Foreign [Music] Oh my goodness I can't believe that I'm Doing this Chick was social anxiety about to go Talk to a couple billion or millionaires [Music] First in the tank is a stylish and Functional accessory [Music] Hi I'm Sophie Overton I'm from Bentonville Arkansas and I am seeking Thirty thousand dollars for 15 equity in My company Sharks I'm 13 years old and even though I'm still in the 8th grade I have a PhD In sockology heck I know more about Thread counts than I do about the Periodic table I created a sock for kids Made by this kid to make life easier for Whatever we're doing introducing wise Pocket products an innovative line of Socks and leggings with pockets in them Big enough for kids most important items Like your phone so you don't have to Worry about the life-threatening event Of missing a call or text from your mom Anymore and I know what you're probably Thinking there's got to be tons of socks Like this well I created a Patent-pending sock design for kids to Safely stick their important items into Our sock Pockets so if you're playing Soccer
Rock climbing Or you know spontaneously breaking out Into dance with your friends wise pocket Product says you covered Nice Wow [Music] Love you guys Just like my Zumba class I just want to Let you guys know you're all going to Have arthritis when you get old So as you can see sharks even after all That our design sock Pockets will keep Your important items in without falling Out And the best part is for every pair of Socks that we sell we donate a pair of Socks to kids in need Sharks I know I'm young but give me five Years and I hope I'll be sitting in one Of those chairs so tell me who's wise Enough to join me in getting wise pocket Products to kids everywhere thank you For letting me tell you about wise and Thanks guys all right good job guys Excellent excellent excellent you're Going to show us some Sophie in person Here yeah sure There you go you can take three thank You You did great thank you thank you thank You nice colors though huh thanks Sophie Thank you tell us about you how you got Into this business well I got into this
Business when I was 11 and my cousin her Phone in her boot because you know kids In women's clothing don't have pockets So I tried it too and it was really Uncomfortable because it slipped down to My ankle and I couldn't reach it and it Was just all in all a bad idea and so I Asked around my school to see if other Kids had this problem and they did and So I came up with my prototype where I Cut off the top of another sock and Stuck it inside the sock that's cool and I sewed it up the sides and voila how Did she get your money for the business I save everything that I earn and I how Much money did you actually put in to Make your socks I invested 10 000 of Yeah no I had saved five thousand and I Earned 5 000 more through business Pitches and competitions nice oh wow Good for you Have you been watching Shark Tank very Long since I was like six years old oh My make us feel old you know I'd stand Up in the living room and say I'm gonna Be on Shark Tank this has been my goal Since before I even had the idea for the Business You sold any of these yet yes how much a Little under 16 000 in sales Sophie let Me just tell you you're a perfect Example of what every kidpreneur should Do right you've got a job you saved up Some money you did all the prototypes
Yourself then you made actual products Then you sold those products sixteen Thousand dollars worth of products now The only question is did you sell those Products profitably tell us what it cost You to make a sock and what you're Selling them for to make the sock it's 5.47 because that's expensive yes it's Because of the process to make the Double welt for my pocket what do you Sell them for 15 retail and 11 wholesale What do you want with the thirty Thousand dollars Sophia what are you Gonna do with it well my main goal is to Streamline the production Uh right now I'm only able to produce Around 100 units per month because I Have a month uh yes that's horrible so There's other things out there on the Market that hold in socks they have Pockets right I do have competition Although my competitors only have like Small pockets for keys and stuff well Sophie look I love what you're doing and It's wonderful to see this at such a Young age but I don't want a saw company In my portfolio so I'm out Thank you Sophie I think it's a great Idea I'm gonna get some for my kids for Me though it's not a great fit as an Investment simply because this isn't my Strength I couldn't tell you about Thread counts you know But I mean congratulations you should be
So proud but it's not a fit for me so For those Reasons I'm out Thank you very much congrats that Sophie Do you feel that you want to be running A business right now or is it a little Stressful when you're going to school And all of that I mean going into high School is stressful on its own but with The wise pocket product it's kind of a Boost for me I feel a confidence boost Like if I can own a business and I can Go through school and turn in that essay Good thank you Sophie thank you you're Already out there hustling thinking Creating doing it yourself so you've got Everything that it takes to really be a Great entrepreneur and Damon and I want To help you He does quite a bit in the sock Arena And he would like to do an offer with me I started off with bombers they were Doing 800 000 and they were donating to People and they will donate over 10 Million pairs of socks they're doing 120 Million now and the donation is way more Important to them than the money yeah so What do you think Lori Well do the thirty thousand dollars will Be a third partner Our goal is to try to find somebody to License it and then when we get to that Point we'll figure out what the Licensing deal is do you want to take The thirty thousand dollars and give up
