'Shark Tank' contestants made Robert Herjavec roll around the set before getting a $900,000 deal
Entrepreneurs on "Shark Tank" endure everything from sharp criticism and harsh rebukes from investors to secure a deal for scaling up their business. But sometimes these founders get the sharks to do the most bizarre things on stage during their pitches. Tate Stock walked into "Shark Tank" with his firm Chirp, and by the time he left, he had made sharks squabble and even roll on the floor, before he struck a $900,000 royalty deal with Lori Greiner.
Stock entered the show seeking a $900,000 investment in exchange for 2% in his company, Chirp, which made innovative back rollers. To compare the efficacy of soft foam rollers vs the Chirp Wheel, Stock had his friend covered in bubble wrap. "These bubbles represent those hard-to-reach muscle knots in your back and your neck. Now, most people use a foam roller to roll out their backs as he rolls out there should be enough pressure to make the bubbles pop symbolizing that deep tissue back pain relief," he explained. However, when his friend rolled on the foam roller, only one pop could be heard. "There's just not enough contact to be effective," Stock claimed.
He then demonstrated the Chirp Wheel, which immediately popped a flurry of bubbles on his friend's back. "Wow! Slap my mom and call me Sally! That's a lot of pops," he exclaimed. Stock then invited Robert Herjavec to the floor to try out the Chirp Wheel. Herjavec took his jacket off and rolled on the floor alongside the entrepreneur. After a few moves, the shark was convinced that the product was effective, if not groundbreaking.
Once Herjavec returned to his seat, the Sharks got down to business. When Daymond John came after the company's $45 million valuation, Stock shared that the company was vastly successful at the time, as he expected to close 2020 with $40 million in sales and a whopping $12 million in profit. John then pivoted and accused Stock of coming to the show solely to get free promotion. "Holy smokes! You don't have any debt, zero partners, and you're doing that kind of numbers! Are you really here to make a deal?" John asked.
Stock assured the Sharks that he was there to make a deal, and to make things sweeter, he proposed to pay back his investor the money in the coming couple of years. This grabbed Lori Greiner's attention.
At this point, John went out saying that he wanted to invest in companies that were in need of a boost and a Shark. Mark Cuban also dropped out, suspecting that Stock's sales numbers were aided by the COVID-19 pandemic and that they would flatten in the future. However, Greiner jumped back in to offer $900,000 for 2.5% with a condition to be paid back in 18 months. Herjavec said, "Sales never lie," and made an offer. He put up $900,000 for 3% equity with a $1.50 royalty until he recoups $1.2 million.
With three offers on the table, Stock dropped O'Leary's deal and asked if Greiner would like to partner with Herjavec. "Why would I want a partner?" Greiner said in response. She then modified her offer to give $900,000 for 2.5% if Stock agreed to pay her $500,000 in the first year and $500,000 in the next year. Stock then countered with an offer to pay back $400,000 at the end of the current year and $500,000 next year after giving up only 2% equity. Greiner says she will agree if she gets 2.5%, and after some deliberation, Stock accepted the deal.
According to the Shark Tank Blog, Chirp witnessed incredible success after "Shark Tank" with over 1 million happy customers. The company also expanded its product line.
