ShredSkinz – Sauna Suit
DEAL
EPISODE SUMMARY
🕓 Air Date: December 2, 2022
Asking For:
$60,000 for 20%
Investor:
Mark Cuban
Deal:
$60,000 for 20%
PRODUCT SUMMARY
ShredSkinz is the first and only single-use sauna suit made of eco-friendly plastic, designed to help users sweat more during workouts, maximize results, and conveniently monitor their sweat progress.
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Background Story
Kalaii Griffin II, an ex-college football player and a dedicated father, founded ShredSkinz out of a personal need. He experienced the inconvenience and embarrassment of using trash bags and reusable sauna suits for his workouts, especially when he needed to make weight or get in shape for specific events. His desire for a convenient solution led to the creation of ShredSkinz.
Kalaii’s journey as an entrepreneur was marked by significant personal struggles, including carrying debt from a business partner who had invested $25,000 for a 25% stake in the company and provided a $100,000 loan. Despite the challenges, Kalaii remained committed to his dream of building ShredSkinz into a successful business.
The Product
ShredSkinz is a single-use sauna suit made from eco-friendly, oxo-degradable plastic. The suit features an elastic waist, wrist cuffs, and a drawstring hood, designed to trap heat, reduce warm-up time, and maximize sweating during workouts.
The unique design allows users to monitor their sweat progress, and the product is primarily targeted at athletes, fighters, and individuals seeking to lose water weight or achieve their fitness goals. ShredSkinz is priced at $19.99 for a 5-pack.
How It Went
The company’s position before Shark Tank
ShredSkinz initially generated $15,000 in sales during its first two months, followed by $190,000 in Q1 of the following year. Year-to-date, the company had made over $100,000 in sales and was projected to reach a quarter-million in annual revenue. The product’s success was boosted by the founder’s viral presence on TikTok, where he gained millions of views and averaged about a million views per week.
ShredSkinz had a successful track record of selling out its inventory, with customers primarily purchasing the product directly. The company had around $35,000 worth of inventory remaining, which had originally cost $80,000. Kalaii Griffin’s goal was to secure funding for manufacturing and inventory, as well as manage and reduce his existing debt.
The Negotiations:
Two sharks showed interest in the pitch. Mark Cuban and Daniel Lubetzky both offered $60,000 for a 20% equity stake in ShredSkinz. Mark Cuban highlighted the potential to increase the profit margin by removing the packaging, providing a valuable business perspective.
In the end, Kalaii chose to accept Mark Cuban’s offer, believing that his expertise and connections would help expand the company further. The emotional pitch resonated with the sharks, and they praised Kalaii for his resilience and determination despite facing personal and financial challenges.
