Stella Valle Jewelry
DEAL
EPISODE SUMMARY
🕓 Air Date: May 17, 2013
Asking For:
$150,000 for 25%
Investor:
Mark Cuban, Lori Greiner (50/50)
Deal:
$150,000 for 35%
PRODUCT SUMMARY
Stella Valle offers a unique accessories line blending masculine and feminine characteristics, inspired by the founders' military background, aimed at encouraging individuality and self-expression.
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Background Story
Paige Dellavalle and Ashley Jung, former U.S. Army officers, founded Stella Valle after their military service. Transitioning from the Army, they sought to express their individuality through fashion. Starting small, they reinvested every dollar into their business, focusing on creating a brand that reflected their style and background.
Despite initial challenges, they secured partnerships with major retailers like Bloomingdale’s and Henri Bendel, proving the marketability of their product. Their journey from military service to entrepreneurship inspired them to create an accessories line that symbolizes strength, empowerment, and self-expression.
The Product
Stella Valle’s accessories line features three collections, including customizable pieces where customers can create their own designs.
The products range from $50 to $375 retail, with manufacturing costs varying from $3 to $45 per piece. Their jewelry incorporates elements such as Swarovski crystals and military-inspired designs.
Stella Valle plans to expand its presence through trunk shows, replicating the successful model across multiple retailers. The founders believe in the power of storytelling to build brand recognition and customer loyalty.
How It Went
The company’s position before Shark Tank
Stella Valle has achieved $75,000 in total sales, with projections to reach $80,000 in the current year. They have secured partnerships with renowned retailers like Bloomingdale’s and Henri Bendel, conducting successful trunk shows to showcase their products. The company’s focus is on expanding its brand presence and reaching a broader audience.
While they have faced challenges in building brand recognition, their innovative designs and compelling story have attracted attention from both customers and investors. Stella Valle is structured to leverage its partnerships and capitalize on opportunities for growth in the accessories market.
The Negotiations:
Initially seeking $150,000 for a 25% stake, Paige and Ashley received an offer from Mark Cuban and Lori Greiner for the same amount but for a 35% stake. They were hesitant to accept, but after negotiation, Mark and Lori proposed investing $200,000 for a 40% stake, emphasizing their commitment and expertise in growing the company. Eventually, Paige and Ashley accepted Mark and Lori’s offer of $150,000 for a 35% stake, excited to partner with them and grateful for the opportunity to expand their business.
