This week’s episode features an idea for gourmet edible cookie dough, organic flavored milk, an app that can produce hands-free panoramic pictures, and an interactive workout system.
New York Giants co-owner and successful film producer, Steve Tisch, appears as a guest investor on the show this week.
Cow Wow Cereal Milk
Chris and Tiffany are first into the tank with their company, “Cow Wow Cereal Milk.” They are seeking a $250,000 investment for a 10 percent stake in their business.
You know when you finish a bowl of cereal, and you’re left with that delicious, sugary flavored milk at the bottom of the bowl? Well Cow Wow Cereal Milk claims to emulate the taste of that milk.
Steve gives them a “B” on the taste, and says it doesn’t taste like his favorite cereal. Daymond John worries about the 170 calories per serving in the small juice box, bringing up the issue of childhood obesity. Lori Greiner doesn’t even like milk, so she goes out. Mark Cuban and Kevin O’Leary worry about the fierce competition from the well-established dairy companies. All Sharks decline to invest, and Chris and Tiffany are left without a deal.
The Cookie Dough Café
Sisters Joan and Julia jump into the tank with their business, “The Cookie Dough Café.” They are seeking a $50,000 investment for a 20 percent stake in their company.
Most brands that sell cookie dough for baking purposes warn consumers not to eat the cookie dough raw. But we do anyway, right? Their product is a safe, edible cookie dough that you can eat without baking! What makes it safe to eat is the fact that it contains no eggs. In a little over a year, they have made $24,000 in sales.
They need the money to purchase equipment to help automate the packaging process. They also hope to gain the Shark’s connections. Daymond loves the product and says the will be a customer, but not an investor. Both he and Mark believe it is too early to invest in the company. Kevin is very critical of the company, saying it is a bad idea and that it is more of a hobby than a business.
Lori and Steve think it’s a great product for stadiums and hotel rooms, and go in together on an offer of $100,000 for 40 percent equity. That’s a lot of dough! The girls counter with an offer of $50,000 for 20 percent. Lori and Steve lower their equity to 30 percent for $100,000, and the girls happily accept – they have a deal!
Update: In Season 4, Tanya made a deal with Daymond with her company “Pro-NRG,” protein-infused water intended for athletes. Before appearing on Shark Tank, her sales were a modest $165,000. Since the show aired a year ago, the company has since earned an impressive $1.5 million. Her growth created 30 jobs for Americans, and her product is also now on sale at every Walgreens in the country. Pro-NRG is projected to eclipse $3 million in sales next year!
Next up is an entrepreneur from Texas, Terry Jones with his company “Nexersys.” Nexersys is essentially a digital punching bag; a boxing system that features 7 punching mitts that you punch to achieve a solid workout. He brings in Olympic boxing medalist Marlen Esparza to demonstrate how the product works.
The Sharks are pleasantly surprised to hear that Nexersys has made $4.2 million in sales over the course of 18 months. However, when the Sharks hear of the $7.5 million debt that the company is in, they are taken aback. Terry has an astounding 60 investors in his company, so he only owns 35 percent of the business.
Steve says it’s a great product, but the company has too much debt. Kevin believes the investors will wait until Terry is unable to pay back the loans, and seize the equity of his company.
A few of the Sharks liked the product, but the debt was just too steep for them to invest. Terry leaves the tank without a deal.
Last into the tank is Bruno with a smartphone app that takes 360 degree panoramic photo, hands free, called “Cycloramic.” The app literally makes the phone SPIN! It uses the phone’s own vibration system to make it spin 360 degrees. Cycloramic currently sells for 99 cents on iTunes, and has 660,000 downloads, earning him an income $175,000. He is seeking $90,000 for 5 percent of his company.
The Sharks are hungry for a share of this company and Lori is first to attack and stir the waters.
She absolutely loves the product, and is first to throw out an offer of $200,000 for 10 percent.
Mark is very heavily involved in technology, and uses his credibility to sell himself to Bruno. While Mark is still talking, Daymond interrupts with an offer of $250,000 for 10 percent.
Then Kevin offers $90,000 for 15 percent royalty. Kevin explains that he was a professional photographer for years, so they have a commonality. Steve wants to go in on Lori’s deal and they offer $250,000 for 10 percent, same as Daymond’s deal.
The Sharks are all thirsty for a deal on this seemingly can’t-miss product.
Mark brings out the big guns and offers $1 million for 30 percent! That’s more than a $3 million evaluation, almost double of what Bruno valued his company
Bruno counters by asking if Mark and Lori would go in on a deal together and lower the equity. They do, and offer $500,000 for a 16.5 percent stake in the company. Bruno, a tough haggler, counters once again to see if Mark and Lori will lower to 15 percent. Mark and Lori agree and Bruno has a deal for his business.
What do you think of the latest ideas that were brought into the tank? Feel free to post thoughts and comments below.