BetterBack Shark Tank Pitch
Katherine is the inventor of BetterBack claims that 8 out of 10 people will have back problems. Her product is designed for you to sit with perfect posture. Her mission is to disrupt the orthopedic isle, and help people to live better.
The device requires that you have to put it around your back, and over your knees. Barbara comments that it is awkward putting the BetterBack on, but once one it is extremely comfortable.
Katherine put together a BetterBack KickStarter launch with a goal of $12,000 and she became the first woman to do over a million on KickStarter. She did $1.2 million. She has $800,000 in the bank, and thinks she can do over $4.2 million in sales.
BetterBack Episode Data
- Company: Better Back – Website
- Entrepreneur: Katherine Krug
- Ask: $750,000 for 7.5% equity
- Episode Season 7 Episode 720
- Companies in this episode:
- First Aired: 02/26/2016
- Deal: Lori Greiner $750,000 as a loan for 7.5% equity with 3 years to pay back and 8% equity
What do the Shark Tank Investors say about BetterBack?
- Mark Cuban – thinks they cannot value this because all she has is KickStarter, and what her core competency is, and now all the things she hasn't done is where your core business starts. Mark went out.
- Barbara Corcoran – Thinks she is asking way too much based on KickStarter sales.
- Kevin O'Leary – comes in at $750,000 for 25% equity. Kevin comes back with another offer. He says if you hit 50% of the forecast you can pay me the $750,000 back in 24 months and I will get 5% equity.
- Lori Greiner – says guess what time it is Robert? It's deal time. Lori doesn't always have the same point of view as the other Sharks. She has a product that they launched on QVC and did $7.5 million in sales. Lori offers $750,000 for 20% equity. The unknown is what will America think of this product. Lori says she will loan the $750,000 for three years at 7.5% interest and 8% equity. Katherine does the deal with Lori.
- Robert Herjavec – says she has all the right answers. To him the business is worth $3.5 million. He says the $750,000 the equity is 20%. The unknown is the risk factor. That gives her a $3.75 million.
BetterBack after Shark Tank
Katherine actually turned down Lori's offer after Shark Tank, and then she went to IndieGoGo where she raised an additional $1.9 million. That's pretty incredible.