Shark Tank India 4: Pitchers Admit to Hiding Profits for Tax Evasion; Sharks React Strongly
The latest episode of Shark Tank India 4 took a surprising turn when the founders of RBD Machine Tools, a startup that makes agricultural machinery, admitted to not fully declaring their profits to avoid paying taxes. Despite this shocking confession, they still managed to secure a deal from the Sharks.
Brothers Pitch Their Business Idea
Brothers Devendra Kumar Tailor and Bhupendra Kumar Tailor, from a small village in Rajasthan, presented their business, which aims to provide safe and affordable farming equipment. They impressed the judges with their strong sales numbers and how they use social media to boost their business.
However, things changed quickly when Namita Thapar asked them about their annual profits. One of the brothers hesitated before admitting:
“We declare a different amount, but we make more than that.”
This statement immediately raised concerns among the Sharks.
Sharks React to Tax Evasion Confession
Anupam Mittal warned them that hiding profits could hurt their business, making it difficult to get bank loans or government benefits. Kunal Bahl also pointed out that while this strategy might help them grow temporarily, it would stop them from building long-term business value.
He firmly stated,
“I can’t trust your numbers. If this issue didn’t exist, I would’ve invested.”
Founders Defend Their Approach
The brothers explained that they follow their accountant’s advice and reinvest most of their earnings into the business. Bhupendra justified their decision, saying,
“If we hire an expert, we trust their recommendations.”
Despite the concerns, Aman Gupta advised them to clear their tax issues to ensure long-term success.
Company’s Impressive Revenue
Despite their tax troubles, their business performance was strong:
- Rs 9.34 crore in sales until September for FY 24-25
- Rs 14.37 crore in FY 23-24
- Projected Rs 22-25 crore for the current financial year
Namita’s Encouraging Words & Final Deal
Namita Thapar appreciated their business skills, telling them,
“You didn’t study MBA, but you’ll leave top MBA graduates behind!”
While Anupam, Kunal, and Aman stepped back from investing due to trust issues, Ritesh Agarwal and Namita Thapar made an offer—with a condition:
- Rs 50 lakh for 1% equity
- Rs 50 lakh as a loan at 9% interest, payable after five years
- The brothers must clear their tax dues
After some discussion, the founders accepted the deal and walked away happily from Shark Tank India 4!
Also Read: Bigg Boss 18: Rajat Dalal’s Shocking Comments Spark Controversy
