Shark Tank (2009–…): Season 13, Episode 16 - Episode #13.16 - full transcript
Tonight, Daniel Lubetzky,
the founder of groundbreaking
snack company KIND,
returns to the Tank.
With each ring, our customers
are literally helping to solve
one of the most pressing
problems in the world today.
This year, we'll do
over $10 million in revenue.
This is going to be
a $100-million-plus business.
That's always a scary response
to a simple question.
I'm having fun with it
because I love
to squeeze Barbara's head
once in a while.
Oh, what a bastard.
First in the Tank
is a modern revamp
of a stale product.
Hi, Sharks. I'm Leslie, and
this is my husband, Greg.
We're from Short
Hills, New Jersey,
and we're seeking $1 million
for 6% equity in our business.
- Hello.
- Wow.
Sharks, picture this.
It's the perfect beach day,
and you can't wait to dig
your toes into the sand.
You put on your
favorite beach outfit.
You go to dig out
your beach gear,
and then...
Oh, no! Oh, no!
Clunky...
outdated, uninspired.
Beach gear hasn't
changed for 100 years.
True. Until now.
Introducing...
SUNFLOW.
A completely reimagined
premium beach chair
that opens big and comfortable,
but closes small with
just the push of a button.
Wow. With both fashion
and function in mind,
we also created thoughtful
accessories, like...
Our water-resistant dry bag
to protect your
precious mobile phone.
Smart.
A drink holder that
rotates and adjusts
to fit all different
sized beverages.
And Leslie's
favorite accessory...
A double panel canopy
that protects your skin
from 98% of the
sun's harmful rays.
So clever. You
just recline and you're all set.
Ready to pack up?
Just push the top button
and collapse it.
- Nice.
- Wow!
- Voilà! You're good to go.
- Very impressive.
So, Sharks, who
wants to swim to shore
and help SUNFLOW
make every day...
A beach day?
I'd like to buy a dozen.
How did you come
up with the idea
that, "Let's make a
great beach chair"?
Did you have background in any
of these? Are you an engineer?
No, but I'm a handbag designer.
So we started a
fashion line of handbags
right after we got married.
We were partners in that
business for many years.
We actually had
to learn the process
of sketching something... Right.
Finding the factory,
finding the materials.
Now would be the time to tell us
the phenomenal sales numbers,
which I'm sure is going
to blow all of us away.
Because there is a
60-million-pound elephant
Yeah.
That's your valuation. Go ahead.
We launched 13 1/2 months ago.
We have $2.9 million in sales.
- Wow!
- Wow.
We're on track to
grow 409% this year.
Talk us through
the distribution.
Where did you
sell that... direct?
100% direct to consumer.
Wow. We haven't
even touched any wholesale yet.
Oh, I like that.
That's great. Congratulations.
What do you sell them
for? What's your cost?
We are selling the product
the chair itself is $198.
IY Chihuahua, caramba!
That chair retails for $198?
$198 without the accessories.
It seems high.
60% of our customers
buy every single
chair accessory.
Let's break down the numbers.
$198 for the chair.
$48 for the sunshade.
$25 for the drink holder.
$25 for the dry bag.
What's your margin
on this piece of plastic
when you sell it for 25 bucks?
That is a 78% margin.
Wow. What does it cost
for you to make one chair
that you're selling for $198?
$70 to make a chair landed.
But we sell three accessories
for every chair we sell,
so we have sold 11,000 chairs,
but 44,000 units have sold.
Your numbers blow me
away. Amazing. Thank you.
Leslie, what drove you
to become entrepreneurs?
So, my parents emigrated
from Taiwan 50 years ago.
They're very proud of the fact
that they came here with nothing
but a little piece of gold
in the bottom of
their toothpaste tube.
So I watched them
both work really hard,
and my father actually
was an entrepreneur.
He started a business in
the basement of our house.
He started a
construction company,
and he built it to be a
multimillion-dollar company.
Wow. And he was...
We're so proud of him.
And he actually passed
away a little over a week ago.
-Oh. -Oh, no. I'm sorry.
So to be here is very special.
Sorry to hear that.
That's too bad.
- Yeah, sorry.
- No, but he'd be so proud.
Back to our reality here.
Let's talk about
these numbers here.
I give you $1 million for 6%.
I'd have to see $32 million
valuation on this company,
let's say, in the next
24 months, 36 months
to even get a chance
to double my money.
Well, if you only
double your money,
I'd be really disappointed.
Yeah. This is an
enormous market.
The outdoor market...
Just on a beach chair.
No, I have so many
products in the pipeline.
I'm already developing
a higher chair
that, you know, a lot
of people requested it.
You need one. I started
developing that three years ago.
I was going to ask you about a
longer chair. Just so you know.
Yes, it's gonna... We're
talking about a lounger,
and I have an amazing
table that's coming.
We've expanded
beyond just chairs.
We are building a beach brand.
I love your relationship.
Very good energy.
Your dad's immigrant story
resonated a lot with
me, with your father.
My dad only went
3rd grade in school,
because after that, he was
sent to a concentration camp,
and he had so much joy
with my mom of seeing me
go to the first person
in our generation
to go to college
and graduate school.
And I feel that your dad is
here with us and so is my dad.
And so I like all of that.
Here's my offer...
I would give you
the $1 million...
I was gonna say 25%,
but I'm gonna say 22.5%.
Mm.
Thank you.
I want to go back to
something Kevin asked.
"How do you make money?"
This will be one of the
most successful businesses
from "Shark Tank," and I'm not
saying that because I'm arrogant
and I hope you can
see we're humble.
You seem humble.
Thank you. I wouldn't
go that far, but okay.
Go ahead.
No, he's really humble.
This is going to be a
$100-million-plus business.
Okay, let's start there, 'cause
that's a great talking point. Yeah.
But the number that matters
as it relates to valuation,
based off of what
you've offered us... Yes.
Is $16 million in
distributable cash.
When will you have $16
million in distributable cash?
Because 6% of
that is $1 million.
Of course. That's how we only...
Not even a return. Of course.
That's just to get
our money back.
When I talk about
scaling a company,
it really has to scale.
Leslie and
Greg, I gave you an offer.
Do you guys want to
accept it or counter?
We will respond to both.
We hope that if any
or all of you invest,
that you're along for the ride.
This isn't a goal to distribute
money a year from now.
I didn't say when, I
just said at all. Well...
I'm getting a little
bit impatient, though.
I might go hang out at the beach
if you don't respond to my offer.
I don't want to make you
wait. We're not even close,
so I don't want to...
You want to counter?
Because it's not just $1
million. I think what you're...
It's millions of dollars in time
from my team and from myself.
I've seen what it takes.
I'd like to invest
in this business,
but it's so far stretched.
A million bucks is
still a million bucks.
Go ahead and counter, Greg.
This year, we're gonna
do close to $4 million.
Next year, our goal
is to do $10 million,
and we're estimating
a 20% net income,
so $2 million.
Multiples on this in this
industry are 22 times right now.
So we believe our business to
be worth $44 million unrealized.
Hey, Greg, Leslie,
you're... That is... Oh, by the way...
You're answering
a lot of questions.
I ran out of patience.
I waited for you to
give me a counter.
You could have
given me a counter.
I'd like to give you... And now
you want to give me a counter.
I'm out. I'm out.
I'd like to... Okay.
Hey, guys, I'll
clear the deck, too.
It's a great business for you,
but it's not something
I want to invest in.
I'm out. Okay.
I think you're overconfident,
and I wish I would share
that confidence with you,
but because I don't... I
don't believe it, I'm out.
And you did come
in at a very high valuation.
You did rocket sales
fast, which is great,
but also sometimes,
that can slow.
So unfortunately, I'm out.
Okay, we understand.
All roads lead to...
All roads lead back to
Mr. Wonderful, as usual.
Four Sharks are out.
Kevin is Leslie and
Greg's last hope for a deal
for their beach chair
company, SUNFLOW.
I'm struggling,
like all the other Sharks are,
in the valuation
and just the returns.
I understand. Okay, you
are in the Shark Tank.
So here's my offer...
I'll do the million bucks, okay?
I'll take a 4% equity
position, all right?
Less than you're offering
me, but I want 5 bucks a chair
on a royalty until I
recoup $2 million, all right?
Then the royalty goes away
and I stay your partner at 4%.
I knew that would happen.
Yeah, well...
I would say ouch on that one.
No, that's not as
bad as it sounds.
I think it's too
aggressive, though, to...
How? How so?
$2 million return
to after investing...
All I wanted ever was
to double my money.
Yeah. So can I counter? Sure.
So the 4% equity,
but instead of $5 per
chair, up to $2 million,
up to $1 million, so that
you're no longer at risk,
but then when
we've paid you back,
you're our ongoing partner.
Kevin, if you say no
to that, you're crazy.
So my capital needs
to work with no chance
of a return other than one day
getting an exit
with a 4% position?
That's basically what
you're offering me.
Kevin, it's actually
not a bad offer.
It's pretty bad
because 6%... he has...
No, it's not bad at all. That's
half of his equity for the...
It's not bad at all. I'm
shocked that he offered it.
I'm willing to be flexible.
I'll do your deal if you
get me back to the 6%.
I give you my million
dollars on your 6% partner,
but I get nothing
back on my cash
except the return of it on
the royalty at $5 a chair.
I'll do that deal.
Okay.
5%.
And we pay you
back the $5 per chair
till we get to a million,
and we have to deal.
Done. There you go, Kevin.
Congratulations, guys.
Thank
you. Congratulations.
A phenomenal presentation.
Are we allowed to shake hands?
You guys are abs... Sure.
I'm sorry.
Thank you so much.
Congratulations,
guys. Good luck.
Thank you. Thank you. Thank you.
