ENTREPRENEUR: Marc Newburger & Jeffrey Simon
PITCH: Drop Stop
ASKING FOR: $300k for a 15% stake
BEST PART OF THE PITCH: The guys have come up with a product that clogs up the gap between your car seat and the center console. It can universally fit into any car or truck. It'll stop anything and everything from falling into the black hole between seat and console where items get lost in the Carmuda Triangle. The guys have sold over 260,000 units. They've had $1.3 million in gross sales since opening their doors. Marc came up with the idea after almost getting into an accident due to distracted driving.
DO THE SHARKS BITE? Robert isn't a believer in the product, so he's out. Daymond likes the idea and the sales are showing there's a need. But like Robert, he just doesn't believe in the product. He's out. Mark will take the Drop Stop the guys gave him, but he can't add value to what they are doing. He's out. Kevin offers the $300k for a royalty of $2 per unit. Lori says she can easily make Marc and Jeffrey millionaires. She offers them $300k for 20% equity. Kevin then offers to drop down a $1 royalty after he gets his money back.
THE RESULT: Lori asks the guys to visualize her giving them a check for a million bucks as they sail around Martha's Vineyard together. The visualization trick works, as the guys accept her offer. Marc and Jeffrey can't wait to take that boat ride with Lori. Wonder if they'll make a Drop Stop for ships.
UPDATE: Buggy Beds
Maria Curcio & Veronica Periongo made a deal with all five sharks for their early bedbug detection system. They've gone from $150k to $1.2 million in two months. They are now rolling out into 600 stores across the country. They run a full warehouse and are on target to reach up to $10 million in sales. This is all for not letting the bedbugs bite.
ENTREPRENEUR: Gary Groomes & Dave Johnson
PITCH: Traditional Fisheries
ASKING FOR: $225k for a 25% stake
BEST PART OF THE PITCH: The guys need help from the sharks to fight a war against an environmental terrorist known as the lionfish. This fish is capable of causing an economic and ecological disaster. Their venomous spine allows them to have no natural predator and they've been putting our oceans in jeopardy. The guys say, if you can't beat 'em, then eat 'em. They cook and sell lionfish. They are essentially introducing a new fish dish, but they've only grossed $12,000 in sales
DO THE SHARKS BITE? Robert doesn't believe there's any kind of demand for this fish, so he's out. Kevin thinks it'll take too long to convince people to eat the lionfish. He's out. Daymond thinks this will be a huge educational challenge that $250k simply won't cover. He's out. Mark believes it's a good problem to solve, but it'll take too much money to do it. He's out. Lori is up for anything that helps the ecology, but she doesn't think anyone will come running to eat lionfish. She's out. Gary and Dave will have to hook another investor.
LEARN MORE: Visit http://www.traditionalfisheries.com
ENTREPRENEUR: Lani Lazzari
PITCH: Simple Sugars
ASKING FOR: $100k and a 10% stake
BEST PART OF THE PITCH: Lani started her company when she was 11. She created a product that took away her eczema. She created all natural sugar scrubs that gently exfoliate and provide deep skin nourishment in one easy step. Now that she's graduated high school, she's ready to go big with her product. Lori tries out the scrub and likes it. Lani has $55,000 in sales and projects $100k in the future. She tells the sharks how she's been able to grow the product all by herself. She wants to be an entrepreneur so that she can be in control of her own destiny.
DO THE SHARKS BITE? Daymond thinks Lani is doing great on her own and doesn't need him at all. He's out. Lori is thoroughly impressed by Lani, but she thinks there's too much competition out there. She's out. Kevin knows that the cosmetics market is so hard to compete it and doesn't think her product is worth $1 million. He's out. Robert believes any offer he could make would be inequitable to her, so he's out. That leaves Mark.
THE RESULT: Mark is willing to invest $100k for 33% of the company due the investment of his time that would be necessary. Lani counters with an offer of 25% equity. Mark stands firm at 33%. Lani says she would love to accept his offer. After Lani leaves the tank, Robert says she was one of the best pitchers they've ever had in the tank.
LEARN MORE: Visit http://www.simplesugarsscrub.com
ENTREPRENEUR: Jeffrey Miller
ASKING FOR: $100k for a 40% stake
BEST PART OF THE PITCH: Jeffrey has created a shrinkwrap gift bag that's very easy to use. He has a table full of gifts he wrapped the night before and actually had fun doing it. The product was out in the market 10 years ago where it sold out at places like QVC. He had partnership issues that didn't allow the product to grow. He was only a 20% shareholder at the time but he is now a 100% owner. He has a utility patent on the product.
DO THE SHARKS BITE? Robert doesn't see the market for the product. He's out. Lori likes the product but believes it needs a lot of revamping. She offers to buy the entire company for $100k. She's offering to take on all the risk and responsibility leaving Jeffrey in the clear. But Mark has something to say about that.
THE RESULT: Mark offers Jeffrey $250k for the entire company plus a 3% royalty, but he wants a yes or no answer immediately. Jeffery gives it to him. He says yes in one of the fastest deals ever made in the tank.
LEARN MORE: Visit http://www.coolwraps.com