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00:00Tonight, Shark Tank's first power couple, founders of Lifestyle Empire Magnolia.
00:05Chip and Joanna Gaines return to the tank.
00:08That's what I love about business.
00:09When you find a product...
00:10You solve a problem.
00:11You've solved a problem.
00:12There's a massive opportunity here.
00:13We can blow it up.
00:15I have no idea what I'm doing.
00:18You don't yet appreciate what a...
00:20I really didn't like the way you handled that.
00:23How about this?
00:24What if we were to do...
00:25Hold on.
00:27You deceptive devil, you.
00:28We are both from the same...
00:30I can tell you that.
00:31Run.
00:31Don't walk.
00:35I can tell you that.
00:40Burst in the tank is a product that brings a little more comfort to dorm life.
00:45Hold on.
00:46I can tell you that.
00:47Hold on.
00:48Hold on.
00:49Hold on.
00:50Hey, Sharks, I'm Brennan.
00:54And I'm Sl-
00:55And today we're here seeking $100,000 in exchange for 5% of our business.
01:00Somnia Plus.
01:01Every year, millions of college students are forced to sleep-
01:05in small, uncomfortable, and outdated TwinXL beds.
01:09Well, not-
01:10Not anymore.
01:11We created the dorm bed expander kit that comes with everything you need to-
01:15to expand the width of your TwinXL by 25%.
01:18And that's a big upgrade, especially-
01:20considering dorm beds are just 8 inches wider than a baby crib.
01:25Just-
01:25Wow.
01:26Check out how easy it is to install.
01:27Wow.
01:28First, you roll out the bed expander platform.
01:30And secure it with the 10 Velcro straps.
01:32Then, add the two foam mattress blocks.
01:35And strap on the memory foam mattress topper.
01:39Finally, add the-
01:40a fitted waterproof mattress protector and custom-sized sheet set.
01:43Once your kit's installed-
01:44Once your kit's installed-
01:45just add your decor and you're ready to go.
01:48What makes Somnia Plus so amazing-
01:50is its tool-free, quick installation process that expands your bed in minutes.
01:55We're talking no power tools, no permanent changes, and no hassle.
01:59With over-
02:00eight million dorm beds in the U.S., there's a massive opportunity here.
02:04And we'd love to tackle it-
02:05with a shark in our corner.
02:06So, sharks, who's ready to help us take Somnia Plus from a startup?
02:10To a college staple.
02:11Wow.
02:12That just seems like, what a no-brainer.
02:15Isn't it a rite of passage to live in a trim bed when you're in college?
02:19You have to just-
02:20I kind of want them to miss home a little bit.
02:21Yeah, that's true.
02:22How-how are we going to get the kids home with something this-
02:25this comfy and incredible, you know?
02:26Absolutely.
02:27Now, is every student dorm equipped with the prison bed to start?
02:30Yes, you are provided a standard dorm bed as well as a waterproof-
02:35medical-grade mattress topper.
02:36Why did you come up with this?
02:37So, about a year into us dating, we were talking about college-
02:40life and we were laughing over the fact that these twin XL beds are so-
02:45small.
02:46So, the next day, we went to Home Depot, walking around, trying to get all the supplies
02:50we-
02:50we thought we would need to build our first prototype.
02:52Once we felt like we had the prototype down, we took it to our local-
02:55college to get feedback and test it with real students.
02:57From there, we pursued a manufacturer to be able to offer-
03:00this to as many students as possible.
03:01How much does it cost?
03:02We're $235 landed and it retails for-
03:05$699.
03:06Oof.
03:07I mean, is that a lot for a student?
03:08I mean-
03:09It is.
03:10$700 bucks?
03:10I would think, but students are already spending $300-$400 on mattress toppers alone.
03:14what are your sales so we launched 12 months ago and since then we've
03:19generated $188,000 in sales and are projecting to end this year at
03:24$450,000 in revenue and who's doing the social media acquire these customers so we turned our
03:29spare room into a dorm room setup hired college interns to film content and
03:34it is working they film quick install videos over trending audios we've had over
03:3930 million views we have over 65,000 followers and virtually all of our sales come
03:44through that organic traction what's your customer acquisition cost that's about
03:47$60 and that is supported
03:49with our organic traction I think the reason why your sales are a little
03:53softer is
03:54the $700 price point so take a little less margin get it down
03:59because if this was 400 range or whatever I think you'd sell a ton of them
04:04right absolutely what about a patent do you have a patent on this yes we are we found
04:09the utility patent last spring and that protects both the non-wood platform as
04:13well as the adjustable foam
04:14blocks and kind of the system as a whole how much money have you made on the 450
04:18well you're anticipating
04:19making we're anticipating making $130,000 which is 29%
04:23and you're not paying yourself
04:24anything no we decided early on to keep our full-time jobs so we wouldn't be
04:28draining the business
04:29to take salaries
04:30can you guys walk me through how you came up with that $2 million valuation
04:34absolutely
04:34so we did raise our first valuation at $1.3 million pre-revenue
04:39you raised dough on this we did how much $650,000
04:44wow who from it was from an angel investor just one just one
04:49what percentage of the business do they own they currently own 50% of the business
04:53wow
04:54but it is important to note we did a structured equity deal to where once we
04:58pay them back that initial
04:59investment plus 10% in simple interest their equity stake is reduced
05:03their equity stake is reduced
05:04down to 10% is the angel investor your mom or your dad
05:09it is not no
