Next up is an innovation of a favorite Food [Music] Hi sharks my name is Michelle Jimenez And this is my husband Andrea Machado And we're here from New York City we are Seeking 125 000 investment for five Percent of our company whoa sharks who Doesn't love pizza as we all know there Are Pizza Lovers all over the world Pizza is delicious but when you think of Frozen pizza you don't think of it as an Appetizer or a high quality Gourmet Snack and let's be honest it can be hard To eat those delicious slices on the go Plus the frozen pizza snacks category Has gone a bit stale but that is until Now sharks meet the pizza cupcakes It's your birthday [Music] That's it get the hell out of here The pizza cupcake is the next level of Pizza that belongs anywhere and Everywhere a fine Gourmet snack that's Easy to serve and made with high quality Ingredients plus our trade secret dough Recipe delivers a fluffy texture that's Unlike any pizza you've ever had and Because of its cupcake shape and size The pizza cupcake is perfect for any Occasion and can be enjoyed in even more Ways and places than your traditional Slice so sharks who's ready to take a Bite of the pizza Cupcake Stop talking
Let's eat yes if we dig in which one Should we try so those are our two best Sellers the margarita and the pepperoni So the margarita is the vegetarian Pepperoni as you know it's one of the Wow Americans favorites and the sauce is Yours the sauces our sauce is the Marinara sauce that we made just before We came in it's really delicious really Good thank you I hate you because I want To eat these oh is now your regular Pizza dough it's a it's a hybrid it's so Good so like flaky paste there's got to Be a lot of butter in this exactly no There is no butter what only olive oil It's a hybrid between a brioche and a Sourdough so you get the fluffiness of The brioche and then you get the crunchy How old is this like it tastes like you Made it this morning that's a frozen Product New York City yeah Marinara sauce is our favorite really Good Kevin to be silent and just be Eating is amazing good and it's 160 Calories for the margarita for one right Yes for one and 170 for the pepperoni Andrea tell us your background how did You come up with this magic so um born And raised in Venice Italy and I work in The kitchen as a chef since I was 16 and I moved to London to learn English when It was 19 years old and in London I Worked for one of the fine Italian
Restaurants that is owned by one of the Largest private members Club in the in The world Soho Soho House yeah and they Gave me the opportunity to move to New York in 2006 to open one of their Members club and I spent 10 years doing That until I met Michelle how did you Meet Michelle so we met through a mutual Friend and it was really funny because He asked me out on a pizza date and I Said Pizza day no man has ever asked me Out for a pizza but the twist was he Wanted to teach me how to make pizza I'm Sure he did and I had to show off yeah He had to show off and we've been Married for almost two years now and This is our first baby congratulations You know I was an event producer and Then I worked with social media Influencers and how did you go from this Incredible product you're making to Actually launching the business walk us Through that actually there was one Event that we did that it was for our Best friends that it was all a group of Italian people and everybody loved it And you know Italians are picky so I was Like sort of afraid but they all loved It and she with her you know background She was like we need to bring this to my Events and see what the reaction is and That's how we started how do you sell it Yeah so so right now we sell direct to Consumer but last year our three
Distribution channels were catering Smorgasburg which is New York City's Most popular Market that gave us the Street cred you know to really have that Proof of concept and then we also did Stadium so our first partnership was With Citi Field home of the New York Mets and they actually approached us did You get a commercial kitchen involved Yes we produced in a commercial kitchen And we also have a co-packer who we've Been working with for the last nine Months Laura you might be familiar with Her co-packer we definitely sought them Out because their biggest client is Bantam Bagel yes but what will sales be This year so this year we're projecting A hundred thousand dollars in sales oh Very nice we did 344 000 in Revenue last Year year to date we've done seventy Seven thousand dollars but we have a Plan and we know how to execute our plan So prior to covid we were really a Restaurant business and so because of The seasonality of our business we knew That we had to launch e-commerce direct To customer Frozen frog correct yes Direct to customer we we knew that was In the road map because currently we're New York City Base our customers are From all around the country and they Wanted to know where they could find us I learned something with Wicked Good Cupcakes yes the first royalty deal in
