Stakes were higher than ever in the latest episode of Shark Tank, which featured companies ranging from storm window protectants to new variations on longtime favorite foods. And what better way to celebrate the 100th episode of Shark Tank than with some cheesy businesses (literally) and intense negotiations? In case you missed the latest action in the Shark Tank, here’s how it all went down.
First into the Shark Tank was John Smith, owner of Storm Stoppers, asking the Sharks for a $100,000 investment in exchange for a 10% stake in his company. Storm Stoppers are easy-to-install custom sized window covers that protect windows in case of storms. A Storm Stopper kit goes for about $2,500 for a full house, compared to about $500 for the amount of plywood used to seal an entire house. Though, as John demonstrates, Storm Stoppers protect windows much better than plywood does. To date, John has done about $5.5 million in sales, including about $200,000 in the last 12 months, as compared to $1.2 million in ’05-’06. While John defends his low sales claiming that his sales are closely tied to the economy and weather, the Sharks aren’t buying it. Also not adding to his cause, is when John tries to further explain his business and tells the Sharks, “Unless you’re a mind reader, let me tell you…” Due to poor salesmanship and low sales, the Sharks are out and John leaves the tank without a deal.
Next into the Shark Tank are Jen and Jeff Martin, the brother/sister duo behind Pipcorn. Jen and Jeff asked the Sharks for a $200,000 investment in exchange for 10% equity in their miniature sized popcorn company. Pipcorn is GMO and gluten free vegan organic popcorn that comes in flavors like sea salt, rosemary, truffle and white cheddar. Last year, the Martins did $200,000 in sales in their 40 stores, including 18 Whole Foods stores. Currently they sell bags of Pipcorn for $4.99, and each bag costs approximately $1.88 to manufacture, a cost they’re working to bring down to $0.92 by working with a co-packer. Pipcorn is projecting $440,000 in sales this year, and while the Sharks love Jen and Jeff and the product, they’re still struggling with the valuation. First to make an offer is Robert, who’s in $200,000 for 20%, which the Martins count at $200,000 for 10%, their original ask. Barbara says she agrees with Robert’s valuation, but she believes in the duo and is willing to offer $200,000 for 10%, under the contingency that she gets 10% of any distribution the Martins take out. Robert then amends his offer to $200,000 for 10%, reasoning that the Pipcorn is going to make it big and kill it (his words). The Martins ask Barbara if she’ll match Robert’s offer, but she’s not budging. Recognizing Barbara’s food-related product expertise, the Martins take the deal with Barbara. Pip Pip Pooray!
Last season Shark Tank fans met Scott “Scotty Clause” Martin, the man behind The Living Christmas Company. Scotty signed a $150,000 deal with Mark Cuban in exchange for 40% of his Christmas tree rental company. Since signing the deal with Mark, The Living Christmas Company has done $500,000 in sales, and is projecting $300,000 this coming holiday season. Congrats Scotty and Mark!
Third into the Shark Tank is a business designed to make doing your business just a little bit easier. Mother/son pair Judy and Bobby Edwards asked the Sharks for $350,000 in exchange for 5% equity in their company, Squatty Potty. The Edwards explain that toilets force users to sit in a position not conductive doing their business, and that their squatting installation helps users get into a position that allows for smoother sailing. Still, the Sharks call their $7 million valuation “a lot of doo doo.” The Edwards can back up their valuation with sales, though, including $1 million in year one, $2.7 million in year two, and $2 million in the first half of year three. They’re projecting $7 million this year, which will result in earnings of $1-1.5 million. The Edwardses are hoping that a Shark’s investment will help them increase production immediately, in order to “make a crapload of money.” Kevin is first to make an offer of $350,000 in exchange for 10% equity. Judy and Bobby counter back at $700,000 for 10%, reasoning that “on the back end it’s gonna be worth so much more.” Lori makes the next offer of $450,000 for 10%, which Bobby counters at $500,000 for 10%. None of the other Sharks are interested, so it’s decision time and the Edwards decide to go with Lori’s offer— deal!
Last into the Shark Tank was Chef Heidi Lovig, looking for a $125,000 investment in exchange for 20% equity in her company, Heidi Ho Organics. Heidi makes an organic plant-based cheese that is completely dairy-free and made from nuts, seeds, veggies, herbs and spices. She was inspired to make the cheeses after reaching nearly 300lbs by the time she graduated from high school, and realizing that she needed to make healthier swaps in her eating habits. If the Sharks’ reaction is any indication, the cheese is a delicious substitute for real cheese. Heidi’s sales are $140,000 in the last 12 months, and $245,000 in sales overall. Lori is first to make an offer of $125,000 for 30%. Kevin, resident Shark Tank cheese connoisseur says he can’t do the deal or else he might lose his membership in his fancy French cheese club. While Heidi wants to look to see if any of the other Sharks will make her an offer, Lori says it’s a risky move to look elsewhere with Lori’s offer already on the table. With no other offers on the table, Heidi looks no further and the deal is made with Lori!
After all was said and done in this episode, the Sharks did a little reflecting on what’s happened in 100 episodes of Shark Tank. From some outlandish pitches that included implantable bluetooth technology and vomiting dolls, to characters like Freaker and the Cat-Drawing Guy, this show has had some truly memorable moments. But what the Sharks want to underscore most of all is that they’re proud to share the stage, not only with each other, but with some passionate, smart and talented entrepreneurs who are looking for someone to take a chance on their business — not unlike the investors that first helped the Sharks to get their own businesses off the ground. Cheers to 100 episodes of Shark Tank, and hopefully many more to come!
What did you think of this episode of Shark Tank fans? Share your most memorable Shark Tank moment in the comments!