Entrepreneur Meredith Jurica, pitched her makeup accessory company during
If you’re short on time, here’s a quick overview of what happened to Makeup Junkie Bags after
Meredith Jurica appeared on
|Accepted deal for $200,000 loan for 5% equity and $0.75 royalty in perpetuity
|$200,000 loan for 3% equity and $0.75 royalty until 3x the investment paid back
Shark Tank Makeup Junkie Bags Update
- Entrepreneurs: Meredith Jurica
- Business: Makeup Bags
- Ask: $200,000 for 15% equity
- Result: $200,000 loan for 5% equity and $0.75 royalty in perpetuity
- Sharks: Lori Greiner
Founder of Makeup Junkie Bags, Meredith Jurica, struggled with her basic makeup bag, so she decided to redesign a makeup bag that was more functional and stylish. She even began using them as evening bags, and women wanted to know where she got them.
That’s when she knew she was onto something good. Makeup Junkie Bags open flat, and they’re also waterproof, which is great when liquid foundation or perfume accidentally spills.
They’re all designed to be beautiful, so Meredith’s multi-functional bags can double as evening bags too. Before she knew it, buyers were contacting her about wholesale orders, and business quickly blew up.
After the initial presentation had concluded, Meredith told the sharks that her first three months in business resulted in more than $100,000 in gross revenue sales. Lifetime sales through eighteen months were just over $1 million, according to Meredith.
Additionally, a single makeup bag costs about $6 to manufacture. The cost can slightly vary depending on the size of the bag, however, these units can be sold at retail for around $50.
The biggest reason that Meredith came onto
Barbara Corcoran and guest shark, Sara Blakely, didn’t believe that they could provide the type of help that would be worth it to Meredith and her company, so they were the first two sharks to drop out.
Mark Cuban also dropped out, because he didn’t personally relate to Meredith’s makeup bag company.
With two sharks remaining, Lori Greiner admitted to Meredith that she was going to drop out, but she changed her mind at the last minute. Lori eventually offered $200,000 as a loan in exchange for 5% equity, and a $1 royalty on each unit sold in perpetuity.
Kevin O’Leary almost duplicated the same offer that Lori made, except his royalty would be until three times his initial investment is paid back. He also lowered his requested amount of company ownership to just 3% equity instead of Lori’s 5% equity request.
Meredith eventually agreed to a deal with Lori, except with one minor change. Instead of a $1 royalty, it would be just $0.75 in perpetuity.
Did everything work out for the entrepreneur following
We have some good news to share in our Makeup Junkie Bags update after all! While it’s rare for an entrepreneur to decline funding from a shark, Meredith eventually made the tough decision to not finalize the deal with Lori.
The main reason for this is that the two apparently disagreed on whether to relocate a manufacturing facility or not. Since Meredith didn’t want to follow those terms, she never received the funding, and the deal was never finalized.
Despite this, Makeup Junkie Bags is still in operation and is doing fairly well. In fact, yearly revenue is reported to be a whopping $3 million per year!
If we learn anything new about Makeup Junkie Bags, we will certainly let you know! In the meantime, you can checkout our other company updates from Season 10 Episode 11, by following the links below!
For even more on companies and products, be sure to stop by our Season 10 products page!
Andrew Smith is the founder and owner of Shark Tank Recap. He is a longtime Shark Tank fan that has been watching it for years and has seen every episode multiple times. His friends know him as the Shark Tank expert, because he can answer any question about the show! His favorite Shark Tank products are Bertello's pizza oven and Bug Bite Thing!