SilkenSwan seeks to revolutionize the post-purchase fabric care industry in India by technologically enabling small-scale launderers and providing state-of-the-art laundry facilities. The company plans to establish laundry hubs in Bangalore and other major South Indian cities in Phase 1, and expand services to include alteration and shoe care in Phase 2. SilkenSwan projects rapid customer, order, and revenue growth over the next five years and seeks investment to purchase equipment and expand operations.
2. We seek to revolutionise the post-purchase fabric care industry. The services offered by
us include laundry, shoe care, alteration and recycle of all fabrics. We aspire to become
India’s largest laundary and fabric care service provider and aggregator.
3. The unorganized laundry market in India
generates a revenue of about Rs.2,20,000 cr.
annually. The organized market size is around
Rs.5000 cr. We believe we can revolutionalize
the post-purchase fabric care market by
technologically enabling small scale launderers
and providing an effective, eco-friendly and
state-of-the art wash care facility to meet end-
to-end wardrobe volumes and needs of
customers.
Market Opportunity
TheSizeIsInTheNumbers!
₹ 4,563
₹ 4,705
₹ 4,850
₹ 5,000
₹ 5,150
2012 2013 2014 2015 2020
UrbanMarket:GrowingataCAGRof3%
Laundry care is expected to achieve a value
CAGR of 3% at constant 2015 prices and reach
around Rs.5200 cr. in 2020.
4. Competition
7,67,000
Micro-sized laundries with fewer than 10 workers.
According to a Euromonitor
International report, the Indian laundry
market has a pool of 12 million online
consumers that is expected to grow by
20% CAGR.
2-3%
Organized laundry businesses
100Startups in this space,with total
funding amounting to$6.2 Mn
5. Capability,
Technology,&
Knowledge
The Problem
o Negligible investments in technology and analytics
to aggregate consumer insights for revenue growth
o Problems in scaling up processes to meet volume
demands
o Poor operational logistics
o Lack of innovation, sophistication and quality
products in cloth care maintenance
o Empower small-scale launderers through welfare
schemes and state-of-the art wash care facility
o Utilize data analytics to improve and grow their
existing customer base
o Rationalize local operations
o Knowledge transfer from globally renowned wash
care giant on specialized fabric care
Capability,
Technology,&
Knowledge
The Problem
6. About Our Services
FabriSense: Technology in
cloth care
Recycle:
Fabric re-engineering for
reuse
Tailoring:
Bespoke alteration
service
Accessories care:
Extending the life span of
footwear
Natclotech:
Research & Development
for natural cloth care
techniques
We present a quality
controlled and assured model
to ensure quick and efficient
care and delivery of every
piece of fabric and associated
accessories. Also, we seek to
patent our newer and more
efficient eco-care methods to
increase the lifespan of
fabrics. For the first-time in
India, we have introduced to
our customers the art &
science of ‘Fabri Clean and
Care’.
7. Marketing & Growth Strategy
• FabriSense
• Recycle
Phase1
• Tailoring
• Accessories Care
Phase2
In this phase, we will be rolling out Fabri-Sense services to B2B and B2C markets
in Bangalore, followed by Tier 2 cities in Karnataka, and then all major South
Indian cities.
SilkenSwan will be the first-movers in introducing to Indian consumers the art
and science of “FABRI - Clean and Care”
Our goal in phase 1: make laundry shops a single collection point for
all kinds of fabric, both for washing, maintenance and recycling.
Our goal in phase 2: extend our services to the lost art of shoe care
and alteration with bespoke tailoring services.
8. FABRI-
Clean&
OurBrandPromise:
Providing state-of-the-art wash care facility
Natural wash processing
Material sorting
Item tagging
Water recycling
Fabric recycling & researching
Positioning each storefront as a one-stop point for all
things fabrics
Ensuring benefits to cleaners (insurance, education
to wards, loans, etc.)
Providing assistance in clothes collection
Rewarding performance
Ensuring prompt pickup & delivery service
Streamlining customer service with apps
Providing business assistance to women,
youth, & others
Using analytics to help businesses to grow customer
base
9. Land acquired for
establishing state-of-the
art laundry care facility
Continuous water supply
connections have been
fixed to meet the
operational requirements
Over 1800 laundry shop
owners have registered to
join the network in
Bengaluru
Land Water Network
Staff, Infrastructure & Materials
10. Infrastructure
facility
Bengaluru:
50,000 pieces of
fabric per day
by early 2018
Laundry
network
Equipment
systems
Operations
Conducted a two-month dry run in our test facility:
We cleaned, pressed and delivered 3000 pieces of
fabric per day through 20 launderers.
We’re marching
towards this!
11. The Making of SilkenSwan
An idea is born: become
the largest organized
aggregator in laundry
business
– Feb’ 2015
Market research &
setting up a professional
team
– Sept to Dec’15
Expand from B2B to
B2C in Jan’16.
First trial run in
laundry facility
– Feb’16
SilkenSwan company
incorporated
– Mar’16
Over 1000+ cleaners
sign-up
– Apr’16
First branch office
inaugurated!
– May’16
12. Our Team
AdityaRao
Aditya was with The Lahari Music Group for many years as Vice-President—
Digital Marketing. He is also the CEO of Horn OK, a promising and high-growth
e-commerce transport and logistics start-up.
Director
TimannaGouda
Director
Timmana worked with Axis Bank across all functions, heading different divisions
at regional, zonal and national levels. Prior to this, he worked with the
Weizmann Group, as a Deputy General Manager, overseeing a range of activities
from investment banking to consumer finance. He has more than 20 years of
experience in investment banking, corporate finance, and consumer retail
finance.
