The TekDry phone repair system appeared on Shark Tank on November 30, 2020. Founders Adam Cookson and Craig Beinecke left the tank with a deal from Kevin O’Leary for $500,000 as a loan at 13% interest plus 5% equity. Here’s a quick recap of everything that happened during the phone repair pitch as well as news on a TekDry update after Shark Tank.
Shark Tank TekDry Update
Entrepreneur: Adam Cookson and Craig Beinecke
Business: Repairs wet phones
Ask: $500,000 for 5% equity
Result: $500,000 as a loan at 13% interest plus 5% equity
Shark: Kevin O’Leary
Before we give you a TekDry update, let’s take a look at their time in the tank. Adam Cookson and Craig Beinecke appeared on Shark Tank Season 8 Episode 3 to pitch their company to the shark. They had created a machine capable of drying out phones that had been dropped in water and claimed they could restore them to working order. Basically, a user would place the phone in the machine for about 30 minutes and it turns the water particles into gas. This draws the liquid out of the phone, allowing it to work once again.
At the time of the pitch on Shark Tank, TekDry had a unit in 82 stores and was set to roll out to a few more stores later that year. To rent a box, a store must pay $80 a month and give TekDry 60% of its revenue from the box. In 2015, the company had done $29,000 in sales. However, since expanding in 2016, TekDry was on track to do $650,000 in sales. Additionally, the company had already raised over $2 million dollars.
Most of the sharks were not interested, and Lori Greiner suggested that TekDry try to work out a mail-in system where customers could mail their phones to them to be fixed. However, Kevin O’Leary was interested and made an offer of $500,000 as a loan at 13% interest plus 5% equity for himself. Adam and Craig liked the structure of the deal and TekDry left the tank with a deal from Kevin.
In terms of a TekDry update after Shark Tank, as of 2021 the company is still in business and seems to be doing quite well. The coverage map on its website shows that it is in a handful of stores on the east coast. Additionally, the company now offers a mail in-service that allows you to mail in your phone to be fixed within 24 hours of getting wet. Lastly, TekDry also offers services for smaller devices like flash drives and keyfobs, and large devices like a laptop.
For more Season 8 Episode 3 product updates, check out the links below: