My name is James Martin. I live in beautiful Oregon Wine Country, and my product is Copa [Music] Deino. I come from a family of cherry farmers, and my family has lived here for seven generations. I worked in the world of technology and then moved back to the

small community to try to raise a family on the farm and became passionate about wine, which is an agricultural product, and developed my own winery. Copa will make wine easier and more accessible for people to enjoy it. Our technology allows winemakers to be able to package wine in a way that

they've never been able to before. I know that Copa Deino is going to be so successful that I hope to be the first entrepreneur to actually come back and be a shark. [Music] My name is James Martin. I'm CEO and founder of Copa Deino. I'm here today

looking for an investment of $600,000 for 20% of my company. I love wine, and it's my favorite way to celebrate life with my family and friends. And some of the greatest places to celebrate life are in the outdoors or at events. Unfortunately, that's when

wine gets very complicated. Just to have a simple single glass of wine, you have to have wine bottles, corkscrews, and fragile wine glasses. That's why I created Copa Deino, America's first premium wine by the glass. Just open and enjoy! Cheers! Customers of wine love my product, but

for businesses, this is the game changer. For a stadium that wants to offer a premium wine by the glass product, this product is the only vessel that allows you to have premium wine by the glass. I have the largest retailers and venues in the country begging to serve my product.

I just need your help to create more inventory. This is the most revolutionary wine package created in the last 20 years. Are you selling us on a packaging system, or are you telling me you want to enter the very competitive wine business? I have a winery, and my winery currently we make

about 2,500 cases of wine a year, and we're now currently in market with my product. In the first six months, we've sold product into 26 states with the largest distributors in the country. So you grow your own Chardonnay grapes in Cameron, SEO? I buy fruit from

my friends that have vineyards. Cheers! Cheers! Toast to all of you. Oops! So was that the easiest glass of wine you've ever served yourself? It's a little hard to take off. No kidding, James. Am I buying a wine label here? Am I buying a packaging

system? We actually have three different revenue streams. We have the ability to license and and collect royalties, we have the ability to bottle for an industry, and we have the ability to go ahead and launch our own. Which streams are bringing in sales today at first? Right now, our own consumer brand Copa

de vino, and what are sales in that today? Well, we've been in the market for five months, and we've had a half million dollars of sales. We've had over $800,000 worth of orders. Wow, that's quick! So people are buying your wine because it's

easy to carry. Absolutely. And they're also getting, when they're drinking my product, they're also getting a... Don't come and tell me this is premium wine. It's not. It's just industrial wine. Yeah, but you're a wine snob. Let's be, so what?

to me I wouldn't buy this wine, that's just me. You're going after a mass market, I think the packaging is the play, right? How long does it stay fresh? We're good for a year. The challenge with anytime that you reduce it down to a small

amount is that the shelf life is very, very short, usually 30 days. You're getting a year out of it. Have you patented this packaging? Absolutely, not only did we create a way to atmospherically package liquid, we've created a way that when alcohol

volatilizes under heat or pressure it won't blow the seal. We're talking about the top laboratories in the in the world that have worked on this project. What are you selling it to? All the Kroger chains, Ralph's, 7-Eleven, um we're in discussions

with them. Why are we even in the wine business? Why aren't we licensing this to all the wineries? Why aren't we going to Mavi and every else and saying buy this? We are, well, right now we're working on projects with two of the nine largest

wine companies in in the world. Yeah, how much money are going to make off those deals? Estimates next year is about $3 to $5 million of sales of sales. Now I have a different question. Why do we even need to be in the packaging business at all?

