Narrator: Tonight, holiday cheer comes to the Tank...
I love you, Santa.
...and the Grinch is back.
This deal sucks. Okay.
I hate it because it's seasonal.
But if you ask any kid what the holidays are truly all about,
you know what they'd say.
Together: Presents!
So, Sharks, who's ready to really clean up?
Wow, this thing is serious.
We're on the edge of an avalanche of opportunity.
Cuban: Your sales have got to be,
like, up there with Santa Claus.
Yeah, we mortgaged the house.
Damn. You're hot stuff, really.
You guys couldn't have a more perfect background.
Let's "wrap up" this deal.
It's a Christmas miracle!
♪♪
Narrator: First in the Tank is a way
to make the holidays more magical.
♪♪
Sharks, I'm Jonathan Dusing
from the frozen tundra of Minnesota.
I'm seeking a $50,000 investment for 10% of my company.
I can confidently say I know snow.
Where I come from, when it snows,
it can come down like a blizzard.
But for those who don't live in a winter climate,
or simply love to play with snow,
I have the perfect solution with Snow in Seconds.
We bring the magic of snow indoors.
It's easy.
Just take one small scoop of our powder,
add water,
and watch as it instantly grows
into fluffy white snow. Corcoran: Wow.
[ Sharks exclaim indistinctly ]
Snow that looks and feels real, but never melts.
[ Chuckles ] With Snow in Seconds,
you can bring the joy of snow anywhere.
Snow in Seconds is cold to the touch,
safe, and so realistic it's used in movies.
We're on the edge of an avalanche of opportunity.
Who's "yeti" to ride with me in a chair-lift [ready]
up to the peak of profits?
Don't give me the cold shoulder.
Let's make this winter wonderland global
and make every day a snow day. [ Sharks "aww" ]
Corcoran: So nice. Wow.
It falls like snow.
It's a Christmas miracle!
You know, my eighth-grade teacher had dandruff
just like this.
[ Laughs ] Ew.
How did you come up with the idea?
So, we stumbled across this chemical.
It's actually mostly used for industrial use.
About 99% of it is used for agriculture.
They put it in soil so that it holds the water and can grow.
Oh, really?
And when it grows, it grows really quickly,
which is really exciting.
What is it essentially made out of?
It's one chemical. It's called sodium polyacrylate.
You guys want to try it? Which you should.
So, this whole packet will fill up how much?
That packet will make a gallon of snow.
One scoop of snow?
Yeah, one scoop of snow in there...
Okay. ...and then take your water
and pour it up about 80%, 90% of the way.
Oh, wow. There it goes. Whoo!
It's growing. Wow. Oh, that's cool.
The little grains absorb 100 times their size in water...
Wow. ...and you can make
a small amount like this... That is cool.
...or you can make a giant pile and have, like, a huge party
or even, like, a sledding hill.
Greiner: It feels very powdery and soft. Mm-hmm.
Then you feel that it's a little wet.
I'm going to assume that there is
absolutely nothing proprietary about this product.
That is true, but we have tried dozens
of different manufacturers out there.
Most of them turn into, like, a gel,
and they don't grow very fast.
So why can't I go to your manufacturer with Wonder Snow
and just do it myself?
We've been selling it for 15 years,
so we have, like, our own brand.
Oh, you've been selling 15 years.
That could be problematic.
How's that problematic? How so, Daymond?
Well, 'cause he's here after 15 years.
Yeah. [ Chuckles ] Oh, yeah.
But what are your sales in the 15 years?
So, in 15 years, out of our one-stall garage,
with my children and I packaging and shipping every single bag,
we have sold $2 million.
Wow! I didn't expect that.
Oh, well, hey, not that bad. I appreciate that. Good for you. Good for you.
But how much did you sell last year? Yeah.
Last year, we sold about a quarter million, $241,000.
Okay. And how much did you make from that?
$40,000.
Okay. Where do you sell it now?
50% of what we sell is bulk,
and that'll be for, like, movies
and people that are using it in large amounts.
32% we're selling wholesale.
Some of it is white label, actually.
So we can make Mr. Wonder Snow if you want.
We sell 12% on Amazon, and 6% on our website.
And what is the cost to make it,
and what are you selling it for?
Yeah, starting with the smallest size
you see there that makes one gallon,
that sells for $4.99, and it costs us 72 cents to make.
Okay. The large sells for $12.99.
That costs $1.20 to make.
The extra large, that makes 10 gallons of snow.
That sells for $24.99, and that costs $4.20 to make.
Corcoran: Wow. So there's a lot of margin there.
Is there any retail distribution at all?
We were in Kroger and Fred Meyer, about 1,500 stores.
It went great. They reordered a little more the next year.
And then, at that time, I was going through a divorce,
and my business partner was kind of running the company.
And at that point, he had outsourced
the entire production of it to someone else... Oh.
...and we missed the shipment on that third year. Ugh! Painful to hear.
Eventually, they sent it all back.
They didn't even accept it 'cause it was like a month late.
Greiner: 'Cause it came too late, yeah. Yeah, season, yeah.