One third of your company you've got to Make a decision yes or no You are right Mr Wonderful it's a lot of My company I'd like to make a Counteroffer yeah Sophie okay let's Share it Um 35 000 for 25 wow Wow Negotiating skills In her sock on that one 25 percent [Music] We will take that offer thank you so Much Business again yes high five thank you Thank you so much proud of you I'm so Impressed by you wow congratulations Sophie well done thank you I'm very overwhelmed and I'm really Excited that I got to deal with Laura And Damon and I'm just I'm in heaven I mean I'm so excited [Applause] I'm direct and I'm Kelly and we're Sisters from Philadelphia Pennsylvania You know why it's gonna be really good Cause you made it because I tell you the Truth we've cooked all our lives we love To cook my mom was the best cook ever we Would go to church on Sundays come home And she would tear the kitchen up so
It's very important that we continue the Tradition How about this one dinner four years ago I couldn't find the taste that I wanted So I decided to make it myself here you Go eat up when we tried it everyone said It was the best thing they had ever Tasted everybody enjoying the food from That point we decided to give it a name We need the product after our brother Mike whose nickname was Little bang he Was carjacked and taken away from us Tragically and it's our way of keeping His legacy alive having a shark taste Our product and validate that it is real Good well just make this journey all the More sweeter [Applause] [Music] Hi we're the bear sisters Andre and my Name is Kelly and we're from Philadelphia Pennsylvania we're seeking 150 000 in exchange for 10 equity in our Company now sharks let's face it if You're like us you like to bang It's one of the few simple Joys and Pleasures in life and if you're like me You want to bang breakfast lunch and Dinner we've created a masterpiece Product line that will have you wanting To bang everything so without further Ado we would like to introduce you to Joyce's Lulu Bang Bang Our unique sauces are infused with herb
Spices and natural flavors that will Literally change the way you eat Joyce Is a little bang will have you screaming There was much unique about our product Line is that it is beautiful on anything From Seafood poultry pork and steak to Rice pasta salads and potatoes You Name It We can bang it so who wants to Partner with us and bang that thing with Joyce's little bag we have samples for You guys Like to introduce our daughter Ashley She's going to provide your daughter That's your daughter wow wow I just Turned 50 this year guys congratulations Our sauce is so amazing you can Literally eat it on anything so we Prepare four different dishes we have Our famous Lulu bang wangs we actually Have our Seafood fried rice our Vegetable medley and then we have a Fajita style chicken and steak so what We wanted to do was allow you guys an Opportunity to taste the sauce and it's It you know just in this pure State uh a Person that usually is not really a good Cook the Asian I love you like it yeah So what we wanted to really share with You guys is how awesome it is and the Fact that you can use it on anything These are your recipes yes every last One one of the great challenges of Barbecue sauces and we've had our fair Share of them over the years
We've tasted great sauce and this is as Good as any that's not going to be a Sauce that's great no one ever brings Their sauce in here and says it's not Banging yeah right so this is amazing Good sauce you've got to tell us what's Your distribution strategy is to get Market share get in the sauce business Which is brutally competitive oh we Would love to share that story we Started in catering and restaurants Everyone kept telling us the sauce is The bomb I mean it's just amazing and so We started selling it on small scale What happened was the largest retailer In the world Walmart did a manufacturing Summit last year so we pitched our Product and we put Walmart to Walmart And what happened at the end of the day We walked away with the regional deal We're in the 170 stores yeah you're in 170 Walmart stores it is so hard to get Into Walmart tell us about your Walmart Journey what's the plan are they going To roll you out to more stores so again We've just started with victim in March We've already been connected to the Women's initiative the women's economics I've had conversations with my senior Buyers and she actually said and I I Really don't toot my own horn but when We wouldn't presented she said we were The best that she's ever seen Kelly we Never asked what does it cost right now
We are manufacturing including packaging And all of that for a dollar and ninety Cents and what does it sell for it sells For uh 3.99 retail in the three months Since you started how much have you sold We sold a total of in Walmart by itself Forty five thousand dollars [Music] How many are you selling a week so we Sell about 500 a week wow that's low How much you selling right now online oh Yeah we're not selling a lot online You know 170 stores 500 a week is an average of Only two and a half bottles uh a week Per store that's our challenge you know Because we're so brand new I don't think This is gonna work This is never going to be a big online Business I'm sorry it weighs too much And it's a competitive space it's a Commodity to differentiate your product This is a massive branding exercise in Other words you need a lot more than 150 000. Foreign All sharks are still in but they're Concerned about the low sales of Kelly And Jerry's sauce company lulubang Despite being in numerous locations I Don't think this is going to work You need a lot more than 150 000 to Break into the big things
