All language subtitles for Shark.Tank.S16E18.1080p.HEVC.x265-MeGusta

Tonight on "Shark Tank"...

Wait. There's no crying
in cooking.

Do not try this at home.

My organs were, like,
falling out of my body.

Who's ready
to pop some champagne?

I own that business.

How many have you sold?
$2,000.

Oi.
That's nothing.

Last year,
we actually lost $100,000.

Oi.
O'Leary: Oh!

What if I went in
with Kevin?

No, I don't want that,
Lori.

Are you not human?

What's happening here?

That'll go down in "Shark Tank"
history right there.

First in the Tank
are sisters

seeking to share an old
family recipe with the world.

Hi, Sharks.
I'm Casey.

And I'm Vanessa.

We're from Boston,
Massachusetts.

And we're the two sisters
behind...

Jaju Pierogi!
Jaju Pierogi!

Today we're seeking
$300,000

for 8% equity in our company,
Jaju Pierogi.

Wow.

Okay, I'm actually
not a pierogi.

So, Sharks, do you know
what our love language is?

It's pierogi.

Pierogi are Eastern European
dumplings

traditionally made with potato,
cheese, and dough,

boiled...
and fried in butter.

Growing up
in western Massachusetts,

we always had pierogi

from our grandfather's deli
in our freezer.

There was no
mac and cheese.

If we were hungry, grab pierogi
and fry them up in some butter.

When we went off to college
in Boston,

our mom would hand-deliver
these same pierogi to our dorms,

and all of our friends
would ask,

"Hey, where'd you
get those?"

Inspired, we dusted off

our grandfather's
handwritten recipes

and got to work creating
Jaju Pierogi.

We use the same ingredients
our grandfather used.

Our dough tastes like it was
rolled out on the kitchen table.

Our pierogi are pre-boiled,
flash frozen,

and ready to eat
in 10 minutes.

They're great for families
and individuals alike.

So, Sharks, who wants to come
smell like butter with us?

And make pierogi
a household staple?

In front of you, you'll find
our lineup of flavors--

potato and cheese,
sweet potato/caramelized onion,

jalapeño cheddar,
loaded baked potato,

and kielbasa
and red bell pepper,

as well as with some sauerkraut
and sour cream for dipping.

So, Vanessa,
I'm Eastern European.

If I had-- If I was on
my deathbed and God said to me,

"Robert, you can have one
meal," it would be pierogies.

That's amazing. I grew up on
pierogies. I grew up in Pittsburgh.

Pittsburgh, yes. We know!

Alright, here we go.

Mmm!

This is a good
pierogi. Wow! Yum.

Let me just tell you,

one of the beauties of
pierogies is it's greasy and gooey.

This loaded baked potato
is greasy and gooey.

It's so good.

Thanks. It has a lot of umami.

Vanessa, why is it called Jaju?

It is not a not a Polish name.

So "jaju" is the phonetic
spelling of "grandfather."

So in Polish,

"jaju" is an affectionate
way of saying "grandfather."

Is that your grandfather there?

Yes, our grandfather is here.

So the whole inspiration
for this business

is that we grew
up around his deli.

In 2016, we went
back to the deli,

took our grandfather's
handwritten notebook

with all the deli from like 1960

and started tinkering
around. That's so beautiful.

And we didn't really
know what to expect.

The first market we went to,

we brought 40 boxes
and we sold out in an hour.

Wow. We were taking
names, phone numbers,

addresses, like,
trying to deliver.

But up until the
end of last year,

I mean, it's still
the two of us.

So we're in 2,500 stores,
and it's been the two of us.

Wow. You are?

No brokers, all of us.
No brokers, nothing.

Oh, wow. That's an
accomplishment. Good for you.

O'Leary: Well, let me
give you some good news,

'cause I've done a lot
of research in this space.

Pot stickers,
dumplings, pierogies

are the fastest-growing
convenience food

in America right now,
beating pizza growth.

Yep. I invested in it
into Brooklyn Dumplings.

When I saw the growth
numbers, I couldn't believe it.

And you're in the
frozen section?

Yeah. And who are you
in? Do you mind saying?

So we're nationwide
with Whole Foods,

with Sprouts, and then
we're in MOM's Organic.

We're in Harris Teeter.
We're in Fresh Market.

Wow. Our sales this
year will be $2.7 million.

Are you guys
profitable with that?

So last year, we
actually lost $100,000,

and we would have
been profitable,

but we didn't negotiate
for our contract

with a large grocery
chain like we should have.

We were very emotional
about getting into the chain.

I knew middle of last year

that we were gonna
run out of cash,

so I knew that that
was the first time

we had to go raise money.

Obviously, I had no
idea how to do that,

but my back was
against the wall.

So I felt like at the
end of last year,

my organs were, like,
falling out of my body

because cash flow's
such a problem,

like, with food, right?

Like, you put-- You know.

You're growing and
you're growing every year,

and then you have no
money. And there's no money.

Exactly. So last year,

we raised $400,000 at
a $2.25 million valuation.

So you've given away about
20% of the business. 18%.

And, Vanessa, today
your valuation is what?

$3.75 million.

$3.75 million in
less than a year.

When we raised money, we
were not national with Whole Foods.

