Cousins Maine Lobster Food Truck
DEAL
EPISODE SUMMARY
🕓 Air Date: October 19, 2012
Asking For:
$55,000 for 5%
Investor:
Barbara Corcoran
Deal:
$55,000 for 15%
PRODUCT SUMMARY
Cousins Maine Lobster brings the Maine lobster experience to Southern California through their gourmet lobster shack on wheels, offering signature Maine lobster rolls and more.
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Background Story
Cousins Sabin Lomac and Jim Tselikis, originally from Maine, brought their love for Maine lobster to Los Angeles. Growing up around the lobster industry, they understood the appeal and quality of Maine lobster. Sabin, having transitioned from acting to real estate, and Jim, with a background in various industries, including fishing and hospitality, combined their skills and passion to introduce authentic Maine lobster to the West Coast.
Inspired by the booming food truck scene in Los Angeles, they saw an opportunity to merge the two and launched Cousins Maine Lobster. Their aim was to replicate the iconic Maine lobster shack experience in California, serving fresh lobster rolls made from lobsters shipped directly from Maine within 24 hours.
The Product
Cousins Maine Lobster’s product lineup centers around their gourmet lobster rolls, offering both the signature Maine lobster roll and the Connecticut roll. The signature roll features fresh Maine lobster meat with a touch of mayonnaise on a split-top bun, while the Connecticut roll adds a lemon twist.
The company ensures the freshness of their lobster by shipping it from Maine to California daily, along with other ingredients like bread, maintaining the authenticity and quality of their offerings.
Customers can find Cousins Maine Lobster trucks parked across Los Angeles, with their locations announced through social media channels like Twitter and their website. Pricing for their rolls typically ranges around $13, with costs averaging around $5.85 per roll.
How It Went
The company’s position before Shark Tank
Within just two months of operation, Cousins Maine Lobster generated impressive sales of $65,000 in the first month and $85,000 in the second month, with demand consistently exceeding supply. Their success led to turning down catering events due to capacity limitations. While they currently operate one truck, they aim to expand by adding more trucks to meet the high demand.
Cousins Maine Lobster leverages social media platforms for marketing and customer engagement. They have established connections with suppliers in Maine, ensuring consistent access to high-quality lobster at competitive prices.
The Negotiations:
The Sharks were initially skeptical of the $55,000 investment for only 5% equity, criticizing the valuation of over $1 million for a business that had just started. Mark Cuban quickly bowed out, citing concerns over valuation and the lack of focus on key business metrics. Daymond John expressed interest but found the valuation too high, giving the entrepreneurs one last chance to make a better offer.
Barbara Corcoran ultimately struck a deal, offering $55,000 for 15% equity, believing in the potential of the business and the dedication of the founders. Despite some back-and-forth banter, the deal was sealed, marking a successful outcome for Cousins Maine Lobster on Shark Tank.
