Shark Tank Recap: Lumio, TurboPup, Napwell, Bello Verde, and Hold Your Haunches Update
Empty Lighthouse is a reader-supported site. This article may contain affiliate links to Amazon and other sites. We earn a commission on purchases made through these links.
This week's all new Shark Tank features some innovative new products, and a highly anticipated update from the ladies who brought you "Hold Your Haunches." It's enough to keep us with our noses pressed to the glass.
Lumio
What Is It?
"It's an elegant lighting solution that gives you the freedom to experience beautiful lighting wherever you are," said Max Gunawan, founder and creator of Lumio. It's basically like if a book was a lamp.
It was really quite dazzling when Gunawan opened up, and received a few "ooo's" and "aaah's" from the sharks. It's multifunctional, ambient lighting--which is also super swank. Batteries last for 8 hours, and is rechargeable via micro USB.
They made $1 million last year, greatly surpassing their goal. It was originally priced at $80, but now goes for $65. The ideal goal for pricing is $50.
They are sold at museums around the nation, as well as E-commerce, which counts for 40% of the sales. Gunawan's future vision involves strong branding, and a mini version. The mini version also doubles as a phone charger.
The Ask: $250,000 for 8%
How It Went Down: Robert Herjavec made the first offer at $250,000 for 10%. Kevin O'Leary immediately expressed interest, though said he wanted to do it differently. "He's going to do a royalty deal," Robert Herjavec said. "Shocking, I know."
O'Leary said Gunawan was basically valuing his business at $3.1 million, then asked the question, "What if I valued it at $6 million?" The offer is a $250k for a royalty of $7 per unit until $500k is recouped +4% equity.
Mark Cuban counter offers with $500,000 for 16%, and Lori Greiner offered $250,000 for 10%, and a $250k line of credit. Daymond John offered $750k for 20% stake, and a + $10 million line of credit.
At the last second, Robert modified his offer to $350,000 for 10%, and this move led Gunawan to seal the deal with him.
Napwell
What Is it?
The world's first napping mask.
It'll help you "naptimize!" It functions as rising light does to naturally wake you from your state of sleep, and avoid the dreaded post-nap grog.
You set a timer on the mask, and a dim light grows brighter over ten minutes before your set time to wake up.
The Ask $100,000 for 10%
How It Went Down
Their testing goal was $30,000, and surpassed with a goal of $50K+. They originally funded their product with Kickstarter, and the backers were the first round of testers.
Mark Cuban dropped out, seeing a lack of substantial grounding in marketing.
Kevin O'Leary followed for similar reasons, and Lori dropped out seeing a lack of need for the product.
Overall, the sharks all dropped out because the product is too early in development, and there isn't enough evidence of a market backing.
TurboPup
What Is It?
A "complete K9 meal bar," good for travel and being on the go. The meal bars are Veteran owned, and 100% sourced from American products.
They're made with human grade ingredients, and are 250 calories.
They come in bacon and peanut butter flavors, and owner/founder Kristina's dog Odin flippin' loves them. Kristina stresses the bars are not treats, but act like full meals because they are designed to sustain energy.
The Ask $100,000 for 20%
How It Went Down
The sharks were initially skeptical, but took comfort in Kristina's work to market the TurboPup with outdoor stores. However, this wasn't enough for an investment.
They encouraged Kristina to learn and grow with her product, and assured her that she's taking the right steps.
Daymond John, however, was impressed with Kristina's military background, and took a gamble on her. He stepped in with a surprising, last minute offer of $100,000 for %40. Kristina asked for %35 instead, and John agreed.
Bello Verde
What Is It?
A custom men's clothing retailer founded by Joe Chay. They measure basically, like, every inch of your body so your suit fits literally perfectly.
Customers are encouraged to trust Bello Verde as stylists. A cost of a suit is between $300 and $500. Joe Chay also owns Astor & Black, and all together, is worth over three-quarters of a million dollars.
The Ask$360,000 for 6%
How It Went Down
Kevin was the first to drop out because he had a lack of trust for the company, and Lori admitted she shouldn't be in the men's custom suit business.
Robert also dropped out due to brand confusion. Mark didn't believe the reward was relative to the risk, but Daymond John once again strikes at the end with an offer.
Daymond offered $360,000 for 33%, but owner Chay would never take such a deal. He counter-offered with $360,000 for 8%, and Daymond counter-offers again with 25%.
Chay didn't want to accept such a percentage, believing the long-term value of the company to be much greater. In the end, a deal was unable to be made, and Chay was deemed an idiot.
Update: Hold Your Haunches
"Hold Your Haunches" is the feminine shapewear line ( which functions not unlike Spanx) that are super stylish and wearable. The clothing line makes fashionable leggings, tops, and capris.
Owners Erin and Jenny made a deal with both Barbara Corcoran and Lori Greiner on their episode of Shark Tank, and the two sharks invested a total of $75k for 40% of the business, plus $100k line of credit.
Erin and Jenny made $1.5 million in sales within five months, and were able to move into an office space. They also received an award at the Georgia state fair.