The Last Lid Garbage Can Cover
DEAL
EPISODE SUMMARY
🕓 Air Date: February 17, 2012
Asking For:
$40,000 for 20%
Investor:
Daymond John
Deal:
$40,000 for 60%
PRODUCT SUMMARY
The Last Lid is a fabric replacement for garbage can covers, designed to solve the problem of lost or missing lids, made of water-resistant polyester material with added security features.
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Background Story
Kevin and Melissa Kiernan from Waldwick, New Jersey, faced a common suburban nuisance: raccoons getting into their garbage. Fed up with constantly losing their garbage can lids, Kevin, with the help of his daughter, devised a solution. The idea stemmed from their frustration with the lack of options for purchasing just the lid, leading them to create The Last Lid. Through trial and error, including recording raccoon interactions to refine their product, they arrived at a universal, fabric replacement lid.
The Product
The Last Lid is a durable, water-resistant polyester cover designed to fit most standard-sized garbage cans. It features handles for easy attachment, a Velcro strap for added security, and a metal clasp for durability.
The lid is designed to withstand raccoon tampering and is machine washable for easy maintenance. The product can be purchased online and potentially in retail stores, with a proposed price of $19.95 for a set of two lids.
How It Went
The company’s position before Shark Tank
At the time of the pitch, The Last Lid had no sales but had completed its prototype and secured a patent pending. Production costs were estimated at $3.50 per unit, with a proposed selling price of $19.95 for two lids. While the Kiernans aimed for widespread retail distribution, they lacked sales data and had not yet secured any retail partnerships. They presented a valuation of $200,000, which the Sharks found ambitious given the lack of sales and retail presence.
The Negotiations:
The Kiernans initially sought $40,000 for a 20% stake but faced skepticism from the Sharks due to the absence of sales and tight profit margins. Despite several Sharks opting out, Daymond John made a deal, offering $40,000 for a 60% stake in the company, which the Kiernans accepted. This deal marked a departure from their initial valuation but provided them with the resources and expertise needed to bring their product to market.
