Geek Chic Gaming Furniture
DEAL
EPISODE SUMMARY
🕓 Air Date: May 17, 2013
Asking For:
$100,000 for 5%
Investor:
Robert Herjavec
Deal:
$300,000 for 25%
PRODUCT SUMMARY
Geek Chic creates high-quality, multi-functional furniture designed for geeks and enthusiasts, such as gaming tables that double as dining tables and desks.
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Background Story
Geek Chic, founded by Robert Gifford in Lynnwood, Washington, was born out of Robert’s passion for geek culture and the need to organize his extensive collection of geek paraphernalia in a way that was aesthetically pleasing to his wife. Recognizing the demand for functional and stylish furniture in the geek community, Robert began designing and crafting unique pieces that seamlessly blend into any home environment while catering to the specific needs of enthusiasts.
With the belief that geeks deserve furniture that reflects their passions and lifestyles, Geek Chic aims to revolutionize the furniture industry by offering high-quality, customizable pieces tailored to individual preferences.
The Product
Geek Chic’s flagship product is the Emissary Dining Table, made from premium black walnut and featuring a hidden second surface that can be used for gaming, storage, or as a desk. The table also includes customizable accessories such as bins, counter holders, and wine glass holders.
Other products in Geek Chic’s lineup include gaming chairs and cabinets. Each piece is meticulously crafted with attention to detail and functionality, catering to the needs of geeks and enthusiasts who value both style and practicality.
Customers can purchase Geek Chic furniture directly from their website or through select retailers, with prices ranging from $3,500 for the Emissary Dining Table.
How It Went
The company’s position before Shark Tank
Geek Chic has seen significant success in terms of sales, with $2 million in revenue generated in the previous fiscal year. However, the company faced challenges in profitability, operating at a loss of $100,000 on the $2 million revenue. Despite this, Geek Chic has demonstrated resilience in a competitive market, focusing on North American craftsmanship and quality rather than attempting to compete with overseas manufacturers on price alone.
The company’s strategic approach to product design and positioning has garnered attention and potential for growth. Geek Chic’s current structure revolves around direct sales and potential retail partnerships, with plans to invest in expanding shipping operations and increasing production efficiency. While the company has secured significant revenue, it seeks additional capital to fuel expansion and capitalize on market opportunities.
The Negotiations:
Despite garnering interest from multiple sharks, including an initial offer of $200,000 for 25% from Daymond John, Robert ultimately declined all offers, citing a misalignment in vision and valuation. Robert Herjavec offered $300,000 for 25%.
Although Daymond’s offer represented a significant increase in valuation, Robert Gifford ultimately decided to accept Robert Herjavec’s offer of $300,000 for a 25% equity stake. Robert is confident that Geek Chic’s potential remains unwavering, as he believes in the company’s ability to thrive and disrupt the furniture industry.
