Nude Foods Market Update | Shark Tank Season 17

Every piece of plastic ever made still exists somewhere. Strange as it sounds, it’s very true. Rather than complain like everyone else about the environmental hazard they had been living with for years, Rachel Irons and Verity Noble decided to do something about it. They started Nude Foods Market, a zero-waste, packaging-free grocery store where customers buy food in reusable glass containers instead of single-use plastic packaging. Will they get a deal with any of the sharks? Let’s find out in our Nude Foods Market update and pitch recap.

If you’re short on time, here’s a quick overview of what happened to Nude Foods Market after Shark Tank.

Rachel and Verity entered Shark Tank Season 17, seeking $250,000 for 5% equity in their grocery store without packaging. After their pitch, they reached an agreement for a deal with Kevin O’Leary and Robert Herjavec for $250,000 for 20% equity.

In terms of a Nude Foods Market update, the company received lots of interest for their physical store shortly after their episode aired.

Shark	Result
Kevin O’Leary and Robert Herjavec	Accepted offer of  $250,000 for 20% equity
Allison Ellsworth	No offer
Lori Greiner	No offer
Daymond John	No offer

Shark Tank Nude Foods Market Pitch

• Entrepreneurs: Rachel Irons and Verity Noble
• Business: A grocery store without packaging
• Ask: $250,000 for 5% equity
• Result: $250,000 for 20% equity
• Sharks: Kevin O’Leary and Robert Herjavec

As a former environmental science student and experienced SCUBA surveyor, Rachel had spent years studying ocean pollution. Later, while running her own food business, she kept hitting the same wall: you cannot sell clean food in dirty packaging.

Verity, on the other hand, was the MBA and serial entrepreneur who once stuffed green beans into her pockets at Whole Foods rather than use a plastic bag.

Together, they were not the kind of people who were going to wait for the grocery industry to fix itself.

Nude Foods Market is a zero-waste, packaging-free grocery store. Customers take home fresh ingredients in reusable containers. On their next trip, they bring those containers back. The store washes them, refills them, and puts them back on the shelf. They already operate locations in Boulder and Denver, with plans to expand.

Verity explained that regular grocery stores cannot take jars back and reuse them hundreds of times, which is why they built the model this way.

They buy everything in bulk at about half the cost of packaged goods. Even at their small size, their prices match Whole Foods. Their gross margin sits at 40%, far above the industry average.

Kevin O’Leary asked about store profits. Rachel said the business is currently break-even. Kevin asked if they expected to reach 5%. Rachel corrected him and said they expect to reach 9%. Kevin replied that if they did, they would beat every grocery store in America.

Robert Herjavec then asked about startup funding. Verity surprised the sharks by saying they started the company with just $8,000. Their first store is 2,500 square feet. Rachel reported $1.8 million in sales last year and projected $2.7 million this year.

Verity added that their advisors include Justin Gold, the founder of Justin’s Nut Butter. They have also raised nearly $1 million from customers at a $7.2 million valuation.

Daymond John worried about the complexity of perishables. Lori Greiner had a potential conflict. Kevin called them crazy but impressive. 

Guest shark Allison Ellsworth lost money on a grocery chain before. One after another, they all exited the deal, except for Robert.

For Robert, 5% equity was too low. Verity then offered 7.5%, but he declined and asked for 20%. Kevin immediately jumped in, offering to split it 50-50.

Verity countered with 5% plus 7% advisory shares, totaling 12%. But the sharks refused and said their 20% for a $250,000 offer has zero flexibility.

After a moment of thought, the entrepreneurs accepted the offer and walked out with Robert and Kevin as partners.

Keep reading our Nude Foods Market update to find out what happened to their company.

Shark Tank Nude Foods Market Update

In terms of a Nude Foods Market update, we have no news regarding the deal made with the sharks. As the news becomes public, we will report it.

Shortly after their episode aired, the company received increased attention for its Boulder store.

To celebrate their Shark Tank appearance, they are offering a 20% discount on first orders through their official website.

We’ll keep an eye on Rachel and Verity and bring you the latest in our next Nude Foods Market update.

For more updates from Shark Tank Season 17 Episode 13, be sure to check the links below:

• Hot Girls Soda Update
• CleanGreen Golf Balls Update
• Riptie Hair Ties Update

Before you go, be sure to check out our list of all the Shark Tank Season 17 episodes.