How did you get into doing this in the first place?
I am an entrepreneur. So, around the same time
I started this company with my business partner,
we also started a sports-technology company.
That is also 15 years old, has about 10 times the revenue.
I have employees, I have major clients.
Why didn't you bring that to the show? [ Laughs ]
What does that do?
We do loyalty programs and digital payments
inside stadiums. That's a full-time job.
Now, that sounds like a real business.
Yeah, well --
Well, Jon, I'm going to tell you what I think.
I think your packaging is great.
Oh, thank you. I think your name is great.
The only problem with it is the fact that it is
so seasonal and so specific.
It's just not broad enough for me.
And for those reasons solely, I'm out.
Well, I appreciate your comments.
Sometimes a deal comes in that I really, really hate,
and this is top of the list for this season.
Okay. I hate it because it's seasonal.
I hate it 'cause the sales are abysmal and irrelevant.
I hate the fact that it distracts you
from a real business.
Why don't you tell him what you really think?
This deal sucks. I'm out.
Alright. [ Laughs ]
Cuban: Jonathan, this is a great business for you
but not investable for me. I'm out.
Okay, I appreciate that.
I see that you have three almost insurmountable problems.
Okay? Oh. Only three?
[ Laughter ]
$40,000 in profits. Yes.
I mean, doesn't get anybody excited.
15-year-old business is always suspicious.
Consistency.
Low profits consistently year after year.
And you're busy, and that's the biggest problem of all.
But I think the business has great upside potential. Yeah.
I have so many holiday businesses.
I have Holiball and Hire Santa, another seasonal business.
So I'll take a flyer on this.
For $50,000, I'll take a third.
Okay.
I was going to give you an offer.
It wasn't going to be as healthy as Barbara's,
so I'm out. Okay.
Okay, well, how about that?
There you go, Jonathan. What do you want to do with that offer?
Barbara, can I get you to go down to 25%?
I don't think so. And you know what?
I can introduce you to all the accounts
that those three hustling girls opened for Holiball.
You could almost ride their gravy train in.
That is a fantastic offer.
I would be happy to accept it.
Cuban: There you go. Thank you.
Happy for that one. Good job. Good job, Jonathan.
We're going to sell like hell.
[ Both laugh ] Thank you, thank you.
You look younger than you seem.
Oh. How about me? Do I look young?
Oh, yeah. Definitely. Good answer.
Jon, the fact that you got a deal is a Christmas miracle.
Thank you, everybody.
Cuban: Alright. Take care. Greiner: Congrats, Jonathan.
Whew! [ Chuckling ] Holy cow.
Barbara's a perfect fit for Snow in Seconds
because she knows how to sell products to consumers,
and she has a history of working with seasonal products,
as she mentioned, so I'm excited to hopefully join that crew
and get Snow in Seconds in, like, stores everywhere.
Barbara, hundreds of dollars for you.
Hundreds of dollars for you, Lori.
Oh, thank you, Kevin.
20 cents for me.
This is a fantastic business, Barbara.
Fantastic. [ Chuckles ]
♪♪
Narrator: Next in the Tank is a gift
that parents will appreciate as much as the kids.
[ Cuban chuckles ]
Oh, no.
Hello, Sharks.
I'm Aurora, and this is my brother-in-law, Steven.
We're from Los Angeles, California.
We're seeking $200,000
for 10% of our company, Pick-Up Bricks.
Pain.
Sharks, we're here to talk about pain.
Pain! Wow.
Pain. Oh, the horror.
The dreaded walk of pain.
The most painful experience a parent can face.
Now, which one of you Sharks is brave enough
to take your shoes off, come up here, and --
Our attorney said no.
Our attorney said no, but, actually,
there's an even more universal pain for parents.
The pain of getting your kids to just pick up their stuff.
It never ends.
And that's why I created...
Together: Pick-Up Bricks.
...the kids toy vacuum that...
Picks up bricks.
...and other little toys.
And let me tell you, Sharks, this thing really sucks.
[ Laughter ]
In a good way.
We made Pick-Up Bricks cordless, durable, easy to use.
It's perfect for kids.
But unlike a normal vacuum, our patented design
separates the dirt and dust from the toys... Corcoran: Ah.
...leaving you with cleaner toys and a cleaner floor.
Keep the dog hair and cookie crumbs out of your toy bin.
The best part is Pick-Up Bricks empowers kids.
It teaches them to clean up after themselves.
Amazing. They don't even realize
that that's what they're doing, because, to them, it's fun.
It's their toy.
Which is why we say...
The bigger the mess, the bigger the fun.
So, Sharks, who's ready to really clean up with...
Pick-Up Bricks?
Sharks, you'll each find your very own Pick-Up Bricks
and a pile of toys to suck up.
Have fun.
Okay. They're trying it.
Whoo!
[ Pick-Up Bricks whirring ]
Wow, this thing is serious.
♪♪
Oh, Mr. Wonderful's winning.
You don't have to clean them all up.
[ Laughter ]
They're having so much fun.
Wow! I'm done. Look. Ah-ha-ha!
Oh!
You know, just picking up the bricks is fun.
This is genius. Yes, exactly. Good to go.
Thank you. It really is smart. It really is.
It is.
How much pain -- cash pain --
does it cost me to buy this thing for?
The retail price is $99.
Okay. That's not awful. That's not bad.
It costs you what to make it?
Our cost is $32.64 landed.
So you're not selling a lot of these in retail?
You're selling them direct, right?
We are selling them direct. Absolutely.
Is there any retail distribution at all?
Not yet. Not yet.
You don't have the margin for that.
We don't. Absolutely. How long have you been selling?
We started the process
of developing the product four years ago,
but we started selling last summer.
So you make about $57 a unit selling it direct-to-consumer.
What does it cost you to get that incremental sale?
Have you found that out yet?
Yes. So, we started off --
Last year, we were at about $26 CPA.
Right now, we're at $11.
-$11? -Wow. That's great.
$11. And we're shooting for --
to get it under $10. Under $10.
So you got to be killing it, then, because you make money
every time you advertise the product, right?
So tell us about your sales.
So, to date, we've sold $348,000.
Yeah, that's not bad.
And most of that was during Christmas?
Yes. Exactly.
The margins are really tight.
So unless you get this down to 12 bucks,
there's no chance for retail.
Well, will it improve for you with quantity? Yes.
So how much does it improve?
So, we're talking to some manufacturers now,
and in one of them we're just under $20 manufacturing cost.
How much have you put into this so far?
Well, we've invested $495,000 to date.
Wow. What do you need the money for?
Basically for inventory. It's expensive.
We're getting set up for the holidays.
75% of our sales
come at the end of the year
during the holidays.
Corcoran: Do you have credit lines?
No. We don't have credit lines right now, no,
but we also don't have any debt, either.
It makes sense that you found a solution to a pain point.
I totally get that.
But if I'm going to give you $200,000,
I want a 10X on my investment.
That's the nature of "Shark Tank."
I want 10 times, 'cause you're not a company, you're a product.
There's nothing wrong with that.
And if it's a hit, maybe that happens.
It means you have to sell this business for $20 million,
and I have to wait a very long time.
There's not enough margin here
to actually help me get back my capital
in the long journey it's going to take
to get you to sell this thing for 20 million bucks.
And I grew up in the toy space. It ain't easy.
Guys, I'm out.
Okay. Thank you.
Where do you want to take it next?
How big do you think it can be?
So, the plan is, next year, we will start international.
We'll start with the U.K. and Germany.
And then, over the next year,
and maybe with the help of a Shark,
the expertise, we'll get that manufacturing cost down
to where there's margin that we can go to retail.
When you dream, what do you dream
the sales will be over the next three years?
I think, in three years,
we dream about getting it to up to a million units.
So $100 million in sales, basically. Yeah.
So, first of all, I love this for so many reasons,
but I think that the manufacturing
is going to be your pain point
'cause you have to constantly raise.
I think this is something where
it's a fusion of a license,
where you get somebody to make the goods as a license,
you get to sell it online direct,
and they do all the big-box stores and all that
because they're already in there.
We're not averse to it. Okay.
I'll offer you $200,000 for 20%.
Let me throw something in here.
I think you have all the makings of a hugely successful business
based on one product, which is not easy to do, right?
So, I think what you really need is just cash.
So I'm going to give you a $400,000 credit line
for 20% of your business.
Period. End of story.
And help you in any way I can.
You're going to give them a predatory credit line?
Not a predatory. At 20%?
No, whatever the bank lends to me, at the cheapest rate in town.
Well, while you're -- See what other offers you have here,
but you have that as a fallback.
I think it's super clever. I think Daymond was right.
So I'm going to also be offering the same,
the $200,000 for 20%.
And if you needed money for inventory,
I would be very open to it.
I'm the only Shark up here right now, at the moment,
with a 7-year-old, so I'm stepping on these things.
So you get it. You got three offers.
I got a 13-year-old. It's close enough.
Wait, what are you doing, Mark?
So, I'm just trying to get a good grasp on it.
Steven: So, our response on the -- the offers
is that they're -- they're great.
Because this is, you know, closely held, family,
we put a lot of money into it,
holding on to equity is pretty important to us.
And that's why we came in at 10%. Okay, that answers the question, yeah.
O'Leary: So you don't like 20%? We don't like 20%.
Okay, Mark, what are you going to do?
I'll give you the 200K for 12%.
♪♪
So that's my offer. Okay.
Listen, you got four offers.
What are you going to do?
You can counter. You're scaring me, 'cause you're even thinking
about what that chump just offered you?
Why wouldn't you take that deal?
Well, I'll make it a little more interesting.
♪♪
Narrator: One Shark is out, but Steve and Aurora
have four offers on the table for their vacuum for toys,
Pick-Up Bricks.
Well, I'll make it a little more interesting.
I like when I see a product
that has potential to grow the brand
and have more iterations, like Scrub Daddy.
You know, we started with 1, and we're like 64 SKUs
and around the world, and we're all international.
