“How Do You Roll?” Is a restaurant that sells Sushi. They let their customers pick what they want on theirs when they order their food. Peter Young demonstrates the Sushi making process on their Shark Tank pitch.
Yuen and Peter grew up in the restaurant business determined not to work in the food industry, but he’s still in and loves his company.
“How do you roll?” sold forty franchises, and have fifteen locations opened and operating. The first one is one year old, and the average ticket is $10-12. They are profitable.
Cashflow on royalties alone is $250,000 with sales on the two corporate stores are $1,000,000. Each location costs $270-300,000 all in to get open. The royalty fees come directly out of the checking accounts of their franchisees.
How Do You Roll? Letter of intent for Purchase
They have a letter of intent for a buyer who wants to purchase seventy-five percent for $6.6 million, but they are not likely to take the offer.
Company: How Do You Roll?
Website
Entrepreneurs: Peter Young and Yuen Young
Ask: $1,000,000 for 12% equity
Companies in this episode: Gotta have S’More, How Do You Roll?, Pretty Padded Room, Smartwheel, Update: Invis-A-Rack
Season 4 Episode 416
Sharks: Mark Cuban, Daymond John, Kevin O’Leary, Lori Greiner, Robert Herjavec
First Aired: 02/14/13
Deal: Kevin O’Leary $1,000,000 for 17.5% and a monthly distribution to the owners of the company.
What do the Shark Tank Investors say about How do you roll?
- Mark Cuban did not make an offer on this pitch.
- Daymond John says the profit you make in food is in liquor and beverages, desserts, and appetizers. You are selling fresh fish so, he is out.
- Kevin O’Leary says he will give them $1,000,000, but he wants 22% of the business. He wants a distribution that comes to the owners every month. Kevin wants a check every month. Kevin says he will force disciplines that will make you thank me in five years. They counter Kevin, asking him to come down to fifteen percent, and Kevin offers 17.5%. They accept Kevin’s offer.
- Barbara Corcoran says she recently got involved in two different food franchises and she is quickly learning how difficult it is. She thinks her presentation is a little too buttoned up, so she is out.
- Robert Herjavec says excellent presentation and food. He can’t help them with the operation, and they are running a great business, but he is not going to spend a million dollars today, he is out.
After Shark Tank – How do you roll?
Kevin O’Leary did not close the deal with Yuen and Peter Young. The Austin restaurant closed, and according to a Wikipedia report, the other restaurant was acquired by a private restaurant group.
Some reports have as many as 400 Franchises opening at some point in the future, but there is no official website representing the franchise location or any information about them.