$10,000,000 valuation on a company with $7,000,000 projected revenue, and $5,000,000 last year is a really reasonable valuation. I don't think their ask was crazy at all.
Business is not proprietary. Sure their spices are unique but what stops a company going to Iraq and doing the same thing. Offering 3rd world countries a bigger cut and shipping it out? Seen it done with clothing and pretty much everything else. And Gweneth made a good point, she is one of the authorities in this space and hasn’t heard of them. Not that it wasn’t a fair ask but to offer Mr Wonderful the same kind of deal you’d offer a Instagram influencer when he’s the only shark left. That’s not the kind of deal you offer when you want to make a deal with 1 shark left.
I love when they post the food ones, because it’s like the account knows we’re choosing between Shark Tank and Kitchen Nightmares clips to watch while we eat lunch, and these gives us something from both!
I never even knew about them until now. And I might just buy their spices. Lol, I definitely agree, I think this was a PR stunt to make sure they didn't become 'stagnant'
Actually, $11.99 for a premium spice bottle seems really reasonable for things that might be the best in their class (available easily). Glad they are keeping the retail price low because sometimes costs can get crazy for special ingredients.
@@uddhavramgolam9743it’s basically asking Kevin to promote their product and they will only pay him a percentage of the revenue he brings in from his promotion. You see this all the time with influencers telling you to use their discount CODE at the checkout.
@@uddhavramgolam9743 It is commission for marketing and sales. If he drives customers to the product through his marketing channels or endorsements, he gets 10% of the sales revenue generated from those customers.
@@uddhavramgolam9743 Basically an affiliate does the work to sell a product whilst only netting a certain percentage (in this case 10%) of that sale, might be a decent offer for a promoter job, but understandably an investor wouldn't take that.
Tried to get a little too tricky with Kevin there. 10% affiliate cut of total sales is different than a 10% royalty of total sales. Affiliate cut calls into question what traffic Kevin is actually bringing, and only awards him for such. It's a fairly arbitrary stipulation I feel like they just didn't want to do a deal for all their products on a royalty.
kevins offer wasnt that great, he gives 500k and gets a guaranteed 1 mill back in royalty on every sale plus he gets 10% shares of a 10 million company. so he essentially gets 2 million $ on a 500k investment.
I really don’t but spices anymore unless they are Burlap and Barrel. It is not BS that their spices are better than store bought spices and I love that they work with small independent farmers and you know where it comes from too. Their customer service is To Notch! I cannot recommend it enough.
That's not how she worded it though. She said she was surprised she hasn't heard about them given their huge sales. And that's surprising because she is in the food business and she's been cooking with a lot of great chefs. If anything, it actually proves Lori's point about it being a very crowded space.
@@adingdingdiiing6740 So basically Gwyneth said that she hasn't heard of them. She was surprised she hasn't heard of them and therefore it must not be a good brand. That's just egoitism and inherent foolishness on her part.
Spices are a tough space. You don't know the quality until you try it. Ordering online, something sounds good but maybe won't be to your liking. I'm in Brazil. There are lots of farmers markets with big sacks of spices. You can sample them and decide what quantity you want. I like this option. It's inexpensive and of great variety. Online, you pay more, including shipping and have to wait to taste test. I like their story. But not sure I would buy consistently.
@@kingwellknownNah not if you have an Indian supermarket or a Middle Eastern supermarket nearby, I have both. They have the best spices and it's cheaper than supermarkets.
The spices are pretty much standard these days unless you're buying from an Indian store. Like chilli or cumin is always going to taste like chilli or cumin. And, everyone's doing it. It all comes down to packaging, visibility, shelf space, advertising etc.
My birthday is tomorrow and my brother just sent me a package from this company. I can’t wait to open it and see what he sent! I have to wait a day! 🤩 💕
You can tell from their demeanour they were not there for a deal, they were only there for commercial advertising. They did not even try to save any of the sharks or talk themselves into a deal, they just accepted their fate from each shark. They could've easily negotiated a deal with Kevin, or could've persuaded Gwyneth her concerns are nothing to worry about, but again they were just there to have fun and get the commercial.
They have over $12m in sales and projected to keep doing even more and have a $10m valuation and Barbara really says "the valuation is crazy" ??? What is she on???
