Shark Tank US | Father and Son Duo Pitch Their 'Touch Up Cup'
Introduction to Touch Up Cup
Pitch Overview
- Carson and Jason Grill from Cincinnati, Ohio, present their innovative paint storage solution, the Touch Up Cup, seeking $150,000 for 10% equity.
- The duo shares a relatable story about dealing with messy paint closets while managing touch-ups in their home.
Product Features
- The Touch Up Cup features a patented design that includes a stainless steel blending sphere for easy mixing and an airtight silicone seal to keep paint fresh for over 10 years.
- Available in three-packs and individual cups, the product caters to varying customer needs.
Business Operations and Partnerships
Current Market Presence
- Both Carson (15 years old) and Jason are actively running the business alongside their day jobs; they have secured partnerships with major brands.
- They have entered 250 Meyer locations across the Midwest and are working towards expanding into 2,000 additional locations through a private label partnership.
Sales Performance
- Over two years, they achieved $220,000 in sales; $150,000 of this was generated in the last year and a half. They project reaching $400,000 in sales this year.
Financial Insights
Cost Structure
- The individual cup costs $0.90 to produce and wholesales for $1.89; retail prices range from $3.99 to $4.99.
- The three-pack costs them $1.99 to produce; it wholesales for $4.25 with retail prices between $9.99 and $12.99.
Shark Tank Dynamics
Teamwork & Experience
- Carson demonstrates confidence by leading discussions during the pitch despite being young; he has attended trade shows and buyer meetings with his father.
Patents & Innovations
- At just 15 years old, Carson holds four patents: one utility patent on the Touch Up Cup and three design patents related to food packaging products.
Offers from Sharks
Competing Offers
- Blake offers $200,000 for 25%, prompting other sharks like Damon to revise their offers due to competition dynamics among them.
Negotiation Challenges
- Mark expresses concern about who will run the business full-time as both current operators have other commitments; he ultimately decides not to invest.
Final Decisions
Closing Deals
- After negotiations regarding equity percentages continue between Blake's offer of cash flow support versus ownership stakes, Carson ultimately accepts Blake's deal at a revised percentage.
Reflections on Success
- Post-deal reflections highlight Carson’s pride in achieving success at such a young age while encouraging other young entrepreneurs that hard work can lead them to similar opportunities.