We are officially national
with Whole Foods.

And so we're projected
to do $2.7 million,

$2.8 million this year.

We've been in Whole Foods
for three weeks nationally,

and we are moving like
between 12 and 15 bags,

just starting without any
demos, nothing, a week.

That's very high. Are
you impressed by that?

Yeah, it's very solid,

but I'm not sure that it
justifies that $3.75 million.

Shark! Listen, guys, um,

I don't see it as the right
business for me right now.

So I'm out. Thank you, Lori.

Per package, what
does it cost you to make,

and what does it cost you to--

what do you sell
it at wholesale?

Okay, so for the retail bag,

it's $3.89 for the bag to make.

How many pierogies in it?

There's 12. Okay.

And then the cost to
the distributor is $6.33.

Wow. That's not great margins.

That's not great margins.
What is the seller retail?

Suggested is $9.99 to $10.99.

That's your problem
right there, isn't it?

'Cause you don't have
a lot of wiggle room.

You need to knock off 35%
off your manufacturing costs.

This is a great
product. I love them.

I ate too many of them.
That's part of the problem.

I ballooned to 600 pounds.

I have no willpower when
it comes to stuff like this,

and I'd rather be a
customer than an owner.

So for those reasons, I'm out.

Ladies, I'm gonna crown
myself the Pierogi King.

Yes. I love them.

Couldn't love them more.

Here's my offer.

If my fellow friend and
Shark, the food king,

Daniel goes in and he
wants me as a partner,

I will go in with him.

So if you can talk him
into it, I'll come along.

Two Sharks are out.

Robert is interested in
Casey and Vanessa's

frozen pierogi business, Jaju,

but he wants to
partner with Daniel

for his expertise
in the food space.

Guys, you got to talk
Daniel into this deal.

I am so excited
about everything. Yes.

I just think we need
a food guy in this.

Come on, Daniel.

Do you need a food guy? When we
heard that you were our guest Shark,

I, like, cried.

I've always admired and
wanted to work with you.

Keep going, keep going.

And, like, yeah, I
watched you from afar

and, like, what you did
with Kind and then Somos

and, like, the energy with that.
Robert, I think you do this deal with them,

and we will find a way

to cooperate together
and introduce them.

And then if it makes
sense, we join forces.

And if not-- My friend.

Mi amigo.

They cried their heart out.

Are you not human?

Did you watch the
episode last season

where I did a
deal with Toast-It?

Yes. Yes. Yeah.

So it's a sister pair like you.

Yeah, for sure. In some ways,

it'd be kind of fun to do
the sisters frozen space.

In other ways, I feel like it
might be competitive because--

No.

I really don't think it'd be
fair to my partners at Toast-It

to do this without certainty

that it won't be seen
by them as competitive.

We think you'd be a great
partner, though. We do.

And it's tricky because I do
think there could be synergies,

but I am not sure.

So for those
reasons, I think I'm out.

Alright. Okay.
Thank you, thank you.

Ladies if Daniel's out, I'm out.

Alright, all pierogies
lead to Mr. Wonderful.

That's what happens.
Here's my offer.

Listen carefully to it, 'cause
it's the only way I would do it.

I work with the
largest co-packers

and distributors, number one.

Number two... makes
the most inexpensive

pot stickers, dumplings,
and pierogies.

That's how you would
get your costs down.

I own that business.

I bought it just to give
me vertical strength

in Brooklyn Dumplings.
Those are dumplings.

They're all the same.
We'd add this to it.

I don't know how tied
you are to Jaju or not,

but I'll give you the $300,000.

I want 20%.

I have the distribution.
I have the co-packer.

I have the protein maker.

And I didn't bring up the fact
that I do a lot of sales on QVC

as Chef Wonderful
in this category.

In fact, I own this
category on QVC.

You don't own pierogies.

They're all the same,
pot stickers, pierogies.

Listen, you understand
what I'm talking about.

The manufacturing of this
category of convenient food

is all done in the
same mold factory,

whether it's a pierogi,
whether it's a pot sticker,

whether it's a dumpling.

I have a question. What
if I went in with Kevin?

No, I don't want that, Lori.

Lori, will you make
an offer on your own?

What if I went in with Kevin?

No.

So the offer that we
have right now is--

because there's
a lot of chatter--

is the 20% for $300,000,

and then you want
to take the production

to the place that you own?

No, I want you to meet the
management of Brooklyn Dumpling,

and you decide which of the
elements you're going to use.

He just poofed me away,
right? I don't want to do the deal

unless you're using
my infrastructure. Okay.

Otherwise, what
am I doing this for?

When you see the synergy of
what they're building over there,

you'll realize, "Wait a second.

I want to get into the
stores across America.

I want Walmart. I want
Costco. I want it all."

By the way, you've
achieved something-- It's hard.

Was it 2,100 you have? 2,500.

That's nothing.

So because you're bringing
us into the infrastructure,

would you be willing
to do $300,000 for 10%?

Why would I do that?

It's plug and play, right?

You're adding us to the portfolio.
I'm the only offer you have.

I appreciate it, but
the answer's no.

And, Robert, you're
completely out?

I can help you eat them.

Sometimes it's really great
to do deals with other Sharks,

but I have everything
you need, everything.

