Kudos founder Amrita Saigal came to
Shark Tank Kudos Update
- Entrepreneurs: Amrita Saigal
- Business: Premium Disposable Baby Diapers
- Ask: $250,000 for 5% equity
- Result: $250,000 for 12% equity
- Sharks: Gwyneth Paltrow and Mark Cuban
Kudos has only been in existence for about a year, and Amrita told the sharks that she had generated about $850,000 in revenue up to this point. All of the company’s sales come from direct-to-consumer methods, primarily through its website.
Amrita told the sharks that she’s raised a few million dollars in venture capital debt at a valuation of more than $12 million to help get Kudos off the ground. Currently the company has lost around $1.5 million since launching, but Amrita expressed her belief that the company would become profitable in late 2023 or early 2024.
There are a couple of ways that Amrita captures customers, one of which is through a monthly subscription. Customers can subscribe for $78 per month to get a 30-day supply of diapers until they cancel.
For anyone who’s not interested in a monthly plan, customers can purchase a month-supply of diapers separately for a one-time cost of $88.
Amrita shared with the sharks that the landed cost for a package of diapers was as high as $39, and they immediately became concerned about the company’s margins. Amrita also believes that her customer acquisition cost is about $23, which could be lower than many similar rival brands.
After all the information had been presented, it was finally time for some offers. Mark Cuban and Gwyneth Paltrow teamed up to make an offer of $250,000 for 10% equity. Amrita accepted the offer and quickly began to celebrate her new partnership with the sharks.
Now that we know how the negotiations ended, let’s get a Kudos update.
Amrita’s pathway to profitability with Kudos as a business will likely be significant and take some time, but being featured on
As Amrita looks to explore new ways to improve her product’s viability, she hopes that her appearance on
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