Why is this not a patent asset that we go and market to the largest packaging companies on Earth? You know the wine industry right now needs companies like mine to service them for these niche needs. They don't want to invest into equipment and have to learn especially

This process, this is an art. This is not, this is a proof of concept, is what you're saying. They want to know it works, they because they've seen it fail so many times. So this is their, his way of showing that it works. Listen, there's a

belief: Pioneers get slaughtered and settlers prosper. With that said, you're just too early for me. I'm out. James, is there a way to take the patent out of Copa deina, theen? I really like your patent. Can we pull the two apart? Can we separate the

licensing IP, for clarity IP, the intellectual property IP, as a separate entity and leave you with the wine business? We can. So if you can come back to me and say, Mark, here's how I value the patent intellectual property, here's how much cash I'd like, and here's how

much stock I'm willing to offer, MH, I'm wide open to that, and then you can own and run with your, your wi company. Mhm. And build as big a brand as you like. Mark, you, you have, you're your attendance in your stadiums every year is rising. Oh

no, it's not lost to me that I could resell these, absolutely not lost. I, if you made a few calls, how many stadiums would this product be sold? Not questioning that at all. I don't want to be in the commission sales business. Yeah, let's get focused on that so that at

least I can understand, if I gave you a check for $600,000, how much of the IP company and bottler I could own? How much is that? How much are you willing to sell me for $600,000? 20%? Not enough. You've already devalued the brand.

to to worth this much we didn't devalue to zero at all or a negative no not at all they just said they're not interested said it's not worth anything we but I think for for me I'm not going to try to talk you into splitting one from the other

and my gut feel is it's not the direction you want to do today I'm not a wine guy I don't want to build the brand [Music] so I'm out for that reason James I don't think I can bring anything to the table in

this I'm out the real value in all of this is the IP because if you really own it this category could explode and you will make something off every time somebody rips the top off one of these plastic or glass that's a business my friend

Absolutely you get rich yep now can you focus on that and tell me how much of that you'd sell me for $600,000 three sharks are out Kevin isn't interested in the brand Copa de vino but he is interested in the patent for

the packaging can you focus on that and tell me how much of that you'd sell me for $600,000 the reality of what you're asking is some of the competitive advantages that I have as a brand and as a bottler I'm going to be offering and giving away to

another entity and currently I'm not ready to do that I feel a huge opportunity being lost here I understand business I understand numbers I've run the numbers the amount of money I'll make on the IP side is far smaller than the great amount of money that I'll make on the

bottling site really absolutely isolate the IP, all right? Y'all buy 51% of it for $600,000. I'll take control of that and I'll take my chances in terms of licensing this to everybody in the industry. I'll worry about your darkest

fear of not making any money. I'll still sleep at night, don't worry. And and then you can run the brand, you can run the bottling, but I will license this to them, but every time that happens you'll be getting 49% of what I bring home every

month. Sure, the opportunity is greater than that. The opportunity is far greater than that. This deal is far better than what I would offer. Reason being, you can take the $600,000 and use it as you please and accomplish everything you want to accomplish on the other end and invest

in that, however you want to invest and get all the upside. I would never do a deal like that. So for that reason, I'm out. I I honestly think that if I could explain to you guys a little clearer, any stop selling, James, you got to stop

selling. I'm a dream come true for [Music] you do. I believe this has a great opportunity. Absolutely, have I put over a million dollars of my own money into this? I have. And is that worth going ahead and selling at this point, what we've what we've created off to somebody

else to control that portion of it? That's the special sauce. We all know that. Why give away your special sauce when you can have it integrated into the other aspects of your business that right now are successful? I'm working on on on right now contracts of over 15

to 20 million on private label projects with 7-Eleven, with Target, with some of the biggest wine companies in the world. Will he get an answer at any point? Look, James, the answer is no. Well, then counter me. What do you want for 51%? $3 million? Forget it. Not a

chance. James, listen to me. I am going to go buy a $1,000 bottle of wine tonight and I'm going to drink it because I'm weeping for the opportunity lost. It's the only way I can feel better about it, and then I'll never remember it again.