05:10is it your mom or your dad
05:12that's a great question
05:14it is my dad
05:15it is my dad
05:16ah
05:17nice try he he
05:19he hung me up there for a second hoping that i would not continue with that line of questioning
05:24is my dad
05:25I missed a wonderful royalty deal you understand that
05:27yes that is correct
05:28yes that is correct
05:29yes
05:29brennan i need to i need to give you trouble here
05:32yes sir
05:32i really didn't like the way you handled it
05:34i really didn't like he asked you is it your mom or your dad you could have said no
05:39but it's hers
05:40what happened there
05:40you deceptive devil you
05:43i i wasn't trying to be deceptive
05:44i thought he was asking me directly
05:45i'm sure not
05:45i thought he was asking me directly
05:45the truth is
05:47the most important thing is
05:49knowing that you can trust your partners and you had the opportunity there to be very
05:54frank and for me that that is a flag that for that reason i'm out
05:59we know how it can get in the tank and the reality is we don't want
06:04to come in here and you guys see us as these privileged kids we have worked our tails off on this business
06:09just us two working late nights keeping our full-time jobs to be able to support this business
06:14and we don't want that to take away from all the hard work we've done
06:17but explaining that
06:18that's fair
06:18would be more
06:19effective
06:20so i do love this idea you've solved a problem and
06:24that's what i love about business when you find a product you solve a problem
06:27that's exactly what you did i'm now
06:29in this stage of life where i'm thinking about my kids beyond the nest and so as a consumer i would buy this
06:34for my daughter because i want her to feel like home in her dorm what i do best as far as retail
06:39is what's top of bed what's around it the decor what you see visually i just feel like this is
06:44beyond what we could do but i will be a consumer i will purchase this tonight but i think
06:49for that reason we're out thank you thank you thank you well i i will tell
06:54you what i think first of all smart product yeah and great you have a
06:59patent pending because it's so unique and different best products solve a problem they're unique
07:04and different and if you can protect them it's a real home run because the minute someone starts knocking
07:09that off which they will you want to be able to have some chops to fight back but it's just not
07:14the right product for me so for that reason i'm out thank you thanks laurie
07:19thank you i'd like to make an offer if i may go barb oh my god
07:24thank you
07:29thank you
07:34thank you
07:38japan c7
07:48japan
07:54japan
08:00japan
08:01japan
08:02japan
08:02japan
08:03japan
08:03japan
08:04Let me tell you what I'm going to do because I look at it as a product your dad's very smart the way he's structured his prep deal
08:09I get it we are both from the same DNA I can tell you that say hi to him for me
08:14So I'll make you an offer. I'll give you the hundred thousand dollars for ten percent equity
08:19And I want a hundred dollars a bet until I get back okay wait let me see I'm not
08:24I'm not even finished not even finished just there's more wait there's more and then
08:29After I get back my hundred K then it drops to fifty dollars in perpetuity
08:34Don't walk. It's an offer. And we do appreciate your offer. She's giving up twenty percent of your company
08:39And making you minority shareholders. It's actually a better deal. Well, mr. Wonderful. What's
08:44Tough is you taking that much margin a hundred dollars a bet is insane. It's only for a few
08:49orders because I want my camera orders. Yeah, it doesn't stay at a hundred dollars after
08:54You want $50 in perpetuity. Well, counter it. Bring me something interesting. It's gonna hurt. Let's talk about Barbara's deal
08:59For a moment. Yeah, Barbara, please address me. Yeah, thank you. That would be nice
09:04What do you think? I can't write it down
09:09Okay
09:14Well, mr. Wonderful. Thank you for your deal. We are not interested
09:19Oh, adios kevin
09:21But thank you for your offer. Thank you for the offer. That's fine. That's fine.
09:24Barbara, we really appreciate your offer. Would you be willing to do eight percent?
09:29No way
09:3120 percent only
09:33Now you should think
09:34You should think that through a little bit, right?
09:36So, Barbara, here's the thing. We are
09:39absolutely blowing up. Yes, I believe
09:41We know we're gonna do $450,000 this year
09:44And the next year, it's only gonna continue to accelerate and be exponential
09:49So we really do feel that a 15 percent for $100,000 is fair
09:54I have to say no
09:57So this is the juxtaposition
09:59between royalties versus equity
10:01Because you have to look at your terminal value
10:03This is what I love
10:04People learn on Shark Tank
10:06This decision is a tough one
10:07Because my offer is not crazy
10:09Because it's half the equity you're giving up now
10:11It's actually less expensive
10:14And just to make it more interesting and painful for you
10:17I'll drop down to 5 percent
10:19My deal's at 5
10:20Now you have a
10:21So, Mr. Wonderful, how about this?
10:23What if we were to do
10:24Hold on
10:25Hold on
10:26Oh
10:29What if we were to do $50 a unit until you recoup your investment?
10:34And then $10 a unit from there on out?
10:36No
10:37No, I would agree it's $75 a unit and then $50 a unit
10:39And then $15 afterwards
10:40Okay, just give us $1
10:41Okay, just give us $1
10:42Wow
10:43And only 5 percent
10:44Okay
10:455 percent
10:46That's what you should be thinking about
10:47Yeah, that's it
10:48That's more reasonable
10:49Kevin, you greedy devil
10:53I'm a
10:54I'm a smart guy
10:55Because the dad and I are the same
10:58The dad
10:59Barbara
11:00Would you be open to 17%?
