First Defense Nasal Screens
BEST PART OF THE PITCH: Joe has a unique solution to protect against germs and allergens. His lightweight, non-inserted nasal screens have been clinically proven to reduce the inhalation of allergens, pollen, pollution and more. You just peel ‘em and stick ‘em on your nose. Mark says, “Are you kidding me?” Joe assures him that he’s very serious. He’s sold 1.7 million units at 60 cents wholesale. Joe has one big client from the United Arab Emirates that has given him an $8 million contract over the next six years. This is a worldwide product.
DO THE SHARKS BITE? The Sharks initially thought this guy was a joke. He’s not. He needs money to fulfill the big order he has overseas. Barbara thinks the cost of educating people about the product would be too high. She’s out. Kevin O’Leary offers to give Joe the $500k but wants a 15% royalty until he recoups his investment. He also wants 20% equity. Mark wants to team up with Kevin. Daymond offers $800k for a 30% stake and 10% royalty. Kevin offers a million bucks for the whole company. Joe is a cancer survivor who wants to stay with the company. Daymond offers a million bucks for a 30%
THE RESULT: Joe can’t sell his entire business for $2 million, so Robert offers him $4 million. That’s the largest sum offered in Shark Tank history. Joe asks for $5 million which forces Robert to say he’s out. Kevin and Mark bring Daymond into their offer which has now changed. They will give up $750k for a 30% stake and a 10% perpetual royalty. Joe accepts the offer as long as Mark provides season tickets to Mavs games. At the end of the day, this deal was certainly nothing to sneeze at.