I am going to go to 15%. I think I'm worth it. O'Leary: Oh, okay.
And, you know, I want to be in it to win it.
And I feel like that's right.
Okay, Daymond, you going to adjust your offer at all?
You know what? That's fine. I'll go to 15%.
I'm not going to go to 12%... Corcoran: Wow.
...but I will match Lori's $200,000 for 15%.
Daymond, pain. Pain. You know.
John: I know. Guys, and I will tell you,
you don't want extensions of your product line for awhile.
Some point in time --
Greiner: Well, I didn't say it was immediate.
I just said that it's there. Okay, guys, let them decide.
Let them decide. The amazing thing is,
what you would add to it would be incredible,
what you would add to it would also take it
where we want to go.
I don't know if there's a way for you to...
There's just not enough equity there.
Would you be able to go
if you were to split it 7.5% each?
Corcoran: Wow. Interesting.
Cuban: So that would get us to 15%. Yeah.
And I know you don't want to go to 20%.
If you got up to 18%, 9% each,
then I think we could probably do it together.
O'Leary: 9% and 9%, 18%.
Yeah, that's -- we're -- 15% was the biggest stretch for us. 8% and 8%?
But you're getting two Sharks.
Okay, we're going to confer here for a second.
It is. It is.
No.
Can I ask one more time?
Alright, I'm going to ask one more time,
but don't get mad at me.
Is there any chance you guys would do it for 16% split?
♪♪
Sure.
Alright. Cuban: There you go.
We've got a deal. Aah!
Corcoran: Great that you asked.
Congratulations. This is so exciting.
Watch your feet. [ Chuckles ] Thank you.
Cuban: You've done such a great job. It's great.
Oh, my gosh. Congrats. Congrats.
Have a great day. Thank you.
Ooh. Ah. Ah. Oh, my God.
You did it. You did it.
No, you. We did it.
Okay, we did it.
Aurora: Steve and I have been working on this for four years,
and it's such a validation of all our hard work.
So I thought I'd ask one more time.
And they said yes.
I learned that from my kids.
Just keep asking until they say yes.
Narrator: In "Shark Tank" seasons past,
Barbara Corcoran invested in two holiday-themed businesses,
Holiball and Hire Santa.
Let's see what they're up to now.
Corcoran: I invested in Holiball and Hire Santa
because I love the people.
The minute I put my money
into holiday-themed businesses, I'm feeling happy.
Man: Come on up here. Holiball and Hire Santa
are coming together to have a holiday extravaganza.
Hall: We're here at the historic Grand Galvez Hotel.
Barbara's connected us with Hire Santa
to throw a holiday party.
Couch: All of our guests are bringing presents
to donate to those less fortunate.
Allen: And together, we've worked to make this
a magical night full of love and cheer.
Oh, my gosh, thank you so much.
Corcoran: What I loved about the Holiball girls
is they have tremendous energy, and on top of that,
they're three great salespeople, which is essential.
Hall: When we came into the Tank,
we had $117,000 in sales.
Just three years later, we're at $14 million in sales.
When it started, it was just the three of us.
Now, we're working with a team of 12.
Moore: We've developed a new product line,
including our MINIS,
and they deflate,
so you can put your whole tree
into one small storage box.
Allen: After today, you're going to be professionals
at delivering the love and joy of Christmas on days
when the real Santa can't be here himself.
All: Ho-ho-ho-ho!
Corcoran: Mitch of Hire Santa is the hardest-working guy
I've ever dealt with.
He's just a phenomenal entrepreneur.
Allen: When we first appeared on "Shark Tank,"
we had done less than $700,000 lifetime.
That's over 10 years.
Since then, we've done over $15 million in sales.
We've sent Santa Claus entertainers to all 50 states,
but not just the U.S. -- Canada, Mexico,
the Caribbean, China, even the Middle East.
And we're working with really great clients
like the Ritz-Carlton, the NFL, NBA teams.
Anyone who needs Santa to come to a home office
or retail establishment, Hire Santa is there.
Now, get out there and make this the best holiday season ever.
All: Ho-ho-ho! [ Cheering ]
You've been so, so generous with your hearts
and your gift-giving.
Thank you, and happy holidays.
Corcoran: There's nothing better than people
acting as a family to celebrate the holidays.
They're coming together, they're helping each other,
and they're creating a great event for people to come
and support their favorite charity.
Cheers.
These companies are team players,
and I would suggest find a teammate
if you're going to build a big business.
Together: Happy holidays!
♪♪
Narrator: Next up is a company seeking to be festive
and inclusive.
♪♪
Hi, Sharks. I'm Jasmine Hudson from Cincinnati, Ohio.
And I'm J'Aaron Merchant from the U.S. Virgin Islands.
And I'm Madia Willis,
a Liberian American from P.G. County, Maryland.
And we are seeking $250,000 for 5% equity in our company.
Sharks, the true meaning of the holidays
is spending time with the ones you love.
But if you ask any kid what the holidays are truly all about,
you know what they'd say.
Together: Presents!
Who doesn't love opening a meticulously wrapped gift
from under the Christmas tree?