11:02Uh, 7
11:0418 and a half
11:05We've got a deal
11:06Deal
11:07We've got a deal
11:08Oh
11:09All right
11:10Wow
11:11You really didn't need anybody
11:12I didn't want to tell you that
11:13But you really didn't need any
11:14Congratulations
11:15You guys did a great job
11:16Well, hey, thank you guys so much
11:17Thank you guys
11:18We were so thrilled to be here
11:19And Barbara
11:20We are so excited
11:21Thank you
11:22Congratulations, Barbara
11:23That's exciting
11:24That was great
11:25That was awesome
11:26That was amazing
11:27Woo
11:28We are so excited
11:29To be partnering with Barbara
11:30We've seen what she's done
11:31For other brands
11:32And her ability to really accelerate growth
11:34And we can't wait to see
11:35Where Somnia Plus goes from here
11:38We can see
11:39Season 16
11:40We watched Ari Segal
11:41Make a deal with Daniel Lubitsky
11:43For History by Man
11:44A subscription service
11:45That delivers the best of America's incredible history
11:48Directly to your
11:49Door each month
11:50Let's see what he's up to now
11:52The day we aired was a sing
11:54Best sales day in our entire history
11:56Which led to over $83,000 in
11:59Sales
12:00History by Mail is on track
12:01To send out a one millionth letter
12:03And to do three
12:04And to do three
12:05And to do three
12:06Two million dollars
12:07In sales this year
12:08History of the United States
12:09This is a country
12:09It has made such an incredible difference
12:10In my family's life
12:11And I'm touched always by
12:13The
12:14The incredible spirit
12:15Of Americans
12:16That have basically
12:17Helped make this a better world
12:18We are
12:19Selling in the National Archives
12:20Online
12:21And retail stores
12:22And we've created
12:23A History by Mail
12:24Schools curriculum
12:25But one of the most magical things
12:26To happen to us
12:27Came from a fan of the show
12:29History by Mail
12:30Is partnering with magic legend
12:32David Copperfield
12:33Welcome
12:34To the Copperfield Museum of Magic
12:36History is very important to me
12:38Obviously
12:39I draw a lot of inspiration
12:40From magicians of the past
12:42I have known Daniel
12:43For a long time
12:44He loves magic
12:45So I wanted to share the magic
12:46That I think needs to be
12:47Explored by the world
12:48This is
12:49Houdini
12:50Vanishing the Elephant
12:51And it probably stuck with me
12:52Inspired me
12:53That for me to progress
12:54I'd have to do something
12:55That broke new ground
12:56Right now
12:57We're really working very hard
12:58On this illusion
12:59With the moon
13:00To make the moon
13:01Actually disappear
13:02And here's the idea
13:03I would like you
13:04To have the rights
13:05To this letter
13:06I'm gonna provide
13:07History by Mail
13:08With a letter
13:09From Houdini
13:10Amazing piece of history
13:11Talking about how he made
13:12The Elephant disappear
13:13A picture of him
13:14Actually doing it
13:15A letter from me
13:16Describing how it inspired me
13:17And also a souvenir
13:18Where you can make
13:19The moon disappear
13:19In your own hands
13:20Should be cool
13:21History by Mail
13:22Customers
13:23Will receive
13:24Harry Houdini's
13:25Letter and photograph
13:26A letter from
13:27David Copperfield
13:28Explaining how
13:29How it inspired his career
13:30Including his upcoming
13:31Moon illusion
13:32Our ultimate goal
13:33Is to
13:34Change the way
13:35Americans learn history
13:36And reach more homes
13:37Nationwide
13:38Our success
13:39After
13:39Shark Tank
13:40Has validated the idea
13:41That even in a digital world
13:42People crave a tangible
13:44Connection to the past
13:45And now we're bringing
13:46History to more people
13:47Than we could have
13:48Ever imagined
13:49To be continued
13:51To be continued
13:52To be continued
13:53To be continued
13:58To be continued
14:03Next up is a company
14:06That helps you ask
14:07One of life's most
14:08Important questions
14:13Hi sharks
14:17Hi sharks
14:18I'm Riley Canty
14:19And I'm her husband
14:20Joseph
14:20We're from
14:21Orange County, California
14:22And we're here seeking
14:23$85,000 for 15% equity
14:25In our business
14:26The Yes Girls
14:27Shark
14:28Sharks
14:29Remember the moment
14:30You knew they were the one
14:31You've bought the ring
14:32You've rehearsed the speech
14:33And then
14:34It hits you
14:35I have no idea
14:37What I'm doing
14:38You're not alone
14:39Every year
14:40Over 2 million people propose
14:43And most of them
14:44Feel that exact same panic
14:45The butterflies
14:46The excitement
14:47And then
14:48Whew
14:49The pressure
14:50Because today
14:51Proposing isn't just
14:52Poppy a question
14:53It's a production
14:54That's where we come in
14:55The Yes Girls
14:56Is the first ever
14:57In
14:58And leading luxury
14:59Proposal planning company
15:00In the U.S.
15:01We turn your love stories
15:03Into a personalized
15:04Unforgettable experience
15:05Designed
15:06To sweep your partner
15:07Off their feet
15:08From candlelit rooftops
15:10In New York City
15:11To barefoot sunsets
15:12In Laguna Beach
15:13We create proposals
15:14That feel meaningful
15:15That's pretty
15:16Cinematic
15:17And completely custom
15:18Clients can choose
15:19From one of our luxury
15:20Pre-designed packages
15:21Or we can create
15:23A cut
15:23experience inspired by their proposal.
15:25Once they decide, we handle everything.
15:28The location, the vendors, every detail.
15:31All they have to do is show up.
15:33And pop the question.
15:34So, sharks.
15:37Who wants to tell...
15:38We post a yes with the yes girls.
15:42You know, on...
15:43Great job.
15:44The question is always, what happens if she says no?
15:47Ah.
15:48Oh, wow.
15:49Well, Mr. Wonderful, with the yes girls, that has never happened.
15:52So Riley has...
15:53100% success rate.
15:54Chip, how did you propose to Joanne?
15:56Oh, good question.
15:57Good question.
15:58Very romantic.
15:59He...
16:00You had told me that we were gonna go backstage to some...
16:03Singers.
16:04Yeah, like concerts.
16:05Like a little venue.
16:06And so I show up.
16:07Um, so he gets down...
16:08He gets down on his knees, but he trips on his jacket.
16:10Uh-huh.
16:11So I thought he was having a heart attack.
16:12Well, I didn't trip.
16:13Um...
16:13I had like a long trench coat on.
16:15So when I went down to get on my knee, I couldn't get back up.
16:18And I thought he was struggling.
16:19So I locked myself into this awkward position.
16:20Oh, no.
16:21Um, was tending to him.
16:22So we could've really used Joanne.
16:23All services is, I think, what we're concluding here.
16:25Yes, we think through all those things.
16:26We think through all those things.
16:27Riley, I...
