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Neomotion is a startup founded by three friends - Swostik Dash, Ashish Sharma, and Siddharth Daga - who met during their time at IIT Madras. Swostik, who spent five years in the research and development cell working on the prototype of a wheelchair, is the CEO and looks after marketing and sales. Ashish is responsible for production and supply chain
The mission of Neomotion is to provide innovative mobility solutions to disabled individuals in India, with the aim of making them more independent in their daily lives. The startup recognizes that there are over 1.5 crore disabled people in India who require assistance in their daily lives, and its products - Neofly and Neobolt - are designed to address this issue.
Neofly, the personalized wheelchair made up of the nerves of a human being, is designed to provide a comfortable and seamless experience for users. Neobolt, on the other hand, is an outdoor mobility innovation that can be attached to a wheelchair, transforming it into a scooter. These products are made with the goal of empowering disabled individuals to move around with greater ease and independence.
By providing these mobility solutions, Neomotion hopes to make a positive impact on the lives of disabled individuals in India, enabling them to participate more fully in society and live their lives to the fullest. In pursuing its mission, Neomotion is also contributing to the broader goal of promoting inclusivity and diversity in society.
Neomotion's business model is centered around providing innovative mobility solutions for disabled individuals in India. The startup offers two main products - Neofly and Neobolt - both of which are designed to provide greater mobility and independence for users.
Neofly, the personalized wheelchair, is made up of the nerves of a human being and is designed to provide maximum comfort and ease of use. Neobolt, on the other hand, is an outdoor mobility innovation that can be attached to a wheelchair, transforming it into a scooter. Both products are available for purchase on Neomotion's website.
In order to reach its target audience, Neomotion has adopted a direct-to-consumer (DTC) model, which means that the startup sells its products directly to customers through its website. This model allows the company to maintain a close relationship with its customers, ensuring that their needs are met and their feedback is taken into account when developing new products.
To finance its operations and drive growth, Neomotion has secured funding from various sources, including governments, donors, and corporate social responsibility initiatives. This funding has enabled the company to develop its products and expand its reach, delivering over 2000 products to customers across 32 states in India since its launch in 2020.
The target market of Neomotion is disabled individuals in India who require mobility assistance in their daily lives. With over 1.5 crore disabled people in India, there is a significant need for innovative mobility solutions that can enable them to move around with greater ease and independence.
Neomotion's products - Neofly and Neobolt - are designed to meet the needs of this target market. Neofly, the personalized wheelchair, is made up of the nerves of a human being and is designed to provide maximum comfort and ease of use. Neobolt, on the other hand, is an outdoor mobility innovation that can be attached to a wheelchair, transforming it into a scooter.
In addition to disabled individuals, Neomotion also targets their caregivers and family members who are involved in the purchase decision-making process. These individuals play a crucial role in ensuring that disabled individuals have access to the mobility solutions they need to live their lives with greater independence.
Neomotion's products are priced competitively, making them accessible to a wide range of customers. The startup's direct-to-consumer (DTC) business model also enables it to maintain close relationships with its customers and respond to their needs quickly and efficiently.
In the financial year 21-22, the startup generated a revenue of 4.7 crore rupees and a profit after tax of 30%. This indicates that the business is profitable and has the potential for continued growth in the future.
The majority of Neomotion's orders (65%) come from individuals, while the remaining 35% are from governments and corporate social responsibility initiatives. This suggests that there is a significant demand for the company's products in the market, both from individual consumers and institutional buyers.
Neomotion's combined product, Neofly+Neobolt, has a maximum retail price (MRP) of 1.18 lakhs, but the selling price is 99,900 rupees. This competitive pricing strategy has likely contributed to the startup's success in attracting customers. The MRP of Neofly alone is 49,000 rupees, with a selling price of 42,900 rupees.
Furthermore, Neomotion has received funding from various sources, including a grant of 44 lakhs rupees from the IIT Madras incubation cell for a 6.5% equity stake. This funding has helped the company to develop its products and expand its reach in the market.
The founders of Neomotion pitched their business on Shark Tank India and asked for 1 crore rupees in exchange for 1% equity in the company. Several offers and counter offers were made by the sharks, with varying amounts of equity and debt being offered.
Anupam and Namita offered 50 lakhs for 4% equity and 50 lakhs debt. Peyush made a counter offer of 1 crore rupees for 5% equity, with the condition that he would receive 5% of the total profit until he received the full 1 crore amount, which would then be donated. Anupam and Namita countered with an offer of 1 crore rupees for 5% equity, but the founders remained stuck to their initial offer.
Anupam then made a counter offer of 1 lakh rupees for 1% equity and 99 lakhs debt at a 15% interest rate. Peyush countered again with an offer of 1 crore rupees for 2.5% equity. Finally, Peyush changed his offer to 1 crore rupees in exchange for 1% equity with the condition that he would receive 5% of the profit until he received 1 crore which has been donated.
After considering all the offers, the founders of Neomotion accepted Peyush's final offer of 1 crore rupees for 1% equity with the condition of receiving 5% of the profit until he received 1 crore, which will then be donated. This deal will provide Neomotion with the necessary funding to further grow and develop its innovative products, while also allowing them to contribute to society by supporting charitable causes.
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