FiberFix – Now FiberWeld
DEAL
EPISODE SUMMARY
🕓 Air Date: October 25, 2024
Asking For:
$90,000 for 10%
Investor:
Lori Greiner
Deal:
$120,000 for 20%
PRODUCT SUMMARY
Fiber Fix is a repair wrap claimed to be 100 times stronger than duct tape, capable of fixing various items such as leaky pipes, broken tool handles, cracked hockey sticks, and even broken furniture.
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Background Story
Eric Child and Spencer Quinn introduced Fiber Fix on the “Shark Tank” stage, showcasing their innovative repair wrap designed to be stronger than duct tape. The founders, Eric Child and Spencer Quinn, came from diverse backgrounds but shared a common goal of creating a product that revolutionized repair solutions. Their journey began with a shared frustration over the limitations of traditional repair methods like duct tape. Recognizing the need for a stronger and more versatile alternative, they embarked on a mission to develop Fiber Fix.
Eric Child likely brought expertise in product development and engineering to the table, evidenced by his demonstration of Fiber Fix’s impressive strength during the pitch. Spencer Quinn’s role may have involved marketing and business development, as he effectively communicated the product’s benefits and market potential to the Sharks. The idea for Fiber Fix stemmed from their desire to provide consumers with a reliable and cost-effective solution for fixing a wide range of household items, from leaky pipes to broken furniture.
Their background experiences, combined with their shared vision for innovation, led them to create Fiber Fix as a durable and easy-to-use repair wrap. Their dedication to quality and functionality paid off, as Fiber Fix quickly gained traction in the market, securing partnerships with retailers and attracting the interest of major investors like the Sharks. Despite facing challenges and skepticism along the way, Eric and Spencer’s perseverance and entrepreneurial spirit propelled Fiber Fix to become a household name in the world of repair solutions.
The Product
Fiber Fix is a groundbreaking repair wrap designed to provide a superior alternative to traditional solutions like duct tape. Made from a specialized blend of resin and industrial-grade fibers, Fiber Fix boasts exceptional strength and durability, claiming to be 100 times stronger than duct tape.
The product is activated by water: users simply dip it in water to activate the resin, wrap it around the broken item, and allow it to harden for about five minutes. Once cured, Fiber Fix forms a rock-solid bond, making it ideal for repairing a variety of items such as leaky pipes, broken tool handles, cracked hockey sticks, and even broken furniture.
One of Fiber Fix’s key benefits is its versatility and ease of use, allowing consumers to tackle repair projects quickly and effectively. It comes in three different sizes – four-inch, two-inch, and one-inch variants – priced at $9.99, $7.99, and $5.99 respectively.
Fiber Fix can be purchased from over 400 independent retailers and is also available through a partnership with Home Depot, with plans for expansion into more retail outlets. Additionally, Fiber Fix is set to appear on QVC, providing consumers with another avenue to access this innovative repair solution.
How It Went
The company’s position before Shark Tank
Fiber Fix has demonstrated promising performance and market traction since its inception. The company showcased robust sales figures of over $100,000 within a few months of launching its product, indicating strong consumer demand and acceptance. They have secured partnerships with over 400 independent retailers and are in the process of expanding their presence through a trial partnership with Home Depot, with plans to test their product in 240 stores.
Additionally, Fiber Fix has received a purchase order from QVC, suggesting an opportunity for further market penetration and exposure to a wider audience. In terms of funding, Fiber Fix did not disclose specific details during the pitch, but they sought a $90,000 investment for 10% equity. They expressed a need for a larger line of credit to support their marketing efforts, particularly for financing purchase orders and funding their expansion into new retail channels.
The company’s structure and financial health beyond the pitch were not explicitly discussed, leaving details such as profits, losses, available capital, and specific funding sources undisclosed. However, their successful sales performance and partnerships suggest a positive outlook for Fiber Fix’s future growth and expansion in the repair solutions market.
The Negotiations:
During the negotiations on “Shark Tank,” Fiber Fix founders Eric Child and Spencer Quinn faced a flurry of offers from the Sharks, each presenting different terms and conditions. Kevin O’Leary kicked off the negotiations with an offer of $90,000 for no equity but with a royalty on sales until his investment was recouped. Robert Herjavec followed with an offer of $90,000 for 10% equity. Lori Greiner then stepped in with an offer of $120,000 for 20% equity, along with financing for purchase orders.
The founders deliberated on the offers, weighing the benefits and drawbacks of each. While O’Leary’s offer provided immediate capital without diluting their ownership, it came with the long-term commitment of royalty payments. Herjavec’s offer provided a favorable equity stake but lacked the additional financing they sought. Greiner’s offer, while requiring a larger equity stake, addressed their need for funding and offered the expertise of the “Queen of QVC.”
After careful consideration, Child and Quinn ultimately accepted Greiner’s offer, recognizing the value of her investment and strategic guidance in scaling their business. The negotiations showcased the founders’ ability to navigate the Shark Tank and secure a deal that aligned with their vision for Fiber Fix’s growth. With the partnership sealed, Fiber Fix gained the resources and support necessary to propel their brand to new heights in the repair solutions market.