What do you want to do?

I think that, you know, you
can speak to the numbers,

but we think that our
valuation is fair and that 20%--

And that's fine. 20% is
too much for us to give up.

That's fine.

That's how we feel
right now. Yeah.

Good for you guys.
Good for you guys.

You guys are very impressive.

And you will do great. Yeah.

Okay. Well, thank you.
Thank you so much.

Congrats, guys.
Thank you, ladies.

Thank you for sharing these with
us. Good luck. They're amazing.

Good luck.

We came in to make a deal,

but we know the value of the
work we put into this business

and the value of the
emotional connection

we have with our customers
and the quality of our product.

And we are confident we
can move forward from here

and continue to
build our business.

And maybe one of the Sharks
will call us back one day and,

you know, regret not
making that deal, so...

In Season 15,

we watched Ashley Carson
and her mother, Karen Walker,

make a deal with Lori Greiner

for their comfortable
swim goggles company,

Splash Place Swim Goggles.

Aiden and Jayla are
having no problem

putting on their swim goggles,

and there's simply no more
pulling and tangling your hair.

Let's see what
they're up to now.

The Sharks were really
blown away with our sales

and also the fact that
we work with local women

in our community to
assemble the goggles.

In the seven years before
we pitched to the Sharks,

we had almost $7
million in lifetime sales.

And less than a week
after "Shark Tank,"

we brought in over
$1 million in sales.

It's been less than a
year since we closed,

and we now have over
$10 million in sales.

Splash Place Swim
Goggles can now be found

in nearly all Scheels
locations nationwide.

And we're soon launching
in REI and Buc-ee's this year.

We're now in over 1,800
retail locations around the world,

including Iceland, the
Middle East, and Australia.

You know, I just love the model.

Stay-at-home moms are
helping make the product,

pack the product.

It gives them another job.

You're changing their lives.

Our story's a little
different than most.

We don't have a college
background, neither one of us.

We both prioritize family life.

So it was important for me to
give women in our community

an opportunity to
be able to provide

for their family, as well.

I was a stay-at-home mom,
so working with so many of you

that are also stay-at-home
moms really meant a lot to me.

We're at the Wigwam
Resort for a special dinner

to thank all the women who
have helped us get to this point.

Tonight is the night to honor
these women and to lift them up.

Thank you.

We are so thankful
to "Shark Tank,"

and we just want to
encourage anybody out there

with an entrepreneurial spirit,

if you have an
idea, to just go for it,

because you never know
where it could take you.

Next up is a product that
ensures you'll always have

an essential accessory
when you need it.

Howdy, Sharks. My name's Zak.

And I'm from a small town
just outside of Dallas, Texas.

I'm seeking $350,000

in exchange for 15% of
my company, Permaplug.

Sharks, picture this.

You get home from
a long day of work.

You finally get comfy
in bed or on the couch.

Your phone's on 1%, so
you reach for your charger.

Wait. Where is it?

It's missing again.

So what could you
do to try to fix this?

Maybe you could
try a sticky note.

"Zak's charger. Do not move."

Use extra-bold lettering
and exclamation points

to make sure that they
know you're serious this time.

Maybe you could just buy
dozens of cheap chargers

every few weeks and hope
there's one around when you need it.

Maybe you could even
try supergluing your charger

directly to the outlet.

I'm kidding. Do
not try this at home.

But somehow, some
way, that charger

will still end up getting
borrowed but never returned.

This is a daily
dilemma for millions,

but not for those who've been
lucky enough to discover...

the Permaplug Charger Lock.

Permaplug Charger
Lock is a proprietary,

fully patented locking system

that secures your charger
and cables into place

so they can't be moved,
stolen, or accidentally unplugged.

Let me show you how it works.

First, you'll simply remove
your existing outlet cover,

assemble your Permaplug system,

which includes the locking
cover, a dual fast charger,

and up to two charging cables.

Then you'll place the
Permaplug Charger Lock

directly on your upper outlet,

and then you'll screw it back in

using the included
standard screw.

Or you can upgrade to a
security screw for added protection.

And boom, start charging without
ever worrying about your charger

or the cables growing legs
and going missing again.

So, Zak, honey, sweetie,
poopsie, baby. He's not done.

Wait. Let him finish.
Oh, you're not done?

I know you're excited. I am too.

But we're almost there.

Good answer, Zak. Poopsie baby.

Phones, headphones,
tablets, and other devices

are a crucial part of
our everyday lives.

They're not going anywhere.

Protecting the lifeline of
these devices is a no-brainer.

So, Sharks, who's ready
to secure your chargers

and a deal with Permaplug?

Good job. So, poopsie
baby, the issue is,

this solves the
problem in your home.

But if you're, like, in
a hotel or on the road,

it's not really
practical, right?

It's just for permanent.

Unless you're the
hotel. It depends.

The hotel would be the one
that purchases them from us,

and there is a ton of
unique applications

in commercial settings, as well.

Oh, that's an
interesting point. Yeah.

So you're saying the hotel
can then do that so that...

They'll provide
it for their guests.

...the guests don't
take them away.

Or even their staff
in the background.

Can't go ask the front desk for a charging
cable. O'Leary: I want to be fair, Zak.

