Pair Eyewear is actually doing quite well for itself after Shark Tank! Sales through its website are skyrocketing, and they now offer adult glasses as well.
FRAMER SHARK TANK UPDATE
Is this a great deal, or will the entrepreneurs be struck with the old ‘hindsight is 20/20’ situation? Read on in our Shark Tank Pair Eyewear update to find out. Lori counters to $1.50 royalty, and the entrepreneurs agree.
Sensing that they are about to lose their deal, the entrepreneurs respond with a $1 per unit royalty instead. Due to the risk, it’s not really realistic to take advisory shares. Katrina and Lori aren’t thrilled with this idea. The entrepreneurs don’t want a royalty deal and offer a 2% advisory share instead. They offer $400,000 for 10% equity and a $2 royalty per unit until they earn back their investment. That leaves guest shark Katrina Lake and Lori Greiner, who decide that they might want to go in on a deal together. They’re already fundraising again, and he isn’t down for a potential fight with venture capitalists. Mark Cuban is the next to go because of the capital issue. Kevin doesn’t think the concept is safe even with a patent, and he doesn’t like the sales numbers. Robert Herjavec doesn’t think it’s a stand-alone company, so he drops out. The funding situation scares a few of the sharks off immediately. They explain to the sharks that their money went to development, operations expenses, legal costs, FDA costs, and patents. They have $100,000 in the last eight months, but they are dangerously low on funds. The entrepreneurs respond by talking about their market tests, how they’ve raised money, and how they’ve bootstrapped the company from the beginning. Kevin O’Leary is particularly concerned about the eyeglass market, as about 80% of the market is monopolized by a single company. The product is rock solid, but the sharks are more concerned with the numbers, of course. The $95 base frame price includes anti-glare and anti-scratch coating, and each magnetic ‘top’ sells for about $25.
They also want to make them at a lower cost than most large optics retailers, and sell them completely online.
The goal is to create a customizable pair of glasses that kids will want to wear, with stylish options that clip right on top of prescription eyeglasses. Nathan Kondamuri and Sophia Edelstein met at Stanford and quickly came up with the idea for Pair Eyewear after discussing how much Nathan hated wearing glasses as a child.
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