Show No Towel
DEAL
EPISODE SUMMARY
🕓 Air Date: February 10, 2012
Asking For:
$50,000 for 25%
Investor:
Lori Greiner
Deal:
$75,000 for 25%
PRODUCT SUMMARY
Show No Towels are innovative changing towels designed to allow children to change their clothes without being exposed, initially conceived for poolside convenience but also suitable for daily bath time.
WATCH HERE
IN A RUSH?
Click these to jump to the section you want to read.
Background Story
Shelly Ehler, the founder, conceived the idea for Show No Towels while struggling to change her sons’ wet clothes at the pool. Facing financial difficulties due to the recession, Shelly and her husband, Brian, had to sell their home. Shelly’s chance encounter with a patent attorney neighbor led to the idea’s patenting. With determination and resilience, Shelly turned her idea into a business despite facing numerous challenges.
The Product
Show No Towels are towels with a slit and a poncho design, allowing children to change clothes discreetly. They are made for convenience and privacy, suitable for poolside use and daily bath time.
The towels are patented, and Shelly primarily sells them to water parks for $9 each, with a retail price of $19.99. The product is designed for children but has the potential for broader applications.
How It Went
The company’s position before Shark Tank
Show No Towels has made sales primarily to water parks, with Legoland California being its largest client with an order of 240 towels. Shelly emphasizes the towels’ potential as everyday bath towels for children. The company is seeking funding to expand its operations and increase sales to achieve profitability. Currently, Shelly manages production from home, facing challenges due to the seasonal nature of the business.
The Negotiations:
Shelly initially asks for $50,000 for a 25% stake but receives offers from multiple Sharks. Daymond John offers $50,000 for 50%, citing belief in Shelly’s passion. Lori Greiner offers $75,000 for 25%, seeking to leverage his experience with QVC. Mark Cuban matches Lori’s offer but emphasizes her enthusiasm for the product and her ability to help expand distribution. Shelly chooses Lori’s offer, impressed by her commitment and expertise. Despite objections from other Sharks, Shelly is determined to partner with Lori.