I do not deserve to rip you
to pieces if you have sales.

Okay.

Do you have any?

I do. I have about
$2,000 in sales.

Oi. $2,000, Zak?

Okay, I am now going to rip you to
pieces. $2,000 in sales so far today.

I have $456,000 in
sales year to date.

Andale.

That's a great answer.
Oh, what a great comeback.

That is a great
answer. Thank you.

That'll go down in "Shark Tank" history
right there. Yeah. Thank you. Thank you.

How did you get
$450,000 in sales?

I brought the
sales in all myself.

So I originally filed the
patent for this in 2019.

So it goes all the way back,
really, to whenever I was a kid.

I grew up with cousins.

We all grew up
on the same street.

We always stole
each other's chargers.

And then in 2019, I went
and stayed at a friend's house,

and when I stayed at his
house, I slept on his couch,

and I had my phone
plugged in to his charger.

It was superglued to his
outlet, so light bulbs flipped,

and I knew this was a good
product and brought it to life.

This is for anybody that
has one child or more. Right.

I got three teenagers. It
happens by the minute. Yeah.

Yeah. How are
you selling it today?

The $450,000 sales--

By the way, is
that for the year?

That's year to date.

I'm $665,000 lifetime,
which is 12 months.

Wow. I launched last year.

Who are you selling it to?

Fully direct to consumer.

My customers range
all over the place.

So parents tired of their
kids moving the chargers,

siblings, roommates, and a
huge one right now is schools.

They're buying them so
they can charge the tablets

for their kids. All
through social?

All through social media.

All on your website or Amazon?

So Amazon's a
huge channel for me,

and I was resistant
to doing that at first.

But it's actually 60% of
my revenue is Amazon now.

And I don't love that because
I don't own the customer data.

You guys know how that is.

But I incentivize people
to try to buy on my website

with better pricing.

Are you buying a lot of ads?

Most of my marketing is organic.

I do have a
retargeting funnel set up

so I can just
retarget the people

that have engaged with my organic.
Good for you. Yeah, good for you.

So, and I have an
SEO background.

So I built all of these
automation tools

using automation and AI.

So, for instance, like, if
I'm talking to somebody

and they say, you know,

"What's the best Father's
Day gift for 2024?"

I can text myself that,
generate a blog post,

make sure Permaplug is
number-one... I love that.

...Father's Day present,

automatically published on
my site and indexed by Google.

I want to go back to
this-- $350,000, 15%.

What are you gonna
do with the $350,000?

I'll use it to help
increase my float.

So I've got a decent
amount of money in the bank,

but I am playing cat
and mouse a little bit

with inventory, buying,
cash flow in the bank.

How much inventory do you have?
What is a container? What's a container?

I have about $80,000
worth of inventory right now.

Wow, that's a lot.

That's my hard cost.

But, I mean, I'm
selling 15,000 units,

so I'm moving
them pretty quickly.

You making any money on
the $465,000 year to date?

Absolutely. My
margin's around 58%.

So super-healthy margins. What
did you put in your pocket, anything?

What does it cost, and
what do you sell it for?

So I buy those for
about $6.50 each

and I sell them for
about $35 on average.

Do you know your
customer acquisition cost

in the last few months?

They're less than 15 bucks

'cause I'm only doing
warm retargeting.

If they have not
engaged intensely

with one of my organic videos,

then I'm not paying to advertise to them. So
it costs you 15 bucks to acquire a customer.

And the average order size?

It's around $58.

Alright, look, I
thought this was a joke.

I got to be honest
with you, Zak.

Obviously, sales say no.

And you sound very credible.

So here's an offer for you.

I'll do the $350,000, 15%.

I want 2 bucks a unit
in royalties in perpetuity.

I'm curious who's on your team.

How much-- Just you?

One-man band. This
is all me and my wife.

We have a 24-hour fulfillment
promise notice. You and your wife.

We're up till midnight packing orders
every single night. Doing everything.

It's your full-time job. Yep.

And do you have any
debt? Do you own it 100%?

I own it 100%. Zero debt.

So I am doing
this full time now.

I'm living off of my
savings for now.

I don't plan to take any
sort of profit or salary

from the company until 2025,

just to make sure that I have
enough float for the company

and there's enough inventory

and I'm not fighting with
paying myself for that.

So I've saved up enough from
my job to live off of until then.

But I do plan on, you know,

obviously taking a
modest salary next year.

Good for you, man. Thank you.

You know, everybody I
meet wants to be successful,

but so few people are
willing to make the sacrifice

and pay the price.

We've made a ton of
sacrifices, too, honestly.

Like, I mean, my
wife especially,

she's put in tons
of work with me.

She doesn't have
to do any of that.

She's got two full-time jobs,
taking care of a 3 1/2-year-old

and a 2 1/2-month-old right now.

So she's out there
grinding with me.

I'm here right now, and
she's at home packing orders.

Zak, what's your reaction

to Mr. Wonderful's
not-so-wonderful offer?

Well, I figured coming in here,

I may get an offer
something like that.

I would not be open
to a perpetuity deal,

but I would be open to
giving a royalty to anybody,

for that matter, until
your money's paid back

because I don't like
borrowing money.