Shark Tank history just paid its Millionth dollar to me in royalties wow Fantastic but the shipping Journey we Took in the cost of the weight of Cupcake jars made of glass we learned we Had to sell six not three then we went To a dozen our goal right now is to find A different fulfillment center who can Service one in the midwest one in the Northeast and one in the South but what Do you charge Michelle what is this 12-pack is 24.99 and how much is Shipping 9.99 so it's three bucks five Dollars to get 12 credits three bucks a Cupcake what does it cost you to make These one cupcake is 95 cents at the Moment that's expensive yeah that's Expensive it is expensive because we're Making it by hand in our commercial Kitchens the recipe that we have Allow us to go to 48 cents per cupcake And that's why we're here for your Investment so we can start production With our co-packers you're starting up You haven't even figured out yet you Know how it's all going to come together In terms of shipping a frozen product I Think you're going to have some Significant challenges there's no Question about it good luck to you I'm Out thank you thank you here's where I'm At guys um I'm not even going to get into the Valuation because you could be
Optimistic really I just think that I don't know if I'd be the greatest Partner as soon as I saw this I was like This is Bantam Bagels in another Category I know other people up here who Have stadiums and a bunch of buddies With stadiums so yeah with no one Showing up right now but they will Sooner or later right eventually yes so Uh I really wish you all the best but in The best interest of being a good shark For you I'm not the best partner up here I'm out Thank you thank you Damon look I'm Really torn I think you're going to get A better offer than I probably would Have made you but man you guys are the Real deal I'm out thank you thank you First off um I think it's amazingly Delicious I mean listen you're from Venice and you're from New York you guys Know what you're doing when it comes to Pizza Um I'm gonna make you an offer Because I think there's really great Synergy with my Bantam Bagels company so Banning Bagels as you know uh started With a stuffed Bagel ball and we got Into Starbucks Nationwide and then we Got into all the major grocery stores Freezer sections so that might be fun For them to also be involved I'm going To make you an offer I'm going to offer
You 125 000 but for 20 percent Mamma Mia [Music] Three sharks are out Michelle and Andrea Have an offer on the table from Lori for Their business the pizza cupcake but she Wants a bigger slice of the pie than the Five percent they came in offering I'm Gonna offer you 125 000 but for twenty percent Oh Mamma Mia what we can bring to the Table is worth it I think that we can Help you to Skyrocket I'll be and no it's not at all it's a Great offer I could have gone higher Actually I mean you have an offer that's pretty Interesting yes you can travel in our Footsteps of every single distribution Channel that we have Mark yeah guys I mean look if you want To stay frozen Working with Bantam is the way to go Here's the thing right Selling Frozen is hard as Lori will tell You as we've all done getting into space Is really hard getting it to deliver at A reasonable price is really hard and so For those Reasons I'm out but Congratulations guys thank you thank you So much you're left with Lori and yes no Lori 20 is too high for us I feel like We've already
Um gone through a lot of challenges we Found the co-packer which I think is the Most difficult part would you be willing To do 125 000 for 10 percent We we work really hard you really Wouldn't have to a lot of heavy lifting We have investors on board who are also Really strategic we've been in Conversations with one of the largest Distributors right now who wants us to Participate in their incubator program To get us into retail I know the time And effort and all of that that we will Put in I know you're going to do the Heavy lifting but I know that I will Also be opening so many doors for you if I can get you into Starbucks Nationwide That's 9 000 locations and then getting Into Kroger Albertsons it will be so Worth it to you I will not go to 10 Percent Um my bottom line my bottom line would Be 15. [Music] Would you do 125 000 for 12 and a half Percent Lori please you know what I love You but listen you will love me 15. I got it you want me to be invested in You would you be willing to go up to a Hundred fifty thousand dollars for 15 Percent 125 15 And I promise you you will not regret it So Bantam Bagel you invested at a 1.1
Million dollar valuation when they were On the show and we have higher Revenue Than them we've also have figured out Our co-packer situation we also have you Know we're shipping through go Michelle It's okay to stick to your girl I know What you guys I completely I completely Understand it but here's something you Don't know you said you were learning The road right what I know is is that There's so much more for you to learn The thing that is invaluable is learning Experience I had no Mentor I had to Figure out everything for myself but I Do know that somebody could come and sit With me for just one day and I could Save them two years worth of time of Mistakes guys you sound like Shark Tank You know your numbers I got that but you Also know something else about Shark Tank when you only have one offer yes You're skating on really thin ice yes And now you have to make a decision No I know Um Can I make one more counter offer you Can do whatever you like would you be Willing to do 125 000 for 12 and a half Percent and then two and a half in Advisory shares Lori what do you say You got it yeah Congratulations guys shark hug Congratulations thank you thank you very
Much thank you so much make sure my Pizza is at my house by this weekend Arriva their cheek Pizza Guys We're living that American dream where We have our family business we have our Dream shark on our team and we can just Really start scaling and you know having Pizza cupcakes as a household brand Wait you're not subscribed to the Shark Tank Youtube channel well then for that Reason I'm out