16:28Zero doubt that you have such attention to detail, beautiful ideas, but...
16:33Isn't there something about privacy and doing it myself or my wife, like...
16:37All your...
16:38You're old-fashioned.
16:39If I had gone to Riley and designed it, I don't know, I feel like my wife...
16:43I feel like, dude, can't you come up with your own stuff?
16:46Like, how do you feel about that?
16:47Sure.
16:48Um...
16:48Oftentimes, our clients do come to us and they already have some...
16:51A base of an idea.
16:52They just don't know...
16:53They don't know how to execute it.
16:54So that's what we're here for.
16:55We're not here to steal your moment, but rather to enhance it.
16:58And make it as perfect as possible.
16:59How much does it cost if you want to do one of these?
17:01Uh, yeah.
17:02So this one right behind...
17:03Behind us here would be around $15,000 to $25,000, just depending on venue.
17:07Whoa!
17:08People spend that much money?
17:09Wow!
17:10It's a luxury.
17:11That is for like a luxury VIP package.
17:12What's the...
17:13What's the highest price you charge?
17:14$150,000.
17:15Have you done one for $150,000?
17:16How much is their wedding?
17:17Wow!
17:18That's for our total event spend.
17:19We made $50,000 off that.
17:21So our margins are usually...
17:2328% on the total event spend.
17:24That's after you pay the vendors?
17:25Yes.
17:26It's all inclusive.
17:27Wait a second.
17:28If I...
17:28I call you from Minneapolis and I want to do it there.
17:30Do you have already vendors in Minneapolis set up?
17:32We do.
17:33We plan to...
17:33Nationwide as well as abroad.
17:34We've established teams over the 17 years that we've been in business.
17:36Are you with The Knot already?
17:38We're not with The Knot.
17:39Riley, how are you acquiring customers if you're not with one of the platforms?
17:43Organically.
17:44So the company has been around for 17 years.
17:46We have an incredible reputation.
17:47What?
17:48I want to hear.
17:49Tell us about the story.
17:50Absolutely.
17:51So Joseph is an Air Force pilot.
17:53Thank you for our service.
17:54And when he first originally told me that he was going into the service, he actually
17:58introduced...
17:58He introduced me to his next-door neighbor, who was also an Air Force pilot wife.
18:02And she was the previous...
18:03owner of the company.
18:04I actually worked for her for one year before purchasing the company from her.
18:07Riley, how much did you...
18:08How much did you pay for the company?
18:09$250,000.
18:10Wow.
18:11That's a lot.
18:12Yeah, so it's a five-year...
18:13We have a loan through owner financing.
18:15And so we just have about $180,000 left in that loan.
18:18Yeah.
18:18Gotcha.
18:19So going back to the cost though, because the price point is very high...
18:23It's more than sometimes a ring.
18:25We have three main packages.
18:26There's a standard package, a premium...
18:28in a custom.
18:29So if someone has a $5,000 event spend...
18:31Anyone want to explain what's in this here?
18:32Yeah.
18:33So...
18:33So for our standard package, they're going to be mostly floral and candle-based designs.
18:36And that fee that we receive...
18:38for our planning services is $1,500.
18:40So working with our company, we actually have a pre-vetted...
18:43vendors.
18:44So we've established pre-existing pricing points for real photography.
18:48Sometimes florals, bunnies, etc.
18:49In every city?
18:50In every city?
18:51Yes, across the U.S.
18:52What do you do on an annual basis?
18:53Yeah.
18:54So last year we did $374,000.
18:56This year we projected...
18:58just a little bit over $300,000.
19:00How many events is that?
19:01Yeah.
19:02So last year we did $94,000.
19:03This year we've already done $73,000.
19:06Are your sales going down or did I hear the numbers?
19:08Where's the numbers from?
19:09There's...
19:10Just for the projections, because sometimes we have customers like this.
19:12So last...
19:13This year three customers, it's $90,000 worth of our revenue.
19:16And we are talking to a few for this...
19:18But it's hard to project for the rest of the year when we do get a client like this.
19:22You're very impressed.
19:23You're very impressive in terms of like your passion.
19:25I just...
19:26Don't...
19:27Don't...
19:28Don't...
19:29I just...
19:30Don't...
19:31Feel that this makes sense for me because when I proposed to my wife, it cost me nothing
19:32other than my...
19:33Crazy ideas and creativity and Daniel how did it go? What was the unique?
19:38Twist she's a doctor and I had the the pharmacist caller
19:43We had a date on Friday afternoon and right before the date they started giving her like 50 things to
19:48Do this prescription she started getting sad because she was gonna miss her date with me yet again, and they said
19:53Oh, and by the way the last prescriptions like meet at Central Park at 2 30 p.m
19:58And then she started crying and said that's what let's go
20:03Anyway for me, it's a personal thing and for those reasons. I'm out
20:08We appreciate your time. Thank you. Yes, is there anyone else out there like you we rank at the top of Google
20:13for proposal setup proposal planner near me and recently a lot of customers have been saying that they
20:18Referred by chat GPT asking what to do for the proposal and they'll lead us right to the yes girls
20:23Nothing nothing wrong with the platform you built the whole deal is acquiring the customer. That's the whole deal
20:28It's very difficult to scale this listen guys. I wish you the best, but this is not for me
20:33I'm out
20:33So good luck the positive side is you have such great for
20:38Advertising because every single one of your clients I am sure post
20:43About their proposal yes, they give you credit so you don't really need to spend
20:48Anything on advertising you have an army of advertisers already, but I'm not sure it's something
20:53Where you need a partner, so I wish you good luck, but I'm out
20:58I think the business growth is a combination of good social media
21:03And outright hustle, but I don't see any room for a shark here what we could do
21:08You are serving with myself so that reason I'm sorry. I am out
21:13So chip and I you know we love
21:18Celebrating meaningful moments and bringing that to life you have the eye for details
21:23I think where I get a little maybe nervous for you is how do you scale you there's one of
21:28You and how do you teach that to your team that can then go from New York to California?