But for many Black children,
the festive images of families in holiday sweaters
and of Santa delivering presents with his elves
don't reflect their experience or family.
That's right. Black people are visually underrepresented
in seasonal products.
And did you know that Black Americans spend 15% more
than the average during the holiday season?
That's why we created...
Together: Black Paper Party!
Culturally relevant seasonal products
that celebrate Black families
and spread joy during the holidays.
We make wrapping paper, ornaments,
gift bags, and decor.
We have Papa and Nana Klaus, the Klaus babies,
and, of course, Aunt Holly, who is single all the way
and ready to jingle all the way.
Along with a host of angels and gnomies,
because gnomies are our homies. Get it?
[ Laughter ]
So, Sharks, join the Black Paper Party,
and let's "wrap up" this deal.
Good job. Alright.
Thank you. Sharks, in front of you,
you have samples of our stockings, two wrapping papers,
our signature mug, and an ornament.
You know, I didn't know Santa Claus was Black.
I swear to God. Listen, I'm telling you.
O'Leary: How many SKUs do you have?
'Cause you've got paper, you've got the ornaments.
Overall, we have about 200 SKUs.
That's including our direct-to-consumer
and our licensed products.
So who designs them?
So, I design all the characters
that you see in the Black Paper Party universe.
And then Madia takes those characters
and creates all these amazing patterns. Cuban: Good for you.
[ Sharks speaking indistinctly ] So, yeah, all our creative is done in-house.
You sell in retail? Willis: Yes.
We'll be in six retailers this Christmas,
ranging from Macy's, Target, Walmart,
Family Dollar, and Dollar General.
And how many stores in total will you be in?
Over 6,000 points of distribution.
-Wow. -Whoa, ladies.
So your sales have got to be, like, up there with Santa Claus.
Rising sales. Yeah, we have some sales.
Yeah, well, tell us about your sales.
Sure. In 2020, we did about $44,000.
That's prior to us going into retail.
2021 -- $274,000.
2022 -- $844,000. Wow.
And this year, we're on track to do $1.1 million.
-Alright. -That's fantastic.
Wow. Excellent, excellent. That is really amazing.
Tell me your background.
Um -- Yes. So, just recently, I did pre-visual development
for Disney Junior's "The Little Mermaid."
Wow! Did you?
So you're quite the artist.
Willis: Yes, she is quite the artist.
Jasmine and myself come from a retail background.
I was a textile designer at Target for many years.
I was also a product development
and sourcing manager at Walmart.
Wow. Excellent. So design is truly my passion,
and representation is also something that ties
our whole career backgrounds together, as well.
Yeah, and then, for me, my entire career was at Walmart.
So, I started as an associate merchant with bakeware,
and then I went on to be a merchandise financial planner.
So I had pretty much all of home decor,
which was about $2.3 billion in spend. Greiner: Wow.
So, can I go back to 2022 and get into this $844,000? Yeah.
That's a pretty good number. Impressive.
Did you make money on that?
We did. So, that year was a 53% gross margin.
We made $158,000 net,
and that was about 14% of sales.
Did you pay yourselves anything? Is that cash profit?
That is cash prof-- That's profit.
And do you pay yourselves salaries?
Did you pay yourselves anything?
We do pay ourselves. We pay ourselves now.
So that's after you paid yourselves.
Yes, sir. Yes.
Good for you. Okay, and this year, what do you think you'll do
on the $1.1 million?
Hudson: On the 1.1, we'll make $150,000.
The gross margin percent is 65.
So, this year, 57% of our sales are going to come
from wholesale,
16% direct-to-consumer,
27% licensed.
What do you sell a roll of paper for direct-to-consumer?
What's it cost you to make?
Yep, so that is $10, and $2.33 to make.
And how's that compared to other paper?
So, we're comparable in the market.
So, is there a plan to be not as seasonal?
Willis: Yes. So glad you asked.
We are actually looking forward
to a Black History Month program. Excellent, yeah.
We'll have a Valentine's Day program,
Developing into that. Weddings, showers, graduations.
Yeah. And we are super excited,
actually, to launch our party collection,
which will be everyday birthday celebrations,
which we believe are
the second-largest market after Christmas.
Okay, let me just jump in with one thing, 'cause I'm curious.
I mean, you guys couldn't have a more perfect background
than to be doing what you're doing.
So, why do you need a Shark? What do you need from a Shark?
We really would like to scale our e-commerce business.
We would like to scale our marketing strategy.
And also to drive sales in stores, as well.
Exactly. Right, because, guys,
it sounds like you might not be making money in stores.
We actually can't take on the business...
Right. ...that we could.
Our retail business is limited by how many accounts
we can manage.
Mark, there are three of us,
and we do our own sales and back end.
But the interest in retail,
in addition to our licensing business, is there.
We literally cannot -- We are turning down the ability
to supply retailers who are interested in us. O'Leary: So, guys, let me take a stab at it, okay?
The good news is, this category is far larger
than what you're selling... Indeed.
...and you've found a unique niche,
and you're very credible to serve it.