Wow.
I know my dad's
watching right now,
and just knowing that
you could take a dream
and make it into something,
you know, a reality,
it's something I watched him do.
And now we're doing it.
In Season 5, Pat Crowley
made a deal with Mark Cuban
for his cricket
protein bars, Chapul.
Let's go make
some chirpin' money.
Let's see what he's up to now.
After closing a deal with Mark,
Chapul cricket bars hopped into
500 retail locations nationwide.
But what we learned
was that most of our sales
were first-time purchases,
and we had a hard time
getting people to buy again.
Some of the national
retailers ended up dropping us,
and in 2018,
our manufacturer, out of
the blue, went out of business.
We had no product whatsoever.
The future of Chapul was
really unclear at that point.
We had to come
to the realization
that maybe bars
weren't the answer.
People weren't ready, but things
have changed, haven't they?
Now we're set up to be
one of the global leaders
in insect agriculture.
In nature, plant matter
falls to the ground,
insects eat it, and they
create a healthy soil.
What we do, we take food
waste, feed it to the insects,
and we're left
with two products...
The insects themselves and
a healthy soil amendment.
It plumps up the insects,
which turn into fertile soil
so these farms can
be far more efficient,
far better for the environment.
The first mission didn't pan out
the way you expect,
you have to pivot,
and you've been able to
turn it into something special.
Mark is with us every
step along the way,
and we were fortunate
enough to meet a massive name
in entrepreneurship
in the food world...
Daniel Lubetzky.
This is years before
he was even a Shark.
He invested in us
at a critical point
when our company needed it most.
I was so taken by his
energy that I told him,
"Here's my business card.
If you ever need
anything, give me a call."
He's pivoted and learned a
lot on how to actually scale,
and we've been very happy
to continue to invest in him.
2021 has turned out
to be our best sales year ever,
with $400,000 in sales,
totaling $2 million
in lifetime sales.
But the real
success lies ahead...
Chapul is paving the path
to our $50 million insect farm.
It's a robotic farm
that will divert
10 truckloads of food
waste every single day
and create 50 to 75 new jobs.
Chapul is expected to be
operational by next year,
for our farm that will
produce $20 million in revenue
every single year.
Look, Dad!
I have three kids, and
when I look into their eyes,
it's the driving force
behind everything I do
to keep going
when it gets hard...
'cause they
need us now more than ever.
With everything
we're doing at Chapul,
I know I can sleep at night,
knowing that I'm giving
my family and the planet
a brighter future.
Next up is a way to
stay organized in the kitchen.
Hi, Sharks. My name
is Alexander Eburne.
I live in Los
Angeles, California,
and I'm here today seeking
a $750,000 investment
in exchange for a 7.5%
equity position in my company,
Prepdeck.
Sharks, we all know that
cooking at home can be rewarding,
but the reality is, most of
us are no Chef Wonderful.
Meal times can be
stressful, time-consuming,
and really feel like a chore.
There's stuff everywhere
as you're trying to prep,
measure, and cook all in one go.
The right tool is never
where you need it.
The food is burning
on the stove.
And then
there's the dreaded cleanup.
There has to be a better way.
Oh, my God.
Well, now there is.
Meet Prepdeck, the world's first
all-in-one recipe
preparation system,
loaded with everything you need
to easily prepare
chaos-free meals.
Prepdeck comes with
15 ingredient containers
that not only keep
you organized,
they double as measuring
cups and measuring spoons,
a range of prepping
tools, like a zester,
grater, juicer,
peeler, and more.
And they clip directly
onto the containers
so you can finally
prep, measure, and store
without making a mess.
The stylish exterior doubles
as a large cutting board,
and it's detachable
for easy cleaning.
There's a removable compartment
for collecting your scraps,
and there's even a place
for your phone or tablet,
so you can follow along
your favorite recipes.
Prepdeck is on a mission
to bring back
the joy of cooking.
So which Shark is ready
to prep their checkbooks
and get to cooking up
some profits with Prepdeck?
Each of you have a
Prepdeck in front of you
and some veggies.
Please feel free
to check it out.
I mean, when I
first looked at it,
I thought it was... besides
the name, which is great.
It's intuitive...
Prepdeck. Thank you.
But I thought that it
might have been like,
you know, for a taco bar.
Actually, the original
idea for Prepdeck
and the problem that
I was experiencing
was that when I
cook, I make a mess.
My wife, Christine,
would come behind me
and clean up after me.
But when she was pregnant
with our first daughter,
she didn't want to have
anything to do with that.
So as I started to do all
of these things myself,
you know, right
there in my kitchen,
I thought there was nothing
to keep you organized
while you cook.
Alexander, what
does this sell for... Yes.
And how many have you sold?
The product retails for
between $99 and $119,
depending on the configurations.
I first launched the product
through a crowdfunding
campaign on Indiegogo.
I had a $25,000 goal,
and we sold $350,000
during the campaign.
So take us through
your sales from there.
For the full year of 2019,
we did $1 million in revenue,
and in 2020, we did $6.2 million
in revenue in 2020. Wow!
Thank you very much. Wow.
And this year, we'll do
over $10 million in revenue.
How do you generate those sales?
So 99% of our business
is direct to consumer
through our own website
or through Amazon.
What was your ad spend
to generate that interest?
In 2020, we spent
about 25% of our revenue
acquiring customers.
You must be
making a boatload of money.
What are your
margins on each unit?
So the product costs us $31.
We have a landed
gross margin of 69%.
We had a net profit of $525,000.
What would you
use our money for?
So $250,000 is
gonna be allocated
exclusively to inventory
and an inventory buffer.
$250,000 is gonna be used on
ongoing product development.
And the other
one-third of the funds
are gonna be used to
actually build a team.
We have a tiny, tiny team
right now, but if we're gonna get
to $30 million, $40
million, and $50 million,
which I know for a fact we
will, I need some support.
I'm stunned that
this thing is selling.
I'm a cook. I'm a chopper.
I like wood. Ceramic. Yeah.
All the textures that
I cherish and love
about the cooking experience,
it makes it all
delicious for me.
I'm just not a plastic
chopping-type board girl.
Okay? I understand.
I'm out.
Nothing tells the truth like
sales, and you've got them. Right.
I'll give you a loan... venture
debt loan for $750,000.
36 months, 9.5%, and I
want 5% equity, not 7.5%.
And I'll put my full, you
know, Chef Wonderful
behind this thing...
All right... and my
social media teams.
If you've been tracking
Chef Wonderful,
I've got a pretty
big business now.
Yeah, I'm aware. I
sell a lot of sous vide.
I've got cheesecakes.
I've got a massive
wine business...
Gonna ship 2 million cases...
Do you want to get on the
carpet and start pitching us?
No, but I mean, I'm
just looking at it saying,
"Does it fit into my
world?" and it does.
Alex, I really like you.
I think you've got those
numbers that Mr. Wonderful says.
This is not something
that I understand enough,
so for those reasons, I'm out.
All right. Well, thank you for
your time. I really appreciate it.
Yeah, Alex, I'm
kind of in the same boat.
The only thing I think is genius
is that you got the
shot glasses in there.
So I thought that was awesome.
I just don't even know
the competitive landscape.
So for those reasons, I'm out.
Thanks a lot, Mark.
Appreciate your time.
I've been listening.
You know, you have the
same kind of trajectory
I had years ago when I
started with my very first product.
But for that kind of money
and that small of a percentage,
I have to be excited
about what's next.
Well, Lori, I can assure
you that the reason
I didn't just go with a
venture capital company
is I don't want to sit in a
room with a bunch of suits
and be told how
to run my business.
I want to work with
someone who understands
the path that I've gone on.
You have obviously
been down that path,
and I think that, together, we could grow
the business. You said that this was gonna be
a $50 million business?
What do you think's
going to make it that?
We haven't opened
any extra markets yet.
We're just D2C in
the United States.
We're about to open Canada.
We get asked all the
time to take it to Australia,
the U. K., Germany, Japan.
You are really wonderful.
Excuse me. There's
a royalty associated
with calling anybody wonderful.
Trademark.
$750,000 just such
a big ask for 7.5%.
If you have an offer in mind
that you think would
make you comfortable.
Honestly, I would want 25%.
Oh.
I want to be the best
Shark I could be to you,
and sometimes that
means saying I'm out.
All right. Well, I
appreciate it anyway.
Thank you, Lori.
All roads.
All roads lead back to Mr. Wonderful.
All roads lead back to Mr. Wonderful.
In this case, Chef Wonderful.
Let's talk, Chef.
I think I made you
a very fair offer.
So $750,000, 36
months, 9.5% interest.
Are those
interest-only payments?
No, it's principal and interest.
It's a standard
venture debt deal,
and 5% essentially
warrants, which is equity.
I mean, I've heard from
venture debt
opportunities before, and...
But, you know, here's the
difference. Here's the difference.
There are thousands
of venture debt funds.
Right. There's only
one Chef Wonderful.
And I'll probably
accelerate your growth
by about 15% to 20%.
I'm a big deal as a
chef. I'm sorry. It's true.
We're sorry, too.
But listen, you've
got to pay for that.
It's not free. I'm a Shark.
No, I... Cuban: Alex,
you can counter.
You can reduce the
equity. I am gonna counter
with 36 months, 9% interest,
interest-only payments
so that we can
actually use the capital
without repaying the capital
out of that original line for 3%.
No, I wouldn't do
that deal because...
Oh, and that's the
right offer to make.
That is the exact right
counter to make. - It is.
Well, except I'm
not gonna take it.
Look, I like my original deal.
What I do for all
of my food deals
is reduce customer
acquisition cost
because I go back to the people
who already bought
my products from me.
Right. Nobody sells
like Chef Wonderful.