The biggest flaw people who watch this show is basing the valuation off of total sales.. If you have 12 million in sales and your net profit is 10%, $1.2 million, you expect me to price it at 10 mill valuation? Thats nuts. You would need 10 million dollars Profit, which means 100 million dollars in sales for the sharks to get their money back. Plus when these guys raise more money, the sharks equity would be diluted more.
Appeared offering only 5% those fellas knew no deal spas going to be had .... They used shark tank to grow their brand via marketing by just appearing on the stage for this episode. Many of the larger evaluation businesses seem to use this strategy. Surprised Cuban did not call them out.
Manufacturing process is equally important. Cheap spices are ground at high speed, this scorches the spice and gives it a bitter undertone. Easiest to experience in cheap Chilli powder. Single source spices like this are likely to come from smaller producers, who have older production machinery that runs slower and, hopefully, pounds the spices in the traditional way instead of grinding.
I’m really shocked Mark said ketchup is the ultimate spice, especially considering he’s vegan (or vegetarian?). This is a bummer in my opinion. I mean, is ketchup even a spice?
I find it a bit disingenuous that they now sell a "Shark Tank Collection" set despite not making a deal. It's skirting the line of the Shark Tank brand so much
They have a huge line up of spaces, probably over a 100 skews. Kevins royalty would be based off a whole crap load of people buying the Chef Wonderful products. They wanted to get Kevin on board for PR purposes so people would go to their website. Kevin would get his money back if these guys sell Millions of dollas of Mr. Wonderful products.
the Mr Wonderful deal was not that bad, so it feels "defeat from the jaws of victory". Its not like a "Mr Wonderful Spice Line" would not have been a valid option further down the line.
Eh not really They were in reality saying, "you pay us for equity in our company and We get to use YOUR name and you get a 20% royalty from your name and we keep the rest". They were trying to be sneaky and use Kevins Chef wonderful platform for their product line. they would need to sell 2.5 mill of Just Mr Wonderful products... which dont even exist yet and have no sell through for Kevin to get his money back.
The 2 big problems with this was you can't patent it, so anyone who knows what they're doing could rip this off EASILY. And they came in asking for to much. If they would have asked for 250k or even 300k for 5%ish then i think 1 or 2 sharks would have maybe done it. There growth was really good but they were asking for to much and anyone in THAT space COULD do it.
My take too. Ridiculous valuation, they were just there for the advertising. You can tell from there character, they didnt really have much care about getting a deal, they were just having fun.
Valuation is only 15X net profits and less than 2X revenues. That is not bad for a growing company. Kevin's royalty offer was ridiculous. They sell a bottle for $10 and have to give $2.50 to him just because he gave them 500K in financing? Why is a company with $7M in revenues even on this show. Advertising.
$10,000,000 valuation on a company with $7,000,000 projected revenue, and $5,000,000 last year is a really reasonable valuation. I don't think their ask was crazy at all.
Business is not proprietary. Sure their spices are unique but what stops a company going to Iraq and doing the same thing. Offering 3rd world countries a bigger cut and shipping it out? Seen it done with clothing and pretty much everything else. And Gweneth made a good point, she is one of the authorities in this space and hasn’t heard of them. Not that it wasn’t a fair ask but to offer Mr Wonderful the same kind of deal you’d offer a Instagram influencer when he’s the only shark left. That’s not the kind of deal you offer when you want to make a deal with 1 shark left.
But with 10% margins...thats awful.
Because they net profit is only 10% , they would have to sell $100m for investors to get return on 500k
@antoniolanni3907 you can say that about so many companies. The chances are low. Insane amount of work for praying you make money.
@zainashraf6238 thats good, now if they had a down year but they are growing every year.
I love when they post the food ones, because it’s like the account knows we’re choosing between Shark Tank and Kitchen Nightmares clips to watch while we eat lunch, and these gives us something from both!
Relatable asf
@@eilhanfno literally lol. 😭
We all really living the same life
😂
🤮
These guys don't really need an investor. They have been growing quite nicely. Makes me think they came on for the PR.
very true, coming on shark tank just gave them exposure and a marketing platform
I agree. I think that's what they wanted. I've heard about them, and apparently their spices are amazing.
@@angelicearthlingwhat makes them "amazing" ?
The flavors are fresher and stronger@@vanodyssey1659
I never even knew about them until now. And I might just buy their spices. Lol, I definitely agree, I think this was a PR stunt to make sure they didn't become 'stagnant'
Actually, $11.99 for a premium spice bottle seems really reasonable for things that might be the best in their class (available easily). Glad they are keeping the retail price low because sometimes costs can get crazy for special ingredients.