The way the big people play in this space,
the big players, they use distributors.
So, they bring the lines out,
and they go out and put it everywhere,
and their sales are 100X what you're doing.
All seasonal, all holiday. Mm-hmm.
I don't like your distribution strategy, doing it yourself.
I would have partnered with one of these behemoths,
and there's three of them.
What you're doing here is too small.
You should be doing way more than a million bucks in sales.
You have the best part of it.
You have the I.P.
You got the hard part done, yeah.
You've got the hard part done.
You just have not got distribution nailed.
Willis: We just -- I'm sorry, guys. I'm out.
♪♪
So, you are asking for a $5 million valuation...
We are. ...with $1.1 million in sales.
That's a pretty tough number.
I'm trying to find where I have room.
While you're looking for room, I'd like to make an offer.
I think you guys are amazing.
Top to bottom, everything you said is perfect.
Your background, your enthusiasm, your product line.
I'll make you an offer of $250,000,
but I'd like 15% of the business.
O'Leary: 15%, Barbara? 15%. That's reasonable.
15%. It's not bad. Actually, it's not bad.
I mean, listen, I look at you guys,
and all I think -- I think about market,
product, people.
On people, you are check, check, check, check,
A-plus-plus-plus.
You have fabulous backgrounds, perfect for this business,
and you guys are bosses.
Like, that is clear.
As a woman in business, I really admire
what you've done.
I know it's not easy.
Truthfully, for me, I don't like seasonal items.
I kind of wince away from them because it's just not me.
Barbara actually has done a lot of good seasonal deals...
Mm-hmm. ...and she threw in a good offer,
and I think she'd be a really good partner for you.
Do you know, I just recruited Mark as my partner.
So, for that reason, I'm out.
Thank you, Lori. Thank you, Lori.
We're not going to miss her. What's the new deal?
Okay, Mark is going to come in with me,
and our offer's going to be $250,000 for 20%
because we're each going to be a 10% partner.
Cuban: But you get the two of us together.
Do you want to give up more equity and take two partners,
or would you rather just have one partner with less --
Don't put that idea in their head. Well, why can't -- If it's fair.
We would love to have two Sharks. We would.
Would you consider $450,000...
Y Chihuahua, caramba!
...for 18%?
No. Definitely not.
Like I said, you're savvy.
Barbara, would you consider $250,000
for 10% equity in our company?
And leave my poor guy Mark out?
'Course I will.
[ Cheers and applause ]
I'm sorry, Mark.
That's okay, Barbara.
[ Laughter ]
Oh, wow! Thank you!
Let me give him my stocking. Good job.
Yay! Barbara! Bring it in.
-And we even, like, match. -Yay!
Congratulations, guys. Well done.
[ Laughter ]
♪♪
Hudson: Barbara's absolutely amazing.
She has a history of supporting diverse women,
strong entrepreneurs,
and she is a strong-woman entrepreneur herself.
We would love -- We can't express
how excited we are to partner with her.
[ Ducks quacking ]
Narrator: Next in the Tank are unexpected feathered guests.
[ Laughs ]
O'Leary: You know what this is now, guys?
It's the "Duck Tank."
[ Laughter ]
Cuban: Duck-a-palooza.
Oh, my gosh! Tipsy Elves!
-Hey, Robert. -Good to see you, Robert.
Surprised to see you here.
Welcome back to "Shark Tank."
So, Sharks, it's been exactly 10 years
since being in the Tank.
What started as ugly Christmas sweaters has grown
into countless exciting collections and products.
After being inspired
by Illumination's new movie "Migration,"
we are confident that the next big trend
in ugly Christmas sweaters is...
Ducks. ...ducks.
Wow! [ Laughter ]
Corcoran: Wow. Tipsy Elves could be first in the duck space.
The future of holiday fashion.
Duck sweaters for the whole family.
A frock for your flock.
One for mom, the natural leader.
One for the overly cautious father.
And some for your youngest, most adorable ducklings.
Who's along for the flight with us?
[ Herjavec chuckles ] The characters are so cute,
but I'm not sure about the sweater.
♪♪
[ Chuckles ] I'm seeing green ducks,
but I'm thinking golden goose.
What a "fowl" idea, guys. I'm sorry.
Listen, guys, I love the duck theme.
These could be great for the entire family.
I'm willing to take a flyer here,
but I have a contingency this time.
My twins and I need to go see "Migration,"
and if they love it and I love it, I'm in.
Do we have a deal?
We have a deal. We know they'll love it.
It's one of the best new movies this year.
Whoo!
[ Laughter and applause ]
Great job!
Narrator: Flock to see "Migration,"
flying into theaters this Christmas.
Rated PG. Tickets on sale now.
♪♪
Narrator: Next up is a mom hoping to start a new holiday tradition.
♪♪
Hi, Sharks. My name's Miranda Vaughn,
and I'm from Portland, Oregon.
I'm seeking $200,000 in exchange for 10% equity of my company.
'Twas the month before Christmas when I received the worst gift,
the useless gingerbread-house decorating kit.