I'm sorry ladies I'm out Thank you for that thank you so much you Know Kevin timeout You sell online glass Jarred cupcakes Yes and they're glass they weigh a tenth Of this our whole deal is to turn all The weight out I've lived this nightmare The whole shipping thing is beyond a Challenge let me give you my thoughts First of all Great the food amazing it is uh the Sauce bring a tear to a glass eye right Amazing a chair to a glass eye yeah yeah That's how serious I am and let me tell You what I went through and how I Experienced this I I did a deal called Bubba Baker's boneless ribs and Bubba Had sources what we found out it was so Hard to sell barbecue sauce online Because people can't visually taste it They're very very heavy and a lot of Breakage we ended up selling the Barbecue sauce because the barbecue Sauce was in the ribs a small sample of It it will taste it and then reorder but If we didn't have that lead-in to grab The people to give them the tasting We would have never sold any sauce and I Know the issues here and I can't help You with this before you know Thank you I find the product packaging a Little confusing Consumers are very fickle when they walk Through that shelf space
You know it looks very Asian to me right I'm and then I see barbecue sauce and Yet you told me it's good for everything Right I think you've come a really Really long way you've bagged a massive Elephant in terms of Walmart you've got A great test you know The Branding will Probably have to change a little bit But it almost feels to me like it's at The beginning Amazing job but I just don't think I'm The partner at this point for you okay Well thank you thank you very much when I look at you it reminds me of a saying Some women fear the fire some women Become it you have become it and you Have done an amazing job and you have an Amazing partner in Walmart for me when I Invest in something I like to invest in Things that are unique but there are a Million barbecue sauces out there and For that reason I'm out Because you deserve a ton of credit my Challenge is I need to see a company That's going to do 10 million dollars in Sales or 50 million dollars in sales Over the next 10 years even five years But we're definitely that company Mark I Know you want to be I know you want I Believe that we are and here's why Because we've had conversations with Walmart and with ShopRite and all of Those guys the expansion piece of it We've got that nail you know it will
Happen It's just not going to happen in the Next two or three years even if you get Out to a thousand stores selling you Know seven a week your business will Grow and it'll be a great profitable Business for you but that doesn't Necessarily mean it's an investable Business for me So for those Reasons I'm out but again Congratulations thank you you guys Deserve just a ton of credit good luck Ladies good luck guys thank you All what I do not feel like it was a Wasted effort I would do it all again we Know that it's going to be the sauce in Every single household it's not a matter Of if but when the chances of that Actually being successful even with the Walmart oh no Walmart will get behind Did you know everything when you started Your first business I'm looking at it Saying no chance it's a total commodity Kevin what you're missing what you're Missing you're not missing anything I Noticed you wouldn't put a dime into it The issue is scale it's not whether or Not they'll be profitable because they Can sell it they can hire more people to Sell it it's just how much my whole Point about these dialogues we're having With these people with all this glowing Encouragement is you're not giving the Real risk profile of what they're
Spending their time okay Kevin let's Talk about the recruit let's talk about This the truth Kevin you're an idiot let Me tell you goodness I'm here mark thank Goodness so Kevin Kevin can you think Maybe it's glowing stuff that means the Three of them spend the next two years Trying to sell a hot sauce listen to me Kevin Should really assess whether or not it's Worth the next two years to try and take Seven stories What are we supposed to do You know I like to see a little bit Because you're never gonna get anywhere How about telling them the truth It's never going to go anywhere you're Not going to get it any stores nobody Needs this product if I had listened to Any of them if I tried to find the Hardest to go into to get Market sharing I think it would be the barbecue I Remember the guy there is no such thing As an easy Businesses that are born in hell and This is one of them I would rather work 80 hours a week to make 50k and work for Myself than have a 7 500 000 job working For somebody else If you guys loved it so much how come Not a dime from any of you it's her Business But I told them the truth I didn't have To give them an excuse shame on you
Shame on you where's your eject button First into the tank is a product that Comes to the aid of hairy situations Foreign Hi sharks my name is Jennifer and I'm Gita we're from Los Angeles California And our company is called Nomo stash we Are seeking a hundred thousand dollars For 25 equity Nomo stash is revolutionizing every Woman's Beauty routine Ladies have you ever been driving to an Important business meeting and Notice a glistening hairy lip in the Rear view mirror What about Juggling a million things at once and When you finally get a chance to look in The mirror [Music] Handle they are mess free cold wax Strips so there is no risk of burning Your skin with hot gooey wax curious how It works we thought you would be so First rub the strip in your hands to Heat the wax up it's that easy Then pull the strip apart and apply to The side of your face rub back and forth For hair to adhere to the wax hold skin Taut and pull opposite of hair You're not smiling anymore Smiling Nomo stash is the only waxing Kit on the market that is packaged for Your convenience and a small discreet
Tin giving you the freedom to wax Anytime Anyplace throw a Nomo in your Bag and always be prepared when you have Nomo stash you have no mo worries so Sharks who's ready to get in with smooth Skin You get that extra hair why don't you Just shave like the rest of us oh no you Know you take a little razors Excuse my ignorance is this that big a Problem is there that many women that Have mustaches oh my God everybody has Everybody let me ask you a question What's the difference between us in the Sally Hansen strips perfect Oh you could carry it in your purse and Somebody could see it when you open your Bag and then they'll be like girl why You have the selling hands sorry I don't Know what a Sally Hansen strip is it's Waxing people they have a business of Hair removal but a bunch of people do The concept here is discretion this is a Tin it's like putting a tampon in a Single there's nothing proprietary about This it is the only portable waxing kit On the market is it patented in some way No you can't say what are you bringing Here what do you got before there's no Idea it's portable I have 14 years of Waxing experience Right tell us what it cost you to make What you sell it for where you sell it And how much you've sold um
Ended The kit sent here You've done 400 000 sale there you go in Two years yeah how much this year are You gonna do 350 000 this year what is It sell for I'm sorry it's 18 Retail one Little 10 is 18. So there you go Bethany listen bam I I Really do think this is a gimmick it's What you buy on the way out of like the Lingerie it's a 400 000 gimmick so where Are you selling it so we're currently Selling uh at Sephora we're in the Checkout Beauty on the go and the bins Yes Peter how did you get in there so we Got our product in Real Simple Magazine And then one day our email just kept Going bonkers and I'm like what is going On and just order after order afterwards There's nothing proprietary everyone but You know what convenient cell there's Nothing proprietary about water either Are you in every Sephora no worries 60 Sephora 60. how many are there total Remind me 200. can you get the other Thing they haven't taken you into the Others originally we were in the other Stores in 200 stores and now we're in 60 Stores Okay so so the sales weren't good and Some of those actually that's not true Every single week the sales are Consistent why they wanted to bring up Make room for new trends that happens
Right they roll through yeah so that's That's a little bit of a concern because This may not work really well they would Have kept it right right it's hard to Defend the fact that you lost 140 stores That's what basically happened right but I've had so many products that have gone Into at all doors and then they do take It down why that tell me why that's Exciting news well what's exciting news Is that since then we have been pushing The pedal to the metal to not have all Of our eggs in one basket Exactly that's it so basically it's a Marketing play on an old commodity and You've done a good job of getting some Shelf space for it hopefully you're Going to diversify your sales outside of Just one distributor yes we are Launching with uh five more distributors In September I want to say something positive I just Waxed Mark's arm which I never thought I'd say it's lifetime so all the Competitors that I have used in the past They are very sticky they get gluey they Get all over everything yeah they're Still on there later and you're feeling It I just waxed his arm and it's very Neat now that Mark has been waxed that Changes everything so I'm gonna make you An offer you ready you're asking a Hundred thousand dollars for 25 percent You're very lucky to be here today I
Might say that too because I'm willing To give you the hundred thousand dollars For 10 okay but the way you're going to Pay me back is I'm gonna get a dollar a Lip that's the way I like to look at it Every time you sell one of these excuse Me silence while I get the offer out I'm Gonna give you a hundred thousand Dollars for ten percent equity but every Time you sell one of these I get a Dollar until I receive 300 000 back and Then it goes away I don't normally say This is a good deal it's a great it's Not a bad office it actually is a great Offer here's the thing I have thought About you're very attached to the name I Think it very much limits you to only Hair removal and I've thought that there Needs to be a kit for women that has Nipple covers your sticky tape your hair Removal thing this is one little gimmick No disrespect this is going to go away Which is the nipple cover Mark the Nipple I have a female audience I have Thought that places like Sephora need a Girls kit a whole kit with all of these Things so I need to own that market We're asking a hundred thousand for 25 Percent I would give you a hundred Thousand for for forty percent And beauty of a Women a skinny girl Solutions kit this Is one little product I I there's a Million types of hair removal you're
