Justin Baer is an entrepreneur with a unique idea for a new type of shirt for men. His fashion company, Collars & Co. is seeking $300,000 for 4% equity. The sharks seemed interested, but 4% equity is not a lot and the sharks had their doubts about whether they wanted to invest. Let’s see what the sharks decided to do before we jump ahead to give you the Collars & Co. update.
Shark Tank Collars & Co. Update
- Entrepreneurs: Justin Baer
- Business: Men’s Fashion
- Ask: $300,000 for 4% equity
- Result: $300,000 for 10% equity + $700k line of credit
- Sharks: Mark Cuban and Peter Jones
In just the first year of Collars & Co.’s operation, more than 90,000 shirts had been sold. These sales generated more than $5 million in gross revenue up to their appearance on
The sharks were impressed with the initial financial numbers, but were they confident enough to risk their own money?
The company’s portion of the profits resulted in 20% overall profits after everything was said and done. These margins are a result of all of the company’s sales coming through online sources, also known as direct-to-consumer.
Justin told the sharks that his shirts cost about $20 to manufacture and are sold for up to $70.
Daymond John was the first shark to leap out of the negotiations, simply because he didn’t like the shirt’s style or the company’s offering of equity. Lori Greiner also decided to drop out without making an offer.
Kevin O’Leary wanted 10% equity with his offer in exchange for his $300,000 investment. Justin Bear quickly refused the offer from Mister Wonderful. Guest shark Peter Jones decided to match Kevin O’Leary’s offer, but also got rejected.
At the last moment, Mark Cuban and Peter Jones teamed up to offer an additional $700,000 line of credit in addition to the $300,000 cash. Justin ultimately accepted the offer, even though he gave away more equity than he had hoped for.
Let’s give you our Collars & Co. update now that the
The good news is that sales have skyrocketed since appearing on
We can’t wait to see where our next Collars & Co. update will take us.
For more updates on companies from
Additionally, don’t forget to check out our Season 14 products page too!