Prepdeck Meal Prep Station
NO DEAL
EPISODE SUMMARY
🕓 Air Date: March 18, 2022
Asking For:
$750,000 for 7%
Investor:
No Deal
Deal:
No Deal
PRODUCT SUMMARY
Prepdeck is an all-in-one recipe preparation system designed to facilitate organized and stress-free meal preparation.
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Background Story
Prepdeck, a revolutionary kitchen organization system, was founded by Alexander Eburne, a visionary entrepreneur based in Los Angeles, California. Alexander, driven by his passion for cooking and a keen understanding of the challenges home cooks face, embarked on a journey to simplify the cooking process and enhance kitchen organization. Prior to founding Prepdeck, Alexander accumulated valuable experience in product development and business management, equipping him with the necessary skills to navigate the intricacies of the consumer goods industry.
His profound understanding of consumer needs and his own struggles in the kitchen inspired him to create a practical solution that would streamline the cooking experience for individuals and families. Motivated by his personal experiences in the kitchen, including the challenges of meal preparation and the subsequent cleanup, Alexander sought to develop a comprehensive solution that would not only facilitate efficient cooking but also contribute to a more enjoyable and stress-free culinary experience for individuals with varying levels of cooking expertise.
Drawing on his entrepreneurial drive and a deep-seated commitment to enhancing the cooking process, Alexander’s journey with Prepdeck exemplifies a fusion of passion, innovation, and a profound understanding of the needs of modern home cooks, positioning Prepdeck as a significant player in the kitchen organization and culinary convenience space.
The Product
Prepdeck is an innovative all-in-one recipe preparation system designed to streamline and simplify the cooking process, catering to the needs of home cooks seeking efficient meal preparation solutions. This comprehensive system comprises 15 modular and stackable containers that serve as both storage units and measuring tools, eliminating the need for separate utensils and reducing kitchen clutter. The containers are complemented by an array of prepping tools, including a zester, grater, juicer, and peeler, all conveniently attached to the containers to ensure a seamless and organized cooking experience.
Furthermore, the system features a spacious detachable cutting board, facilitating easy and efficient food preparation, while a dedicated compartment for collecting scraps promotes cleanliness and ease of disposal. A designated space for electronic devices allows users to access recipes effortlessly, enhancing the overall cooking experience. With a retail price range of $99 to $119, Prepdeck offers a cost-effective and practical solution for individuals seeking an organized and stress-free culinary journey.
Available for purchase through its official website and popular e-commerce platforms such as Amazon, Prepdeck is accessible to a wide audience of home cooks, promising not only enhanced organization in the kitchen but also a more enjoyable and efficient cooking process. With its user-friendly design and comprehensive functionality, Prepdeck serves as an indispensable tool for individuals of all culinary skill levels, catering to the needs of those seeking convenience and organization in their cooking endeavors.
How It Went
The company’s position before Shark Tank
Prepdeck has demonstrated robust performance and steady growth, solidifying its position as a key player in the culinary organization market. With a focus on direct-to-consumer sales, the company has successfully generated substantial revenue, reaching $1 million in 2019, followed by an impressive surge to $6.2 million in 2020. Projections indicate that the company is poised to surpass $10 million in revenue for the current fiscal year, highlighting its strong market presence and growing customer base.
Primarily operating through its official website and the renowned e-commerce platform Amazon, Prepdeck has strategically positioned itself to cater to a diverse customer demographic seeking efficient and organized meal preparation solutions. The company’s emphasis on customer acquisition is evidenced by its significant investment in advertising, accounting for approximately 25% of its total revenue in 2020. With a product cost of $31 and a commendable gross margin of 69%, Prepdeck has effectively managed its expenses, resulting in a net profit of $525,000. This financial stability and profitability underscore the company’s robust business model and efficient operational strategies.
In terms of funding, Prepdeck has primarily relied on its successful crowdfunding campaign on Indiegogo, which initially aimed for $25,000 but remarkably generated $350,000 in sales. Additionally, the company’s current financial structure and available capital have allowed for strategic allocations, with $250,000 designated for inventory and inventory buffer, another $250,000 earmarked for ongoing product development, and the remaining funds intended for team expansion.
The Negotiations:
During the negotiation phase on Shark Tank, Alexander Eburne, the founder of Prepdeck, presented his business proposition, seeking a $750,000 investment in exchange for a 7.5% equity stake in his company. While all Sharks showed keen interest in the innovative product and the company’s impressive financial performance, they presented varying offers and perspectives.
Kevin O’Leary, also known as Mr. Wonderful, proposed a venture debt loan of $750,000 at 9.5% interest for 36 months, along with a 5% equity share. While Alexander attempted to negotiate the terms, Kevin remained firm in his position, emphasizing his extensive business acumen and the potential value he could bring to Prepdeck’s growth. Other Sharks, including Mark Cuban, Lori Greiner, and Barbara Corcoran, expressed appreciation for the product and the company’s accomplishments but ultimately opted out of making offers. Lori and Mark, in particular, highlighted the need for greater excitement about the company’s future, indicating that they were not fully convinced about the potential for further growth.
Despite the promising negotiations and the intriguing offers, Alexander declined Kevin’s proposition, citing a misalignment with his vision for the company and his preference for a deal that would better complement Prepdeck’s trajectory. While the negotiations did not result in a final agreement, the positive reception from the Sharks served as a testament to the potential and viability of Prepdeck’s innovative solution in the culinary market.