And I won't care because there's a million opportunities that are going to come to me tomorrow. This was your moment, M. You turned around, it's gone. You look to give for a second, James. Oh really? Did Cheers. Cheers. Cheers. Thank you guys. The guy needed me to get focused on

what really matters. You could have made, look, you could have made money on that side of it, but he had a grand slam. He didn't know it. I forget who he is, I don't care now. It's over. He's a dead man walking, just another deal Kevin totally

missed the mark. The, the value in our product is the brand. We're the first to do wine by the glass. It's a huge opportunity and a huge market, and we've already proved that. So the idea that we're going to break it down to one

little component and that is sell the patents would be selling the life out of the [Music] opportunity. I'm AR, I'm Dun, I'm Sue, and we're the Kang sisters from San Francisco, California. They smell really good. It's French lavender. Wow, that's amazing. The

Three of us were born and raised in Korea, and when we were teenagers, we immigrated to America. I went to Stanford Business School, and I went to Harvard Business School, and I went to Parsons School of Design. Our dad sacrificed so much to send three of us to school in the US.

Financially, he had to work all the time, and the fact that he had to just let his daughters go at such a young age, I think that was really hard for him. D, how was your date? He texted me, but he's not asking me out on a second date. Yeah, one day at

lunch, we were discussing a common problem and came up with a solution in the tech space that could really work. Quit our high-paid jobs and moved to San Francisco, and we just started our own business. Let's talk about our upcoming marketing initiative. We believe we have

something very big on our hands, something that can potentially change lives. Without the money from the Sharks, we won't be able to execute on our growth plan, not to mention to disappoint our family after all that they have sacrificed. [Music] [Applause]

[Music] Hello, my name is Haron Tun, and Sue and I are the Kang sisters from San Francisco. Today we're raising $500,000 in exchange for 5% equity in our company. Coffee Meets Bagel is here to profoundly change how people discover

and fall in love. Sharks, I know what you're thinking, it's another dating site. We all know online dating sucks. Why? Because it treats people as a piece of information you search for from a huge database. People want to go back to the time of happenstance, where you just stumble

upon someone special, maybe through a friend. That's why we created Coffee Meets Bagel. We took the proven concept of daily flash sites and merged it with social networking elements to create the highest quality dating service for singles. Here is how it works. Every day at noon, we curate one perfect

match who is a friend of a friend. You have 24 hours to review their profile information and choose to like or pass on the match. Mutual likes lead to a private chat line that expires in 7 days. The secret to success in online dating is winning over women. Single women are

tired of signing up for dating websites only to get hit on by creepy strangers bombarding them with disgusting messages. With your help and investment, we can help singles all around the world. So, sharks, who's going to be our perfect match? So it's very interesting what does

the bagel got to do with it? Let's just be honest, there's still a little bit of stigma with online dating. So our customers actually love the fact that our name doesn't seem to, you know, do anything to do with a dating service. So when they talk about it, nobody really knows

what they're talking about. Hey, I got an everything bagel today. Today, I got a stale bagel today. It's like a code for them. Oh, that's clever. So tell us about your business model. Our core service is free, but there's premium features that

you can unlock using virtual currency in the form of coffee beans. Like, what one of the most popular items we have is called Open Sesame. We actually tell you how many mutual friends you have between you and your match. We don't tell you who they are. What could it be? Well, you buy

If you buy the it's a mystery a lot of people want to know how am I connected to this person and how much do I pay for the coffee beans each bean is equivalent to about 2 cents but Open Sesame for example it's 95 beans do both parties

have to like each other to be a match exactly so this has to be a mutual consent and how do you curate so we have a proprietary machine learning algorithm that takes into consideration all the users' data and we require all users to

sign up through Facebook so instantly from day one we can learn a lot about the user including their friends but you only source from Facebook you don't use um a questionnaire we don't do any of that right now so it literally takes like less than a minute to sign up the

idea is you don't have to make someone go through the application process the most important question have you met the man of your dreams so um Aram your is married with the guy that she met long long time ago I met my current boyfriend on Coffee Meets Bagel you see the picture of

the two of us on the wall I'm meeting a lot of you know interesting people through Coffee Meets Bagel and I'm still looking all right how many users so right now we have several 100,000 users our business really ramped up 200,000 or is

700,000 so it's between 1 and 5 1 and 5 just tell us what it is you want an investment you can't not tell us yes but I think that's a good range it gives you a good idea no it doesn't no but why won't you give us the actual

number we're actually not sharing the exact user number right now for competitive reasons. What you got to share that are you kidding? Okay, what were your sales so last year we made $887,000, but but get this, this year in the first 5 months we made