Zak, why is that
interesting to an investor?

Because I give you my
money. I put it at risk.

I wait two and a half to
three years to get it back.

I make nothing on it.

Could be sitting in the
bank making 5.24%.

The only other value is an
exit on the value of the patent,

which may or may not play out.

So you're putting your
largest investor at 100% risk.

Well, I'll give you your
$350,000 for 25%, no royalty.

Okay. If you don't
mind me asking,

what does that put
the valuation at?

$1.4 million. $1.4
million? Okay.

O'Leary: He's
doing $1.4 million.

Zak, I have good news
and I have bad news.

Okay. What do you want first?

Ask for the bad news.

I'm a delayed-gratification
type of guy,

so I'll go bad news first.

Always get the bad news first.

There you go.

I'm out. Always.

Want to know the good
news? That's the good news?

Yes, ma'am.

I'm back in. Okay.
Thank goodness.

My next question was gonna be--

I had to do that
to you for, like,

your whole what you did to
us. Oh, yeah, the $2,000, yeah.

Yes, with the $2,000.
That was a good one.

Okay. I thought
you'd appreciate that.

I did. So I'm going
to offer you $350,000.

I would like 20%. Okay.

And I'd like a royalty of $1

until I get paid back
my money. Okay, okay.

Because I think together,
we'll be a powerhouse.

That's my offer.

Alright, that's a great offer.

What are you gonna do? Think
about. Here's my thing. I'm like Kevin.

I didn't think it was
real. I thought you were...

That is true. ...you
were negligible at best.

But congratulations. Thank you.

You're doing great.

It's just not for me.

Yes, sir. I'm out.

Thank you for your
time. I appreciate it.

Yeah, Zak, I'm kind
of in the same boat.

Okay. It's a great product,
but you know SEO already,

you know, maybe
some cash flow things.

You've got this on lockdown
and you know it, right?

I appreciate that. Thank you. And
so, yeah, it's just not a fit for me.

So for those
reasons, I'm out. Okay.

You have three offers.

She's got the best
offer on the table.

Well, no, she's
not Mr. Wonderful.

What does that mean?

Well, it means what it is.

I've done my research
on all this and you guys.

I've watched this show. I
have the best offer on the table.

I am also the best
partner for you.

I grew up not caring
about being an athlete.

I didn't look up
to any athletes.

I didn't look up to
any actors or anything.

I looked up to
people like you guys.

So I know everything
about all of you.

And I know what you've
done with companies and you,

and everything you guys have
all done is extremely motivational.

It's inspirational.

This is everything
I've ever worked for.

Lori's offer is by far, I
mean, in my opinion, just--

I came here, my wife
wants me to work with you.

So there you go.

I would love to close
a deal with you, Lori.

Thank you. Yay! Boom.

Congratulations. Congrats, Zak.

I love it. Thank you.

I think it's so really good. Smart, smart,
smart. I appreciate it. I am honored.

Thank you so much. Thank you.

Thank you. We're
gonna blow it up.

Thank you. There should
be like five in every home.

There will be with your
help. In every single plug.

Good job. Thank
you. Thank you all.

I appreciate all of your time.
Thank you so much. Congrats.

Zak, great job. You're
really impressive.

Thank you. I appreciate
you all. Good luck.

Have a good one.

Thank you, Jesus.
Thank you, God.

I just closed a deal with Lori.

I mean, that's exactly who I wanted
to work with when I came in here.

Lori has so much expertise.

She's blown up
companies like Scrub Daddy

and so many others that really
just needed that initial push.

And that's really all I
need to get this out there.

I've reached a few
million people on my own,

but I know that she can help
get that number way up higher.

Next into the Tank
is a product designed

to blow away a
common cooking hazard.

Wait. There's no
crying in cooking.

Not if we have
anything to say about it.

Hey, Sharks. My
name is Glenn Smith.

And I'm his daughter and
business partner, Madison Smith.

And today we are
here seeking $90,000

for 15% equity in our company.

Sharks, for generations,
cooks around the world

have sought relief from
the infamous onion tears.

The burning, the
itching, my eyes!

Cutting onions is painful,

and we have tried all the hacks,

and none of them
have worked for us.

We have tried chewing
on bread while cutting.

We've put a matchstick
between our teeth.

And this guy has even worn
yard goggles in the kitchen.

And trust us, Sharks.

None of these hacks
have worked for us,

which is why we invented...

the Fanion. The Fanion.

The Fanion is a
countertop cute cordless fan

that is placed next
to your cutting board

which simply blows away
the fumes and vapors

of eye-irritating
vegetables such as onions,

shallots, peppers,
garlic, et cetera.

You'll only cry tears of joy.

It really is that simple.

So come on, Sharks.

Who's ready to chop
it up with the Fanion?

And who's ready
to be blown away?

Now, Sharks, no
need to get weepy.

You each have a Fanion
to blow those tears away.

So you have an onion,
a knife, and a Fanion

to really put this to the test.

Oh, wow. So there's
a lever on the back

that'll turn it on, and
you can get to chopping.

And, Madison, do most
people cry with onions?

Yes. Yeah. I do.

Now, why would you not?

Like, I don't really
often cry. I don't. I don't.

