The Concept of Shark Tank

Start-ups are becoming increasingly common in India. Shark Tank is a TV show that provides investors with an opportunity to invest in promising startups. Let’s read to find out more.

The Concept of Shark Tank

The sharks of Shark Tank India season 2. Photo by Shark Tank India / Twitter.

What is Shark Tank India?

Shark Tank India is a television show. Entrepreneurs show their businesses to a panel of investors (called "sharks") who choose whether or not to invest in their company.

The sharks themselves run extremely successful businesses. They check each contestant's business ideas as well as other things such as how much profit they make, the types of things they sell, etc.

After studying everything, the sharks choose whether or not to invest their own money in the businesses of the participants.

How did the show start, and how is it going?
How did the show start, and how is it going?
The founder of Dorje Teas giving his presentation to Anupam Mittal (founder of Shaadi.com and a shark on Shark Tank Season 2). Photo by Shark Tank India.

The show's makers realised that start-ups were becoming increasingly popular in India. So, it was a good time to launch the show in India. But, they were still unsure whether the show would be popular with the Indian audience.

Well, guess what? The show was a massive hit with the Indian audience. Because of the popularity of the first season, the show was renewed for a second season, which began airing on 2nd January 2023.

What do the sharks get in return for their investment?

The sharks receive a share of the equity in exchange for their investment. Equity is a method for calculating how valuable something is or how much ownership someone has in it. Let's say you and your friends want to open a cake shop.

You have all agreed to give money to purchase the supplies required to manufacture and sell the cakes. You own the cake shop with the money you each contribute. The higher your investment, the more ownership you will have. If the shop performs well, your profits will increase since profits are distributed based on the quantity of equity you own.

If the cake shop fails, your equity will be less valuable. So, equity is a way of sharing the ownership and earnings of something. This is what the sharks get.

What did we learn from this article?

Shark Tank India has charmed viewers of all ages. The series' creators believed that the series would make entrepreneurship and start-ups a common topic among every Indian family. We believe they have done this quite successfully!

What business would you like to start? Let us know in the comments!

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