'Shark Tank' contestant gets two judges to team up for a $1.5 million deal for his vegan sushi chain
Vegan food products have received mixed reactions from investors on "Shark Tank" over the years, and several companies have pitched plant-based substitutes, but rarely has one managed to bag a million-dollar deal. This rare feat was achieved by Chef Guy Vaknin for his vegan sushi brand, "Beyond Sushi." Vaknin, who sought an investment of $1.5 million for his restaurants on the East and the West Coasts, impressed all the Sharks with his 100% plant-based sushi. While everyone loved the food, two investors, Lori Greiner and guest Shark Matt Higgins, decided to back the brand by striking a deal.
He introduced his bold, flavorful sushi to the judges, revealing that they were made of 100% plant-based ingredients. He explained that his food had bold and flavorful profiles that came from only whole grains, vegetables, and fruits. He stressed that he doesn't believe in fake meat either before handing out samples of his top-selling rolls.
The sharks were instantly impressed by how good the food tasted as soon as they took a bite. They asked Vaknins to share the cost, profits, and revenue numbers of his company. The entrepreneur shared that he operated six locations all over Manhattan, and his location did $2.5 million per year. In 2015, he partnered with the owner of Ruby Tuesday, who owns 25% of the East Coast business.
He further shared that in 2017, the company did a total of $4 million in sales but lost $272,000 due to opening two large locations and his commissary kitchen. He further projected that the firm will close the year with $5.6 million in sales.
"I know nothing about that end of the retail-like Matt," Daymond John said before dropping out of the deal. Kevin O'Leary followed suit, citing problems with Vaknin's $5 million valuation. Mark Cuban followed suit as well, saying that he didn’t feel confident enough in the numbers to invest. However, both Greiner and Higgins, who loved the food, were utterly interested in making a deal. They joined forces to make a joint offer of $1.5 million, but they wanted 30% of the West Coast business and 15% of the East Coast business instead. "We're going to make this a very big company, across the market. I can help you get into airports and stadiums all over the country this is just up my alley completely," Higgins reasoned.
However, Vaknins wasn't willing to give up so much equity, so he tried to negotiate. The Sharks, on the other hand, refused to budge, saying they needed enough incentive to work hard with the company. After a brief pause, Vaknins smiled at the Sharks and accepted the deal.
According to an update shared by the Food Republic, Beyond Sushi witnessed the 'Shark Tank Effect' as its sales jumped 40% and delivery increased by 70%, within the first week of the episode airing. Unfortunately, the deal with Greiner and Higgins wasn't closed.