13. Our Team
JeanDMello
Director
Jean was a consultant with Nishit Desai & Associates, where she worked with
technology giants and smartphone majors on patent due diligence and filing
processes. An Intellectual Property analyst and Engineer in Electrical and
Electronics by qualification, she was earlier with Edge Verve Systems, an Infosys
subsidiary, managing their IP cell, data privacy and all other legal compliance
requirements. Jean is also an expert in technical domains such as cloud computing,
social networks, storage technologies, and wireless communication.
GManhoarNaidu
Director
Manohar began his career in the cosmetics sector. His foray into the music sector
was quite by chance. He spotted a business opportunity in selling his own pre-
recorded cassettes. That was in the 1980s when record players still held sway.
Manohar launched his label, Lahari, which became the largest music company in
South. He identified unconventional distribution outlets for his tapes and over time
went on to own over 6,200 titles of leading South Indian film albums.
14. Our Revenue Model
Financial Summary CY 2016 CY 2017 CY 2018 CY 2019 CY 2020
Number of Customers 25,000 1,00,000 1,50,000 2,25,000 3,25,000
Number of Orders 12,50,000 1,00,00,000 1,80,00,000 3,15,00,000 4,55,00,000
Total units 12,50,000 1,00,00,000 1,80,00,000 3,15,00,000 4,55,00,000
Per Unit Margin - Nett of Payment 10 11 11 13 13
Revenue from product sale 1,25,00,000 11,00,00,000 19,80,00,000 40,95,00,000 59,15,00,000
Subscription revenue 2,50,000 10,00,000 15,00,000 22,50,000 32,50,000
Income from Large MNC - P&G, HLL, Ads 25,00,000 50,00,000 1,00,00,000 2,00,00,000 4,00,00,000
Retainers from consumer data agencies 2,50,000 10,00,000 15,00,000 22,50,000 32,50,000
Other Incomes - - - - -
Gross Revenue 1,55,00,000 11,70,00,000 21,10,00,000 43,40,00,000 63,80,00,000
Cost of Production 37,50,000 3,30,00,000 5,94,00,000 12,28,50,000 17,74,50,000
Other Direct Costs 12,50,000 1,10,00,000 1,98,00,000 4,09,50,000 5,91,50,000
COGS 50,00,000 4,40,00,000 7,92,00,000 16,38,00,000 23,66,00,000
Gross profit 1,05,00,000 7,30,00,000 13,18,00,000 27,02,00,000 40,14,00,000
Contribution % 68% 62% 62% 62% 63%
Marketing expenses 2,00,00,000 2,50,00,000 3,12,50,000 3,90,62,500 4,88,28,125
Personnel Costs 94,43,333 3,39,96,000 4,07,95,200 4,89,54,240 5,87,45,088
Other expenses 96,66,667 2,32,50,000 2,35,25,000 2,38,27,500 2,41,60,250
EBITDA (2,86,10,000) (92,46,000) 3,62,29,800 15,83,55,760 26,96,66,537
PBT (3,56,32,222) (3,09,12,667) 2,05,63,133 14,45,77,982 25,89,99,870
PBT/ TO -230% -26% 10% 33% 41%
15. Financials
33%
Retainers from
data agencies
54%
Revenue from
product sale
33%
Subscription
revenue
36%
Revenue from
affiliate marketing
-
100
200
300
400
CY 2016
CY 2017
CY 2018
CY 2019
CY 2020
25 100 150 225 325
Thousands
Growth by Customers
* CAGR for the projected period
16
117
211
434
638
5
44
79
164
237
20 25 31 39 49
-
100
200
300
400
500
600
700
CY 2016 CY 2017 CY 2018 CY 2019 CY 2020
Millions
Projected Gross Revenue, Cost, & Marketing Expenses
Gross Revenue COGS Marketing expenses
17. • Share capital—Promoters: Rs.65 million (USD 10,00,000)
• Share capital—Investor: Rs.50 million (USD 7,70,000)*
• Company will be a 74%:26% joint venture, incorporated in
India
• The board will include three directors
—two from promoters & one from Girbau
• Governed by shareholders' MoU
*Minimum contribution limit. The funds will be held
in an escrow for purchasing equipment from Girbau.
Customers SilkenSwan Girbau
Banks
Hotels,
hospitals, etc
Laundry
providers
Produce LC Clear payment
Supply
equipmentServices
A joint venture with Girbau, Spain
18. USD INR
Investment by New Investor $7,46,269 5,00,00,000 ₹
% of Imputed Equity Value 31.015% 31.015%
No. of Shares Offered 31,015 31,015
Share Price Offered ($ / Share) $24.06 1,612 ₹
Probability of success 100%
Pre Money Valuation $16,59,924 11,12,14,893 ₹
Add: Investor Equity Infusion $7,46,269 5,00,00,000 ₹
Pre Money Valuation $24,06,192 16,12,14,893 ₹
Pre-Money / Post Money Valuation (in $ millions)
Equity Share Capital Post Issue No of Shares Equity Cap Premium Premium Capital
Total Number of Shares 1,00,000 10,00,000 - - -
Promoter Shares 68,985 6,89,855 135 93,10,145 1,00,00,000
New Investor's Shares 31,191 3,11,910 1,602 49,97,26,273 50,00,38,183
19. Funds will be use for
purchasing, installing
and commissioning
10K washing
machines
• Cost of lease-hold property: INR 1.5 crore
• CEO Salary: INR 3 lakhs/month
• CTO Salary: INR 2 lakhs/month
• Admin Salary (3 persons): INR 1 lakh/month
• Associated costs for managing the plant and an
initial capex, to house a 100-man operation
Equipment
$1 Million
Technology
$0.5 Million
Operations
$1 Million
Marketing
$0.5 Million
Business development
$2 Million
Investor funding