21:33Waco I love what you're doing. I just don't know how we can help you scale this
21:38But I believe in it and I feel like it's a beautiful thing y'all are doing we're out. I'm sorry
21:43Thank you so much. I really appreciate it. I have one piece of advice
21:48You're a beautiful couple your partners the most important thing is to invest in each other
21:53Always give each other benefit of the doubt always retain that admiration that you clearly have to
21:58towards one another
22:00Amen
22:02Good word
22:03Thank you
22:08The best advice possible is to always keep each other at the center of everything we do always cherish what
22:13We have
22:15We're just gonna keep making more couples happy
22:18Spreading love one proposal at a time
22:20Yep
22:21Daniel that was so sweet
22:22Daniel that was so sweet
22:23That was a good word Daniel
22:25Good financial advice it avoids divorce
22:27That's true
22:28Kevin
22:29Kevin
22:30Ah
22:33Tape
22:34True
22:35Dana
22:36Tape
22:38K
22:43Tape
22:45Tape
22:46K
22:47K
22:51Tape
22:51K
22:54Schnee
22:55Tape
22:55Kap
22:57ein
22:59Tape
22:59Tape
23:00Tape
23:02humor
23:02Tape
22:38Next up is a...
22:43a product that marries a backyard classic with an arcade favorite.
22:48Next up is a...
22:53Hey Sharks! Ever wish you could bring the arcade to your backyard?
22:58I'm Nikki, this is Ben and Claude, and we're rolling out Bocci Roll, the game that...
23:03that's literally changing how America plays outdoors.
23:06We're seeking $100,000...
23:08for 10% equity to turn Bocci Roll into the big thing in our...
23:13outdoor gaming.
23:14Who are our customers? Everyone who likes to have fun.
23:18Because it's more than a game, it's an experience.
23:20Whether you're a strategy champ or just vibing with...
23:23a drink.
23:24Bocci Roll fits your style.
23:25And the rules are refreshingly simple.
23:27We're gonna...
23:28We're gonna start each round by rolling the Polina.
23:30That's your bonus target.
23:32Nice!
23:33Nice!
23:34And then you're gonna start rolling, scoring, and knocking each other off course.
23:38Like Skee-Ball, score points by sinking your balls into the targets.
23:43And then it wouldn't be Bocci Roll without a nod to the classic game of Bocci.
23:47You score one point...
23:48for every one of your balls closest to the Polina.
23:50Two points if they're touching.
23:52First a 21 win...
23:53And yeah, nobody plays just one round.
23:56Outdoor Toys is America's big...
23:58Biggest toy segment.
23:59Bocci Roll's timeless aesthetics and innovative design deliver all of that...
24:03nostalgic energy with a grown-up vibe.
24:05So sharks, who's ready to roll?
24:08All with us.
24:09Mm-hmm.
24:10Oh.
24:11Come on!
24:12Y'all better make...
24:13Joanna and Chip, why don't you come up and give it a shot?
24:18All right!
24:19Nice!
24:20Oh my gosh, I'm nervous.
24:22I want three, so...
24:23I need to roll the little white one?
24:24Yes, so you start each round by rolling the white ball and that's a...
24:28bonus target.
24:29I mean, that alone is a game.
24:30There you go, babe.
24:31There you go.
24:32So you're gonna take turns...
24:33Rolling the ball and you want...
24:34You go first.
24:35...either to get it in the cone or to get it close...
24:36I'm gonna...
24:37I'm gonna...
24:38I'm gonna win this.
24:39Here we go.
24:40It's a little bit like...
24:41Oh!
24:42Oh!
24:43Okay.
24:43Chip, you're not competitive or anything, are you?
24:46Come on, babe.
24:47Oh!
24:48Oh!
24:49That was close.
24:50Get out of the way.
24:51I need a beer.
24:52Get out of the way.
24:53Get out of the way.
24:53Okay.
24:54We made it.
24:55We made it.
24:56We made it.
24:57All right.
24:58Well done.
24:58Have you sold any of these and got any reviews?
25:02Yeah, so...
25:03We launched a Kickstarter in 2023.
25:06We had a goal of raising $10,000...
25:08And we hit that in 10 minutes.
25:09Dang.
25:10That's awesome.
25:11Wow.
25:12And we ended up raising $155,000.
25:13Wow.
25:13Really?
25:14And then you shipped them.
25:15And then what happened?
25:16And then in 2024, we...
25:18We ended up selling $5,600.
25:22What did he...
25:23What?
25:24$560,000.
25:25What?
25:26$560,000.
25:27Wait, wait, wait.
25:28Okay.
25:29There's a big difference there.
25:30Yep.
25:31$560,000.
25:32Okay.
25:33Wow.
25:33Have you made any money so far?
25:35What was your profit in 2024?
25:36Last year, it was $10,000.
25:38There's...
25:39Everything else went back into inventory.
25:40And to date, how are you doing profitability-wise?
25:42Oh...
25:43We are on track to hit $1.1 million.
25:46And this year, we will end up making $200...
25:48$500,000 of pre-tax profit.
25:50How much does it cost to make and what are you selling it for?
25:53Retail is $149,000.
25:54$149,000.
25:55Our cost...
25:56So, up until the tariff...
25:58Yeah.
25:59...situation had been $48 a unit.
26:01The last price we paid was $57.
26:03And what's an average bocce set?
26:06There's such a range.
26:07The average set...
26:08is around $120.
26:09I wanted to speak to this because I went to pick it up and...
26:13I was like, oh my God.
26:14Yeah.
26:15I mean, it's heavy.
26:16This is substantial.
26:18I was very 앞에...
26:20Oh my God!
26:22Oh my God!
26:23It's extremely heavy.
26:25I mean, you heard the thud.
26:27This is solid water.
26:28Solidwood, so this is very quality.
26:31You know, I have to say, when I was...
