Get All Access for $5/mo

'Shark Tank Deal Completion Can Take 3-9 Months': Anupam Mittal Responds to Allegations of Delayed, Abandoned Funding According to reports, winning Shark Tank India contestants have not yet received their funds while the show prepares for a third season. In a LinkedIn post, Shark Anupam Mittal defended the show's integrity.

By Sujata Sangwan

Opinions expressed by Entrepreneur contributors are their own.

You're reading Entrepreneur India, an international franchise of Entrepreneur Media.

Shot by Subi Samuel for Entrepreneur India

Shark Tank India has been the subject of controversy as a result of claims that the competition winners had not yet received their prizes. The revelation came out in conjunction with the popular show's third season plans and the release of a promotional trailer. Ashneer Grover, a former judge on the competition show, criticised the other judges in the meantime and advised the sharks to "put the money they planned to invest in an escrow account."

"In every case, it's not hard to spot a pre-determined, ill-intentioned narrative with no data or sources to back said claims. It is no surprise, then, that another flimsy controversy is doing the rounds. Again, no data, no real names. Just finger-pointing and in one case, an angry & irrelevant commentator thrown in for added masala," wrote Shark Anupam Mittal in an in-depth LinkedIn post.

According to Mittal, the "single most important piece of data to gauge the integrity of the show is the Completion Ratio". He said that Shark Tank India had a "record of sorts" with two thirds of the deals being completed.

In August, "Shark Tank Season 2 CR will be available, and based on deal momentum, I am confident that it too will be healthy," he continued.

Additionally, he extended an open invitation to the unnamed founders and urged them to speak up. Let's fix that, he pleaded, in the rare instance that you have been wronged.

Additionally, Mittal listed three causes for potential fund disbursement delays.

"Most of the businesses on the Tank are at a very early stage. Many are proprietorships, which first need to be registered as Companies. The founders have never seen an SHA, nor do they have readily available numbers. Our teams hand-hold them through many of these issues. As a result, deal completion can take 3 to 9 months depending on the readiness of the Company and the founders," he clarified.

Deals may also fall through if the founders change their minds or the company fails legal, financial and/or tax diligence OR the founders do not meet the obligations agreed to while accepting a conditional deal.

"Some founders like to renegotiate or deal-shop which can also delay completion. Personally, I don't encourage this but am always open to finding win-win structures as many of my investee cos will attest to," he added.

"It's important to note that not every firm that pitches on Shark Tank India, or to any VC individually will be successful or eligible for equity capital. VCs frequently change their minds; this is nothing new. This is and shouldn't also be associated as an issue with just Shark Tank," according to Karun Arya, Chief Growth Officer at GetVantage. "The old paradigm of fundraising is flawed, which is why the majority of entrepreneurs find the process of fundraising difficult and discouraging."

Sujata Sangwan

Former Sr. Correspondent

Sujata is an engineering graduate and has done her Post Graduation in Human Resource Management. She has a deep interest in startups, venture capitalists & technology. 
Business News

Y Combinator Helped Launch Reddit, Airbnb and Dropbox. Here's What I Learned From Its Free Startup School.

The famed startup accelerator offers a free course on building a business — and answers five pressing questions for founders.

Business News

New Southwest Airlines Major Investor Wants to Force Out CEO, Slams Company's 'Stubborn Unwillingness to Evolve'

Elliot Investment Management announced a $1.9 billion stake in the Dallas-based Southwest Airlines on Monday and is urging shareholders to vote for new leadership.

Science & Technology

Why We Shouldn't Fear AI in Education (and How to Use It Effectively)

Facing resistance to new technologies in the educational process is nothing new, and AI is no exception. Yet, this powerful tool is set to overcome these challenges and revolutionize education, preparing students and professionals for a future of unparalleled efficiency and personalized learning.

Business News

A Former Corporate Lawyer Now Makes Six Figures on YouTube — Here's How She Does It

Here are the secrets to starting and growing a successful YouTube channel, according to a YouTuber with millions of subscribers.

Business News

Apple's AI Has a Catch — And It Could Help Boost Sales

Not every iPhone owner will get to use the new Apple Intelligence.