'Shark Tank' contestants get offered a life-changing $500,000 deal after nearly blowing it
Sheets Laundry Club founders Chris Videau and Chris Campbell had a tough time pitching their eco-friendly, biodegradable, plastic-free laundry detergent sheets on "Shark Tank." The duo sought $500,000 for a 5% stake in their company from the investors. To curb the usage of liquid detergents coming in plastic bottles, Videau and Campbell invented thin detergent sheets that easily dissolved during the wash cycle and left clothes fragrant and clean. "It's more convenient than liquids and powders, it's more cost-effective to ship, and it is far better for our planet than mainstream alternatives," they explained while demonstrating their product.
The entrepreneurs continued to explain that the Sheets Laundry Club was free from synthetic chemicals and instead contained sodium lauryl sulfate, which was naturally derived from coconut oil and also used in shampoos. However, Barbara Corcoran decided to halt their sales pitch and went in for their background story. At that point, Videau disclosed that he was a U.S. Army Blackhawk pilot. His lungs were ruined when he was stationed in Iraq and flew planes over cities where the streets were relentlessly burning with trash. He decided to try to protect the environment by taking significant action against plastic after he returned to the United States.
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"So we have about 46 different SKUs within our system, it's about 30 different products, the varieties are based, so it's not just the sheets," he explained. Thus, their venture Sheets Laundry was launched in January 2020, and since then, the company clocked a staggering $2.046 million in sales. Additionally, it operated on a 24% profit and shared a temporary patent with household brand Kimberly-Clark. However, their major concern was that their royalty on the patent was about to expire in 2024. Corcoran used this as an excuse to opt out of the deal, claiming that they couldn't give each of their thirty items the consideration they merited. "I don't think you can sell," she criticized. "Yeah, we're on track to do 7 million in sales," the duo countered her.
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Kevin O’Leary kept it clean while backing out, "I have a deal called Blue land, which also crystallizes cleaning fluids. Quite frankly, I'm competing with you. I'm going after the same customer. I can't compete with myself, guys, I'm out." Mark Cuban dropped out next because he did not want to invest in a global company. Finally, guest shark Daniel Lubetzky agreed to invest $500,000 for 10% equity in the company after the duo revealed that their online re-order subscription service had an impressive 21,000 subscribers. Videau and Campbell stuck with 8%. They finally agreed to $500,000 for 8% equity and 2% advisory shares, closing it with Lubetzky. Sheets Laundry Club currently has more than 75,000 loyal customers. The sustainable product has remained operational after the "Shark Tank" deal and garnered rave reviews from customers on Amazon and Walmart, per Shark Tank Recap.
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