Is there a structure
where you can release
the pressure on
the loan repayment?
But, Alex, it's not pressure.
Look at your numbers.
It is. It's using the initial loan
money to pay back the loan.
It doesn't make sense. No.
I can actually change your world
by reducing your
customer acquisition cost.
Look, you can take that deal
and we'll be working together,
or you can turn around and
walk out of the Shark Tank.
And that's okay, too. I
respect your business.
I, unfortunately...
Kevin, I'm disappointed,
but I need to
decline. I understand.
I need to find the right deal for my
business. And I completely appreciate that.
There's nothing wrong with that.
All right. You won my respect.
Thank you, guys.
Alex, you're gonna kill it.
Thank you very much for your time,
guys. Congrats. You did a great job here.
- I appreciate it.
- Thank you.
- Congrats, guys.
- Thank you.
I've had Sharks on my
vision board for a long time.
It's a dream come
true to be here.
And, you know, the
response I got from the Sharks
and the confidence in
them telling me to keep at it
and that I'm enough to continue
doing this alone is amazing.
I'll never forget it.
Next in the Tank
is a little space when
you need it the most.
Hey, Sharks. I'm Robbie.
And I'm Allison,
and we're neighbors
from Columbus, Ohio,
here seeking $300,000
for 5% of our company.
When you think
back to the past year,
what is the one
thing in the world
that people crave?
More space!
So that's exactly what we did.
We've created more
space for everyone.
So let us introduce
you to ootBox,
an outdoor
plug-and-play experience.
It could be a backyard office.
Or, as this model shows,
it can be a pop-up shop.
It could even be an
outdoor conference room.
It's a convenient space
that's temperature-controlled,
soundproof, flexible,
and can be set outside
in any environment.
At 80 square feet, an ootBox
is a beautiful, bright,
eco-friendly space
made from an upcycled
shipping container.
It can be delivered anywhere
and used for anything.
We make it so simple
for our customers.
And ootBox rolls off
the back of a truck,
plugs into any outlet,
and it is ready to go.
Sharks, ootBox is the future.
Demand has been increasing
ever since our recent launch,
and now we need your help
to keep up with that demand.
So who here is an
out-of-the-box thinker
and wants to
step inside this box
and join us on our journey?
So
You are taking... Interesting.
Old shipping
containers, recycling them,
cleaning them up,
and putting on doors?
We actually cut them in half.
They're 20-foot DuoCons,
and we infill the sides to
make these beautiful spaces
- that we can put anywhere.
- Robbie and Allison,
I don't understand the
need for this product.
Can you please tell me...
Oh, I can come up with
a thousand reasons for it.
But the question is, how much?
So let me tell you about
our business model first.
That's always a scary
response to a simple question.
Well, so we lease
them and we sell them.
-Mm. -Okay.
For when you sell them?
They start at $20,500.
Ouch! Ouch! I can't...
I agree with you now, Daniel.
What does the market think?
How many have you sold?
Our revenue to this
point is $950,000 this year.
- Oh, good for you.
- Okay.
And how long have
you been in business?
Since June 2020.
Are there zoning
ordinances in place
that would forbid
you in certain towns
for dropping them
off in a backyard?
They can go anywhere.
Technically, we're
considered a tool shed.
Oh. This is for a temporary use.
This is for somebody who
is spending his or her time
working on the toilet to
get away from their kids,
which, again, is not
going away, right?
Exactly. That's not going away.
Okay, and how much money
have you raised to date?
So we've raised $870,000.
And how much of the
company did you give away?
30%.
And what are your
margins on this?
When we sell it, it's about 40%.
Each box costs
us $12,000 to build.
Most people are leasing them
for between $800-$1,000 a month.
Do many of the people who
lease from you do it short term
and convert to a
customer who buys?
The average lease term right
now is about eight months,
and about 60% of our clients
have renewed their lease,
gotten an additional box,
or requested to purchase
the box that they have.
To me, it seems like a clever
idea, fit with COVID perfectly,
but I don't think that this
is the right investment.
It's just not something that
I would be excited about.
So I'm sorry. I'm out.
Thank you. Thank you.
You know what I
don't get? You raised $870,000.
Why are you trying
to raise $300,000?
Why do you need that money?
Right now, our capacity
is about five boxes a month
that we're doing.
We need more space.
We see the potential
to grow exponentially,
and that's what we
need this money for.
But that's a
challenge, guys, right?
You're constrained by
your capital and your time
and the availability
of the boxes.
What I look to invest in
are hockey stick businesses,
where they kind of feed on
themselves and grow themselves,
and they're not necessarily
fully capital-constrained
and time-constrained.
It's not the right kind of
business for me to invest in,
so for those reasons, I'm out.
I feel like a significant
portion of the momentum
that you have is
connected to COVID.
It's not clear to me that
it's not connected to COVID,
and the valuation
seems to not factor that in.
So wish you the best, but
for those reasons, I'm out.
I mean, I get it.
Sales say everything.
The trouble with this business,
due to its capital requirements,
the capital goes in, the
more successful you are,
it's impossible
to get it back out.
I hate doing deals where
I kiss my money goodbye
and then I never see it again.
I like it where there's a
way for me to get it back,
and I'm not greedy,
and I'm very creative,
and I am Mr. Wonderful.
So here's what I'm thinking.
I'll give you $300,000.
I take the 5% just so I'm
a partner in the business,
but this is a royalty
deal, for sure.
And so the way it works is
Corcoran: What a surprise.
Every... Silence, Barbara,
because you don't have any
creativity on a deal like this.
I'm sure you're right. Yeah.
Okay, so I give you...
the $300,000. every
time you sell a box,
you give me back $1,000.
What happens if they lease it?
- Yeah.
- Right.
It's an amortized
payback on the lease.
I'm getting a
portion of the lease.
It's a way for me to
get my capital back,
but I want to make back $600,000
before the royalty goes to zero.
And I think what's gonna
happen is half your people
will buy themselves
out at some point.
Well, royalties are kind
of hard to understand
on this type of
product, at least for me.
I'm gonna tell you why I think
your model is so ingenious.
Thank you. It's identical to a
business I invested in... Boho Vans.
They were renting camper vans,
retrofitted camper
vans that look cool.
I think they had maybe
$250,000 in revenue,
and one year later,
they had $5 million.
It blew up. You're
doing the identical thing.
I like to make you an
offer of $300,000 for 20%.
- Let me defend the 20%.
- Whoa, 20%?
You could say that, all right?
I'll tell you something.
That's a lot.
I'll tell you... Versus 5%?
That's a really big difference.
Thank you, Kevin. I don't need your comment.
Difference is one's understandable, one's less.
Well, I can
explain mine very simply.
You've got to give me
back my capital times two.
That's easy. I think
it's a great offer.
What are you gonna do?
20% might sound rich to you,
but you will never get
someone with my skillset
to explode your
business like I will do.
I don't sell product.
I build businesses.
That's what I'm good at. I
did it for myself. I believe her.
I love words, too.
But 20% is 20%.
20% is 20%.
I'll tell you what I'll
do, just to have fun...
Just to have fun and to make
Barbara's night
more interesting.
Forget the whole royalty
thing. I'll do it for 15%.
I'll give you $300,000
for 15% right now.
Wow.
Barbara? Yes, dear?
Would you do $300,000 for 7%?
Oh! How much?
7%.
I thought I heard
17%. I was insulted.
I'm more insulted by 7%. No.
Well, what about if we did
7% plus some loan aspect?
No, but I'll do it for 10%
if you say yes right now.
It's not a fair question.
And I mean right now.
Pardon me? It's
not a fair question
to make us commit
to that without talking,
so we would like
to... Of course it is.
The biggest mistake
entrepreneurs make
standing on that carpet
is having a line in the sand
at a certain valuation.
That is the biggest
mistake they always make.
I'm just saying that
we should discuss
before answering
without discussing.
But may I say something to
you? That's a lawyer talking,
not an entrepreneur.
Yeah, it's a cautious...
It's two hats.
Okay, just to have
fun. I'll do it for 9%.
Oh, what a bastard.
I'm just having fun.
You know, we're both Canadian,
so there's a little bit of kinship there.
I'm having fun with it
because I actually
think there's value here,
and I love to squeeze
Barbara's head
once in a while. You know what?
There's something
about that 10% number
that makes you feel like
something's worthwhile...
That all your effort
and all your energy
and all your intelligence
is put into something
and it's acknowledged
as worthwhile.
I'll do it for 9%, no problem.
It's up to you.
Barbara, we accept your offer.
- Smart people.
- There you go.
Great!
Kevin, we liked yours, too.
I'm just happy to have
saved you, basically, 10%.
Yeah. Thank you.
We appreciate it.
We very much appreciate
your support. No problem.
Thank you.
- Congratulations, guys.
- You got a gold mine.
Congrats, Robbie and Allison.
- Thank you.
- Very excited to work with you.
And you've managed it so well.
- Thank you.
- Thank you.
Going into this, we were hoping
to get a deal with Barbara.
This is really a dream
come true for us.
And what's even better? Kevin
did all the negotiation for us,
and that was amazing.
Thank you, Kevin.
- You can thank me, Barbara.
- Congrats, Barbara. Well done.
You weren't out to help me.
Who are you kidding?
You weren't out to help me.
Next up is a business
that adds more meaning
to one of the most meaningful
purchases someone can make.
Hi, Sharks. My name
is Krish Himmatramka,
and I'm from Houston, Texas.
My company, Do Amore,
is improving one of the
oldest traditions in the world.
Sharks, many of you have shopped
for engagement or
wedding rings before.
But looking back, what do
you remember about that ring?
Maybe the store it was
from? The carat weight?
Maybe how much you spent?
But what if your
life-changing day
could have changed
another life forever?