26:33watching the game i thought to myself that doesn't really look like fun i'm just wondering
26:38people's response is always wow it looks like fun it's just more fun on the beach
26:43yeah i thought it was cool just because there's a strategy so i think and we have five kids how do you
26:48them entertained how do you do things together as a family yeah um and so things like this
26:53i think they're gonna like it because they're competitive like we're competitive to sell this in retail
26:58or is it just direct consumer only yeah we really need to get our cost of goods down for retail
27:03deal out i think it's very hard to demonstrate this product in retail very hard yeah
27:08we had spike ball on here seven years ago the imagery was so easy to understand the game
27:13that it went viral it also went into retail because its packaging could fit this
27:18maybe a little tougher it's a much bigger footprint than a flat box good luck
27:23you but it's not for me emma and you know what the retailers sell
27:28is real estate so the bigger the space the more that you need to do the turns
27:32to justify
27:33is that space of the shelf so it's very hard to envision this scaling a lot in retail
27:38and for that reason i'm sorry but i'm out thank you daniel
27:43i feel like overall it doesn't have enough action for today's temperament
27:48it feels slow like it's for older people i just can't get excited i'm out
27:53okay thank you have any retailers reached out to y'all yes
27:58we've talked to target costco dick sporting goods and they reached out to you
28:03and what do they think about the price the the retail price of 149. so that was the initial stop
28:08and point for target they really wanted to create version that was sub 100 yeah
28:13we just weren't quite ready to diminish the quality in the materials at that point i think
28:18now that we've gotten it off the ground and we're ready to scale we're open to looking at different prices
28:23so chip and joe are you going to flip their captains i like it
28:28a lot of kids everybody's got a 15 second attention span everybody's on a gadget
28:33and it's just like something slower something nostalgic something that allows you to kind of lounge around
28:38yeah i like it i would go in with you guys if you wanted to do it let's hear an offer let's hear an offer
28:43what's the number i have to talk amongst ourselves for a quick minute here because i don't know
28:48the number i have to be a fair partner what do you think what do you guys think
28:53what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what do you think what
28:58So, so the offer would be $100,000.
29:03It's for 25%, but then you get three partners.
29:06So Chip and Joe normally renovate...
29:08houses, but now they're renovating your valuation.
29:10Because that implies...
29:12He has a renovated...
29:13$400,000 valuation.
29:16Would you consider...
29:1820% plus a line of credit for $500,000?
29:23$500,000 to help us...
29:24$500,000.
29:25...ramp up inventory.
29:26Wow.
29:27That's good.
29:28I feel like you have to come back over here.
29:30I'm coming back.
29:31I'm coming back.
29:32Here, what?
29:33Okay.
29:33I just can't...
29:34You sit there.
29:35I'm going to sit over here.
29:36Okay.
29:37He gave up his seat.
29:38Okay.
29:39So, what do you think?
29:43Okay.
29:44So, here's what we're thinking.
29:48Of course, all sharks don't mind giving help...
29:53with lines of credit...
29:54if something's really selling fantastically, right?
29:56But we're going to stick with our...
29:58our offer of 25%.
30:02It's expensive.
30:03How desperate are you?
30:04It's not that expensive, really, considering where you're not yet.
30:07And we want...
30:08to help you blow this up so that everybody knows what bocce roll is.
30:11But I think the...
30:12what I...
30:13what I love is, like, the platform that we have just with family.
30:16We have five kids.
30:18whether it's Magnolia or my partnership at Target.
30:20The one thing I'd love to get to quick is, like...
30:23how do we get your cost of goods down?
30:24How do we also figure out a way, if we do have this on shelves, that it's...
30:28stackable.
30:29I mean, everything in a retail store is just difficult.
30:31So, how are you making it easier?
30:33for the retailer.
30:34So, there's some revisions.
30:35She's right on, you need to get the cost down.
30:38How do you guys feel?
30:40Good?
30:44Joanna, Chip, Lori, we would love to make a deal with you.
30:48Just kidding.
30:48Great!
30:49Wow!
30:50There we go!
30:51We win it!
30:52Golly!
30:53Plus, I'm not gonna lie, you two on that love seat is really spectacular to look at.
30:58Yeah.
30:59Hey, congratulations.
31:00Thank you so much.
31:01So excited.
31:02Thank you so much.
31:03Congratulations.
31:03Well done.
31:05You guys did great.
31:06Congrats.
31:07Oh, the kids are gonna love it.
31:08Oh, come on.
31:09Yes!
31:10The fact that we have three sharks, we've got every...
31:13everything we could ever need to just blow bocce roll up.
31:18Thank you so much.
31:23Thank you so much.
31:28Next up is a tool that makes an annoying task.
31:33Easy and fun.
31:38Sharks.
31:39I'm Rob.
31:40Sharks.
31:41I'm Rob.
31:42Sharks.
31:43Sharks.
31:43I'm Rob Wright from Agora Hills, California.
31:45My company is Boxblade and I'm looking to raise $200,000.
31:48for 5% of my business.
31:49Sharks.
31:50E-commerce isn't just growing.
31:52It...
31:53It is exploding, flooding our homes with cardboard and
31:58an avalanche of boxes that will not stop.
32:01Did you know the average US household...
32:03It receives 13,000 pieces of cardboard every year.
32:06Wow.
32:07And this...
32:08This inefficient weapon is what most people are using to fight against that army.
32:13Of cardboard.
32:14And not only is it not safe, but...
32:15Oh!
32:16I'm kidding.
32:17I'm okay.
32:18But these do cause over 30,000 injuries every year.
32:21And that's why I created...
32:23The battery powered safety cutter that turns the laborious dreaded...
32:28I'm not sure of cutting up boxes into a fast, safe, efficient...
32:32And dare I even say...
32:33It's a delightful experience.
32:34Let me show you how it works.
32:36You just hit the power button...
32:38Oh, wow.
32:39And just like that...
32:40Oh, wow.
