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Four small businesses entered the Shark Tank in hopes of securing a deal with one of five Sharks. Lori Greiner, Kevin O’Leary, Mark Cuban, Daymond John and Barbara Corcoran listened to entrepreneurs pitch their products and services with the hope of finding a business worthy of an investment. Although a lot of offers were made, only two businesses left the Shark tank with investments from the Sharks.
Nuchas Gets Two Offers But Leaves Without a Deal
Nine years ago, Ariel Barbouth immigrated from Argentina to America. He had a dream to transform a staple of his Argentinian culture, the iconic empanada, and share it with Americans around New York City. He came to the Shark Tank seeking a $2 million investment in exchange for 8% of his company, Nuchas. Nuchas has revenue streams that collectively have brought in $5 million in sales. The retail side of the company has totaled $2 million over 4 location across New York City. The wholesale side of the business has brought in $3 million in sales and is seeing tremendous growth. Ariel believes that Nuchas will end with a $750,000 profit this year and a $3 million profit next year.
Will Nuchas take empanadas to new heights? #SharkTank #Nuchas
— Shark Tank (@ABCSharkTank) April 8, 2019
Nuchas is seeking a Shark investor to help them tackle fulfillment and capacity restraints on the wholesale side of the company. Because the retail portion of the company is not growing as quickly, Ariel would like to invest in what is bringing in the majority of their sales. Daymond John is willing to give them $2 million but he wants his money back within four years so his equity in the company would be 25%. Barbara Corcoran also makes Nuchas an offer. She will invest $1 million for 100% of the cart business and a provide a $1 million loan for the wholesale business with manufacturing property as collateral. He would keep 100% of the wholesale business as she has no interest in that side of the company. She would, of course, buy all of her product from the wholesale business and has plans to franchise the retail business. In countering, Daymond gets frustrated and pulls back his offer, leaving only Barbara’s offer on the table. Ariel does not want to give up the retail business and declines Barbara Corcoran’s offer and leaves the Shark Tank without a deal.
Haven Strikes Out In The Shark Tank
Alex Bertelli and Clay Banks of Nashville came to the Shark Tank in hopes of partnering with a Shark who would invest $500,000 in exchange for 6% equity in their company, Haven. With home invasions occurring every 18 seconds across the United States, 1 in every 36 homes will experience a break-in. This is the inspiration behind Haven’s signature patent-pending product that sits at the bottom of a door. Designed to act as a wedge, the product pops up when activated and makes your door 10 times more secure than a traditional deadbolt. They offer a manually activated version of their product as well as a Bluetooth connected electronic version. One of the biggest markets they could see themselves expanding into are schools and other academic facilities that may need to go on lockdown at a moments notice.
Can these entrepreneurs lock down a deal? #SharkTank #HavenLock
— Shark Tank (@ABCSharkTank) April 8, 2019
The Sharks are concerned that they are very new to the market and they haven’t worked out enough of the bugs with their costs and manufacturing process. Their sales are just over $250,000 while they carry a debt of $500,000 from two investors. They also have gone through $1.5 million that they previously raised. Haven is looking for a Shark that can help them to scale their inventory. While the Sharks are very interested in the product, they believe that Haven came to them too early in their development process and they have more kinks to work out before they would be a worthwhile investment for them. Haven leaves the Shark Tank without a deal.
Kanga Quickly Accepts An Offer From Mark Cuban
Three Clemson classmates developed a product that was inspired by a problem they faced on college game day. Logan LaMance, Teddy Giard and Austin Maxwell came to the Shark Tank to pitch their company Kanga, and more specifically their product the Kase Mate, to the Sharks in hope of securing a $100,000 investment for a 10% share in their company. The Kase Mate is essentially a can insulator but for an entire case of beer or soda. The sleeve goes around the beverage case and combined with the cardboard packaging, provides insulation to keep the contents of the cans cold for 7 hours without ice.
Will a Shark hop on investing in this new product? #SharkTank #KoolerThanACooler
— Shark Tank (@ABCSharkTank) April 8, 2019
Kanga has made $103K,000 in sales over 6 months across two major channels: e-commerce, which is responsible for 30% of sales, and customizable B2B wholesale distribution, which accounts for 70% of their sales. They have recently been approached by Anheuser Busch and were given a PO for a test market. Mark Cuban decides to make them an offer right away, citing that he is the beer and beverage Shark. He offers them $100,000 for 20% of the company but they have to tell him right away and he won’t accept any counters. They agree and partner with Mark Cuban.
CertifiKID Negotiates Their Way Into a Deal With Kevin O’Leary
Husband and wife Jamie and Brian Ratner came to the Shark Tank in hopes of securing a strategic partner for their business, CertifiKID. Because parents are always looking for new experiences to make memories with their kids without breaking the bank, Jamie came up with a concept to sell family-friendly experiences, services and products on their website and app. CertifiKID currently services six major US cities but has a desire to expand with the help of a Shark. To enroll, parents sign up and begin receiving daily parent approved offers. Users can also browse 300 local and national deals on their site.
Who wants to join in on the fun? #SharkTank #certifiKID
— Shark Tank (@ABCSharkTank) April 8, 2019
CertifiKID is seeking a $600,000 investment for 8% equity in their company. Since they launched in 2010, they have generated more than $30 million in revenue. They are looking for a strategic partnership to help guide and grow the business. Daymond John, Barbara Corcoran and Kevin O’Leary all make offers to CertifiKID, however, it is clear that they want to make a deal with Mr. Wonderful, Kevin O’Leary. After many negotiations, they agree to a $600,00o investment in exchange for 19% equity.
Which business was your favorite on this episode of “Shark Tank?” If you were a Shark, which business would you invest in? Start the conversation in the comments below!
Shark Tank airs Sunday at 10:00 EST on ABC.