The Frozen Farmers – Frozen Ice Cream
DEAL
EPISODE SUMMARY
🕓 Air Date: March 27, 2020
Asking For:
$125,000 for 20%
Investor:
Lori Greiner
Deal:
$125,000 for 30%
PRODUCT SUMMARY
The Frozen Farmer turns misfit fruits and vegetables into super-premium ice cream, dairy-free sorbet, and a unique blend called Nice Cream, offering a farm-to-table frozen treat.
WATCH HERE
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Background Story
Katey Jo Evans, a former beauty queen from Bridgeville, Delaware, presents The Frozen Farmer on Shark Tank. Born into a family with over 75 years of farming history, Katey Jo is not the typical image of a farmer, having married into farming. The Evans family owns a third-generation family farm, and Katey Jo, along with her husband, has transformed it into a 2,000-acre operation.
The journey into farming wasn’t without challenges. Katey Jo’s husband inherited the farm from his father, a volunteer firefighter who lost his life in the line of duty. Despite initial uncertainties and tough years, the couple hustled to not only preserve the family farm but also expand it. From a 65-acre dream to a thriving 2,000-acre operation, Katey Jo’s passion for farming and entrepreneurship shines through.
The Product
The Frozen Farmer addresses food waste by using misfit fruits and vegetables to create a range of frozen treats. The product line includes super-premium ice cream, dairy-free sorbet, and a unique blend called Nice Cream.
The ice creams are known for their richness and creaminess, with low-calorie options such as the honeydew sorbet with only 50 calories per serving. The packaging emphasizes the use of misfit fruits, aligning with a farm-to-table ethos.
The Frozen Farmer’s products are currently sold in 70 grocery chain stores, with Giant Foods being a major buyer. The company’s retail space has been provided by grocery stores impressed with the quality of Evans Farms produce.
How It Went
The company’s position before Shark Tank
Established in 2015, The Frozen Farmer has shown substantial growth, with $310,000 in sales in 2019. The product has gained popularity, and the company faces increasing demand. However, the current production capacity is a bottleneck, and Katey Jo is seeking an investment to take the business to a co-packer level.
While the majority of sales are through wholesale and on-farm channels, grocery sales account for only 15%. The challenge lies in scaling nationally, and Katey Jo acknowledges the need for industry expertise and capital to keep up with the demand. The Frozen Farmer has achieved success locally, but expanding to larger markets requires strategic planning and resources.
The Negotiations:
The negotiations involved a detailed discussion about the challenges of the ice cream business, particularly in terms of shipping and refrigeration. Barbara Corcoran and Daymond John expressed concerns about the difficulty of scaling nationally and the competitive nature of the industry.
Ultimately, Lori Greiner made an offer of $125,000 for 30% equity, contingent on landing a major national chain for the product. Katey Jo accepted the offer, expressing excitement and gratitude. Lori also committed to helping with packaging redesign and providing guidance to enhance the product’s market presence. The deal was seen as a significant milestone for The Frozen Farmer, and Katey Jo left the Tank with a new partnership to help her navigate the challenges of scaling the business.