He really tried to shark a shark on that last offer lol turn Mr. Wonderful into an employee?? LMAO
😂😂 That last scene was pure comedy. 2 smirks and a direct I' m out
Gwyneth: “I’ve never heard of you guys and I know everything so I’m out”
She’s worse than Barbara
I hate Gwyneth, I hope they never invite her back
That was funny:)
offering Kevin an affiliate deal is crazy 😂
Basically asking him to work for them lol
What is affiliate deal?
@@uddhavramgolam9743it’s basically asking Kevin to promote their product and they will only pay him a percentage of the revenue he brings in from his promotion. You see this all the time with influencers telling you to use their discount CODE at the checkout.
@@uddhavramgolam9743 It is commission for marketing and sales. If he drives customers to the product through his marketing channels or endorsements, he gets 10% of the sales revenue generated from those customers.
@@uddhavramgolam9743 Basically an affiliate does the work to sell a product whilst only netting a certain percentage (in this case 10%) of that sale, might be a decent offer for a promoter job, but understandably an investor wouldn't take that.
"Ketchup is the ultimate spice." Mark Cuban
Omg he doesn't know anything about spices 😢😂
Barbara: "These spices are spicey, and for that reason I'm out."
5:50 you have never heard of the brand cause you can't find it in normal grocery stores. It's probably in higher end places but more online
I feel bad for the janitors on this show.
Yea I agree
Ha!
Trust me, they get paid very well.
Some of the highest paid "masters of the custodial arts" on the planet.
Tried to get a little too tricky with Kevin there. 10% affiliate cut of total sales is different than a 10% royalty of total sales. Affiliate cut calls into question what traffic Kevin is actually bringing, and only awards him for such. It's a fairly arbitrary stipulation I feel like they just didn't want to do a deal for all their products on a royalty.
Their JEWS ✡️ WHAY DO YOU EXPECT GREED GREED GREEDY
Truth.
They didn’t. They wanted to use Kevin’s star power to explode their shark collection and only pay him crumbs
kevins offer wasnt that great, he gives 500k and gets a guaranteed 1 mill back in royalty on every sale plus he gets 10% shares of a 10 million company. so he essentially gets 2 million $ on a 500k investment.
I really don’t but spices anymore unless they are Burlap and Barrel. It is not BS that their spices are better than store bought spices and I love that they work with small independent farmers and you know where it comes from too. Their customer service is To Notch! I cannot recommend it enough.
Which partner is this?
Gwyneth saying that the business wouldn’t do good just because she’s never heard of it before is top tier egotism
That's not how she worded it though. She said she was surprised she hasn't heard about them given their huge sales. And that's surprising because she is in the food business and she's been cooking with a lot of great chefs. If anything, it actually proves Lori's point about it being a very crowded space.
There is a lack of Brand awareness
@@adingdingdiiing6740 So basically Gwyneth said that she hasn't heard of them. She was surprised she hasn't heard of them and therefore it must not be a good brand. That's just egoitism and inherent foolishness on her part.
Did he just offer Mr. Wonderful a 10% affiliate link?
lol
Spices are a tough space. You don't know the quality until you try it. Ordering online, something sounds good but maybe won't be to your liking. I'm in Brazil. There are lots of farmers markets with big sacks of spices. You can sample them and decide what quantity you want. I like this option. It's inexpensive and of great variety. Online, you pay more, including shipping and have to wait to taste test. I like their story. But not sure I would buy consistently.
space will always need space
I'm in Canada, my uncle literally sells spices from Syria like cumin seeds.
@@kingwellknownNah not if you have an Indian supermarket or a Middle Eastern supermarket nearby, I have both. They have the best spices and it's cheaper than supermarkets.
The spices are pretty much standard these days unless you're buying from an Indian store. Like chilli or cumin is always going to taste like chilli or cumin. And, everyone's doing it. It all comes down to packaging, visibility, shelf space, advertising etc.
My birthday is tomorrow and my brother just sent me a package from this company. I can’t wait to open it and see what he sent! I have to wait a day! 🤩 💕
If you open it you will see spices.
That's pretty nifty you get to see your gift being on Shark Tank. 🎁🥹😊👌 How did it go, did you leave a review?
@@Hypnostedon LOL yes
They didnt come in looking for a deal. I hate these episodes where the entrepreneur doesnt wiggle on 5% valuations
Right on time for lunch
Facts
Is it lunch time already?
I like these guys. Mission driven, simple, back to the basics.
Lmao that counter deal was "If you want this you're going to actually have to work for it" and "Mr.Wonderful" was like "nah"
Kevin O'Leary must not believe in his brand after FTX debacle 😂😂😂😂
They came for the free publicity
You can tell from their demeanour they were not there for a deal, they were only there for commercial advertising. They did not even try to save any of the sharks or talk themselves into a deal, they just accepted their fate from each shark. They could've easily negotiated a deal with Kevin, or could've persuaded Gwyneth her concerns are nothing to worry about, but again they were just there to have fun and get the commercial.
Kevin pretty assertively said he was out. I think to keep selling beyond that point would have not been dignified. They shouldn't have to grovel.
They have over $12m in sales and projected to keep doing even more and have a $10m valuation and Barbara really says "the valuation is crazy" ??? What is she on???
Because they net profit is only 10% , they would have to sell $100m for investors to get return on 500k.
@@zainashraf6238that's still good. You see a lot of companies take years to make profit. They are already making profit.
A broom!
The biggest flaw people who watch this show is basing the valuation off of total sales.. If you have 12 million in sales and your net profit is 10%, $1.2 million, you expect me to price it at 10 mill valuation? Thats nuts. You would need 10 million dollars Profit, which means 100 million dollars in sales for the sharks to get their money back. Plus when these guys raise more money, the sharks equity would be diluted more.
@@starblaster321 10% of 12 million is 1.2 million...
Mark said "ketchup is the ultimate spice" .... 😮..... i would mever entertain a food business with him lol this man is loco
Appeared offering only 5% those fellas knew no deal spas going to be had ....
They used shark tank to grow their brand via marketing by just appearing on the stage for this episode.
Many of the larger evaluation businesses seem to use this strategy.
Surprised Cuban did not call them out.
I buy from them a lot. Quality and variety are incredible
"Next up is a modern version of one of the oldest trades in the world." Prostitution?
I really like this one since freshness and origin matters for chefs no matter what.
Manufacturing process is equally important. Cheap spices are ground at high speed, this scorches the spice and gives it a bitter undertone. Easiest to experience in cheap Chilli powder. Single source spices like this are likely to come from smaller producers, who have older production machinery that runs slower and, hopefully, pounds the spices in the traditional way instead of grinding.
Might have to save this for future use. Might look them up n try em
Great Product!! Id try it!
Same here!
I love this. And if it's organic, even more. And if the amount paid to the local growers is above normal, even better.
Imagine starting a spice company, when you can't even handle your own spice
1:35 Barbara face says she was out
The egos they have is waaaaay to high lol
That was a great pitch, I want these spices. Those in the market sucks ngl, no flavor
People need something no one else is doing
A Mr. Wonderful line of spices? Really? Lmao
Any updates?
I’m really shocked Mark said ketchup is the ultimate spice, especially considering he’s vegan (or vegetarian?).
This is a bummer in my opinion.
I mean, is ketchup even a spice?
That's the most normal thing a vegan eats
I find it a bit disingenuous that they now sell a "Shark Tank Collection" set despite not making a deal. It's skirting the line of the Shark Tank brand so much
They should've hired a chef to prepare some dishes with the spices instead of just offering them by themselves
How did we know Barbara was out even before a single word was spoken
Who is the guest shark in this video?
Who else thinks that they never needed a shark
I love when Gwyneth tells me i give her, "A cacophony of fireworks in your mouth".
Isnt it funny just how many rejected businesses "will regret it, the Sharks will see!".... But then are never seen again....
Kevin got a good offer, i dont know what his issue was
They have a huge line up of spaces, probably over a 100 skews. Kevins royalty would be based off a whole crap load of people buying the Chef Wonderful products. They wanted to get Kevin on board for PR purposes so people would go to their website. Kevin would get his money back if these guys sell Millions of dollas of Mr. Wonderful products.
Out because she's never heard of it before.. makes sense...
im not crazy about spices..but hope they do well.
White
@@mdogie nope.
Sometimes I wonder why the entrepreneur goes through all the bother of presenting 😅and then rejects the only offer from Mr Wonderful
I love Lori but “I like to invest in things that are unique”. Girl, you invested in a sponge with a smiley face lol.
Too quick for lunch
I was done eating half way in 😂
the Mr Wonderful deal was not that bad, so it feels "defeat from the jaws of victory". Its not like a "Mr Wonderful Spice Line" would not have been a valid option further down the line.
Eh not really They were in reality saying, "you pay us for equity in our company and We get to use YOUR name and you get a 20% royalty from your name and we keep the rest". They were trying to be sneaky and use Kevins Chef wonderful platform for their product line. they would need to sell 2.5 mill of Just Mr Wonderful products... which dont even exist yet and have no sell through for Kevin to get his money back.
@@starblaster321 the problem is not that they want a Chef Wonderful deal, the problem is that is the only thing they want to pay for
Barbara didn't even make or refuse and offer?
6:10 He was hoping to add a new Pepper to the mix
These spices are delicious though!
1:44 barbara is out
Barbera's like im out beam me up Scottie
1. *Barbara 2. Barbara never said those words. 3. Do you (ahem) "exaggerate" much in daily life, too?
Wow the guy on the right. Super good looking.
Waw i wanna become his investor with that portfolio
So Mr wonderful didn't have enough confidence to sell
What bs true cinnamon is native to the island of Sri Lanka.😂
And now they're getting the last laugh! Big article on this company in the New York Times today, 1/8/25.
The 2 big problems with this was you can't patent it, so anyone who knows what they're doing could rip this off EASILY. And they came in asking for to much. If they would have asked for 250k or even 300k for 5%ish then i think 1 or 2 sharks would have maybe done it. There growth was really good but they were asking for to much and anyone in THAT space COULD do it.
Good 😊
So Kevin just proved he doesn't believe in his own brand.
No he proved he's not a influencer.
It would be ridiculous for him to take that deal and limit himself to 3 spices
Talk about a missed opportunity from the sharks
Gwenyth is a guest shark...
I'm out!! 😳🎉
Simply put.... their net margins stink and it could take years to make their cash back let alone any extra cash
szczeka boli by lepiej pobieg
What’s Israel?
Fyi the guy volunteered for “Doctors Without Borders” - google this organization.
Gwyneth Paltrow gonna make people bathe in these spices to "make skin look better" lol
blockchain can be used for tracking and verifying the supply chain.
Origin Trail. Already doing it.
" And for those barbara's, I'm reasons"
- out
Your Barbara joke is NOT funny !! Ehhh?
I spent years in Afghanistan wasting tax payer money...probably 6 figure salary to travel back and forth to isreal.
Nice! I may start reviewing these videos!
Free 🇵🇸🇵🇸🇵🇸❤️❤️❤️❤️
Couple of Nancy boys.
5:15
Do they think MICHAEL O'REILY is Drake, Beyonce or Taylor Swift?
Was it me or did they just go on for publicity to reach their end of year goal or to get a collab with MrWonderful instead of an actual deal?…
Just You !! Now Get Lost !!
@@warriormanmaxx8991 😂😂
My take too. Ridiculous valuation, they were just there for the advertising. You can tell from there character, they didnt really have much care about getting a deal, they were just having fun.
@@danielmuchui9645 💯
He pronounced Palestine wrong
Valuation is only 15X net profits and less than 2X revenues.
That is not bad for a growing company.
Kevin's royalty offer was ridiculous. They sell a bottle for $10 and have to give $2.50 to him just because he gave them 500K in financing?
Why is a company with $7M in revenues even on this show. Advertising.
Why is she on this show
they asked for way too much
Gwenyth Paltrow gave the most BS reason to get out of the deal
I want these spices.
Their profit margins are very low.
he was born in Palastine
Palestine was the name the Romans gave to the region to mock the Jews that lived there, do your homework
@@GabrielFlies 😂😂 who told you that? your grandma?
Loooool @gabrielflies don’t be delusional
Exactly
Who cares 😂
I think they just wanted the exposure and now they are selling a “Shark Tank” set on their website
All the spices that I purchased from the grocery store they have flavor so I have no idea what this guy was talking about
2 wiseguys.....PASS!
ffs is that blond scammer on this entire season? I cant watch.
Sounds like something Gwyneth should be selling on goop.
free palestine
Free palpatine
*Born in Palestine 🇵🇸
🍉❤🍉🍉❤🍉
Im glad I know hes from Israel... now I can boycott them. FREE PALESTINE!!