That's exactly what
Do Amore does.
Not only do we create
some of the most
sustainable rings in the world,
using recycled precious metals
and ethically-sourced stones,
but we take it one step further.
Every Do Amore ring gives a
person in a developing country
access to clean water.
This way, a couple can
change another life forever
on their special day.
With each ring, our customers
are literally helping to solve
one of the most pressing
problems in the world today.
So how does it work,
Sharks? It's simple.
Just visit our website
and design the perfect ring
for your loved one.
And when you're
ready, just check out
and we'll begin making your
ring right here in the USA.
And when you receive your ring,
you and your partner
can see the specific impact
that your ring made.
You can pull up a photo
and the GPS coordinates
of the actual water
well you helped build,
along with information
on the community
that now has access
to clean water.
Clean water changes everything.
We've already built water
projects in nine countries,
and the list keeps growing.
So, Sharks, for $600,000,
in exchange for
6% of my company,
which one of you would
like to be my partner
and say yes to my proposal?
Lovely presentation.
Thank you.
Is this simply a situation
where we would take a
percentage of your profits,
target a community
that needs fresh water,
and send the money
there to do the work?
So the way it works is,
whether you're buying
a $250 wedding band or a
$25,000 engagement ring,
every ring gives one
person access to water.
Over the last 2 years,
20.5% of our net profits
have gone towards it.
On average, it's
about $50 per ring.
You're burdening your business
with a 20% tax, basically,
but there must be a
reason you're doing that.
Other than just... Yeah,
the reason is my story.
Like, when I was younger,
my family and I moved to India,
and we were walking to school
one day and we saw a large crowd
gathered around a
lady that was crying.
The little boy was
laying in his mom's arms,
and he had died
from the bad paanee,
or the bad water
that he and his family
had to drink every single day.
And this image has stayed in
my head for a really long time.
Later, as an engineer,
I went to work in the
middle of nowhere
to help drill oil wells,
and very quickly,
I learned it takes weeks
and weeks to get to oil,
but you hit water
within minutes.
This bothered me because
there are literally people
and children dying from
not having clean water
when the clean water is
100 yards beneath their feet.
Around the same time, I was
shopping for engagement rings
and I was really troubled
that these symbols of love
came with questions of ethics,
so I thought when I proposed,
what if I could
do it with a ring
that didn't just
not hurt the world,
but actually helped the world?
How do you source
the diamonds ethically?
So all of our natural diamonds,
we're only sourcing
them if we're 100% sure
they're from an ethical mine.
And by that, you mean
that the labor is treated well,
that the conditions
of mining are good?
Correct. Or we do
lab-created diamonds.
The lab-created
market is booming.
Even the rings you're seeing,
they're made from
recycled precious metal,
recycled gold,
recycled platinum.
So how long... how
long ago was this?
When did you start the company?
So I left my job in 2013.
I had saved up $18,000.
I put every single dollar
into starting the company.
2014 was my first year
working on this full time.
- You must have wonderful sales.
- So, let's talk about your business.
Yeah, talk about your business.
Yeah, let's do it. So last year,
we did $8.3 million in sales.
Wow. This year we'll be
doing $11.5 million in sales.
What did you make...
What did you make on the $8.3 million?
What are you gonna make
this year on the $11 million?
So we've already done
$5.2 million this year
so far, to date, and
we've netted $460,000,
cash flow positive on that.
Okay, and what about...
And did you make money
on the $8.3 million
last year? We did.
It was a little bit
less than $100,000.
What do you charge for,
let's say, a 2-carat solitaire?
Sure. So yours is
very close to 2 carat.
It's about 2.5. Okay, right.
Your engagement
ring was $10,800.
That is a carbon-created
diamond? $10,000?!
That is a lab-created diamond.
Every single ring
here is lab-created
except for yours, Mr. Wonderful.
What's your average
sale? What's the amount?
So our average order
value is $3,900. Okay.
So Barbara also has a beautiful
lab-created engagement ring.
Yours is $3,400.
And what did you give Lori?
- $10,000.
- $10,000.
I'm not here to
get in trouble. But...
Well, I'm out, I'll
tell you that, buddy.
So our gross margins are 41%.
They are? Yeah.
And 41% for an
e-commerce jewelry company
is definitely above average.
I think you're a very
impressive business person,
and you're a person that
from your heart is pursuing this,
but this is not my world.
Okay. Congratulations.
Zei gezunt, but I'm out.
Thank you. I'm a huge fan.
But can I tell you all
how much capital...
Krish, can I get back to the numbers just for a second?
Can I talk to you about how much capital we've raised?
I invested $18,000
in 2013, right?
That's every single dollar
I had when I quit my job.
We have not raised
a single dollar more.
So cumulatively,
we've done... Amazing.
What?!
$26 million plus in sales. Wow.
I always thought I
would have to, of course,
invest some more
money... Amazing.
I might have to come back in.
I'm literally standing here.
We've only invested $18,000.
This is the first time I've ever pitched
anyone. - Look, it's a fantastic story.
It's no small feat to be
able to go from $18,000
to $11 million in
sales and 9% margins.
You deserve a lot of
credit for that. Thank you.
You have a better mission
than 99.9% of them. Sure.
You've probably got better
marketing than 99.9% of them,
but that's hard to sustain
because anybody else
can walk in the door and
try to do the same thing.
There's no barriers to
entry to compete with you,
and that makes
it hard to invest in.
So for those reasons, I'm out.
Okay, thank you.
I don't think just anyone
can add this to what
they were doing.
Yes, they can.
I think it's amazing
what you've built.
Thank you. You
built it with nothing
but great salesmanship
and marketing.
But when my first
husband proposed to me,
I took a new pair
of skis instead,
and it was a good decision.
When I proposed
to my second husband,
I took a Volkswagen instead
'cause I really wanted
a Volkswagen bug.
So I've never
had an engagement ring.
I've never had a marriage ring.
Here you go,
Barb. And I've never
even ever bought anything
real in the jewelry area.
So I'm certainly not
your gal here, right?
I really wish you the
best of luck, but I'm out.
Listen, let me
give it to you straight.
I appreciate your enthusiasm,
and I believe you are a
good entrepreneur, okay?
Thank you. Your
valuation's insane.
Here's my offer.
I'll take the 6%
basically as a tip,
but I'm gonna put a
royalty on this deal...
100 bucks a transaction.
That royalty goes away after
I get three times on it, okay?
I'll give you the $600,000,
I make three times that on a
royalty of $100 a transaction,
and I put you into
my network of l'amore,
and we try and
sell more of this.
I actually think that that's
a good offer from him.
Hey, listen, I think that
deal makes a lot of sense.
Because he is in that business.
I think Kevin has given you
an offer far better than I would.
So for those reasons, I'm out.
Okay, thank you.
Thank you, Lori.
What do you want to do?
You only have one offer.
Four Sharks are out.
Krish has an offer from Kevin
for his altruistic
engagement ring company,
Do Amore.
You're gonna have
to make a decision.
What do you want to do?
I'm trying to convince
others to come back in.
We're already out. It doesn't
look like that's going to happen.
You know what?
You have a burdened hand.
You have Kevin here, and
he is in the wedding arena.
Listen, if you don't want to
do the deal, I'm okay with it.
It's not really that bad.
I gave you a realistic...
At the end of the day,
we came to make a deal...
but I don't think
that we need help
with the things that
you're indicating.
You need help with
more distribution.
We need help with
the marketing part
of changing Do Amore into... What do
you think I do with all my companies?
What do you think I do?
I reduce their customer
acquisition cost.
That's what "Shark
Tank" is all about.
That's why you have to pay
more for a Shark, any Shark,
but one that's in
the wedding industry,
you have to pay even more for.
I know this space
inside-out. I'm not cheap.
Take the offer or
not... Your decision.
Would you do the $600,000
for 10% of the company?
No. We're a revenue
We're growing...
Don't even talk anymore.
No. The answer's no.
Never. Never.
I'll do it for 15%.
Wow. Krish, I've done
so many deals in my life.
I understand valuation.
It's a discipline I have.
- So you have a second offer.
- You do, at 15%.
I can offer 15% in the
heat of the moment.
Do you want to do it?
I'll help you with
everything you said.
Marketing-wise, I
can help you with that.
Do we have a deal?
One second, one second.
Don't walk here yet.
One second,
one second. No, no, no.
Don't do it yet. Whoa!
12%.
I promise you I will make...
Daniel.
I know all of you all work hard.
I know that you all work
so hard for your money.
I promise you, I will work
so hard... Say no, Daniel.
To literally help
solve the water crisis.
You're gonna say no for 3%?
I promise you. I promise you.
We're gonna keep growing.
I will change the world
with you together. And, like...
Okay, Krish, I'm out. You
are the one that I want.
15%? Done. You lost me.
I appreciate it. Now
you can deal with Daniel.
Thank you. Thank you. Uh-oh.
Make it easy.
15%.
I'll donate the other 3%
to your cause.
Can you do $700,000 for 15%?
Did you hear what I said?
Yeah.
15%.
But that 3% equivalent
that we're dividing,
I will donate it
to the cause that we agree on.
That's really nice of you.
Do we have a deal?
And you... Oh!
Yes. Let's do it.
Ah!
I am so excited.
You are such a...
Can I shake your hand?
- Congratulations.
- Yes, you can shake my hand.
Thank you. I'm gonna save
the world with you.
- Congratulations.
- We're gonna do a great job.
Thank you, guys.
Thank you all so much.
- Congratulations, Krish.
- Terrific.
Thank you all so much.
I'm so excited.
Wow.
Yes.
Daniel understood
what we're trying to do.
Daniel's entire life's work
has been social impact.
He was the perfect Shark.
