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Business partners Jason Grohowski and Mike Bolos came to the Shark Tank in hopes of receiving an investment of $150,000 in exchange for a 7.5% equity share in their company, Deskview. In the age of glass where many companies are moving toward minimalist, open concept designs, Desk view has created a standing work station that can easily attach to any internal or external glass wall. To install or remove the Deskview product, simply pull the levers to initiate or break the suction force of the product.
The product is manufactured using aerospace grade aluminum so that it is able to hold more weight than a consumer would ever need. The Deskview standing station can adhere to any smooth, non-porous surface to create a desk that is portable and can be assembled anywhere. They have sold 800 desk units through direct marketing, netting $162,000 in sales. Jason and Mike have begun to focus on B2B sales as they feel that there is a greater opportunity in B2B vs. direct-to-consumer sales for their product.
Can this minimalistic desk stand up against the sharks? ️ #SharkTank #DeskView
— Shark Tank (@ABCSharkTank) May 6, 2019
Although the Sharks like the high margins on the product, they are concerned about Deskview pricing themselves out of the market. Jason and Mike assure the Sharks that in comparison to their competition, they are very reasonably priced and still an attractive investment to consumers. They are also trying to reduce their costs by another 20-30% which would allow them to either increase their margins even more or reduce the selling price to the consumer, making them an even more appealing option.
Kevin O’Leary loves the high margins of the product and would like to grow its direct business. He offers Deskview $150,000 for a 15% share in their company. Lori Greiner does not like the existing price point and feels that a lower price point would encourage customers to purchase the product. She proposes that they focus on selling Deskview into commercial spaces such as coffee shops where people could stop and plugin. It’s portable and the configuration could easily be rearranged to best fit a commercial space. She offers $150,000 for 33.3%. She would like to be an equal partner with Jason and Mike. After hearing Lori’s offer, Kevin adjusted his offer to $150,000 for a 20% share in the company. After unsuccessfully trying to counter with Lori, they accept Kevin’s amended offer.
What you do think of Deskview’s product? Would you purchase this product? Do you feel that they made a good choice by choosing Mr. Wonderful over Lori Greiner? Start the conversation in the comments below!
For a full summary of this episode, check out this article. Shark Tank airs on Sundays at 10:00 PM EST.