$270,000. Wow, so it's growing very quickly. What do you forecast for this calendar year? All in at this current rate, we will we will make a million, and next year we aim to make $10 million. All right, the million dollars in sales, what will you make? What's your

profit? So right now our profit is negative because we had to spend a lot of money, mostly on salaries to pay our developers. And do you guys take a salary today? Right now, we take $100,000 salary each. Sorry, you take $100 each, so $300,000 you're drawing out of the

business right now a year, a year, a year. But that is still a significant pay cut for all of us, whatever we were making prior. We actually raised $2.8 million in external funding so far. Wow. Our notable investor actually is one of the co-founders of Match.com who absolutely

loved our idea, and he was our very first investor. On the million dollars, how much will you lose this year? We'll lose a million dollars. You'll lose a million dollars on a million dollars in sales this year? Yes, which is why we actually have to raise more money

because we're trying to ramp up our growth. You're projecting $10 million for the second year. Exactly, how much money will you make on that 10 million? We will break even on 10 million. You'll break even on 10 million? Go. Let Her Go. Let Her Go. 10

million and here's why we plan to bring on about 4 million users next year who's going to generate about $250 each hence the 10 million and what's your customer acquisition cost 30 next year we plan on spending about $3 to $4 million on marketing spending and

acquire 4 million users so we are assuming a slight increase in customer acquisition cost you know you're an all-or-nothing play why do you think we're all or nothing because you're losing so much money you're not really in the building

a business game you're in the raising money and getting users game I think you've got to hit a home run not saying you're not going to but it's risky I know the baseline model works I've come to realize I'm really valuable big time

and it's made me very greedy I don't do 5% deals that's worthless to me I wouldn't do this I'm out if we really thought this was all or nothing we would have raised a lot more money from the beginning now we actually

have a choice of just growing the business traditionally or raise more money to make this big you've raised a lot of money and you're not making money and you're each drawing $100,000 it's $300,000 out of the business that seems

very high salary I mean most people don't make anywhere near that and you're just growing big concern I have also is the fact that somebody else could do this people are knocking off everybody on the internet all the time so for that reason I'm out

I think one thing for sure is you are great at raising money, thank you. I also think this is a site that's needed. I think the women I know that have been on the typical website feel like a piece of meat in a meat locker, looked over they

don't you know it's almost insulting? Yes, this is a site that gives women a little bit more control and I like all of that. But I'll tell you what I don't like: the break even at 10 million, a break even, and I'm only owning 5% of the stock

that's spooky. Doesn't seem like enough upside for the enormous risk you're going to be taking. So for those reasons I'm out. Thank you. Let me ask you a question: if I offered you $30 million for the company, would you take [Music] it? All five sharks are out but Mark

Cuban has just made the largest offer in Shark Tank history. Let me ask you a question: if I offered you $30 million for the company, would you take [Music] it? No, okay. I would not be taking it because we see we see this business going

growing as big as Match.com, and you know how much revenue they're generating? $800 million a year. They're becoming a billion dollar revenue company and we think this model and the product has potential to be as big as Match. He offered you $30 million and you didn't

even flinch. She should feel confident. It's a newer, ephemeral version of Hot or Not, which is brilliant, but I don't know how protectable that is. While I give you total credit and I think you guys have done some brilliant things, I don't think

The risk-reward is there for me, and for those reasons I'm still out. Good luck, thank you. Excellent presentation. Well, you know what they say, like in dating, never settle. Well, $30 million may sound like a lot of money, you wait, Mr. Mark Cuban, because this baby

is going to explode. I'm Don Haney, this is my wife Lydia, and we live in Nashville, Tennessee with our three beautiful kids: Dia, Asiah, and Lucy. I wear glasses every single day, and something has always really bothered me. One day, the light bulb went off, and I

came up with a really simple fix to a very annoying problem. As first-time entrepreneurs, we're learning as we go, and we've definitely had some setbacks. We've tried using a manufacturer, but when our product came off the line, they were all defective. It was a nightmare; it put us a

month behind schedule, and we lost a ton of inventory. We're back to making our product by hand at home. We got a lot of work to do. Yes, we need an investment from the Sharks to help us scale our business, but we also need the expertise of someone who's been down this road

before. We can't afford to make any more mistakes. I want to do the last one okay. This business means doing something that I love while being with the people that I love, and on top of that, we get to help people all over the world make their

lives just a little less frustrating. It doesn't get any better than that. [Music] [Applause] [Music] That hey Sharks, I'm Don, I'm Lydia, Dia, and I'm Mah. We're the Haneys, and our company is Nerdwax. We're here today