Like, this doesn't sting me
at all. Why would that be?

Really? I am told that
if you wear contacts,

that can be something
that-- I do wear contacts.

I wear contacts. If
you wear contacts.

If you wear contacts, you're lucky.
If you wear contacts, you're lucky.

You know, a unique
attribute about vampires--

I'm a vampire-- we don't
have to cry about onions.

We can cut any kind of
vegetable no problem at all,

as long as it's dark outside.

Is this your full-time jobs? No.

And also, please
tell us about you.

You go ahead. I am a vice president
of a large U.S. poultry company.

I buy feed ingredients
to feed chickens.

And, Madison, what do you do?

After graduating
from Georgia Tech,

I studied industrial
engineering,

and I've worked
in the technology

and supply chain spaces
for about the last four years.

So this is a very
simple product.

I get it. How much to buy it?

We sell them for
$19.99 on our website.

And what does it cost
you to make them?

$8.09. Well, you
know your numbers.

How many do you sell?

We launched in November.
We just launched in November.

And? So about seven months.

We have sold almost 1,800.

We have $28,000 in sales.

That's not bad. Not bad at all.

How are you guys promoting it?

We've predominantly
done social media.

We've put a lot of
money into running ads.

And how much money have
you spent on advertising so far?

On advertising, about
$17,000 to $18,000.

And how much money have
you invested to get it to this?

$468,000.

Wow. Hello.

That's a lot of
crying over onions.

Where did you get the
money to spend $468,000?

Cash, credit, home equity.

How? What did you used to do?

Home equity, too?

Home equity, as well. Correct.

Oi. O'Leary: Oh!

Whoa. But what did you
spend that on for this?

Mostly inventory.

How much do you have in
inventory at your cost? Inventory?

How much do you have
in inventory at your cost?

31,000 units.

Oh, okay, so that's 250
grand, basically. Correct.

You got 31,000 units.

What is it costing you to
acquire a customer right now?

Do you know?

How much did you
spend on advertising

divided by the number
of units you've sold.

So $17,000 divided by--

Almost 1,800. Yeah.

Right. So about 10 bucks a unit.

Yeah. So you're
breaking even, yeah.

O'Leary: Okay, this
is not a good number.

You're not making any money.

Right now you're losing some.

Yes.

What's the plan to sell
the existing sunk inventory?

That is why we are here, is
that we need help with that.

We really started trying to
go 100% direct to consumer.

Over 10,000 Google
searches happen every month

of people searching how to
stop crying while cutting onions.

I mean, there's
viral TikTok videos.

This is definitely--
And it works.

We know that it works,

and there's not a
product out there like it.

And everybody loves
a kitchen gadget.

I mean, come on. Yeah,
but maybe there's a reason

why there's not a
product out there like it.

Look, guys, I give
you a lot of credit

for diving in and going for it,

but this is too niche
a market, right?

Because when you
limit it just to onions,

that's too small, right?

And not a lot of people
are gonna spend $19.95

just to be able to
do onions alone.

So for those reasons, I'm out.

Thank you, Mark.

Here's the thing.

It's something that
happens all the time.

I watch it with entrepreneurs.

You get so excited
that you don't realize

one of the most
perilous pitfalls

when you first create a product

is ordering in too much
inventory without sales.

You've sold 1,800 in
8 months, give or take.

You're sitting on 31,000.

This could take you 10
years or more, right, to sell it.

So what I think you
should do, a suggestion,

is sell it to someone at
your cost just to break even

but to get money back,

'cause you don't want to
sit on that big of an expense.

It's not a journey
that I want to take

'cause I know it's a rough road.

But I wish you good
luck. I hope you try that.

I'm sorry. I'm out.

You got a bunch of money tied
up in inventory here, 250 grand.

So if you sold these
things at $9.99,

you'd get half your money back

and you'd say the
other was a lesson in life.

31,000 units, that's worth
crying about, not the onion.

I can't help you
because I can't help you.

I'm out.

All my friends that have
never started a business,

they think that
starting a business

is like standing on
the edge of a cliff,

ordering 30,000 units,
and jumping into the water.

Great entrepreneurs
learn about controlled risk.

You never want to make a
mistake that's gonna kill you.

It's very hard to come
back from the dead.

Kevin's done it, but very few.

And by the way, it works.

You made a big risk, and
now you're stuck with it.

You got to get rid
of that inventory.

There is no, "We're
gonna grow our market.

We're gonna sell it here."

Get rid of the inventory
that you have, even at a loss,

even if you get 50
cents on the dollar.

I disagree. They're
being very melodramatic.

No, they got to rid of--
O'Leary: Are you in again?

It's not dramatic. They took a line
of credit on their house to get here.

Okay, welcome to
the Onion Advice Tank.

It's not for me 'cause
it's not investable.

I hope you get some
of that cash back.

I'm out.

Glenn and Madison,

I love the fact that
you're working together.

My daughter's here watching
"Shark Tank" today. Yeah, I love that.

And it's such a special thing.

It's the most important
thing in the world,

'cause my dad is no
longer here with me

and I wish he was
around and I just miss him.

And I love the
fact that you guys

can have this journey together.

Aw.

I wish you the best
of luck, but I'm out.

