Home
Posts

Shark Tank: Passion Footwear, Souper Cubes, Byoot, and Sienna Sauce

6 minute read

rhythmuswege / Pixabay

Guest Shark, Kendra Scott, joined long-term Sharks Barbara Corcoran, Lori Greiner, Mark Cuban, and Kevin O’Leary in the Shark Tank to evaluate four businesses hoping to land strategic investors. Passion Footwear, Souper Cubes, Byoot, and Sienna Sauce all presented compelling pitches to the Sharks that lead to offers, however, only three of these businesses accepted an offer and left the Shark Tank with a super-star investor in tow.

Passion Footwear Declines Kevin O’Leary’s Offer

California native, Haley Pavone, came to the Shark Tank seeking $500,000 in exchange for 5% equity in her company, Passion Footwear. After attending a party in college wearing uncomfortable high heels, Haley slipped off her heels and went barefoot, only to sustain a serious foot injury as a result. She realized there had to be a better, more comfortable way to wear high heels. Passion Footwear was born out of a desire to combine fashion and comfort. This convertible shoe easily switches between a high heel and a stylish flat shoe.

See Also :

    Although the Sharks like that Haley has generated over $800,000 in sales in a little over a year, they are concerned because her burn rate is very high for the business overall and her return rate is over the industry average. They also are concerned that she does have other investors in the company and has raised significant funds to get her business off the ground. Because the valuation is high, many of the Sharks do not find the risk-to-reward odds to be in their favor as an investor. Even though it appeared that Haley would not be getting an offer in the tank, Kevin O’Leary came in with a last minute royalty offer. Kevin offered to invest $500,000 in exchange for 5% equity. He would also require a $5 per pair royalty until $1,000,000 has been repaid and then the royalty will go away and he will keep just the equity percentage. Haley does not want to do a royalty deal and declines Kevin’s offer.

    Souper Cubes Land a Deal with Lori Greiner

    Husband and wife, Jake and Michelle Sendowski, showcased their signature product, Souper Cubes in the Shark Tank. These flexible, silicone trays make it easy to freeze, store and reheat meals in the perfect portion size. Selling $1.6 million worth of product in 2020, Souper Cubes definitely caught the Shark’s attention from the very beginning. Seeking $400,000 in exchange for 5% equity in their company, Jake and Michelle are looking for a partner that can mentor them and help them to make difficult decisions in regards to their business.

    Loving the product and the entrepreneurs, several of the Sharks seized the opportunity to offer up financial and strategic partnerships with Souper Cubes. Both Kevin O’Leary and Barbara Corcoran offered two different potential deal structures while Lori Greiner simply offered them exactly what they asked for, $400,000 in exchange for 5% equity. Lori also gave Jake and Michelle her golden ticket which she only gives out once per season to a company who she is particularly excited about. The Sendowski’s ultimately decide to take Lori’s offer as she was their dream Shark.

    Byoot Partners With Kendra Scott

    Iowa natives, Elyce and Nathan Billany, have developed a solution to every woman’s nightmare: using the restroom in a one-piece bathing suit. After a Jamaican vacation where Elyce spent too much time fighting with her swimming attire, she began sketching and designing bathing suits that have button-down releases along each side to make using the bathroom a breeze. Seeking $50,000 in exchange for 30% equity in Byoot, the Billanys are looking for a Shark that can help them to get traction in the swimsuit market.

    Because the business has just launched and Byoot has only sold $10,000 of product, they hope that with the right strategic investor, they can greatly increase that amount through individualized, interactive, virtual fittings. This allows users to be sure that their suits are designed with their measurements in mind, giving the perfect fit every time. Although the pitch is not compelling enough to make the other Sharks invest, Kendra Scott feels a comradery with Elyce and Nathan and decides to take a risk on investing in Byoot. Kendra offered to loan the Billanys $50,000 which is to be paid back over 3 years with 10% interest. She also would want 5% equity in the company. They agree to partner with Kendra Scott.

    Sienna Sauce Accepts Kendra Scott’s Offer

    Sixteen-year-old, Tyla, and her mother, Monique Simone-Crayton, have gone from homeless to hustling with their signature sauce and marinade, Sienna Sauce. Tyla created her first recipe for Sienna Sauce when she was 8 years old and continues to innovate delicious sauce recipes that impressed the Sharks. Seeking $100,000 in exchange for 15% equity in their company, Monique and Tyla are looking for a Shark who can help them establish a co-packer and begin efficiently manufacturing their product so that they can scale their business and grow sales.

    Kendra Scott is interested in partnering with Sienna Sauce as she has also worked with her mom and scraped by to get her business off the ground, so she feels a connection to Tyla and Monique. She also feels that she can help expand their reach because she can set them up with distributors and shelf space as well as helping the mother-daughter duo to revolutionize their brand. Kendra offers Sienna Sauce $100,000 in exchange for 20% equity. Tyla accepts Kendra’s offer and is excited to partner with a Shark who seems to understand their market and business dynamic.

    If you were a Shark on this episode of Shark Tank, which of these businesses would you have invested in? Do you think the Sharks had any missteps in this episode? Did they miss any opportunities? Start the conversation in the comments below.


    Post a Comment