With Daniel, we're gonna bring
so many people clean water
as we sell so many rings.
the founder of groundbreaking
snack company KIND,
returns to the Tank.
With each ring, our customers
are literally helping to solve
one of the most pressing
problems in the world today.
This year, we'll do
over $10 million in revenue.
This is going to be
a $100-million-plus business.
That's always a scary response
to a simple question.
I'm having fun with it
because I love
to squeeze Barbara's head
once in a while.
Oh, what a bastard.
First in the Tank
is a modern revamp
of a stale product.
Hi, Sharks. I'm Leslie, and
this is my husband, Greg.
We're from Short
Hills, New Jersey,
and we're seeking $1 million
for 6% equity in our business.
- Hello.
- Wow.
Sharks, picture this.
It's the perfect beach day,
and you can't wait to dig
your toes into the sand.
You put on your
favorite beach outfit.
You go to dig out
your beach gear,
and then...
Oh, no! Oh, no!
Clunky...
outdated, uninspired.
Beach gear hasn't
changed for 100 years.
True. Until now.
Introducing...
SUNFLOW.
A completely reimagined
premium beach chair
that opens big and comfortable,
but closes small with
just the push of a button.
Wow. With both fashion
and function in mind,
we also created thoughtful
accessories, like...
Our water-resistant dry bag
to protect your
precious mobile phone.
Smart.
A drink holder that
rotates and adjusts
to fit all different
sized beverages.
And Leslie's
favorite accessory...
A double panel canopy
that protects your skin
from 98% of the
sun's harmful rays.
So clever. You
just recline and you're all set.
Ready to pack up?
Just push the top button
and collapse it.
- Nice.
- Wow!
- Voilà! You're good to go.
- Very impressive.
So, Sharks, who
wants to swim to shore
and help SUNFLOW
make every day...
A beach day?
I'd like to buy a dozen.
How did you come
up with the idea
that, "Let's make a
great beach chair"?
Did you have background in any
of these? Are you an engineer?
No, but I'm a handbag designer.
So we started a
fashion line of handbags
right after we got married.
We were partners in that
business for many years.
We actually had
to learn the process
of sketching something... Right.
Finding the factory,
finding the materials.
Now would be the time to tell us
the phenomenal sales numbers,
which I'm sure is going
to blow all of us away.
Because there is a
60-million-pound elephant
Yeah.
That's your valuation. Go ahead.
We launched 13 1/2 months ago.
We have $2.9 million in sales.
- Wow!
- Wow.
We're on track to
grow 409% this year.
Talk us through
the distribution.
Where did you
sell that... direct?
100% direct to consumer.
Wow. We haven't
even touched any wholesale yet.
Oh, I like that.
That's great. Congratulations.
What do you sell them
for? What's your cost?
We are selling the product
the chair itself is $198.
IY Chihuahua, caramba!
That chair retails for $198?
$198 without the accessories.
It seems high.
60% of our customers
buy every single
chair accessory.
Let's break down the numbers.
$198 for the chair.
$48 for the sunshade.
$25 for the drink holder.
$25 for the dry bag.
What's your margin
on this piece of plastic
when you sell it for 25 bucks?
That is a 78% margin.
Wow. What does it cost
for you to make one chair
that you're selling for $198?
$70 to make a chair landed.
But we sell three accessories
for every chair we sell,
so we have sold 11,000 chairs,
but 44,000 units have sold.
Your numbers blow me
away. Amazing. Thank you.
Leslie, what drove you
to become entrepreneurs?
So, my parents emigrated
from Taiwan 50 years ago.
They're very proud of the fact
that they came here with nothing
but a little piece of gold
in the bottom of
their toothpaste tube.
So I watched them
both work really hard,
and my father actually
was an entrepreneur.
He started a business in
the basement of our house.
He started a
construction company,
and he built it to be a
multimillion-dollar company.
Wow. And he was...
We're so proud of him.
And he actually passed
away a little over a week ago.
-Oh. -Oh, no. I'm sorry.
So to be here is very special.
Sorry to hear that.
That's too bad.
- Yeah, sorry.
- No, but he'd be so proud.
Back to our reality here.
Let's talk about
these numbers here.
I give you $1 million for 6%.
I'd have to see $32 million
valuation on this company,
let's say, in the next
24 months, 36 months
to even get a chance
to double my money.
Well, if you only
double your money,
I'd be really disappointed.
Yeah. This is an
enormous market.
The outdoor market...
Just on a beach chair.
No, I have so many
products in the pipeline.
I'm already developing
a higher chair
that, you know, a lot
of people requested it.
You need one. I started
developing that three years ago.
I was going to ask you about a
longer chair. Just so you know.
Yes, it's gonna... We're
talking about a lounger,
and I have an amazing
table that's coming.
We've expanded
beyond just chairs.
We are building a beach brand.
I love your relationship.
Very good energy.
Your dad's immigrant story
resonated a lot with
me, with your father.
My dad only went
3rd grade in school,
because after that, he was
sent to a concentration camp,
and he had so much joy
with my mom of seeing me
go to the first person
in our generation
to go to college
and graduate school.
And I feel that your dad is
here with us and so is my dad.
And so I like all of that.
Here's my offer...
I would give you
the $1 million...
I was gonna say 25%,
but I'm gonna say 22.5%.
Mm.
Thank you.
I want to go back to
something Kevin asked.
"How do you make money?"
This will be one of the
most successful businesses
from "Shark Tank," and I'm not
saying that because I'm arrogant
and I hope you can
see we're humble.
You seem humble.
Thank you. I wouldn't
go that far, but okay.
Go ahead.
No, he's really humble.
This is going to be a
$100-million-plus business.
Okay, let's start there, 'cause
that's a great talking point. Yeah.
But the number that matters
as it relates to valuation,
based off of what
you've offered us... Yes.
Is $16 million in
distributable cash.
When will you have $16
million in distributable cash?
Because 6% of
that is $1 million.
Of course. That's how we only...
Not even a return. Of course.
That's just to get
our money back.
When I talk about
scaling a company,
it really has to scale.
Leslie and
Greg, I gave you an offer.
Do you guys want to
accept it or counter?
We will respond to both.
We hope that if any
or all of you invest,
that you're along for the ride.
This isn't a goal to distribute
money a year from now.
I didn't say when, I
just said at all. Well...
I'm getting a little
bit impatient, though.
I might go hang out at the beach
if you don't respond to my offer.
I don't want to make you
wait. We're not even close,
so I don't want to...
You want to counter?
Because it's not just $1
million. I think what you're...
It's millions of dollars in time
from my team and from myself.
I've seen what it takes.
I'd like to invest
in this business,
but it's so far stretched.
A million bucks is
still a million bucks.
Go ahead and counter, Greg.
This year, we're gonna
do close to $4 million.
Next year, our goal
is to do $10 million,
and we're estimating
a 20% net income,
so $2 million.
Multiples on this in this
industry are 22 times right now.
So we believe our business to
be worth $44 million unrealized.
Hey, Greg, Leslie,
you're... That is... Oh, by the way...
You're answering
a lot of questions.
I ran out of patience.
I waited for you to
give me a counter.
You could have
given me a counter.
I'd like to give you... And now
you want to give me a counter.
I'm out. I'm out.
I'd like to... Okay.
Hey, guys, I'll
clear the deck, too.
It's a great business for you,
but it's not something
I want to invest in.
I'm out. Okay.
I think you're overconfident,
and I wish I would share
that confidence with you,
but because I don't... I
don't believe it, I'm out.
And you did come
in at a very high valuation.
You did rocket sales
fast, which is great,
but also sometimes,
that can slow.
So unfortunately, I'm out.
Okay, we understand.
All roads lead to...
All roads lead back to
Mr. Wonderful, as usual.
Four Sharks are out.
Kevin is Leslie and
Greg's last hope for a deal
for their beach chair
company, SUNFLOW.
I'm struggling,
like all the other Sharks are,
in the valuation
and just the returns.
I understand. Okay, you
are in the Shark Tank.
So here's my offer...
I'll do the million bucks, okay?
I'll take a 4% equity
position, all right?
Less than you're offering
me, but I want 5 bucks a chair
on a royalty until I
recoup $2 million, all right?
Then the royalty goes away
and I stay your partner at 4%.
I knew that would happen.
Yeah, well...
I would say ouch on that one.
No, that's not as
bad as it sounds.
I think it's too
aggressive, though, to...
How? How so?
$2 million return
to after investing...
All I wanted ever was
to double my money.
Yeah. So can I counter? Sure.
So the 4% equity,
but instead of $5 per
chair, up to $2 million,
up to $1 million, so that
you're no longer at risk,
but then when
we've paid you back,
you're our ongoing partner.
Kevin, if you say no
to that, you're crazy.
So my capital needs
to work with no chance
of a return other than one day
getting an exit
with a 4% position?
That's basically what
you're offering me.
Kevin, it's actually
not a bad offer.
It's pretty bad
because 6%... he has...
No, it's not bad at all. That's
half of his equity for the...
It's not bad at all. I'm
shocked that he offered it.
I'm willing to be flexible.
I'll do your deal if you
get me back to the 6%.
I give you my million
dollars on your 6% partner,
but I get nothing
back on my cash
except the return of it on
the royalty at $5 a chair.
I'll do that deal.
Okay.
5%.
And we pay you
back the $5 per chair
till we get to a million,
and we have to deal.
Done. There you go, Kevin.
Congratulations, guys.
Thank
you. Congratulations.
A phenomenal presentation.
Are we allowed to shake hands?
You guys are abs... Sure.
I'm sorry.
Thank you so much.
Congratulations,
guys. Good luck.
Thank you. Thank you. Thank you.
Wow.