32:41You're tearing boxes up.
32:43Does it get any easier than that?
32:45You see, Boxblade's patent-pending design can...
32:48It combines power with unmatched safety.
32:51Because the blade is hidden behind that blade...
32:53Fingers can't really get in there.
32:55Boxblade uses the standard utility knife blade...
32:58You already have in the garage.
32:59So it's the last box cutter you're ever gonna need.
33:02So sharp.
33:03Who's ready to be safe, efficient, and get a cut of these profits with Boxblade?
33:08So here we have a cardboard.
33:10And you want us to just take it, set it on top...
33:13So here's the thing.
33:14You just want to make sure that the angle is proper.
33:17You want it flat on the...
33:18This face here.
33:19Okay.
33:23It's not that easy.
33:24It is satisfying.
33:25Push the nose of it down.
33:26Push the nose of it down.
33:28There you go.
33:29Just pull through.
33:30Joanne, did you try it?
33:31There you go.
33:32I did.
33:33A little resistant.
33:33I don't want him to try it on the...
33:34I don't want him to try it on the...
33:35I don't want him to try it on the...
33:38Dang.
33:39There you go.
33:40There you go.
33:41So you...
33:43Let me show you how I attack one of these boxes.
33:45Nice.
33:46Look, it does take a little bit to get used to.
33:48I'll flip it around.
33:49And then...
33:50Oh my gosh.
33:51Wow.
33:52You're a pro.
33:53Yeah.
33:53Yeah.
33:54Rob, when you taught us the technique, it made a big difference.
33:56Yeah.
33:57You've got to get the angle.
33:58How's it...
33:58How's the consumer going to understand?
33:59We put a lot of videos out on the internet to help people understand how exactly...
34:03to use it.
34:04The genesis of this idea was that during the pandemic, the amount of boxes that show...
34:08up at my house kept going up exponentially, but that recycle bin was not getting any bigger.
34:13You can fit way more than you actually think into one of these bins when you actually cut them up.
34:18But most people just don't want to do it because it's a pain.
34:20How did you come up with this?
34:21Did you invent this?
34:22Yes.
34:23So I'm...
34:23I'm a serial entrepreneur.
34:24I founded a variety of different companies in my career.
34:26I was lucky enough to co-found one in...
34:28and take it public back in 2010.
34:29It was a small business internet advertising firm, but really this idea has been in my...
34:33head for almost 10 years.
34:34Why don't you walk us through since inception year by year what you sold?
34:37Sure.
34:38So in 2023, we launched a Kickstarter campaign.
34:41We commercially went live in...
34:43April of 2024, and that's when we started selling direct on our website.
34:48We did about half a million dollars in sales in 2024.
34:51Yeah.
34:52And we're...
34:53We're at about $920,000 for the year.
34:56And what has your profit been each of those...
34:58years?
34:59We cleared about $40,000 last year.
35:01Year to date, we're going to be about $65,000, $70,000.
35:03What does it cost you to make it?
35:05What do you sell it for?
35:06We buy the product.
35:08We sell it for $30,000 roughly.
35:11We retail them at $99,000.
35:13So you don't have any real room for retail distribution into hardware, right?
35:18What do you think the gross margin should be to support wholesale and retail?
35:2241%.
35:23Okay.
35:24I've seen other things like this, so tell us about your competition and...
35:28What is your price point compared to them?
35:30Our competition today is basically the push style...
35:33...rotary cutters.
35:34I've seen them for $29,000 all the way up to $79,000.
35:38If you were to run a side-by-side, once you get the hang of this, this thing will smoke one of those...
35:43...rotary cutters.
35:44But there's no way to sell this to traditional hardware, not now.
35:48...in many ways, because it's too expensive to make.
35:50All roads on this deal lead to cutting the cost...
35:53...in half.
35:54Have you started to look at that?
35:55Yes.
35:56See, when we launched, I wanted to have...
35:58...the best tool that we could.
36:00If we go with a smaller motor and we go with...
36:03...with a single lithium-ion cell instead of two, we can get the cost of this unit...
36:08...down to $22.
36:09I think it's really not a product for me at all.
36:13Okay.
36:14I think it's too heavy in my hand.
36:15I had a very hard time cutting for that reason.
36:17I am out.
36:18Fair enough.
36:19Thank you for your consideration.
36:20Listen, Rob, you are a good, earnest guy.
36:22I can just...
36:23...tell.
36:24But I don't think that this is the right product for me, but I see the...
36:28...merit in everything that you're doing and I think you're doing a good job of it.
36:31I wish you the best of luck.
36:33But I'm out.
36:34So, there's no way you're worth $4 million, I'm sorry.
36:37And I know...
36:38...the road you're going to be on for a while because I've done it countless times.
36:41But I'll make you an offer.
36:43And I would invite Chip to come in with me.
36:45It's $200,000 for $20,000.
36:48Because I have a feeling he might come in and I'm not doing it for less than $10,000 to
36:52me because I don't get a...
36:53...out of bed for 5%.
36:54I don't even care about 5%.
36:56And I'm assuming that you have the...
36:58...connections that can help us grow the business.
37:00No, no.
37:01I'm really bad with all my companies.
37:02I don't help them at all.
37:04Chip, are you in on that deal?
37:05I like it.
37:06I like it.
37:07What do you say, Chip?
37:08Chip has already nudged me twice.
37:10You're going to partner with this guy rather than with me?
37:12I can't believe...
37:13What do you mean?
37:14Are you still in?
37:15I was waiting for you to invite me.
37:16Oh, oh.
37:17Fellow Texans.
37:18All right.
37:19Chip and Joanna, can you tell us what you like about this product and what...
37:23...concerns you about it?
37:24I like it.
37:25I like the way it feels.
37:26From a contractor's perspective, this feels...
37:28...legit.
37:29Me and my pocket knife or a box cutter would have taken me several...
37:33...longer.
37:34But I do agree that, I mean, this thing needs to come down in price.
