Robert Herjavec, Kevin O’Leary, Daymond John, Lori Greiner, and Mark Cuban came together in the Shark Tank to evaluate four businesses for investment potential. Basepaws, Best Wardrobe Solutions, Kymera, and The Bang Shack all came to the Sharks in hopes of finding an investor and business mentor for their small businesses. Three of those businesses left the Tank with offers from the Sharks.
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Basepaws Partners With Two Sharks
Anna Skaya, owner of Basepaws, came to the Shark Tank seeking $250,000 for 5% equity in her company. Basepaws is the first at-home genetics test for cats. By understanding your pet’s DNA, you are able to understand more about their ancestry, health, and habits. Because she is first to the market, Anna sees the sky as the limit for her company. She would like to expand into DNA testing for other types of animals as well as work with nutrition companies to share information from their database that can help make improvements to the food and treats that we provide for our cats.
Do these cat kits pass the test? #SharkTank #Basepaws
— Shark Tank (@ABCSharkTank) April 29, 2019
Two Sharks are interested in Basepaws because of the technology and the database potential. They would like to see the market expand and both feel that they could help with investments and strategic partnerships. Both Kevin O’Leary and Robert Herjavec make Anna offers. The Sharks agree to combine their efforts and they offer Basepaws a combined $250,000 for a 10% share. This would mean that both Kevin and Robert would each invest $125,000 for 5%. Anna accepts their offer.
Best Wardrobe Solutions Strike a Deal with Daymond John
Cedric Cobb from St. Louis is looking for an investor for his company, Best Wardrobe Solutions. His company is designed to help men everywhere look their best. Their signature product is a pocket square holder that pulls an outfit together, creating the perfect look. Simply insert the pocket square into the holder and then slide the holder into place in your suit coat for a polished, professional look. Ideally, Cedric would like to find an investor willing to put $250,000 into the company in exchange for a 15% stake in the company.
Will this pocket square holder look good in the tank? #SharkTank
— Shark Tank (@ABCSharkTank) April 29, 2019
While the product is well received by the Sharks, they are slightly concerned that so much of his business is in distribution and that his product fits a niche market. Kevin O’Leary does decide to make Cedric an offer for $200,000 but would like a pure royalty deal. In exchange for his investment, Kevin would receive a royalty of $1.50 or every unit sold. He would not take any equity. Because Kevin is thinking of cutting costs by offshoring this product, Daymond undercuts Kevin and offers Cedric the same deal but for $1.00 royalty if he keeps the manufacturing in the US. Cedric accepts Daymond’s offer.
Kymera Gets a Second Chance in the Shark Tank
Although Kymera has already been on the Shark Tank and did not find an investor, owner Jason Woods took the advice of the Sharks and made some drastic changes to his business in hopes of getting a second chance to secure a partnership with one of the Sharks. Jason is seeking $250,000 for a 5% share in his company, Kymera, which manufactures electric, jet-propelled water sport vehicles such as body boards, kayaks, and surfboards. While they have seen great success in making the previously suggested changes from the Sharks, Kymera is looking for a Shark that will invest in inventory and scaling their manufacturing.
Who’s ready to propel themselves forward with these bodyboards? #SharkTank #Kymera ️
— Shark Tank (@ABCSharkTank) April 29, 2019
The Sharks were impressed with the changes and upgrades that Jason has implemented, and three Sharks made offers to Kymera. Jason reviewed offers from Kevin O’Leary, Robert Herjavec and Daymond to decide which strategic partner would be right for his company. Ultimately, Jason accepted Robert Herjavec’s offer of $500,000 for 10% equity as Robert thinks that the company needs more capital to grow.
The Bang Shack Fails to Make a Deal
Energetic and inspirational entrepreneur, Jason Hadley, came to the Shark Tank in hopes of finding a partner that could help build his business from the ground up. Jason would like to secure an investment of $80,000 in exchange for 20% equity in his company, The Bang Shack. Although his company is just getting started, they are having great success in local farmers markets with their signature chicken bang dip. They also offer additional dips, including a vegetarian and vegan option. Their delicious product can be added to anything (rice, pasta, burritos, omelets, etc) and is packed full of flavor.
Does this dip have what it takes to make a bang!? #SharkTank
— Shark Tank (@ABCSharkTank) April 29, 2019
Although the Sharks love the taste of his product, they feel that The Bang Shack is just too early in their company concept to be worth investing in. The likelihood of receiving their investment back would be low. The Bang Shack has a lot of work to do, including scaling production and website and e-commerce upgrades. Their current company has an infrastructure that is unable to support a growing business. Because the company has a lot of work to do with a small pay off for the Sharks at this time, the Sharks decline to make Jason an offer.
Great dip, great energy but still a long way to go #sharktank
— Robert Herjavec (@robertherjavec) April 29, 2019
Which business was your favorite on this episode of Shark Tank? Do you think that the Sharks made wise financial decisions? Would you buy any of these products? Start the discussion in the comments below!
Shark Tank airs Sunday at 10:00 EST on ABC.