I know my dad's
watching right now,
and just knowing that
you could take a dream
and make it into something,
you know, a reality,
it's something I watched him do.
And now we're doing it.
In Season 5, Pat Crowley
made a deal with Mark Cuban
for his cricket
protein bars, Chapul.
Let's go make
some chirpin' money.
Let's see what he's up to now.
After closing a deal with Mark,
Chapul cricket bars hopped into
500 retail locations nationwide.
But what we learned
was that most of our sales
were first-time purchases,
and we had a hard time
getting people to buy again.
Some of the national
retailers ended up dropping us,
and in 2018,
our manufacturer, out of
the blue, went out of business.
We had no product whatsoever.
The future of Chapul was
really unclear at that point.
We had to come
to the realization
that maybe bars
weren't the answer.
People weren't ready, but things
have changed, haven't they?
Now we're set up to be
one of the global leaders
in insect agriculture.
In nature, plant matter
falls to the ground,
insects eat it, and they
create a healthy soil.
What we do, we take food
waste, feed it to the insects,
and we're left
with two products...
The insects themselves and
a healthy soil amendment.
It plumps up the insects,
which turn into fertile soil
so these farms can
be far more efficient,
far better for the environment.
The first mission didn't pan out
the way you expect,
you have to pivot,
and you've been able to
turn it into something special.
Mark is with us every
step along the way,
and we were fortunate
enough to meet a massive name
in entrepreneurship
in the food world...
Daniel Lubetzky.
This is years before
he was even a Shark.
He invested in us
at a critical point
when our company needed it most.
I was so taken by his
energy that I told him,
"Here's my business card.
If you ever need
anything, give me a call."
He's pivoted and learned a
lot on how to actually scale,
and we've been very happy
to continue to invest in him.
2021 has turned out
to be our best sales year ever,
with $400,000 in sales,
totaling $2 million
in lifetime sales.
But the real
success lies ahead...
Chapul is paving the path
to our $50 million insect farm.
It's a robotic farm
that will divert
10 truckloads of food
waste every single day
and create 50 to 75 new jobs.
Chapul is expected to be
operational by next year,
for our farm that will
produce $20 million in revenue
every single year.
Look, Dad!
I have three kids, and
when I look into their eyes,
it's the driving force
behind everything I do
to keep going
when it gets hard...
'cause they
need us now more than ever.
With everything
we're doing at Chapul,
I know I can sleep at night,
knowing that I'm giving
my family and the planet
a brighter future.
Next up is a way to
stay organized in the kitchen.
Hi, Sharks. My name
is Alexander Eburne.
I live in Los
Angeles, California,
and I'm here today seeking
a $750,000 investment
in exchange for a 7.5%
equity position in my company,
Prepdeck.
Sharks, we all know that
cooking at home can be rewarding,
but the reality is, most of
us are no Chef Wonderful.
Meal times can be
stressful, time-consuming,
and really feel like a chore.
There's stuff everywhere
as you're trying to prep,
measure, and cook all in one go.
The right tool is never
where you need it.
The food is burning
on the stove.
And then
there's the dreaded cleanup.
There has to be a better way.
Oh, my God.
Well, now there is.
Meet Prepdeck, the world's first
all-in-one recipe
preparation system,
loaded with everything you need
to easily prepare
chaos-free meals.
Prepdeck comes with
15 ingredient containers
that not only keep
you organized,
they double as measuring
cups and measuring spoons,
a range of prepping
tools, like a zester,
grater, juicer,
peeler, and more.
And they clip directly
onto the containers
so you can finally
prep, measure, and store
without making a mess.
The stylish exterior doubles
as a large cutting board,
and it's detachable
for easy cleaning.
There's a removable compartment
for collecting your scraps,
and there's even a place
for your phone or tablet,
so you can follow along
your favorite recipes.
Prepdeck is on a mission
to bring back
the joy of cooking.
So which Shark is ready
to prep their checkbooks
and get to cooking up
some profits with Prepdeck?
Each of you have a
Prepdeck in front of you
and some veggies.
Please feel free
to check it out.
I mean, when I
first looked at it,
I thought it was... besides
the name, which is great.
It's intuitive...
Prepdeck. Thank you.
But I thought that it
might have been like,
you know, for a taco bar.
Actually, the original
idea for Prepdeck
and the problem that
I was experiencing
was that when I
cook, I make a mess.
My wife, Christine,
would come behind me
and clean up after me.
But when she was pregnant
with our first daughter,
she didn't want to have
anything to do with that.
So as I started to do all
of these things myself,
you know, right
there in my kitchen,
I thought there was nothing
to keep you organized
while you cook.
Alexander, what
does this sell for... Yes.
And how many have you sold?
The product retails for
between $99 and $119,
depending on the configurations.
I first launched the product
through a crowdfunding
campaign on Indiegogo.
I had a $25,000 goal,
and we sold $350,000
during the campaign.
So take us through
your sales from there.
For the full year of 2019,
we did $1 million in revenue,
and in 2020, we did $6.2 million
in revenue in 2020. Wow!
Thank you very much. Wow.
And this year, we'll do
over $10 million in revenue.
How do you generate those sales?
So 99% of our business
is direct to consumer
through our own website
or through Amazon.
What was your ad spend
to generate that interest?
In 2020, we spent
about 25% of our revenue
acquiring customers.
You must be
making a boatload of money.
What are your
margins on each unit?
So the product costs us $31.
We have a landed
gross margin of 69%.
We had a net profit of $525,000.
What would you
use our money for?
So $250,000 is
gonna be allocated
exclusively to inventory
and an inventory buffer.
$250,000 is gonna be used on
ongoing product development.
And the other
one-third of the funds
are gonna be used to
actually build a team.
We have a tiny, tiny team
right now, but if we're gonna get
to $30 million, $40
million, and $50 million,
which I know for a fact we
will, I need some support.
I'm stunned that
this thing is selling.
I'm a cook. I'm a chopper.
I like wood. Ceramic. Yeah.
All the textures that
I cherish and love
about the cooking experience,
it makes it all
delicious for me.
I'm just not a plastic
chopping-type board girl.
Okay? I understand.
I'm out.
Nothing tells the truth like
sales, and you've got them. Right.
I'll give you a loan... venture
debt loan for $750,000.
36 months, 9.5%, and I
want 5% equity, not 7.5%.
And I'll put my full, you
know, Chef Wonderful
behind this thing...
All right... and my
social media teams.
If you've been tracking
Chef Wonderful,
I've got a pretty
big business now.
Yeah, I'm aware. I
sell a lot of sous vide.
I've got cheesecakes.
I've got a massive
wine business...
Gonna ship 2 million cases...
Do you want to get on the
carpet and start pitching us?
No, but I mean, I'm
just looking at it saying,
"Does it fit into my
world?" and it does.
Alex, I really like you.
I think you've got those
numbers that Mr. Wonderful says.
This is not something
that I understand enough,
so for those reasons, I'm out.
All right. Well, thank you for
your time. I really appreciate it.
Yeah, Alex, I'm
kind of in the same boat.
The only thing I think is genius
is that you got the
shot glasses in there.
So I thought that was awesome.
I just don't even know
the competitive landscape.
So for those reasons, I'm out.
Thanks a lot, Mark.
Appreciate your time.
I've been listening.
You know, you have the
same kind of trajectory
I had years ago when I
started with my very first product.
But for that kind of money
and that small of a percentage,
I have to be excited
about what's next.
Well, Lori, I can assure
you that the reason
I didn't just go with a
venture capital company
is I don't want to sit in a
room with a bunch of suits
and be told how
to run my business.
I want to work with
someone who understands
the path that I've gone on.
You have obviously
been down that path,
and I think that, together, we could grow
the business. You said that this was gonna be
a $50 million business?
What do you think's
going to make it that?
We haven't opened
any extra markets yet.
We're just D2C in
the United States.
We're about to open Canada.
We get asked all the
time to take it to Australia,
the U. K., Germany, Japan.
You are really wonderful.
Excuse me. There's
a royalty associated
with calling anybody wonderful.
Trademark.
$750,000 just such
a big ask for 7.5%.
If you have an offer in mind
that you think would
make you comfortable.
Honestly, I would want 25%.
Oh.
I want to be the best
Shark I could be to you,
and sometimes that
means saying I'm out.
All right. Well, I
appreciate it anyway.
Thank you, Lori.
All roads.
All roads lead back to Mr. Wonderful.
All roads lead back to Mr. Wonderful.
In this case, Chef Wonderful.
Let's talk, Chef.
I think I made you
a very fair offer.
So $750,000, 36
months, 9.5% interest.
Are those
interest-only payments?
No, it's principal and interest.
It's a standard
venture debt deal,
and 5% essentially
warrants, which is equity.
I mean, I've heard from
venture debt
opportunities before, and...
But, you know, here's the
difference. Here's the difference.
There are thousands
of venture debt funds.
Right. There's only
one Chef Wonderful.
And I'll probably
accelerate your growth
by about 15% to 20%.
I'm a big deal as a
chef. I'm sorry. It's true.
We're sorry, too.
But listen, you've
got to pay for that.
It's not free. I'm a Shark.
No, I... Cuban: Alex,
you can counter.
You can reduce the
equity. I am gonna counter
with 36 months, 9% interest,
interest-only payments
so that we can
actually use the capital
without repaying the capital
out of that original line for 3%.
No, I wouldn't do
that deal because...
Oh, and that's the
right offer to make.
That is the exact right
counter to make. - It is.
Well, except I'm
not gonna take it.
Look, I like my original deal.
What I do for all
of my food deals
is reduce customer
acquisition cost
because I go back to the people
who already bought
my products from me.
Right. Nobody sells
like Chef Wonderful.
Is there a structure
where you can release
the pressure on
the loan repayment?