Gonna be dead in the water you had one Retailer and you ready reduced by 140 Students [Music] All right All sharks are still in Jennifer and Gita have two offers on the table from Kevin and Bethany for their hair removal Kit Nomo stash but Bethany's offer would Require them to Rebrand their product Under Bethany's Skinny Girl brand ladies Do you want to go down that direction do You want to give up your company under Her brand you don't want to build Somebody else's business you do not You have a great idea here I don't think that's a bad idea actually Oh It's a very competitive space yeah so I Was sitting here come in with me no one Has put it together in a compact way You're going away for a girls weekend You're going to a wedding you don't know What's going to happen not until you get Dressed Falling down yes What are you doing I kind of like this Idea because I think that we could sell It me too so where were where were you At a hundred thousand for 40 yes oh Savage that is Savage that's crazy I am absolutely the person and you're Allowed to counter I mean you're allowed Don't do that it's not us though to
Power Jennifer let me ask you a Question I just want to be clear Bethany's offer is she wants to Rebrand Your company under her company or what Lori and I decide together for partners I don't have the problem with the Individual items names I think they're Cute good point that that skew should be Have that name and the other two and no More bad breath or whatever you want to Come up with you guys can be creative But the whole kit is called something That we come up with so don't mow Everything listen ladies no mustache no More Mark I'm out I can get access to a Chihuahua with no Hair and we can stick it right on the Tiny wait hold on Jennifer okay I'm Changing something We could call the whole brand Nomo but It's no more and you figure out what all The problems are no nipple no more pan No More panties honestly so it's your Brand but it's awesome I don't want you To do all this I just want to give you Money I mean the No No Name is really Clever as much as profit is genderless I Just feel like it's a brand to empower Women and I feel like you guys get the Vision wait a minute so our counter Would be then 35 two sharks 35 well you Guys came in at 100 for 25 right which Tells me that you really want Partners What you get along with us is a lot of
Credibility and branding why do so much I only ask you for 10 percent Let me make it even more interesting for You I'll drop my royalty down to 75 Cents you can't get into business with Him you cannot pick absolutely Not that much what was your It's a lot of equity if if you would be Willing to do a deal where we stayed Back to the 25 equity and then there was A royalty we'd be open to that as well We we just have our hearts set okay I'm Gonna make it more interesting because I Want to squeeze their heads a little bit I'm going to drop my royalty down to 50 Cents okay not from a dollar anymore It's 50 cents and I'm only taking 10 of The company Forget these guys what are you waiting For let's do the deal okay we're being Creative okay we'll go to the 35 percent [Music] 100 000 with a one dollar Royal split it's Already down to 50. on each Kip of Nomo Everything until we get our money back And then we'll cut the royalty my deal Is way better way better Equity if this Works you've given away your company now Would you be willing to go up to 200 000 In the royalties Um and then go back down to 25 I'll take that deal No we'll take that deal in no more
Negotiating Wow congrats girls thank you ladies Congratulations ladies oh my God it's Like our dream like we wanted the Strongest women in the tank exactly what We wanted like oh my God I I'm freaking Out you have no creativity in Structuring deals you're just laughing Me off Learn grasshopper learn I'll wax your Back as a thank you Next up is Maria Curcio and Veronica Prolongo who believe they have a Solution to a Nationwide epidemic [Music] Hi my name is Veronica prolongo and this Is my partner of 15 years Maria Curcio Our product is buggy beds and we are Seeking 125 000 investment for seven Percent equity in our company bed bugs Are crawling everywhere these simple Little fabric hitchhikers have been Causing panic and Chaos across the world Bed bug infestations have increased over 500 percent in the last few years alone Causing a global epidemic stop the Madness a simple twin bed like this can Have thousands to hundreds of thousands Of bed bugs feeding on you causing you Red swollen itchy lumps and one female Can lay up to 500 eggs wow you could Have bed bugs in your home and not even Know it And that's why we created
[Applause] Buggy is a bed bug glue trap that Is an early detection system it's Designed to attract trap bed bugs dead Simply slide and hide buggy beds between Your box spring mattress under your Couch cushions and buggy beds will Provide peace of mind for everyone sleep Tight and don't let the bedbugs bite Well let's see who's going to bite can We have a look at the product absolutely Sure Veronica's going to hand you out Our travel pack you take it with you to Hotel rooms how long have you guys been Doing this we launched the product about Six months ago why we're here is we have A weakness the weaknesses The Big Box Distribution and the retail stores well So you want help in getting retail Distribution correct does this eradicate All of the bed bugs this has been Designed actually as an early detection System your vision that would go to a Hotel with one of these put under my bed And say whoa I gotta change rooms There's bugs in here we've actually even Had that happen we'll everyone keeps Asking the same question why are we so Infested because there is no really good Early detection system Is it tested and proven or is this your Claim we've tested it worked with a Couple entomologists dermatologists as Well as myself came up with a formula we