Let's face it, there're no fun. We all know why they suck.
Impossible to assemble.
The children all hate the stale, cardboard-y taste.
What a waste.
So I decided to create a new Christmas tradition,
The Tomte Cake,
a 3-D gingerbread-house baking pan
ready to create beautiful and delicious
no-assembly-required gingerbread houses
fresh out of the oven,
ready for your kids to decorate.
But The Tomte Cake is really so much more than that.
Each set comes with an original children's story
I wrote and illustrated about a pocket-sized gnome named Tomte
who accidentally falls into the cake batter
and gets baked into a gingerbread-house cake.
But don't worry, this is a children's story,
so Tomte makes it out happy and healthy,
and the story goes that whoever finds Tomte in their dessert
will have good luck for the rest of the Christmas season.
Each three-piece set comes with everything your family needs
to re-create the storyline of the book
and begin a brand-new Christmas tradition.
Sharks, it's about time we gave gingerbread-house decorating
an upgrade.
Who wants to have a lucky Christmas
with The Tomte Cake?
Each one of you has a Tomte Cake gingerbread house
in front of you. You're welcome to eat it.
Let's find out who has the lucky Tomte.
Oh! Corcoran: Wow.
Very cute.
It's Tome...?
Vaughn: Tomte is a Swedish gnome.
Very tasty. Good.
Cuban: Not bad. Not bad at all.
You said one of us have a Tomte in here?
You should, yeah.
If it's not the Tomte I'm hitting, something's wrong.
Oh, Mark's the lucky one.
Greiner: Ohh. He's had enough luck already.
He didn't need that. Wah-wah-wah!
I'm out. [ Laughs ]
How'd you come up with this idea?
I was sitting at the dining table with my two kids.
They were 4 and 6 at the time.
And we could not, for the life of us,
get those things to stay together.
And I ended up using a hot glue gun on his,
and he's crying 'cause now he can't eat it.
And I was like, "There has to be a better way."
I thought, "Why don't we just have a nice cake
that we don't have to assemble?"
And I thought it'd be a lot more fun
if there was a story to go with it.
And what is included in your little packet?
So, each set comes with the baking pan
and the gnome and the book.
And what do you sell it for, and where do you sell it?
I sell it online.
It's $60 per set.
That's pretty pricey, do you think?
What's it cost you to make?
$15 a set.
And so tell us about the company, the sales.
I launched October 7th of last year.
I ended up selling out all 5,000 sets
that I was able to have in my inventory.
Really? And how quick?
In 35 days. Wow.
That's great. Congrats. And how did you get the customers?
I had a static-graphic Facebook ad that I ran.
It just said "A new Christmas tradition,"
and people just clicked the link.
You said 5,000 units.
I don't know if you discounted them.
What was the dollar amount?
Right. I did $200,000 in that 35-day period when I ran the ad.
And how much did the ad cost?
I believe it was about $40,000.
That's not bad.
That's a profitable return on ad spend.
Did you have a history in online?
No, not at all. I've been a stay-at-home mom
for the last eight years and homeschooled my kids.
What is your background?
Well, one interesting part that has sort of made me
a little Christmas-obsessed
is I left a religious cult that I was raised in.
We didn't celebrate holidays growing up.
We didn't celebrate birthdays, Christmas,
Mother's Day, Father's Day, and so, after I left,
I was able to experience Christmas for the first time.
I just really was so amazed.
I was blown away at how magical it is,
and it's just so beautiful.
And so, when I had my own kids,
I wanted to just really immerse them in, like,
all of the traditions.
I mean, I see this being something
that could be the next Elf on the Shelf.
It could blow up into a tradition
that everyone wants to take part in.
The book has had rave reviews,
and kids absolutely love it.
It's a great gift item.
It is such a good gift.
Did you write this book yourself?
I wrote it and illustrated it.
You're hot stuff, really. You've done it all.
John: You know, I'm curious.
I want to know what your expectations are
on the participation of the Shark, besides money.
I want mentorship. I am really creative.
I'd love to come up with another concept
that branches off of this.
I'd love more of a product line.
I am not a businessperson at heart.
Yeah, you could've fooled us. You've fooled us.
Vaughn: Thank you. And how much have you personally invested?
$150,000, roughly.
Ooh, that's a lot. Where'd you get that from?
Yeah, we mortgaged the house... Damn.
...took a loan against the car. O'Leary: Whoa.
You and your partner, husband?
It's all been paid back. Yeah.
Look, I think it's so simple, so eloquent, such an easy story.
I get it. I'd do the deal for 25%,
and the way it works is
when you take out a dollar, I get 25 cents.
And you don't have to take out a dollar,
but at some point, you have to pay yourself,
and I want to get paid, too.
So, what do you need the money for?
I want to be able to bulk up my inventory
and financing purchase orders.
If I were to get a hard purchase order
and make a deal with anyone --
You don't want to sell in retail, do you?
I do.
Who's asked you to go to retail?
My heart.
Oh, you want to go to... [ Laughs ] I love that.
You want to go to retail when you've got a hit online? Oh, I know, but --
That's kind of taken a little air out for me.
