'Shark Tank' contestants bring chips laced with bugs — Mark Cuban was tempted enough to invest

The shark believed that he was the best man for the job and got the deal he wanted.

PUBLISHED 4 HOURS AGO

Screenshots showing Mark Cuban and the entrepreneurs on "Shark Tank." (Cover Image Source: YouTube | CNBC Ambition)

Bugs aren't exactly appetizing, but entrepreneurs who can turn them into a palatable snack deserve an investment on "Shark Tank." One such pair of founders was selling chips laden with bugs, which they believed could be one of the healthiest snacks out there. The entrepreneurs also believed that they could get into the protein powder market with their bug-based formula. All this might sound icky, but Mark Cuban invested $100,000 in it.

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The entrepreneurs, Laura D'Arosa and Rose Wang, sought $100,000 for a 10% stake in their company, Chirps. At the time of taping, Chirps was a company that made chips with crickets. The entrepreneurs used cricket flour as one of the primary ingredients. This is because crickets are a sustainable source of protein. Each chip contained the protein of one cricket, and one whole bag contained 4 grams of protein (70 crickets).

The chips were non-GMO, gluten-free, and all-natural, as per the entrepreneurs. They even called it a “gateway bug” as they believed that the goal was to get into the protein powder and juices industry with cricket flour. They added that they were in museums, zoos, theme parks, and aquariums, which deliver higher sales than a normal store. The entrepreneurs seemed to do well for themselves, and they seemed happy.

Screenshot showing the product. (Image credit: YouTube | CNBC Ambition) — Screenshot showing the product. (Image source: YouTube | CNBC Ambition)

Kevin O’Leary perhaps did not like that too much. “Miss happy over there, you’re smiling so much,” he said, before adding, “When you get into a large retailer that says, ‘You want two linear feet in my snack department?’ they’re gonna say, ‘Give me a million bucks.’ You won’t be smiling so much because you’re gonna have to buy your share. I really am concerned. I say this on deals where you’re trying to steal share from a very old, established market, they are going to crush you like the cockroaches you are.”

Thankfully, the entrepreneurs had the perfect response. “I think the first thing to point out is that we are not a me-too product on shelves. There’s no other cricket chip out there, and that’s great marketing. That’s something that will draw customers into stores. We’ll get a lot of free press,” D’Arosa said. They then revealed that they owned 100% of the company and had raised $200,000 from pitch competitions.

Screenshot showing Kevin O'Leary. (Image credit: YouTube | CNBC Ambition) — Screenshot showing Kevin O'Leary. (Image source: YouTube | CNBC Ambition)

By this point, Mark Cuban had heard enough, and he made an offer. He said that he’d pay $100,000 for 20% equity. Lori Greiner said that he would be a great partner and bowed out. However, Cuban did not have a lot of patience. So, when the offer was countered with one for 15% equity, the shark accepted those terms.