Just had a Housing Authority for Instance we sent them a case of 144 Traps at their request for a sample Three months ago they just placed an Order last week for 22 000 traps because Of the successful results wow it's not Toxic in any way it's non-toxic and Pesticide free buggy badge is patent as A design in 34 countries the trademark Of the name buggy beds and the logo Itself is in 42 countries the utility is Pending in 50 countries who is actually Doing the manufacturing for you we're Actually taking it in-house now 100 it's Very cost effective and easy what is the Suggested retail price of each of those The two packs What is your cost of making it a dollar What are your sales right now currently Our sales are 150 000. we've started With Home Depot's website and they just Picked us up for 60 of their stores that We just shipped out this week oh you Never said that before with this product Correct we also just got a purchase Order from 75 Burlington Coat factories As well can I say one other thing on the 150 000 in sales we have a hundred Thousand a profit no For six months since you've introduced It correct 150 000 for six months you're Valuing the company you're asking for a Hundred and twenty five thousand dollars For seven percent correct correct you're
Saying the company's valued around 1.75 Why are you valuing the company that That's a great question Wait a minute and you turned turned it Down yeah Yeah what Shame on you Are you I miss this wonderful of Business I know what we have here I know The value we did a test Market into 29 Stores at ShopRite they contacted us the Entire Corporation sold out in 10 days In 29 stores we just had a Walmart local Manager look at it the first thing he Said is wow this is eye candy you can Have an end cap in front of the register I like her wow YouTube bed bugs are the Real deal I think we know you guys are The real deal I'm itching to do this Deal Okay ladies ladies I want you to step Outside for me okay because I wanted to Have a little discussion okay Okay boys and girl we all want part of This deal so what do you want to go up To I'd like to see what they're offering I Think they're very interested depends on What value they're going to bring to the Table I mean it depends you know I'm not Going to give up something what we have We have tremendous value right I want to Avoid a shark fight I want a piece of The deal I know everybody else is
Thinking the same thing but I want Collusion she turned down five million Dollars yeah she turned down 5 million You really want to go in about the Dollars or getting all five of us we Have to give her something of tremendous Value all five of us are tremendous Value I'd rather have a bigger chunk for Myself to be honest with you I'm always Uh wary when Kevin does all the talking And Mark doesn't say a word I'm just Listening I'm just listening are you in On this I have nothing to say Yeah Let's buy a big piece of this business Is everybody interested We have to give her something of Tremendous value all five of us are Tremendous value well I'd rather have a Bigger chunk for myself to be honest With you mark are you in on this I'll be Brutally honest I'm gonna let you guys Talk I'm gonna listen and see what they Say and aside from there well it's not Going to go anywhere unless somebody Starts with an offer okay well I'll Start with an offer and I'll say anybody Who wants to join me is welcome in Ladies So what would really get me excited About working with both of you ladies is 25 of the company And I'm willing to give you 250 000 for It but I also respect my fellow sharks
And I don't want to compete with them so I will invite any one of them into that Deal they may elect to join me or they May or not we'll see what happens now Any other offers from anyone I'm willing to come in on Kevin's deal Okay [Music] Curious to see what you think of Kevin And David's offer Um the equity is a little harder than What we wanted to give up but if another Shark comes in on that because it's Strategic It's the same I want to work on the Walmart deal I've lived through rolling Out products in Walmart it's very hard I Want to help you 7-Eleven has 40 000 Stores globally so I can help you with That I want to speak for the value we Bring Beyond just the cash I mean There's a lot of value in having us as Partners we have to get paid for that Too everybody has to wet their beat Mark Are you in on this I have nothing to say Can we discuss what you would be Bringing as far as other help you can Give us starters that would bring their Huge egos with them Ladies I'm going to give you an offer Now You have to accept it now all right I'm Not gonna wait I don't have time for the Little boy games
So I'm gonna give you 150 000 for 15 of The business but I'm going to tell you What I'm going to bring to the table I Had to learn how to break into the big Box stores I didn't know a darn thing About it three years ago I know it Inside and out but you know what else You girls are kind of the same cloth we Don't need these boys to help us find Our Success they weren't they when we Were struggling they're not going to be There at the end and that's the truth All right Sucking offer please I already gave the offer make sure the Phone bill is in there because as Long-winded as she is you will be on the Phone forever I realize they're both Giving you basically the same value of The company ladies do you accept the Offer or not keep in mind Murray you've You've got the offer from Damon and Kevin for 250 000 for 25 percent and Mark and I haven't made any offer yet Hey so Barbara uh you will in or out My offers off the table I'm out Too bad I love your business you guys have Everything under control basically the Issue really is can you run fast enough To keep up with everything you have no Idea I think the best deal is for the four of