She's on a mission, Kevin.
This is not a company. It's a mission.
She says she wants it to be like Elf on the Shelf.
Vaughn: That's the thing. It's not just selling a cake pan.
You're selling a tradition.
Eventually, if you do well enough
and you start to build the name and the legend and the brand,
I see it at Valentine's Day with a cute Valentine's house
with a hidden heart or something inside. Yes.
I see it year round, but a fun tradition
where the kids are waiting to find the thing
and they get the good luck for that holiday.
Or birthdays and just have it be totally evergreen. Birthdays. All of that.
So, here's my offer.
$200,000, but 33.33%.
I know it's steep, but, you know, it takes work.
Okay, thank you.
Cuban: And I'll clear the deck some.
That's better than I could possibly do.
I'm out. Okay, thank you.
I think what you're really looking for
is a team of mentorship, because there's nothing better
than having a team of people surrounding you.
I get around my entrepreneurs, not only one-on-one with them,
but everyone in my office
knows everything about their business.
We constantly have brainstorming. Mm-hmm.
So I would love to make you an offer,
and it's going to be a little less greedy
than Mr. Wonderful here, and a lot less greedy... I'm not even the greediest.
...than Mrs. Not So Wonderful next to him, okay? I think "The Greedette."
But I'm going to offer you $200,000 for 20%.
But what I guarantee is you will be focused,
and you will find all the right answers.
And you're a phenomenal businessperson, by the way.
Don't ever say you're not again.
John: Barbara, would you let me come in on that?
If we do it for 25% -- We don't need you. I got so many --
Come on, Barbara, 25%. I come in with it.
I help with the publishing side... No, it's too greedy. No.
...and all that good stuff. No, no, no. No, thank you. I don't need you.
O'Leary: So, you have three offers.
Lori, would you want to get it into retail?
Is that something that you think is a good idea?
I am a believer that we do a master plan
and then we strategically go into retail.
Lori, you let me in on your deal?
Well, I don't really think I need another Shark.
I love you... I know, I know.
...but I don't think I need another Shark. I know, but --
This one is better alone.
Alright, I'll give you $200,000, but 25%.
Thank you, Daymond.
Well, that's four offers.
What do you want to do?
♪♪
Narrator: One Shark is out.
Miranda has four offers on the table
for her gingerbread-cake mold set, The Tomte Cake.
What do you want to do?
Barbara, how would you want to approach it?
I have the most important ingredient --
great people.
I have so many holiday businesses.
I never meant to get into that business,
but I have so many.
They cross-fertilize everything they do.
It sounds amazing. O'Leary: Well, it sounds great.
but I'll tell you what my entrepreneurs do with my team.
We make money.
If that's why you're here, I'm your guy.
You may want to go in a different direction --
I know that you each have something really special to bring.
What do you want to do?
Lori, would you do 20%?
Corcoran: That's what I offered you,
but you'd prefer working with Lori?
No, I'm not saying that. I just want --
I would do it for 25%, but I can't go lower.
You will not be disappointed.
Would you do 22%?
I'll do 25%. You want me to be in it.
I want to make a good decision also.
But you'll be making so much money.
Okay, just to move things along,
I'm going to change my offer.
$200,000 for 15%. Just to make it interesting.
-Mmm. -Wow.
'Cause I'm really getting frustrated watching this. Oh, my gosh.
Just to put a little pressure.
You know, by the way, every one of us
have the same teams that work on all that.
No, you don't. It's the quality of the people.
Miranda, stick to your guns. I may be helping you here.
I know. You have 6. I have 30.
Stick to your guns. You know what you want.
Either these Sharks are coming down
or you're going to go with me.
I'll go 24%. You have to make a decision.
20%. Do 20%, Lori!
Well, I went down a little. I know you did.
I mean, I feel I'm worth it, but I want to show you --
Alright. What are you going to do? I know. That's really diff--
Time for a decision. It's time for a decision.
♪♪
Um, I'm pretty interested
in working with Kevin at 15%.
Wow! Whoa! Cuban: Hello!
Egg on our face. Swoop!
I've never seen a Mr. Wonderful swoop before.
Wow. What a surprise.
Greiner: You want to know something? Wow!
Corcoran: It was all about money.
Stay focused. Alright. I will. Thank you.
Congratulations. John: Congratulations.
♪♪
Vaughn: I was really wanting to work with Lori
because I've heard such great things,
but I know that Kevin's an incredible businessman,
and he gave me a really fantastic offer.
It was the Grinch that stole Christmas.
Cuban: Swoop! Greiner: No, honestly, Kevin --
Corcoran: Wow. That is the first Mr. Wonderful swoop
in the history of "Shark Tank."
Wow. I cannot believe that, Kevin.
All that mattered was the percentage. O'Leary: Wait for it.
You know what he's saying?
"Lori's so greedy. She's so greedy."
[ Laughter ]
"Daddy, Daddy, don't let me near her.
She's so greedy."
[ Laughter ]
♪♪
-- Captions by VITAC --
♪♪