The Coop – Kid’s Play Space
DEAL
EPISODE SUMMARY
🕓 Air Date: December 4, 2012
Asking For:
$150,000 for 15%
Investor:
Barbara Corcoran
Deal:
$150,000 for 15%
PRODUCT SUMMARY
The Coop is an innovative indoor/outdoor play and party space designed for kids and parents to enjoy together, offering modern amenities and a cool atmosphere.
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Background Story
Lucinda Gould and Juliet Boydstun, both friends residing in Los Angeles for nearly two decades, were frustrated with the lack of enjoyable places for parents and kids. They decided to fill the gap by creating The Coop, a stylish and modern play and party space. Their vision was to provide a place where both kids and parents could have fun, with clean, modern designs and amenities. Having experienced the shortcomings of existing kids’ places firsthand, they were motivated to create something better, combining their passion for fun and their entrepreneurial spirit.
The Product
The Coop offers a unique indoor/outdoor play and party space that caters to both children and parents. The environment features modern amenities, clean designs, and a cool atmosphere. Party packages range from $595 to $4,000, accommodating up to 15 kids for a two-hour event.
The Coop has gained popularity among various clientele, including celebrities and regular moms. It operates profitably, making around $5,000 every weekend. Customers can book parties and events directly through The Coop’s website or by contacting them directly.
How It Went
The company’s position before Shark Tank
The Coop has been successful in attracting a diverse customer base, including celebrities and regular moms. They operate profitably, generating $5,000 in revenue every weekend, with an annual income of $350,000. Their initial investment of $125,000 was obtained through a business loan. Lucinda and Juliet make around $100,000 in profits annually. The company’s structure is currently lean, with the founders managing operations themselves.
The Negotiations:
Initially seeking $150,000 for a 15% stake, Lucinda and Juliet emphasized their need for business expertise to grow their venture. However, the Sharks raised concerns about the scalability of the business model. While several Sharks expressed admiration for the founders’ success, they ultimately passed on investing due to various reasons, including concerns about scalability and market reach.
Barbara Corcoran made an offer of $150,000 for a 15% stake with the condition of a personal guarantee for repayment within two years. The founders accepted Barbara’s offer, valuing her business expertise and guidance in scaling their business.
