'Shark Tank' contestants pitch their holiday decor business and end up with a life-changing deal

Herjavec was the only one who believed that he could make the business go big.

PUBLISHED 2 HOURS AGO

Screenshots showing Robert Herjavec and the entrepreneurs on "Shark Tank" (Cover Image Source: YouTube | Shark Tank Global)

Festive decor may be a seasonal product, but a good business model, and something unique to offer can turn it into something lucrative. That is exactly what "Shark Tank" entrepreneurs brought to the table, and Robert Herjavec bought into that idea and invested a quarter-million in it. The founders showed up with a service that ships customers a box of customized holiday decor items that one needs to simply take out of the box and put up, without the hassle of holiday shopping.

The entrepreneurs, Kristina Barnes and Liz Voelker, sought $250,000 for a 10% stake in their company, Readyfestive, that offers a subscription-based service to its customers, delivering a customized and curated holiday decor service. Customers can go to the company’s website and pick their preferred holidays or seasons, and the box sizes, which are mini, standard, and deluxe.

Screenshot showing some of the products. (Image credit: YouTube | Shark Tank Global) — Screenshot showing some of the products. (Image source: YouTube | Shark Tank Global)

The way the subscription works is that customers have to sign up for a minimum of three holidays, during which they can receive the decoration boxes from Readyfestive. There are a couple of payment options. Users can pay the money up-front and get a 10% discount, or they can pay as they go along. The entrepreneurs also said that they keep up with all the latest trends in holiday decor to provide the best products to their customers.

However, one of the big issues with such a business model is that it is quite complex. One always has to be on top of inventory, especially when it comes to pre-orders. With new items trending in each season for a different holiday, things are challenging for the entrepreneurs too. Despite these challenges, Barnes and Voelker had done quite well for themselves.

Screenshot showing the entrepreneurs. (Image credit: YouTube | Shark Tank Global)

They said that the company had been in operation for almost three years and in that time, they had recorded revenue of $1.5 million. The first year, they made $250,000. The second year, they made $500,000. In the third year, the entrepreneurs said that they projected over $1.5 million in sales. At the time of taping, the company had earned $800,000 year-to-date in revenue.

However, the sharks still had their doubts. Mark Cuban did not believe that it was the right business for him. As far as Barbara Corcoran and Kevin O’Leary were concerned, they thought that there were too many challenges. Lori Greiner did not believe they even needed a shark at all. Robert Herjavec was the only one who made an offer, but he wanted 20% for $250,000.