But, Alex, it's not pressure.
Look at your numbers.
It is. It's using the initial loan
money to pay back the loan.
It doesn't make sense. No.
I can actually change your world
by reducing your
customer acquisition cost.
Look, you can take that deal
and we'll be working together,
or you can turn around and
walk out of the Shark Tank.
And that's okay, too. I
respect your business.
I, unfortunately...
Kevin, I'm disappointed,
but I need to
decline. I understand.
I need to find the right deal for my
business. And I completely appreciate that.
There's nothing wrong with that.
All right. You won my respect.
Thank you, guys.
Alex, you're gonna kill it.
Thank you very much for your time,
guys. Congrats. You did a great job here.
- I appreciate it.
- Thank you.
- Congrats, guys.
- Thank you.
I've had Sharks on my
vision board for a long time.
It's a dream come
true to be here.
And, you know, the
response I got from the Sharks
and the confidence in
them telling me to keep at it
and that I'm enough to continue
doing this alone is amazing.
I'll never forget it.
Next in the Tank
is a little space when
you need it the most.
Hey, Sharks. I'm Robbie.
And I'm Allison,
and we're neighbors
from Columbus, Ohio,
here seeking $300,000
for 5% of our company.
When you think
back to the past year,
what is the one
thing in the world
that people crave?
More space!
So that's exactly what we did.
We've created more
space for everyone.
So let us introduce
you to ootBox,
an outdoor
plug-and-play experience.
It could be a backyard office.
Or, as this model shows,
it can be a pop-up shop.
It could even be an
outdoor conference room.
It's a convenient space
that's temperature-controlled,
soundproof, flexible,
and can be set outside
in any environment.
At 80 square feet, an ootBox
is a beautiful, bright,
eco-friendly space
made from an upcycled
shipping container.
It can be delivered anywhere
and used for anything.
We make it so simple
for our customers.
And ootBox rolls off
the back of a truck,
plugs into any outlet,
and it is ready to go.
Sharks, ootBox is the future.
Demand has been increasing
ever since our recent launch,
and now we need your help
to keep up with that demand.
So who here is an
out-of-the-box thinker
and wants to
step inside this box
and join us on our journey?
So
You are taking... Interesting.
Old shipping
containers, recycling them,
cleaning them up,
and putting on doors?
We actually cut them in half.
They're 20-foot DuoCons,
and we infill the sides to
make these beautiful spaces
- that we can put anywhere.
- Robbie and Allison,
I don't understand the
need for this product.
Can you please tell me...
Oh, I can come up with
a thousand reasons for it.
But the question is, how much?
So let me tell you about
our business model first.
That's always a scary
response to a simple question.
Well, so we lease
them and we sell them.
-Mm. -Okay.
For when you sell them?
They start at $20,500.
Ouch! Ouch! I can't...
I agree with you now, Daniel.
What does the market think?
How many have you sold?
Our revenue to this
point is $950,000 this year.
- Oh, good for you.
- Okay.
And how long have
you been in business?
Since June 2020.
Are there zoning
ordinances in place
that would forbid
you in certain towns
for dropping them
off in a backyard?
They can go anywhere.
Technically, we're
considered a tool shed.
Oh. This is for a temporary use.
This is for somebody who
is spending his or her time
working on the toilet to
get away from their kids,
which, again, is not
going away, right?
Exactly. That's not going away.
Okay, and how much money
have you raised to date?
So we've raised $870,000.
And how much of the
company did you give away?
30%.
And what are your
margins on this?
When we sell it, it's about 40%.
Each box costs
us $12,000 to build.
Most people are leasing them
for between $800-$1,000 a month.
Do many of the people who
lease from you do it short term
and convert to a
customer who buys?
The average lease term right
now is about eight months,
and about 60% of our clients
have renewed their lease,
gotten an additional box,
or requested to purchase
the box that they have.
To me, it seems like a clever
idea, fit with COVID perfectly,
but I don't think that this
is the right investment.
It's just not something that
I would be excited about.
So I'm sorry. I'm out.
Thank you. Thank you.
You know what I
don't get? You raised $870,000.
Why are you trying
to raise $300,000?
Why do you need that money?
Right now, our capacity
is about five boxes a month
that we're doing.
We need more space.
We see the potential
to grow exponentially,
and that's what we
need this money for.
But that's a
challenge, guys, right?
You're constrained by
your capital and your time
and the availability
of the boxes.
What I look to invest in
are hockey stick businesses,
where they kind of feed on
themselves and grow themselves,
and they're not necessarily
fully capital-constrained
and time-constrained.
It's not the right kind of
business for me to invest in,
so for those reasons, I'm out.
I feel like a significant
portion of the momentum
that you have is
connected to COVID.
It's not clear to me that
it's not connected to COVID,
and the valuation
seems to not factor that in.
So wish you the best, but
for those reasons, I'm out.
I mean, I get it.
Sales say everything.
The trouble with this business,
due to its capital requirements,
the capital goes in, the
more successful you are,
it's impossible
to get it back out.
I hate doing deals where
I kiss my money goodbye
and then I never see it again.
I like it where there's a
way for me to get it back,
and I'm not greedy,
and I'm very creative,
and I am Mr. Wonderful.
So here's what I'm thinking.
I'll give you $300,000.
I take the 5% just so I'm
a partner in the business,
but this is a royalty
deal, for sure.
And so the way it works is
Corcoran: What a surprise.
Every... Silence, Barbara,
because you don't have any
creativity on a deal like this.
I'm sure you're right. Yeah.
Okay, so I give you...
the $300,000. every
time you sell a box,
you give me back $1,000.
What happens if they lease it?
- Yeah.
- Right.
It's an amortized
payback on the lease.
I'm getting a
portion of the lease.
It's a way for me to
get my capital back,
but I want to make back $600,000
before the royalty goes to zero.
And I think what's gonna
happen is half your people
will buy themselves
out at some point.
Well, royalties are kind
of hard to understand
on this type of
product, at least for me.
I'm gonna tell you why I think
your model is so ingenious.
Thank you. It's identical to a
business I invested in... Boho Vans.
They were renting camper vans,
retrofitted camper
vans that look cool.
I think they had maybe
$250,000 in revenue,
and one year later,
they had $5 million.
It blew up. You're
doing the identical thing.
I like to make you an
offer of $300,000 for 20%.
- Let me defend the 20%.
- Whoa, 20%?
You could say that, all right?
I'll tell you something.
That's a lot.
I'll tell you... Versus 5%?
That's a really big difference.
Thank you, Kevin. I don't need your comment.
Difference is one's understandable, one's less.
Well, I can
explain mine very simply.
You've got to give me
back my capital times two.
That's easy. I think
it's a great offer.
What are you gonna do?
20% might sound rich to you,
but you will never get
someone with my skillset
to explode your
business like I will do.
I don't sell product.
I build businesses.
That's what I'm good at. I
did it for myself. I believe her.
I love words, too.
But 20% is 20%.
20% is 20%.
I'll tell you what I'll
do, just to have fun...
Just to have fun and to make
Barbara's night
more interesting.
Forget the whole royalty
thing. I'll do it for 15%.
I'll give you $300,000
for 15% right now.
Wow.
Barbara? Yes, dear?
Would you do $300,000 for 7%?
Oh! How much?
7%.
I thought I heard
17%. I was insulted.
I'm more insulted by 7%. No.
Well, what about if we did
7% plus some loan aspect?
No, but I'll do it for 10%
if you say yes right now.
It's not a fair question.
And I mean right now.
Pardon me? It's
not a fair question
to make us commit
to that without talking,
so we would like
to... Of course it is.
The biggest mistake
entrepreneurs make
standing on that carpet
is having a line in the sand
at a certain valuation.
That is the biggest
mistake they always make.
I'm just saying that
we should discuss
before answering
without discussing.
But may I say something to
you? That's a lawyer talking,
not an entrepreneur.
Yeah, it's a cautious...
It's two hats.
Okay, just to have
fun. I'll do it for 9%.
Oh, what a bastard.
I'm just having fun.
You know, we're both Canadian,
so there's a little bit of kinship there.
I'm having fun with it
because I actually
think there's value here,
and I love to squeeze
Barbara's head
once in a while. You know what?
There's something
about that 10% number
that makes you feel like
something's worthwhile...
That all your effort
and all your energy
and all your intelligence
is put into something
and it's acknowledged
as worthwhile.
I'll do it for 9%, no problem.
It's up to you.
Barbara, we accept your offer.
- Smart people.
- There you go.
Great!
Kevin, we liked yours, too.
I'm just happy to have
saved you, basically, 10%.
Yeah. Thank you.
We appreciate it.
We very much appreciate
your support. No problem.
Thank you.
- Congratulations, guys.
- You got a gold mine.
Congrats, Robbie and Allison.
- Thank you.
- Very excited to work with you.
And you've managed it so well.
- Thank you.
- Thank you.
Going into this, we were hoping
to get a deal with Barbara.
This is really a dream
come true for us.
And what's even better? Kevin
did all the negotiation for us,
and that was amazing.
Thank you, Kevin.
- You can thank me, Barbara.
- Congrats, Barbara. Well done.
You weren't out to help me.
Who are you kidding?
You weren't out to help me.
Next up is a business
that adds more meaning
to one of the most meaningful
purchases someone can make.
Hi, Sharks. My name
is Krish Himmatramka,
and I'm from Houston, Texas.
My company, Do Amore,
is improving one of the
oldest traditions in the world.
Sharks, many of you have shopped
for engagement or
wedding rings before.
But looking back, what do
you remember about that ring?
Maybe the store it was
from? The carat weight?
Maybe how much you spent?
But what if your
life-changing day
could have changed
another life forever?
That's exactly what
Do Amore does.
