Loctote Industrial Bag Co. Update | Shark Tank Season 8

After Don Halpern’s wallet was stolen while swimming on vacation, he realized there was no secure bag on the market that could lock to a stationary object and protect against theft. This led Don and Adam McBride to create Loctote, a slash-resistant, lockable backpack with RFID-blocking technology designed to secure valuables without compromising style. Will a shark see the value in this high-security bag? Let’s find out in our Loctote update and pitch recap.

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

Adam and Don entered Shark Tank Season 8, seeking $150,000 for 5% equity in their theft-proof bag company, Loctote. After their presentation, they closed a deal with Robert Herjavec for $150,000 for 10% equity + $10 royalty per bag.

In terms of a Loctote update, the company was acquired by Nolk in 2020, which expanded its operational strategy. Don has since moved on to launch new ventures, while Loctote continued to operate under Nolk’s management.

Shark	Result
Robert Herjavec	Accepted offer of $150,000 for 10% equity + $10 royalty per bag
Kevin O’Leary	$150,000 for 10% equity, with a $10 royalty per bag until he recoups $450,000.
Mark Cuban	No offer
Lori Greiner	No offer
Daymond John	No offer

Shark Tank Loctote Pitch

• Entrepreneurs: Adam McBride and Don Halpern
• Business: Theft-proof and slash-proof bag
• Ask: $150,000 for 5% equity
• Result: $150,000 for 10% equity + $10/bag
• Shark: Robert Herjavec

Adam and Don entered Shark Tank with the goal of redefining everyday security with the Flak Sack, a near-impenetrable bag built for people on the go.

They need the funds to increase production and cut manufacturing costs. Their goal is to make their slash-resistant bag more accessible to everyone.

Loctote specializes in manufacturing anti-theft bags, notably the Flak Sack, designed to safeguard personal belongings.

These bags are made from a special cut-resistant fabric, with hidden steel-reinforced straps that allow them to be securely locked to fixed objects.

Moreover, they also include RFID-blocking technology to stop unauthorized scanning.

Additionally, the bags are designed for travelers, commuters, and individuals who frequently carry valuable items in public spaces and seek enhanced security.

Initially, producing the Loctote safety bag in the U.S. costs $75 per unit, and it retails for $179, with a profit margin of 58%.

Later, they moved production overseas using funds from Kickstarter, lowering costs and allowing them to reduce the retail price to $119.

However, Daymond John says he doesn’t see the practical application for most people, especially at a $175 price point.

He jokes that if people are worried about slashers, they need more than a bag—they need serious protection. He exits the deal, not seeing a viable market.

Mark Cuban says they haven’t figured out how to navigate their web traffic, and he is concerned about their business model. For those reasons, he’s out.

Robert Herjavec says he respects the idea, but he’s concerned the company hasn’t proven itself in the real market. He exits the negotiations.

Lori Greiner says she doesn’t think many people would need the product. She’s out as well.

In contrast, Kevin O’Leary, confident in the product’s potential, advises against selling it at Walmart. He offers $150,000 for 10% equity plus a $10 royalty per bag until he earns back $450,000.

In a surprising turn, Robert reenters the deal, matching Kevin’s offer of $150,000 for 10% equity with the same $10 royalty until he also recoups $450,000.

Ultimately, Adam and Don chose to accept Robert’s offer, believing that his expertise and resources would better align with their business objectives.

So, was this the right move for Adam and Don? Find out in our Loctote update.

Shark Tank Loctote Update

Our Loctote update found that the deal with Robert Herjavec did not close.

However, its Shark Tank appearance provided substantial media exposure and increased brand recognition, sparking a surge in sales.

Our Loctote update found that Nolk, a Canadian architect brand, acquired Loctote in December 2020. This acquisition marked a significant transition in the company’s ownership and operational strategy.

By July 2022, Loctote had achieved over $6 million in sales.

Further, in January 2023, Don launched another company called LOSS-PROOF, which focuses on theft-proof smartwatch straps.

As of November 2023, Loctote reported annual revenue of approximately $1 million.

At the time of this writing, our research on the Loctote update found that the company continues to operate under Nolk’s ownership.

We’re calling this Loctote update a success.

You can find the other company updates from Season 8 Episode 22 here:

• Goverre Update
• See Rescue Streamer Update
• BootyQueen Apparel Update

Before you go, be sure to check out our list of all the Shark Tank Season 8 products.