Thank you very much.
Good luck, you guys.

Thank y'all so much. Madison,
you're great. Take care.

It was nice meeting you all.

Good luck, guys. I
hope you make it work.

Good luck. Get some
of that cash back.

There's an onion.
There's an onion.

Onions everywhere.

Come here.

The message that we just
heard was, "Get rid of them.

Cut your losses and go home."

And, you know, if that's the
way it ultimately comes down

and that's what happens,
it won't be for lack of trying,

but I'm not gonna punt.

Next into the Tank
is a stylish upgrade

to an everyday appliance.

Hi, Sharks. I'm Alyse.

And I'm Sam.

And we're seeking $600,000

for 3% of our
company, Rocco. Wow.

Actually, Sam, before we
get started, I'm a little thirsty.

Why don't you
just go grab a drink

from my kitchen
fridge over there?

One second,
Sharks. I'm so sorry.

There should be a soda in there.

You might just
have to dig a little bit.

Oh. Oh.

Oh! Sam. I hate it
when that happens.

I can't find anything in here.

There's leftovers.
There's produce.

Where's the drinks?

I think it should be
behind the lasagna

or the pizza box, maybe.

No.

Oh. That's embarrassing.

Sharks, as you can see,
kitchen fridges are crowded.

They're cluttered.
They're just plain chaotic.

That's why we created the
Rocco Super Smart Drinks Fridge.

It's designed as furniture

so you can keep all
of your favorite drinks

away from those leftovers.

And where you actually
drink them-- in the living room.

You might be thinking, "Eh,
this is just another wine fridge."

Sorry, Mr. Wonderful, but
nobody just drinks wine anymore.

We created a one-of-a-kind
shelving system

that accommodates all
sizes of bottles and cans,

everything from ginger
shots to champagne.

The top doubles as a
pour, serve, store station.

AKA, it's also a bar cart.

And with our
patent-pending sight system,

you can even see inside your
fridge right from your phone.

Imagine you're at
the grocery store.

You're having friends over later

and you can't remember
if you have enough beer.

Now all you have to
do is look at the app

and you'll know exactly
how much you need.

So, Sharks, who's ready to do a
deal and pop some champagne?

Alright.

I know what's coming. Alright,
you know what's coming.

I know what's coming.

O'Leary: Un, deux, trois.

Des Chevaliers du Tastevin!

And in front of
you are the trays

that come with the fridge to
kind of turn it into a bar cart.

How much is the fridge?

The fridge is $1,495,

and we currently offer
early-access pricing of $1,295.

Is that a lot for a basic--

No, as a matter of fact,
I just bought two. No?

Not of yours-- I didn't
know about yours--

but of a different one.

And I will tell you,
yours is the right price.

And what the guy was trying to
sell me... How much did you spend?

...was three times as much.

O'Leary: How does the app work?

Do I actually see
into the fridge?

So every time you put
something in or take it out,

it automatically images it,
no scanning whatsoever,

and your app will update.

So I see shelf by shelf
by shelf? What do I see?

Shelf by shelf.

That's an innovation
I haven't seen.

Now, tell us about
the two of you.

Yes, so Sam and
I have a combined

20 years of
experience in start-ups.

I cold e-mailed Casper,
the mattress company,

and I helped build the
brand from the ground up.

Then I went to Billie,
the women's razor brand,

which sold a few years ago

to one of the biggest
CPG companies.

Sam spent many years at Away

leading supply chain
and product development,

and while he was at
Away, the suitcase brand,

his work actually took
him to fridge factories,

because believe it or not,

there are
manufacturing similarities

between fridges and suitcases.

You sell it for
$1,295 or $1,495.

What does it cost you to make?

So our landed costs are $575.

And then after shipping,
which is another $130 to $160,

depending on where
you are in the country,

it gets to around $750 to $775.

So you don't have
much margin. No.

How do you sell it?

Direct to consumer.

How many have you sold?

Just over 3,000.

Sam, have you guys
raised a lot of money?

We raised $1 million
about two years ago.

At what valuation?

That was at $10 million
on a post-money SAFE.

Why are you telling us
you're worth $20 million now?

So that was two years ago
before we even had a prototype.

We've been in market
for eight months.

We've done $4
million of revenue.

We're profitable.
In eight months?

In eight months. And
you've shipped that?

Have you collected that
already? We've shipped that.

You've shipped
that. That's shipped.

And we've ordered enough units

to be able to do a $12
million year this year,

which is what we're forecasting.

And on that $4 million,

how much have you spent

to create the buzz? $12 million.

So we have a return on
ad spend of five times.

So we spend about $250 per
fridge, or 20% of our revenue.

Look, I like it.
I like the story.

I like the pitch. I
like the whole direct.

You guys are great.

I just don't like the valuation.

So here's what I'll do.

I'll give you the
$600,000 for 10%.

Well, they're
gonna jump at that.

I think they should.

I think they should.

Wow. That was a very loud laugh.

That's how I laugh all the time.

Look, I don't think you're
worth more than 6 million bucks.

I'm sorry.

Guys, I think it's a
beautiful product.

I'm not sure I see the vision.

I just don't see it. I'm out.

Thank you. Appreciate
it. Thank you.

Guys, here's where I'm at.

