Four businesses entered The Shark Tank hoping to land a financial partnership with Sharks Mark Cuban, Lori Greiner, Kevin O’Leary, Daymond John and Robert Herjavec. While these businesses represented vastly different industries, they all had two things in common: their passion for their products and their businesses and their desire to partner with the best businessmen and women in their industries.
Moki Doorstep Secures a Deal For a Change in Ownership
Husband and wife Zach and Alyssa Brown came into The Shark Tank seeking $150,000 for a 5% share in their company, Moki Doorstep. Their simple yet innovative product allows you to instantly create a step on your vehicle to access the rooftop for activities like securing cargo or cleaning snow from the top of larger vehicles. Their product installs easily in seconds by securing to the door latch.
First in the Tank, it’s Moki Doorstep, a doorstep to help access the roof racks of motor vehicles! #SharkTank pic.twitter.com/gCl1vfW9j5
— Shark Tank (@ABCSharkTank) January 7, 2019
All of the Sharks are impressed with this product and want to understand the financial situation that the company is in. Because the company is in its infancy, it is not currently selling product due to back orders from their Kickstarter campaign. They currently do have one investor, Zach’s uncle, who is owed $1 royalty per unit sold for the length of the patent. They also have a distribution partner that is interested in the company but no formal agreements have been made. As they begin negotiations, Daymond offers them $450,000 for a 20% share of the company. Zach mentions that he would entertain ideas of selling the entire company before giving up that large of a share. After discussions about the valuation of the company, Daymond offers $3 million and to continue paying royalties to Zach’s uncle in exchange for the purchase of Moki Doorstep as a company. They accept his offer and the whole company is sold to Daymond.
Sproing Fitness Leaves The Shark Tank Without An Offer
Former president and CEO of Bally Total Fitness, Paul Toback, and his business partner and engineer Steve Lenz, came into The Shark Tank in hopes of securing $500,000 for an 8% share of their company, Sproing Fitness. Their interval workout machine, Sproing, is designed to be a replacement for traditional cardio machines such as treadmills and ellipticals. Sproing provides interval workouts on a soft deck that includes a back harness to prevent injury while running and completing the high-intensity workouts.
Up next is @sproingsport’s Sproing Fitness, a workout machine and program that gives an alternative to the treadmill! ♀️♂️#SharkTank pic.twitter.com/m7wpfUpHXX
— Shark Tank (@ABCSharkTank) January 7, 2019
The Sharks begin to critique the product after seeing a demonstration by Daymond and Robert. Their initial concerns were that the product would not be affordable for average families, leaving the only practical market as personal training clubs. These clubs would need to buy into the product as well as the specific interval workout programs on the machine in order for the product to be successful. Their theory seems to be proven by the fact that Paul and Steve have had to open Sproing Studios to educate the market on their product and workouts. The Sharks are also concerned that workout products and companies are often trendy and when their moment has passed, the value of the product plummets. Although The Sharks acknowledged the passion that Paul and Steve have for the Sproing, they declined to make them an offer. Sproing Fitness left The Shark Tank without a deal.
Mark Cuban Serves Up The Perfect Deal for Bruw
Longtime Shark Tank fan Max Feber has learned a lot of business lessons from The Sharks over the last 10 years. The eighteen-year-old business major has been watching entrepreneurs pitch their products and companies to the Sharks since he was 8 years old. He finally was able to put what he learned into practice when he pitched his cold brew coffee filter, Bruw, to The Sharks. He asked for a $50,000 investment for a 25% share of his company.
Next in the Tank, it’s @bruwcoffee, a coffee filter to make cold brew at home in a mason jar! #SharkTank pic.twitter.com/M6I9QCwtO0
— Shark Tank (@ABCSharkTank) January 7, 2019
His best selling product is a mason jar adapter and filter that allows consumers to quickly and easily create a perfect customizable cold brew coffee at home. The Sharks are impressed with his innovation, passion, and spirit, but they want to be sure that Max has a long-term plan for scaling and growing his company. Although both Daymond John and Mark Cuban offer him $50,000 for a 30% share of his company, Max chooses to make a deal with Mark as he provided ideas on how to keep his profit margins up while improving Bruw’s product marketing.
TushBaby Makes a Big Gamble for Lori Greiner
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Tammy Rant, owner and creator of the TushBaby baby carrier, came into The Shark Tank in hopes of sharing 10% of her company in exchange for an investment of $200,000. TushBaby wraps around an adult’s waste and provides a comfortable cushion to rest a baby on rather than on your hip which can cause pain and joint alignment issues. Robert Herjavec sampled the product and provided real-time feedback on the function and feel of the product. Mark is concerned that the baby looks as though it was falling off of the cushion and there may be some safety issues for the children being held.
.@TushBabyShop is an accessory to help carry your baby! #SharkTank pic.twitter.com/Y7baQ2IX6e
— Shark Tank (@ABCSharkTank) January 7, 2019
While The Sharks like the margins on the product, as well as Tammy’s passion and dedication to her company, they are concerned that there have not been enough actual products in the market to provide accurate market feedback into how the product is perceived and liked. Daymond make Tammy an offer at exactly her asking price, $200,000 for 10% and he is visibly upset that she immediately probes the other Sharks for offers. Kevin O’Leary also makes her an offer for $200,000 at 15%. After continuing to sell her product to Lori, even with two offers on the table, it became very clear that she had her eyes set on a deal with Lori Greiner. Both Kevin and Daymond became impatient and angry that she was still pitching her product and ignoring their offers on the table. Ultimately, both Kevin and Daymond recinded their offers. Lori Greiner eventually made TushBaby an offer for $200,000 for a 20% share of the company. Tammy quickly accepted Lori’s deal.
What was your favorite business on Shark Tank tonight? How did you feel about the business investments and the products mentioned? Would you purchase any of these products? Leave your comments below!
Shark Tank airs Sunday at 9:00 EST on ABC.