Benoit Chaigneau, the founder of Chuben.fishsauce, made an appearance on Shark Tank Vietnam’s seventh season with a pitch for $500,000 in funding in exchange for 12.5% of his company’s equity.
Recognizing a gap in the market for premium fish sauce, Benoit crafted his own unique formula, which he claims has been hailed by chefs as “the best fish sauce they’ve ever tasted.” Consequently, his startup’s fish sauce product retails at 450,000 VND per bottle and is designed with a spray nozzle.
Speaking about the market, Benoit estimates that there are 1.5 to 2 billion people who consume fish sauce daily, representing a market worth $17 billion. The premium segment accounts for 2% of this market, approximately $400 million, and his startup aims to capture 0.5% of this segment in the first year, equivalent to $2 million.
In addition to their premium fish sauce, Benoit reveals that the company will simultaneously introduce various other types of Vietnamese fish sauces, including those from Cat Ba, Quang Nam, and Phan Thiet.
Benoit Chaigneau, the founder of Chuben.fishsauce, pitched for $500,000 in funding for 12.5% equity on Shark Tank Vietnam.
Shark Nguyen Hoa Binh expressed his concern about the spray format, stating that it might cause the fish sauce to splatter and create an unpleasant odor, making it inconvenient.
However, Benoit disagreed, stating that it is not inconvenient. He and many chefs believe that to entice people to try their food, the aroma must capture their senses first. He also mentioned that their fish sauce can also be poured into a small dish for dipping, although the flavor experience might differ from the spray format.
Shark Le My Nga then inquired about the company’s operational efficiency and order volume. Benoit shared that they have pending orders and that he had met with a distribution company in France. However, their product currently only has food safety certification in Vietnam, and they still need certifications from Europe and the US to export to those markets.
When asked about the specific number of products sold, Benoit admitted that it was very limited, mainly to high-end chefs and restaurants. In July 2024, they sold 100 bottles in France, but Benoit had to hand-deliver them himself as the company is currently a one-man operation. He also acknowledged that they are still in the early stages of their journey.
The pitch received praise for its unique product but also sparked strong reactions from the “sharks” regarding investment considerations.
Shark Tillman Schulz, a food industry entrepreneur supplying to Carrefour and E.Leclerc in France, predicted that it would be challenging for these retailers to stock Benoit’s fish sauce due to its high price for the average consumer.
He then requested that Benoit justify his valuation of $500,000 for 12.5% equity when the company has no financial data to support it.
In response to Shark Tillman Schulz, Benoit explained that his valuation was based on the immense potential of the company, its products, and its brand, as well as his extensive network and the positive feedback received from customers and chefs. When pressed for specific numbers, Benoit provided an example from a shop in Hoi An: ” I calculated that there are between 4 and 6 million tourists visiting Hoi An each year. Out of those, I estimate that around 2.3 million could potentially purchase this product,” the founder surmised.
Benoit also shared his motivation for appearing on the show: “I came here to meet the Sharks because they know things I don’t. I’m seeking a partner, not just money. I don’t see the Sharks as a wallet but as individuals with whom I can shake hands, collaborate, and build the company together.”
Shark Minh Beta advised that to attract funding, the founder should ensure they have a financial plan and future projections to facilitate a meaningful conversation about the company’s valuation. This would make it easier to reach an agreement.
Shark Tillman Schulz candidly declined to invest, feeling that there were too many unanswered questions to make any decision. For a $500,000 investment, he required more information.
“I still don’t like the spray idea, but more importantly, I don’t see a clear strategy for a commercial product,” said Shark Binh, explaining his decision not to invest.
The Sharks offered valuable advice to the startup.
Shark Phi Van appreciated the idea of creating a luxurious fish sauce but advised the founder to find a co-founder with a commercial background to provide support. She also suggested reevaluating the company’s value before approaching investors and declined to invest in this deal.
With five rejections, the startup failed to secure an investment from the sharks, concluding the pitch without a deal.