Look, great product,
great company.

The problem is a math problem.

When you price it at
a $20 million valuation,

in order for me to
get my $600,000 back,

you have to do $20 million
in net cash flow profits.

$20 million cash flow profits,

3% of that is my $600,000 back.

If I want to get
a multiple return,

since it's a risky environment,

let's just say
three or four times,

you need to do $60 million,
$80 million in free cash flow

to give me a return.

That's the challenge of
making this investment.

So for those reasons, I'm out.

Yeah, and I'm kind
of in a similar place.

It's very hard to imagine that
things could pan out in a way

that would be good
for you and for us.

I also was thinking about
how I could add value to you,

and I probably
could find a few ways,

but I don't know that I
would be the best Shark

for you for this deal, so
for those reasons, I'm out.

Thank you. Lori?

You know, listen,
I love you both.

The real problem for
me is your valuation.

I mean, it's rough.
Mark said it all.

I'm not even gonna
try to repeat it,

'cause he really said
it all quite squarely.

What would you
consider to be reasonable?

Yeah. We're open.

Oh, you guys would
not want to even know.

Kevin was at 10%.
I'm gonna be honest.

Like, to me, you're so start-up,
I would have been at 20%,

which you're never
gonna consider.

It just doesn't feel
like the right deal.

So I'm sorry. I'm out.

All roads lead to Mr. Wonderful.

Well, I really think you
heard it from everybody

in the same succinct way.

Valuation's a huge problem.

I actually think your
offer is generous.

I do. I gave them a
$6 million valuation

with no path to liquidity.

So there's a lot of risk in it.

I just happen to think my
social would blow this up so huge

if you were able to
figure out a way to fulfill.

And I also think I
can reduce your CAC.

Do you mind if we talk
about your offer for a second?

Speak amongst yourselves.

Thank you.

A lot of whispering going on.

No, I've actually
been thinking about

your free cash flow
comment. Uh-huh.

But this is a category
where the free cash flows of,

say, Whirlpool, it's $1 billion.

Haier, who bought
out GE, it's $2 billion.

How many products do
they have? They have five.

How long did it take them
to get there? 100 years.

What's happening here?
He didn't make the offer.

Kevin has an off on the table,
which doesn't always stay there.

O'Leary: Actually, I have
to be honest with you guys.

I'm out.

All five Sharks are out.

Sam and Alyse had an
offer on the table from Kevin

for their designer
beverage fridge, Rocco.

But their hesitation
led to a change of heart.

The only offer you had was me.

And then you're
talking to Cuban again.

You know, Mr. Wonderful
doesn't feel good about that.

You hurt his feelings.

And I now will forget who
you are tomorrow morning,

because there's gonna
be five more deals

coming through that door. Kevin.

I'm out. See you
guys later. Ciao.

We wanted to offer a royalty.

I'm not sure if there's a
way to get you back in.

What's your offer? What is it?

We want to-- We can be a
little flexible on the valuation.

What's the offer?

Let's do a royalty

particularly tied
to your channels.

No, I'm not doing that.

The minute my name is on
this, it's every unit gets a royalty,

because all of a sudden
it's a Mr. Wonderful deal.

If you don't believe
that, talk to my 54 CEOs.

See what they say. What's
the royalty you would give?

Yeah, but only on what Kevin
generates is what he's saying.

No, I'm not doing that.

I don't need a job. He's making
him a commissioned salesperson.

I'm an investor with a
huge brand. I'm just curious.

What's the royalty
you would give?

What would you give?

You do the marketing numbers.

I'm not doing that
deal. I'm not for hire.

Well, just tell us what the
royalty was. I'm the one asking.

It was $50.

$50 a fridge... $50 a fridge.

...until you get
your money back.

I just want to throw
something back at you.

Okay. No qualifiers.

But $600,000, $50
a fridge. That's it?

If we can keep the
regular equity ask,

we'll do $50 every fridge
until your money's back.

3%? $50 every fridge.

Would you do it at 5%?

4%?

5%?

4%?

5%?

Can we talk about
that for one second?

I'd do it at 3% in perpetuity.

Which is forever.

Take the deal. I
mean, you're gonna lift.

And we plan to be
around for a long time, so...

I do, too, I hope.
That's a long time.

As long as Whirlpool.

4% and until you
get your money back.

We'll meet you in the middle.

How about 4% until
I get my money back

plus another $300,000?

Done. Done.

There you go. Wonderful.

Boom! Ooh! Who knew?

Now, I bought that other fridge.

Oh, my God. Well, we're
gonna have to replace them.

Thank you, Lori.
Thank you so much.

Thank you. Yeah.
Good deal. Good deal.

Thank you.
Congratulations, guys.

Thank you. Thank you, everyone.

We did it!

We got a Shark.

They were all out, and
then she came back in.

Whew.

I thought it was a great deal.

I don't have anything to lose.

They're already selling them
within a year.

You're putting up 600 grand
to make 300.

They're selling that much.

If they're right, within a year,
I'm gonna make my money back.

I think that deal sucks.

Well, of course
you think it sucks.

I'd never do that deal.
'Cause you didn't get it.

It's a good deal, Lori.
Thank you, Mark.

You're welcome, Lori.

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