Kwik-Hang – Curtain Rod Brackets
NO DEAL
EPISODE SUMMARY
🕓 Air Date: October 22, 2017
Asking For:
$80,000 for 20%
Investor:
No Deal
Deal:
No Deal
PRODUCT SUMMARY
Kwik-Hang Curtain Rod Brackets are patented, one-of-a-kind hardware that allows for easy and quick installation of curtains without the need for nails, screws, or measuring.
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Background Story
Derrek Burr, the founder and CEO, is a police officer and former Marine from North Attleboro, Massachusetts. Inspired by the challenges of hanging curtains, Derrek developed Kwik-Hang Curtain Rod Brackets to simplify the process. The idea originated from his father, who, having faced skepticism, started a similar business in the jewelry industry.
Derrek’s father believed in the product, obtained patents in 2013, and built the business, which Derrek now runs after his father’s passing in April. Derrek’s commitment to the venture is both personal and driven by the desire to honor his father’s legacy.
The Product
Kwik-Hang Curtain Rod Brackets revolutionize curtain installation with a unique design that eliminates the need for nails, screws, and measuring. The patented brackets accommodate curtain rods from half an inch to an inch in diameter, providing a fast, secure, and damage-free hanging solution.
The product’s ease of use is demonstrated in a quick tap-and-install process, saving users time and effort. The brackets are available in different sizes, catering to various curtain rod dimensions.
The company sells singles for $10.95 and doubles for $17.95, with manufacturing costs of $3.15 and $4, respectively. Kwik-Hang operates primarily online through its website, eBay, and recently signed a deal with Houzz.
How It Went
The company’s position before Shark Tank
The company has been in operation for about three years, with total sales of $120,000. However, this year’s sales are $31,000, down from $42,000 the previous year. Derrek manages the business while working full-time as a police officer. The current focus is on expanding the brand, transitioning from his father’s apartment-based operations to a warehouse space, and investing in packaging for wider distribution. Despite the modest revenue, the company has a solid profit margin, generating approximately $7,000 from the $31,000 in sales.
The Negotiations:
The Sharks expressed concerns about the product’s limitations, such as accommodating larger curtain rods. Despite Derrek’s willingness to expand, the tooling costs were cited as a challenge. The Sharks also questioned the scalability and distribution challenges, given Derrek’s part-time commitment due to his role as a police officer. The suggestion of a licensing deal was put forth, emphasizing the potential for passive income through royalties.
However, none of the Sharks made an offer, expressing reservations about the business’s readiness for significant growth. While Derrek showcased passion and dedication, the Sharks collectively decided not to invest, citing the small size of the opportunity and concerns about scalability. Derrek left the Tank without a deal but remained determined to prove the Sharks wrong and continue building his father’s legacy.
