1 crore to ₹7 crore, whilst many other restaurants suffered. Within a year, the founders anticipated that sales would reach ₹12 crore, indicating future expansion. The sharks appreciated their perseverance and diligence, recognizing the difficulties faced by the restaurant business, particularly during uncertain times.

Peyush Bansal was worried about other things. He mentioned a widely shared video that demonstrated the production of several chaap varieties and claimed that the setting was incredibly unsanitary. According to the owners, their products are comparatively more expensive than those of the typical streetside store since they are attempting to establish themselves as India’s first “premium chaap brand.”

Additionally, they asserted that although other chaap vendors employ maida in their goods, 23% of them use soy. According to Vineeta Singh, they ought to market themselves in this manner rather than as “premium.” As many restaurants were forced to close during the epidemic, the proprietors claimed that they were able to maintain their business. The “sharks” were impressed by the perseverance required to achieve this. In addition to surviving, Gabru Di Chaap saw an increase in earnings from Rs 1 crore to Rs 7 crore. They stated that they anticipate making Rs 12 crore in sales this year.

Although he likes chaap, Peyush Bansal acknowledged that some of his family still consider the food to be “non-vegetarian.” He also praised their willingness to forgo profits in order to preserve quality. As of right now, I have never invested in QSR,” he stated. I think it’s best to avoid this area. Peyush, however, defied his own rule and offered Rs 70 lakh in exchange for 5% stock.

In response to approaches from Vineeta and Anupam Mittal, the founders asked if they would be open to making a joint offer. Following mutual consultation, Peyush, Anupam, and Vineeta made the founders an offer of Rs 1.4 crore in exchange for 6% equity and 1% royalty till their initial investment was recouped. After agreeing, the founders left with a sizable sum.

The founders saw the benefits of having three sharks on board, and the offer was alluring. They immediately closed the deal, giving Shark Tank India not only money but also seasoned investors’ strategic advice.