Fohawx Bicycle Helmets
NO DEAL
EPISODE SUMMARY
🕓 Air Date: December 6, 2013
Asking For:
$150,000 for 30%
Investor:
No Deal
Deal:
No Deal
PRODUCT SUMMARY
FOHAWX! are decorative, funky foam helmet accessories designed to make safety helmets more appealing to children.
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Background Story
FOHAWX! is the brainchild of Jocelyn Fine and Kelly Dineen, two determined mothers hailing from Bayonne, New Jersey. Their journey into entrepreneurship began with a common parental struggle: getting children to wear their safety helmets. Recognizing the lack of appeal in traditional helmet designs, particularly for their daughter, Maya, Jocelyn and Kelly embarked on a mission to transform safety gear into something kids would willingly embrace. The idea for FOHAWX! was sparked during a family bike ride, where Jocelyn’s son adamantly refused to wear his helmet.
Witnessing this common challenge, Jocelyn’s daughter, Maya, took matters into her own hands. Armed with a glue gun and some purple tissue paper, she fashioned a vibrant Mohawk onto her brother’s helmet, instantly altering his perspective. His newfound enthusiasm for wearing the helmet not only impressed his family but also ignited a spark of inspiration in Jocelyn and Kelly. Drawing from their personal experiences as mothers and entrepreneurs, Jocelyn and Kelly saw an opportunity to revolutionize children’s safety gear. They envisioned a product that would merge functionality with fun, appealing to both children and parents alike.
Thus, FOHAWX! was born—a line of decorative foam helmet accessories designed to inject personality and excitement into the world of safety helmets. With their passion for innovation and dedication to keeping children safe, Jocelyn and Kelly embarked on the journey of bringing FOHAWX! to life. Their background in parenting, combined with their entrepreneurial spirit, fueled their determination to create a product that not only met a need but also brought joy to families everywhere. Through their hard work and ingenuity, they sought to redefine the way children perceive and interact with safety gear, one FOHAWX! at a time.
The Product
FOHAWX! offers a creative solution to the age-old problem of getting children to wear their safety helmets. These decorative foam helmet accessories are designed to add flair and personality to standard helmets, making safety gear more appealing to kids. Each FOHAWX! accessory comes in a variety of vibrant colors and funky styles, allowing children to express their individuality while staying safe.
The product is incredibly easy to use, thanks to its self-adhesive Velcro strips, which securely attach to any safety helmet. This versatility means that FOHAWX! accessories can be easily removed and reattached, allowing children to mix and match styles or swap with friends. This feature not only encourages children to wear their helmets consistently but also fosters a sense of creativity and ownership over their safety gear.
Priced at $19.99 MSRP with a production cost of $5, FOHAWX! accessories offer excellent value for parents seeking an affordable yet stylish solution to helmet-wearing battles. Currently available in over 80 specialty retail toy stores across the United States, FOHAWX! is also undergoing testing with major mass-market retailers like Toys “R” Us and Walmart online.
How It Went
The company’s position before Shark Tank
FOHAWX! has demonstrated moderate success since its inception, with a solid presence in over 80 specialty retail toy stores across the United States. Additionally, the company is undergoing testing with major mass-market retailers such as Toys “R” Us and Walmart, albeit online only at this stage. Despite their widespread availability, concerns have been raised about the company’s performance metrics, notably the relatively low sales figures per store. The company’s primary customers are parents seeking fun and innovative solutions to encourage their children to wear safety helmets.
While FOHAWX! has garnered interest from international distributors and flash sale websites, their sales figures, totaling $50,000 over the past year, indicate room for improvement. With a production cost of $5 per unit and an MSRP of $19.99, FOHAWX! has the potential for healthy profit margins, but their current sales figures suggest room for optimization. FOHAWX! is structured as a small entrepreneurial venture led by founders Jocelyn Fine and Kelly Dineen. Their funding primarily comes from their own investment and sales revenue generated from the product.
However, they sought additional funding during their appearance on “Shark Tank,” requesting $150,000 in exchange for 30% equity in the company. Unfortunately, they did not secure a deal with the Sharks, leaving their current funding status uncertain. To improve their position and drive growth, FOHAWX! may need to reassess their marketing strategies, product pricing, and distribution channels. Additionally, they may benefit from seeking guidance and expertise in areas such as global expansion and licensing to unlock new opportunities for the company.
The Negotiations:
During the negotiation process on “Shark Tank,” FOHAWX! founders Jocelyn Fine and Kelly Dineen faced scrutiny and skepticism from the Sharks regarding their product’s market viability and sales performance. Despite the founders’ enthusiasm and determination, they struggled to convince the Sharks of the product’s potential. Initially seeking $150,000 in exchange for 30% equity in the company, the founders failed to secure a deal as all Sharks ultimately opted out.
Barbara Corcoran was the first to bow out, expressing concerns about the company’s low sales figures and advising the founders to face the reality of their situation. Mark Cuban, Daymond John, and Lori Greiner followed suit, citing similar concerns about the product’s competitive landscape and market demand. Kevin O’Leary, known as “Mr. Wonderful,” questioned the founders’ business strategy and expressed doubts about their ability to succeed. While he acknowledged the potential of the product, he ultimately deemed it too risky and declined to invest.
Despite the Sharks’ unanimous decision to pass on the opportunity, the founders remained steadfast in their belief in FOHAWX! and their commitment to its success. They left the Tank with their heads held high, determined to continue their journey and prove the naysayers wrong. Overall, the negotiation process highlighted the challenges faced by the founders in convincing the Sharks of the product’s potential, underscoring the importance of addressing concerns about sales performance and market viability in future endeavors.
