AltF Co-Working: Revolutionizing Flexible Office Spaces for Micro Businesses | Shark Tank India Season 4

As Seen on Shark Tank India
Sharks in the Show: Anupam Mittal, Aman Gupta, Namita Thapar, Ritesh Agarwal, Peyush Bansal

About AltF Co-Working

• Founders: Sarthak Chhabra (Young, Male), Yogesh Arora (Young, Male)
• Founded: 2016 (During College)
• Headquarters: Gurugram
• Website: AltF Co-Working
• Industry: Co-Working & Office Spaces

🏢 The Problem They’re Solving

Micro-businesses in India struggle to find affordable, flexible office spaces that fit their size and budget. AltF Co-Working is addressing this issue through an asset-light model that makes premium co-working spaces accessible to startups, freelancers, and small businesses.

🚀 AltF’s Unique Business Model

• Operates 12 locations with 7,000+ seats and is expanding to 6 more locations with 4,000 additional seats
• 99.9% of its inventory consists of private team rooms
• Profit-sharing model with landlords:
  • Landlords take 70%
  • AltF retains 30%
• Types of Co-Working Spaces:
  • 0 - 150 seats: Co-Working Spaces
  • 150+ seats: Managed Offices

💡 Supply-Side Strategy

1. Demand-First Approach: Customizing office spaces based on client requirements
2. Speculative Approach: Pre-built co-working spaces for larger clients

💰 Pricing & Financials

• Monthly price per seat: ₹7,000
• EBITDA (2023-24): 5%
• Average customer churn rate: 2%

📈 Revenue Growth Over the Years

Financial Year	Revenue (INR)
2016-17	₹90 Lakhs
2017-18	₹3 Crores
2018-19	₹8 Crores
2019-20	₹13 Crores
2020-21	₹6 Crores
2021-22	₹11 Crores
2022-23	₹21 Crores
2023-24	₹30 Crores
Projected 2024-25	₹50 Crores
Projected 2025-26	₹80 Crores

🏦 Shark Tank Pitch & Valuation

• Ask: ₹1 Crore for 0.75% Equity (Valuation: ₹133.33 Crores)
• Property Rental Split:
  • 80% Profit Sharing
  • 10% Minimum Guarantee
  • 10% Fixed Rent
• Payback Period for Landlords:
  • Premium Locations: 15 months
  • Sub-Premium Locations: 24 months
  • Economy Locations: 30 months

❌ Shark Tank Outcome - No Deal

🦈 Sharks' Reactions

• Anupam Mittal: Appreciated founders' chemistry but opted out
• Namita Thapar: Opted out, citing concerns over scalability in Tier 2 and 3 cities
• Ritesh Agarwal: Opted out due to a conflict of interest
• Peyush Bansal: Offered ₹1 Crore for 2% Equity
• Aman Gupta: Opted out

🔄 Founders’ Counter Offer

• Countered Peyush’s offer to 1% Equity for ₹1 Crore
• Peyush revised his offer to 1.5% Equity
• Founders declined the deal

📌 Final Verdict: No Deal!

Despite not securing a deal, AltF Co-Working remains a promising venture, helping micro-businesses access premium office spaces without the heavy financial burden. With its strong revenue growth and expansion plans, it continues to be a major player in the co-working industry.