Seeking an $80,000 investment for a 20% equity stake in our company. We love wearing glasses. Glasses and sunglasses don't just help us see better, they're also a fabulous way to show off your unique style. But those of us who love wearing glasses also know

it's hard to keep the glasses we love on our face. Yeah, they're always sliding down our nose and we're constantly adjusting them. That's why my dad invented Nerd Wax. Nerd Wax is a beeswax-based blend of all-natural and certified

organic ingredients specially formulated to keep your glasses in place. So how does it work? It's super simple. First, you're going to wipe off your nose pads or the bridge of your glasses, and then you roll your Nerd Wax out a good bit and you apply it directly to

the bridge or nose pads of your favorite glasses. Nerd Wax will simply wear off naturally over time, and that's it. We've already changed the way thousands of people wear their glasses, but we need your help to make it millions. So who wants to wax on with us and and stop the

slide? So Lydia, Dia, and Asaiah are going to pass out some samples. Okay, thank you. Thank you. Like your glasses. Thank you. Let's give this a demo. Good job, big guy. Thanks, Troy. As you're putting it on, make sure you uh roll the tube out a good bit and kind of

use the edge of it. The great thing about it is that you can control the amount that you put on it, so you can try just a little bit, see how it works, and then you can give it a little bit more and and see what you like about it. Hey, you

Guys, did an awesome good job, guys. Good job, guys. See you later. Bye Dad, bye. How did you come up with this idea? So, five years ago, I was a touring audio engineer. Um, I worked in the music industry, and I worked outside in the

summer. We did a ton of outdoor concerts and festivals, and um, I would get super sweaty. I, my glasses were always sliding down, and um, I looked all over the internet for a solution. Everything I found uh, was either um, uncomfortable, it didn't work, or it was just straight up

ugly. So, it's made out of beeswax. Yes, so it's a beeswax base, but it's a special formulation, so it's not chapstick, although we have the lip balm uh container. It's a completely new formulation, but all the ingredients that

are in there are all natural, completely organic, and they're cosmetic grade ingredients, so you don't have to worry about your face breaking out or anything like that. Where does this sit at on the shelf? We um, we sell online um, $10, and then we also have 30 wholesalers and

what, what, what's the cost of goods? It's 35 cents per tube. Wow. Margin, we have great margin. And how much have you sold? So, we have sold to date $136,000. Good. And off of the $136,000, we have 65,000 in profit. What

period of time? So, we, that's the exciting part. We just started April of last year. We began selling direct to the consumer online via our website, and when we started doing that, we got a ton of um, push online. We were featured in Mashable, Uncrate, BuzzFeed, AOL, Daily Mail. You're

getting I call it PR Viagra right you're getting all these yeah we have tons of spikes and all your spikes that relate to when you get media right how are you going to do without media what are you going to do when the media dies so we're

going to continue doing what works right now we're measuring everything that we do on social so we're going out there and we're just stirring up the conversation we're going to keep doing what we do better and then we're going to improve on it how many reorders are you getting

from the people that have ordered in the past we've estimated that you'll get 6 to 8 months out of a single tube so just now we're starting to see people come back and reorder that's a lot of time mon yeah cuz it doesn't go out that

fast you just leave a little little bit 8 months is an eternity before the repurchase I would make the tube smaller thinner so it doesn't look like it's lip balm and I would reduce the amount by 60% so I'm basically only selling 90

Three Shark Tank Rejects That Made Millions | Shark Tank

Three Shark Tank Rejects That Made Millions | Shark Tank

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