Slawsa – Slaw Meets Salsa
NO DEAL
EPISODE SUMMARY
🕓 Air Date: November 15, 2013
Asking For:
$150,000 for 15%
Investor:
No Deal
Deal:
No Deal
PRODUCT SUMMARY
Slawsa is a unique condiment that combines the flavors of slaw and salsa, offering a versatile option for grilling, tailgating, sandwiches, and dips.
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Background Story
Julie Busha, a resident of Cramerton, North Carolina, is the founder of Slawsa, a unique condiment blending the flavors of slaw and salsa. Busha’s entrepreneurial journey began when she acquired an old family recipe from a former partner. With a background in aggressive sales tactics, she saw the potential in the recipe and decided to turn it into a business venture. Busha’s determination and sales skills were evident from the start. She personally approached retailers, pitching her product and securing placements in over 4,200 stores nationwide within just over a year and a half.
Despite facing initial challenges, such as breaking into a competitive market dominated by traditional condiments, Busha’s persistence paid off. The idea for Slawsa stemmed from a desire to offer something different in the condiment aisle. Busha recognized that traditional condiments like ketchup and mustard had remained largely unchanged for decades and saw an opportunity to introduce a new, innovative option.
By combining the familiar flavors of slaw and salsa, she created a versatile condiment that could enhance a variety of dishes, from grilled meats to sandwiches and dips. Driven by her passion for the product and her belief in its potential, Busha took the leap into entrepreneurship, leveraging her personal savings to invest in the business. Her fiscally responsible approach, combined with her relentless pursuit of success, has been instrumental in Slawsa’s rapid growth and success in the market.
The Product
Slawsa is a revolutionary condiment that combines the familiar flavors of slaw and salsa into a single, versatile product. Available in four delicious flavors – Original, Spicy, Garlic, and Garlic Spicy – Slawsa offers a unique taste experience that sets it apart from traditional condiments.
This innovative condiment can be used in various ways, making it a must-have for any kitchen. It can be used as a topping for grilled fare such as hot dogs, brats, and burgers, adding a burst of flavor to each bite. Additionally, Slawsa can be used as a sandwich spread, enhancing the taste of deli meats and vegetables, or as a dip for tortilla chips, offering a zesty alternative to traditional salsa.
One of the key benefits of Slawsa is its versatility. Whether you’re grilling outdoors, preparing a sandwich for lunch, or hosting a party, Slawsa adds a delicious twist to your favorite dishes. Made with quality ingredients and produced using a hot-fill process, Slawsa ensures freshness and flavor in every jar.
Slawsa is available for purchase at major retailers nationwide, including Kroger and Publix, as well as online through various e-commerce platforms. While it is priced slightly higher than traditional condiments due to its labor-intensive production process, customers appreciate the unique taste and quality of Slawsa, making it a popular choice for those looking to elevate their meals.
How It Went
The company’s position before Shark Tank
Slawsa has demonstrated impressive performance and growth since its inception. With sales reaching $212,000 in the first year and projected to hit $500,000 by the end of the second year, the company has established itself as a significant player in the condiment market. Its presence in over 4,200 stores nationwide, including major retailers such as Kroger and Publix, highlights its widespread appeal and distribution network.
The company’s success can be attributed to Julie Busha’s aggressive sales tactics and strategic approach to securing partnerships with retailers. By personally pitching the product and building relationships with key decision-makers, Busha has successfully positioned Slawsa as a desirable offering in the condiment aisle. Slawsa’s partners include co-packers who handle the production process, ensuring quality and consistency in every jar. Additionally, the company collaborates with wholesalers to distribute its products to retailers across the country, further expanding its reach and accessibility.
Customers of Slawsa span a wide demographic, from barbecue enthusiasts and tailgaters to sandwich aficionados and dip lovers. The product’s versatility and unique flavor profiles appeal to a diverse range of consumers, driving demand and repeat purchases. In terms of funding, Slawsa initially relied on Julie Busha’s personal savings to launch the business and acquire the recipe from a former partner. While the company may explore additional funding opportunities in the future to support its continued growth and expansion, its current financial position is stable, with profits reinvested into production, marketing, and distribution efforts.
The Negotiations:
During the negotiations on Shark Tank, Julie Busha sought a $150,000 investment for a 15% stake in Slawsa. Despite the company’s impressive sales and growth, none of the sharks made an offer. While some expressed admiration for Busha’s business acumen and sales achievements, they ultimately passed due to personal preferences or concerns about the valuation and the risks associated with a one-woman business.
Mark Cuban acknowledged Slawsa’s success in securing placements in major retailers and achieving substantial sales figures but expressed hesitancy due to his personal taste preferences. He appreciated Busha’s entrepreneurial spirit but felt the product wasn’t a fit for him, leading him to decline making an investment. Kevin O’Leary, known for his focus on profitability, was intrigued by Slawsa’s sales numbers but felt the valuation didn’t reflect the risk associated with a one-woman business. He decided not to invest, emphasizing the importance of balancing risk and return.
Despite not securing a deal, Julie Busha remained determined and expressed gratitude for the opportunity, vowing to continue growing her business despite the lack of investment from the sharks. While disappointed, Busha remained confident in Slawsa’s potential and her ability to succeed. The negotiation served as a learning experience, highlighting the challenges and opportunities of entrepreneurship on a public platform like Shark Tank.
