Terry Lin and Jiake Liu think, that the outdoor furniture market needs an update. They created Outer, an outdoor furniture company, to combat common problems consumers have with their outdoor sofas and chairs. Will the sharks be able to get comfortable with this company during
Shark Tank Outer Update
- Entrepreneur: Terry Lin and Jiake Liu
- Business: Comfortable, eco-friendly outdoor furniture
- Ask: $750,000 for 4% equity
- Result: $750,000 loan at 3% interest, for 5% equity, plus a $30/unit royaly, until $1 million is paid back
- Shark: Lori Greiner
Terry and Jiake, bring their company, Outer, to
They have a patent pending on the ‘Outer Shell,’ a velcro-attached system for keeping the cushions dry and comfortable. They also have a peer-to-peer showroom concept.
This basically means that customers can invite people to their homes, to test out their Outer furniture. In return, they are then $20-$40 for every visit.
The sharks are boggled by the valuation. With the value that Outer is toting, the outdoor furniture company is worth more than $18 million
However, the sales don’t seem to stack up. They have done $800,000 in sales in the last four months, with a projection of at least $1 million by the end of the year.
Daymond John is out first, due to the insane valuation. Guest shark Anne Wojcicki doesn’t mind the valuation, but she doesn’t see that the product will change the world.
Mark Cuban thinks there’s too much risk, so he’s out as well.
Kevin O’Leary likes the product, and makes an offer of $750,000 for 20% equity, a drastic increase from the asking price.
Lori Greiner offers $750,000 as a loan, for 10% equity, plus a royalty deal of $20 per chair, until she gets $1 million back.
Kevin says he’s going to revise his offer, and Lori tells Terry and Jiake, that she will drop out if they listen to it. He proposes to match her offer, but with a 5% stake instead.
At this point, Lori agrees to 5% equity, with a $30 royalty, until $1 million is paid back.
Jiake and Terry agree to the terms, and walk away with a deal.
What happened following
We have good news to share in our Outer update. While the deal with Lori never did close, it appears that the company is doing okay for itself.
It also turns out that Terry and Jiake’s ‘insane’ $18 million valuation wasn’t all that crazy. They raised $4.3 million in 2020, and another $10.5 million in early 2021 from investors.
They are always looking to expand their online offerings to new furniture types, travel destinations, and commercial ventures.
Our research also revealed that the company is doing extremely well. Recent figures place its annual revenue at $45 million, and they now have 500 showrooms in the United States alone.
The company has been featured by several publications, including Forbes, and GQ Entrepreneur. Based on their popularity, and success, it seems that Outer isn’t going under any time soon.
The company has also expanded it’s product line to include just about anything you could possibly need for enjoying your outdoor space.
If we learn anything new about the company, we will be sure to let you know. In the meantime, if you would like to learn about the other companies featured on Season 11, Episode 8, you can follow the links below.
For even more on companies and products, be sure to stop by our Season 11 products page!
Shop the Shark Tank Recap Store
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!