Not only do we create
some of the most
sustainable rings in the world,
using recycled precious metals
and ethically-sourced stones,
but we take it one step further.
Every Do Amore ring gives a
person in a developing country
access to clean water.
This way, a couple can
change another life forever
on their special day.
With each ring, our customers
are literally helping to solve
one of the most pressing
problems in the world today.
So how does it work,
Sharks? It's simple.
Just visit our website
and design the perfect ring
for your loved one.
And when you're
ready, just check out
and we'll begin making your
ring right here in the USA.
And when you receive your ring,
you and your partner
can see the specific impact
that your ring made.
You can pull up a photo
and the GPS coordinates
of the actual water
well you helped build,
along with information
on the community
that now has access
to clean water.
Clean water changes everything.
We've already built water
projects in nine countries,
and the list keeps growing.
So, Sharks, for $600,000,
in exchange for
6% of my company,
which one of you would
like to be my partner
and say yes to my proposal?
Lovely presentation.
Thank you.
Is this simply a situation
where we would take a
percentage of your profits,
target a community
that needs fresh water,
and send the money
there to do the work?
So the way it works is,
whether you're buying
a $250 wedding band or a
$25,000 engagement ring,
every ring gives one
person access to water.
Over the last 2 years,
20.5% of our net profits
have gone towards it.
On average, it's
about $50 per ring.
You're burdening your business
with a 20% tax, basically,
but there must be a
reason you're doing that.
Other than just... Yeah,
the reason is my story.
Like, when I was younger,
my family and I moved to India,
and we were walking to school
one day and we saw a large crowd
gathered around a
lady that was crying.
The little boy was
laying in his mom's arms,
and he had died
from the bad paanee,
or the bad water
that he and his family
had to drink every single day.
And this image has stayed in
my head for a really long time.
Later, as an engineer,
I went to work in the
middle of nowhere
to help drill oil wells,
and very quickly,
I learned it takes weeks
and weeks to get to oil,
but you hit water
within minutes.
This bothered me because
there are literally people
and children dying from
not having clean water
when the clean water is
100 yards beneath their feet.
Around the same time, I was
shopping for engagement rings
and I was really troubled
that these symbols of love
came with questions of ethics,
so I thought when I proposed,
what if I could
do it with a ring
that didn't just
not hurt the world,
but actually helped the world?
How do you source
the diamonds ethically?
So all of our natural diamonds,
we're only sourcing
them if we're 100% sure
they're from an ethical mine.
And by that, you mean
that the labor is treated well,
that the conditions
of mining are good?
Correct. Or we do
lab-created diamonds.
The lab-created
market is booming.
Even the rings you're seeing,
they're made from
recycled precious metal,
recycled gold,
recycled platinum.
So how long... how
long ago was this?
When did you start the company?
So I left my job in 2013.
I had saved up $18,000.
I put every single dollar
into starting the company.
2014 was my first year
working on this full time.
- You must have wonderful sales.
- So, let's talk about your business.
Yeah, talk about your business.
Yeah, let's do it. So last year,
we did $8.3 million in sales.
Wow. This year we'll be
doing $11.5 million in sales.
What did you make...
What did you make on the $8.3 million?
What are you gonna make
this year on the $11 million?
So we've already done
$5.2 million this year
so far, to date, and
we've netted $460,000,
cash flow positive on that.
Okay, and what about...
And did you make money
on the $8.3 million
last year? We did.
It was a little bit
less than $100,000.
What do you charge for,
let's say, a 2-carat solitaire?
Sure. So yours is
very close to 2 carat.
It's about 2.5. Okay, right.
Your engagement
ring was $10,800.
That is a carbon-created
diamond? $10,000?!
That is a lab-created diamond.
Every single ring
here is lab-created
except for yours, Mr. Wonderful.
What's your average
sale? What's the amount?
So our average order
value is $3,900. Okay.
So Barbara also has a beautiful
lab-created engagement ring.
Yours is $3,400.
And what did you give Lori?
- $10,000.
- $10,000.
I'm not here to
get in trouble. But...
Well, I'm out, I'll
tell you that, buddy.
So our gross margins are 41%.
They are? Yeah.
And 41% for an
e-commerce jewelry company
is definitely above average.
I think you're a very
impressive business person,
and you're a person that
from your heart is pursuing this,
but this is not my world.
Okay. Congratulations.
Zei gezunt, but I'm out.
Thank you. I'm a huge fan.
But can I tell you all
how much capital...
Krish, can I get back to the numbers just for a second?
Can I talk to you about how much capital we've raised?
I invested $18,000
in 2013, right?
That's every single dollar
I had when I quit my job.
We have not raised
a single dollar more.
So cumulatively,
we've done... Amazing.
What?!
$26 million plus in sales. Wow.
I always thought I
would have to, of course,
invest some more
money... Amazing.
I might have to come back in.
I'm literally standing here.
We've only invested $18,000.
This is the first time I've ever pitched
anyone. - Look, it's a fantastic story.
It's no small feat to be
able to go from $18,000
to $11 million in
sales and 9% margins.
You deserve a lot of
credit for that. Thank you.
You have a better mission
than 99.9% of them. Sure.
You've probably got better
marketing than 99.9% of them,
but that's hard to sustain
because anybody else
can walk in the door and
try to do the same thing.
There's no barriers to
entry to compete with you,
and that makes
it hard to invest in.
So for those reasons, I'm out.
Okay, thank you.
I don't think just anyone
can add this to what
they were doing.
Yes, they can.
I think it's amazing
what you've built.
Thank you. You
built it with nothing
but great salesmanship
and marketing.
But when my first
husband proposed to me,
I took a new pair
of skis instead,
and it was a good decision.
When I proposed
to my second husband,
I took a Volkswagen instead
'cause I really wanted
a Volkswagen bug.
So I've never
had an engagement ring.
I've never had a marriage ring.
Here you go,
Barb. And I've never
even ever bought anything
real in the jewelry area.
So I'm certainly not
your gal here, right?
I really wish you the
best of luck, but I'm out.
Listen, let me
give it to you straight.
I appreciate your enthusiasm,
and I believe you are a
good entrepreneur, okay?
Thank you. Your
valuation's insane.
Here's my offer.
I'll take the 6%
basically as a tip,
but I'm gonna put a
royalty on this deal...
100 bucks a transaction.
That royalty goes away after
I get three times on it, okay?
I'll give you the $600,000,
I make three times that on a
royalty of $100 a transaction,
and I put you into
my network of l'amore,
and we try and
sell more of this.
I actually think that that's
a good offer from him.
Hey, listen, I think that
deal makes a lot of sense.
Because he is in that business.
I think Kevin has given you
an offer far better than I would.
So for those reasons, I'm out.
Okay, thank you.
Thank you, Lori.
What do you want to do?
You only have one offer.
Four Sharks are out.
Krish has an offer from Kevin
for his altruistic
engagement ring company,
Do Amore.
You're gonna have
to make a decision.
What do you want to do?
I'm trying to convince
others to come back in.
We're already out. It doesn't
look like that's going to happen.
You know what?
You have a burdened hand.
You have Kevin here, and
he is in the wedding arena.
Listen, if you don't want to
do the deal, I'm okay with it.
It's not really that bad.
I gave you a realistic...
At the end of the day,
we came to make a deal...
but I don't think
that we need help
with the things that
you're indicating.
You need help with
more distribution.
We need help with
the marketing part
of changing Do Amore into... What do
you think I do with all my companies?
What do you think I do?
I reduce their customer
acquisition cost.
That's what "Shark
Tank" is all about.
That's why you have to pay
more for a Shark, any Shark,
but one that's in
the wedding industry,
you have to pay even more for.
I know this space
inside-out. I'm not cheap.
Take the offer or
not... Your decision.
Would you do the $600,000
for 10% of the company?
No. We're a revenue
We're growing...
Don't even talk anymore.
No. The answer's no.
Never. Never.
I'll do it for 15%.
Wow. Krish, I've done
so many deals in my life.
I understand valuation.
It's a discipline I have.
- So you have a second offer.
- You do, at 15%.
I can offer 15% in the
heat of the moment.
Do you want to do it?
I'll help you with
everything you said.
Marketing-wise, I
can help you with that.
Do we have a deal?
One second, one second.
Don't walk here yet.
One second,
one second. No, no, no.
Don't do it yet. Whoa!
12%.
I promise you I will make...
Daniel.
I know all of you all work hard.
I know that you all work
so hard for your money.
I promise you, I will work
so hard... Say no, Daniel.
To literally help
solve the water crisis.
You're gonna say no for 3%?
I promise you. I promise you.
We're gonna keep growing.
I will change the world
with you together. And, like...
Okay, Krish, I'm out. You
are the one that I want.
15%? Done. You lost me.
I appreciate it. Now
you can deal with Daniel.
Thank you. Thank you. Uh-oh.
Make it easy.
15%.
I'll donate the other 3%
to your cause.
Can you do $700,000 for 15%?
Did you hear what I said?
Yeah.
15%.
But that 3% equivalent
that we're dividing,
I will donate it
to the cause that we agree on.
That's really nice of you.
Do we have a deal?
And you... Oh!
Yes. Let's do it.
Ah!
I am so excited.
You are such a...
Can I shake your hand?
- Congratulations.
- Yes, you can shake my hand.
Thank you. I'm gonna save
the world with you.
- Congratulations.
- We're gonna do a great job.
Thank you, guys.
Thank you all so much.
- Congratulations, Krish.
- Terrific.
Thank you all so much.
I'm so excited.
Wow.
Yes.
Daniel understood
what we're trying to do.
Daniel's entire life's work
has been social impact.
He was the perfect Shark.
With Daniel, we're gonna bring
so many people clean water
as we sell so many rings.