Us that actually if Barbara wants to Come back in the five of us on being a Gentleman no I'll leave the boys club up To the boys the only reason I would uh Make my own offer is to screw over Mark Cuban yeah but I think each of us can Add something as Mark said I'm in on the Deal with Mark Damon and Kevin 250 000 or 25 percent Come on Barbara Barbara you should come In I'm going to tell you something I don't Even like these guys But just to make your life Pleasant I'm Gonna jump back in the deal before you Turn your mind you have all five stars Quarter million dollars for 25. never Happened ever okay yes or no can we take One minute no don't even think about it Think about it I have one request you teach me the Cha-cha-cha It's a deal wow that is history Thank you very much congratulations Thank you very much now go back and Sprinkle bed bugs in every Hotel [Music] Barbara your greed almost kills that Deal for all of us yeah you're a Savage Bed bugs my best friends and your Relatives well it's a great business Having all five shots getting the deal Together was amazing for it to ever Happen that's tremendous for us
[Music] Darwin I'm Sue and we're the king Sisters from San Francisco California They smell really good it's French Lavender Wow that's amazing the three of us were Born and raised in Korea and when we Were teenagers we immigrated to America I went to Stanford Business School and I Went to Harvard Business School and I Went to Parsons School of Design our dad Sacrificed so much to send three of us To school in the U.S financially he had To work all the time and the fact that He had to just let his daughters go at Such a young age I think that was really Hard for them how was your day he text Me but he's not asking me on a second Day yeah one day at lunch we were Discussing a common problem and came up With a solution in the tech space that Could really work we quit our high-paid Job and moved to San Francisco and we Just started our own business Let's talk about our upcoming marketing Initiative we believe we have something Very big on our hands something that can Potentially change lives without the Money from the Sharks we won't be able To execute on our growth plan not to Mention to disappoint our family after All that they have sacrificed [Music] Hello my name is Arun Taiwan and Sue and
We're the king sisters from San Francisco Today we're raising five hundred Thousand dollars in exchange for five Percent equity in our company Coffee meets Bagel is here to profoundly Change how people discover and fall in Love Sharks I know what you're thinking it's Another dating site we all know online Dating sucks why because it treats People as a piece of information you Search for from a huge database People want to go back to a time of Happenstance where you just stumble upon Someone special maybe through a friend That's why we created coffee meets Bagel We took the proven concept of daily Flash sale sites immerse it with social Networking elements to create the Highest quality dating service for Singles Here is how it works Every day at noon we create one perfect Match who is a friend of a friend you Have a 24 hours to review their profile Information and choose to like or pass On the match Mutual like leads to a private chat line That expires in seven days The secret to success in online dating Is winning over women single women are Tired of signing up for dating websites Only to get hit on by creepy strangers
Bombarding them with disgusting messages And that is why women love coffee meets Bagel since our national launch we've Been growing a double digits monthly and Now with your help and investment we can Help singles all around the world so Sharks who's going to be our perfect Match so it's very interesting what does The bagel got to do with it let's just Be honest there is still a little bit of Stigma with online dating so our Customers actually love the fact that Our name doesn't seem to you know do Anything to do with dating service so When they talk about it nobody really Knows what they're talking about hey I Go to everything bagel today today I got A stale Bagel today it's like a code for Them oh that's close so tell us about Your our business model our core service Is free but there's premium features That you can unlock using virtual Currency in the form of coffee beans Like what one of the most popular items We have is called open sesame we Actually tell you how many mutual Friends you have between you and your Match but we don't tell you who they are What good is that well you buy it it's a Buy history right it's a mystery a lot Of people want to know how am I Connected to this person and how much do I pay for the coffee beans each Bean is Equivalent to about two cents but open
Sesame for example it's 95 beans do both Parties have to like each other to be a Match exactly so this has to be a mutual Consent and how do you curate so we have A proprietary machine learning algorithm That takes into consideration all So instantly from day one we can learn a Lot about the user including their Friends but you only source from Facebook you don't use a questionnaire You don't do any of that right now so it Literally takes like less than a minute To sign the idea is you don't have to Make someone go through the application Exactly the most important question have You met the man of your dreams so um our Mirror is married with the guy that she Met long long time ago I met my current Boyfriend on coffee meets Bagel you see The picture of the two of us on the wall I'm meeting a lot of you know Interesting people through coffee mix Bagels and I'm still looking all right How many users So right now we have several hundred Thousand users our business really Ramped up about 200 000 or a 700 000. So it's between one and five just tell Us what it is you want an investment you Can't not tell us Yes but I think that's a good range so It gives you a good idea no it doesn't No but why won't you give us the actual Number
