With a few episodes of Season Five under their belts, the Sharks have shown no mercy in the tank. They’re hungry for deals, but quick to sniff out the scams. What went down in the latest episode of Shark Tank? Here’s how it all unfolded:
First into the Shark Tank is R Dub, the creator and host of Sunday Night Slow Jams, seeking a $75,000 investment in exchange for 10% equity in his syndicated radio program. Sunday Night Slow Jams is a syndicated radio program for love songs and cross-country dedications called “Oral Expressions.” R Dub is hoping a guest appearance by his friend, slow jam maven Brian McKnight, will sweeten the deal for the Sharks, but they seem wary of the opportunity. Mark doesn’t mince words when he tells R Dub that “syndicated radio is a horrible business.” R Dub maintains that putting the investment towards hiring an affiliate sales director will really help the business explode into more of the 270+ available markets, but the Sharks just aren’t biting. With that, all of the Sharks are out.
Next into the tank are Pete, Gus, and Donnie Hamboard, founders and owners of the unique land-friend surfboard company, Hamboards. The trio entered the tank seeing a $100,000 investment in exchange for 15% equity in their company. As the self-proclaimed epitome of the Southern California beach family, the Hamboards are hoping their surfboard/skateboard hybrids will bring the experience of surfing to landlocked thrill-seekers. When the Sharks take the Hamboards for a spin, Daymond shows off his “hang ten” chops, and the Sharks seem interested. Hamboards have hit $225,000 in sales in the past 12 months, with hopes of hitting $350,000 before the end of the year. With the recent hire of the company’s first two sales reps, the growth plan is to get Hamboards into surf and skate shops. Despite promising numbers, Mark has concerns about bridging the cultural gap between a surfing-friendly community and a “kid riding a bike in Dallas,” so he’s out. Daymond, however, sees promise in the prospect of licensing the company, and makes the first offer of $100,000 for 30%. Robert, who sees that the men are “selling the California dream, baby,” is next to make an offer of $300,000 for 33% of the company, reasoning that the men are going to need more money than their initial ask. With a quick counter back at 30%, the deal with Robert is made. Surf’s up, bro!
At the end of Season Four, Shark Tank fans met Nate Holzapfel, the man behind Mission Belt Company. After securing a deal with Daymond, Mission Belt Co. hit $180,000 in sales within the first day after the show airing, and hit the $1 million mark within a month. Production has moved from Nate’s apartment to a commercial facility, where he now employs a team of more than 20. Nate’s next milestone is to hit the $5 million mark since airing, which he thinks he’ll hit in the next six months. Congrats Nate and Daymond!
Third into the tank is Garrett Gee, seeking a $1 million investment in exchange for 5% equity in his mobile app company, Scan. Garret started Scan in his college dorm room, as a way for consumers to bridge the gap between their real life and digital product interactions. Scan allows consumers to scan barcodes and QR codes, and companies can use the app to build scanable codes to lead consumers to a specific online source; their Twitter account, Facebook page, or a YouTube video. With over 51 million users, Garrett claims that Scan offers consumers and businesses a better experience than his competitors, from the services provided to the speed of the scans. Naturally, the Sharks want more information about how Scan will be monetized, and Garrett’s plan is to keep Scan free for consumers, but to charge businesses a cost to create codes, and a monthly maintenance fee to keep the codes active. Resident techie Shark, Mark, still seems skeptical, but Garrett hopes to reel him in with his announcement of a partnership with Google Glass. Mark’s still not impressed, and the other Sharks seem to have growing concerns about Scan’s previous investments totaling $8.7 million. The Sharks all have concerns about business plans, investment risks, and the future of the technology. Unfortunately Garrett’s vision wasn’t enough to assuage the concerns of the Sharks, and he left the Shark Tank without a deal.