Anupam Mittal suspects a scam after discovering Shark Tank India pitcher is sitting on Rs 100 crore wealth, loses patience after being ignored

Sarees, which combine elegance and history, have a special position in Indian culture. However, many people are unable to afford the high cost of high-quality Banarasi sarees. At this point, the Surat-based company Sudathi intervened to transform the saree market. Three enterprising cousins—Viren Lathiya, Hiren Lathiya, and Darshan Lathiya—founded Sudathi in September 2023.

The objective was straightforward but effective: to satisfy the desires of Tier II and III city clients who aspire to buy exquisite sarees but face financial obstacles. The firm has established itself as a reliable name in ethnic design by providing high-quality Banarasi sarees at competitive pricing between Rs 599 and Rs 2499.

Sudathi is a clothing brand that offers the best and latest fashion accessible to all offering outstanding service at affordable prices.

It sources straight from producers, cutting out intermediaries and guaranteeing affordability without sacrificing quality.

“The goal is to be the Zudio of Sarees—a place where women can buy a new saree without thinking twice,” stated Viren Kumar Lathiya, co-founder of Sudathi. With this investment, Sudathi will grow more quickly, reach a wider audience, and solidify its position as the preferred saree brand in India.

Click here to visit their website – Sudathi

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In less than a year, Sudathi established itself in more than 3 lakh Indian homes. Its D2C business strategy, which allows it to maintain low costs and pass the savings on to clients, is the main driver of this quick expansion.

“We are introducing two new concepts—Sarees Saturday (New Sarees, Every Saturday) and Sudathi Coins—Making Saree Shopping More Rewarding,” Viren said, citing client feedback and insights.

In contrast to other fashion firms, the creators have deliberately chosen to focus solely on direct-to-consumer (D2C) sales via its website, avoiding online marketplaces such as Amazon and Flipkart.

“The focus is to scale and expand Quick Commerce, improve digital experiences, and strengthen logistics,” he continued.

We are digitally savvy by nature. People are talking about Sudathi nonstop because to trend-driven campaigns and focused influencer partnerships. As the co-founder stressed.

A carefully considered business plan is the foundation of Sudathi’s success. Direct purchases of sarees from manufacturers and weavers result in significant cost savings. As a result, the company is able to sustain an EBITDA margin of 8–10%, which is impressive for a new fashion brand. Strong client loyalty and repeat business have resulted from its concentration on keeping quality at a reasonable cost.

Net sales

Sept 2024- 2.66 crores

In the financial year 23-24 – 2.87 crores

This year 24-25- 8.1 crores

• July- 1.15 crores
• Aug- 1.90 crores
• sept- 2.66 crores

Expected sales this year- 30 to 35 crores

Unit economics of Sudathi

Avg selling price- Rs 635

• COGS- Rs 311.2 (49%)
• Marketing – Rs 152.4 (24%)
• Logistics- Rs 82.6 ( 13%)
• Maintenance & operations- Rs 57.2 (9%)

Sudathi has big aspirations for the future, aided by strategic mentorship and recently acquired money. Within the following three to five years, the founders want to grow the brand’s revenue to Rs 350 crore. Its long-term goal is to dominate the ethnic fashion market by utilizing digital-first sales, direct sourcing, and a thorough comprehension of consumer demands.

Sudathi is on the verge of becoming a household name in Indian ethnic design as it expands, demonstrating that cost and excellence can coexist.

The Shark Tank India panel’s three male members engaged in a bidding battle for stock in a saree manufacturer. When Sudathi’s founders informed the panel that, after less than 24 months of business, they anticipate making Rs 35 crore this year, dollar signs were before their own eyes. The acquisition was negotiated assiduously by Peyush Bansal, Aman Gupta, and Anupam Mittal; nonetheless, it became contentious when the founders made it apparent that they too had preferences. They valued their company at an astounding Rs 100 crore and demanded Rs 1 crore in exchange for 1% share.

Namita Thapar and Vineeta Singh were also on the panel, however they withdrew from the agreement due to a lack of trust. “Manyavar saw a gap in the market and they went deep,” Namita stated. I apologize, but after looking at your stuff, I’m wondering what makes you unique. However, Anupam made every effort to investigate Sudathi’s remarkable sales. When he questioned the founders about pricing, he was not happy with their response. Anupam was curious about how they managed to sell sarees for less than Rs 1000, but their rivals were unable to do so.

Anupam’s ears perked up when the Gujarati founders informed the “sharks” that their parents run a trade company. He questioned Hiren, the CEO, about his ownership stake in the company. According to the founder, he owns 30% of the company, which is valued at Rs 300 crore. “Yahoo!” said Anupam. He inquired, “Is it that you are just offering the excess inventory from that company here at a reduced price?” Hiren answered, “Definitely not. All of our designs are brand-new, and our products are completely fresh.

Anupam appeared to be persuaded. “I thought something was fishy, but it seems like you’re being honest and transparent,” he remarked. After the founders informed the panel that they anticipated income to reach Rs 500 crore in three years, he became adamant about closing a deal. Peyush, Aman, and Anupam all made offers, but as soon as one of them dropped theirs, the others instantly changed theirs. Anupam declined the founders’ request for the three of them to work together for 3% equity. Peyush seemed annoyed as he pulled Aman away for a conversation.

Anupam reassured him that this was not the case. “It seems like they don’t want to make a deal with me, it’s getting political, and I don’t want to be a part of this,” he added. Anupam was irritated when the founders made it apparent that they were more interested in Peyush and Aman. He shouted, “I’m out,” and declined to take part in any more discussions. Aman persuaded him to swallow his pride and seal the big sale. After much haggling, the three of them ultimately settled at 4% equity.

Shark Tank India’s Season 4 featured an interesting episode with all of the sharks: Anupam Mittal, Namita Thapar, Vineeta Singh, Aman Gupta, and Peyush Bansal. They were able to negotiate a deal worth ₹ 1 Cr. for 4% equity at a valuation of ₹ 25 Cr. with the sharks, and they also got helpful mentoring to help them expand their business, Sudathi. Everyone is now excitedly anticipating the next episode, hoping to learn more about the judges’ approaches to fund-raising and more fascinating firms.