Actually not sharing the exact user Number right now okay I'm out Well you gotta share that are you Kidding okay what were your sales so Last year we made eighty seven thousand Dollars but get this this year in the First five months we made 270 000 wow so It's growing very quickly forecast for This calendar year all in at this Current rate we will make a million and Next year we aim to make 10 million Dollars All right the million dollars in sales What will you make what's your profit so Right now our profit is negative because We had to spend a lot of money mostly on Salaries to pay our developers and do You guys take a salary today right now We take hundred thousand dollar salary Each year sorry you take a hundred so Three hundred thousand dollars you're Drawing out of the business right a year A year a year but that is still a Significant pay cut for all of us Whatever we're making prior We actually raised 2.8 million dollars In external funding so far wow our Notable investor actually is of one of The co-founders of match.com who Absolutely love their idea and he was Our very first investor on the million Dollars how much will you lose this year We'll lose a million dollars
You'll lose a million dollars on a Million dollars in sales yes which is Why we actually have to raise more money Because we're trying to ramp up our Growth you're projecting 10 million Dollars for the second year exactly how Much money will you make on that 10 Million we will break even on 10 million You'll break even let her go let it go And here's why we plan to bring on about 4 million users next year who's going to Generate about 2.50 each hence the 10 Million what's your customer acquisition Cost 30 cents next year we plan on Spending about three to four million Dollars on marketing spending and Acquire 4 million users so we are Assuming a slight increase in customer Acquisition costs you know you're an All Or Nothing play What do you think for all or nothing Because you're losing so much money You're not really into building a Business game you're in the raising Money and getting users game I think You've got to hit a home run not saying You're not going to but it's risky I know It is our decision to invest more now so We can accelerate growth but we can just As well just grow this business as a Fascinating dilemma because I hear where You're coming from the Baseline model Works you want to pour gasoline on that
Fire exactly it's a pretty big bet and And while I'm doing it I part with five Hundred thousand dollars and I get five Percent one of the problems for me now In Shark Tank in season six is I've come To realize I'm really valuable big time And it's made me very greedy I don't do Five percent deals that's worthless to Me I wouldn't do this I'm out If we really thought this was all or Nothing we would have raised a lot more Money from the beginning now we actually Have a choice of just growing the Business traditionally or raise more Money to make this big you've raised a Lot of money you're not making money and You're each drawing a hundred thousand Dollars it's three hundred thousand Dollars out of the business that seems Very high salary I mean most people Don't make anywhere near that and you're Just growing big concern I have also is The fact that somebody else could do This People are knocking off everybody on the Internet all the time so for that reason I'm out I think one thing for sure is you're Great at raising money thank you I also Think this is a site that's needed I Think the women I know that have been on The typical website feel like a piece of Meat and a meat locker I looked over
They don't you know it's almost Insulting yes this is a site that gives Women a little bit more control and I Like all of that but I'll tell you what I don't like the break even at 10 Million a break even and I'm only only Five percent of the stock that's spooky Doesn't seem like enough upside for the Enormous risk I'd be taking so for those Reasons I'm out Thank you Let me ask you a question if I offered You 30 million dollars for the company Would you take it [Music] All five sharks are out but Mark Cuban Has just made the largest offer in Shark Tank history let me ask you a question If I offered you 30 million dollars for The company would you take it [Music] Thank you no I would not be taking it because we see We see this business going growing as Big as Match.com and you know how much Revenue they're generating 800 million a Year they're becoming a billion dollar Revenue company and we think this model And the product has potential to be as Big as match he offered you 30 million Dollars and you didn't even Flinch she Should feel confident it's a newer Ephemeral version of Hot or Not which is Brilliant but I don't know how
Protectable that is well I give you Total credit and I think you guys have Done some brilliant things I don't think The risk reward is there for me and for Those Reasons I'm still out Good luck thank you excellent Presentation What they say like in dating never Settled while 30 million dollars may Sound like a lot of money you ain't Mr Mark Cuban because this baby is going to Explode Wait you're not subscribed to the Shark Tank Youtube channel well then for that Reason I'm out