37:38I mean, this could be Boxblade Pro and stay out there...
37:41Right.
37:42...with the double lithium.
37:43...and then go to single lithium for the retail model.
37:45Correct.
37:46Totally.
37:47We're fully aligned.
37:48We made an offer.
37:49You're coming in on it?
37:50I like it.
37:51I like it.
37:52Let's go.
37:53You get a monster in this.
37:53There's no space with Chip here.
37:54I can't do 20%.
37:55I can't do 20%.
37:58Five percent?
37:59I poo-poo on five percent.
38:02I would...
38:03Poo-poo on his poo-poo.
38:04And I would do it for 15%.
38:06Two hundred thousand.
38:08And by the way, in my 15%, if Chip and Joe want to join...
38:13...I would be very open to working with him.
38:15How can you help us grow revenue?
38:18How can you help us on the distribution side?
38:20How many stores do you think I got kind into?
38:23Oh.
38:24Hundreds of thousands.
38:25I'm sure.
38:26For a million.
38:27Lowe's, Hum-deep.
38:28Poo-poo.
38:29Ace.
38:30All of them.
38:31So, of course, I can help you.
38:32But I have to tell you something.
38:33So, what's...
38:33...is the experience of knowing what mountaintop you want to reach...
38:36...and being able to guide you on how to...
38:38...to get there?
38:39Sure.
38:40I don't dispute anything that you're saying.
38:41The issue that I'm having with the...
38:43...evaluation is...
38:45...I'm having conversations with private investors right now.
38:48And...
38:49I think that's important.
38:50But they're not sharks.
38:51We take our companies.
38:52We...
38:53...to elevate them.
38:54I'm going to tell your story to millions and millions of people.
38:57That's what a shark does.
38:58So, here's where I'm at.
39:00I understand exactly how you guys...
39:03...bring a ton of value to Boxblade.
39:06This relationship kind of makes sense.
39:08And I say that same thing with you with all due respect.
39:10No, I think...
39:11I appreciate that.
39:12But I don't need a job.
39:13So, I'm not taking a job interview.
39:17Rob, I...
39:18I'm surprised that you don't sufficiently understand why honestly...
39:22I probably...
39:23...will be the most important shark to help you.
39:25So...
39:26I am going to withdraw my offer.
39:28I'm out.
39:32So...
39:33We're in.
39:34Um...
39:35I just want you guys to be clear that me and my team...
39:37We're not...
39:38We're not novices at this.
39:39I've got two engineers and a supply chain guy that are on my team.
39:42How many...
39:43How many guys have rolled out in hardware?
39:45Nobody has.
39:46Okay.
39:47Well, you...
39:48Listen.
39:49That's...
39:48That's why you came to the Shark Tank.
39:49We know what we're worth.
39:50We've done it countless times before.
39:52So Rob...
39:53Yes.
39:54Their offer stands at $200,000 for 20%, but you get all three of them.
39:58What are you going to do?
39:59I can't do 20%.
40:01Do you have a counter?
40:04Yeah.
40:05Yeah, so Rob.
40:06So we've got to stay away.
40:07Make sure to get your ammo going.
40:08Alright, excellent.
40:09boards past the kitchen.
40:10I'm not good until we begin.
40:11You guys are you too?
40:12What are you doing?
40:13Do you?
40:14directly see the heat all theancy bait he uses for falling for me?
40:15And can you believe the fire burning when you go away and produce a zombie wood or a tree?
40:16Players really want to get rid of one more dangerous sediment but it's great.
40:17Where people want to do this, don't turn them to me.
40:19Then you
40:21enter.
40:22We're out.
40:27There's a lot today.
40:28The great idea.
40:29So Rob, he can go to work the fire intensity just so you could go out and like,
40:30which is cool.
40:31It's cool.
40:31stands at 200 000 for 20 percent what are you going to do i can't do
40:3620 do you have a counter i would do 12
40:41maybe you do that on your own i'm not interested there's not enough equity i think
40:46given the circumstances this is incredible we love it i want it but really i mean
40:51i think the money is going to end up knocking all of us out what's going to happen here is your
40:56going to say no because i don't want to give up 20 and then you're going to walk out that door
41:01and your moment's gone you don't yet appreciate what a shark does
41:06what if we do 200 000 at 10 percent and then we'll give you a royalty on every unit
41:11sold until you get to some amount i'm not sure what that amount is well what i would agree to
41:16is 15 percent with a two dollar royalty until we recoup 600 000 and then i'm
41:21good that's not really better for you yeah that's not i can't do that deal 600 000 is just a
41:26burden that i've just pushed out into the future so the 20 is on the table yes or no
41:31it's time to make a decision what are you going to do it is too sharp
41:36i can't i can't do the 20 but we're too far apart on valuation
41:42but we're just trying to deal with it it's hard not to worry not to worry about it
41:46but we just need to keep it out
41:47and it makes it real good
41:50and it makes it real good
41:51and it makes it real good
41:52and it makes it real good
41:55and it seems to me that's just what i'm gonna say
41:57that's just what i'm gonna say
42:00fair enough and if that's the case i'm assuming everybody's out
42:02i appreciate everyone's
41:46AND WE WISH YOU THE BEST, BELIEVE ME, I WANT YOU TO SUCCEED.
41:49WE WISH YOU GOOD LUCK, RAD.
41:50THANK YOU SO MUCH.
41:51GOOD INNOVATION.
41:51GOOD JOB, ROBB.
41:53THE REASON I WALK,
41:56away from the deal is because Kevin really hammered us on evaluation. I just don't feel
42:01comfortable agreeing to. Boxblade is on the up and up. We are still continuing to grow.
42:06I think they can add fuel to that fire and make it grow faster, but we're doing just fine.
42:11We're on our own right now, so I'm confident in the business.
42:14Do you think it could fillet a fish, yes or no?
42:16I'm going to try.
42:17No, I am too.
42:18I do not think so.
42:26.
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