Last Friday, Erica Barrett walked into Shark Tank to pitch her business “Southern Culture Artisan Foods,” a breakfast lifestyle brand. Her product is a pancake and waffle mix. She uses organic, all natural ingredients. Erica asked the Sharks for $100,000 for 25% equity in her company.
She made $100,000 in sales in the first year. Her gourmet gift packs are available in T.J. Maxx, Nordstrom Whole Foods and QVC. Erica created a brand dedicated to crafting the most versatile and uniquely flavored pancake and waffle mixes. Erica also masterminded a never seen before food item, Bacon Rub.
Kevin offered $100,000 for a $1 royalty which would drop to 50 cents when his investment is repaid. The deal would be contingent on her working with a packaging company, because she is currently manufacturing the product herself. Barbara then jumped in and offered $100,000 for a 40% stake in the company. Erica counter offered for $100,000 for 35%.
In the end, Barbara countered one last time with 38% equity in the company which Erica agreed to. If you or anyone you know has an invention idea and needs help, please contact us at New Product Consulting.