Shark Jimmy went all in and tripled the offer for an outstanding startup
06 August 2022 By papmall®
After going home empty-handed in the latest episodes, Shark Jimmy decided to go all in and even tripled an initial offer to get his favorite startup to join #TeamSharkJimmy. In episode 5 of Shark Tank Vietnam, Shark Jimmy Lee’s choices were an accommodation technology startup, an electronic device for phones and laptops startup, and an educational toy startup.
Shark Jimmy tried out a special smoothie product from a startup
The first Duel Pitch round of Shark Tank that completely changed Shark Jimmy’s decision
Episode 5 witnessed the first Duel Pitch that ever happen on Shark Tank Vietnam. Two startups of the same category - educational games for children, the Beekids and Bunny Boo were competing against each other to get into the pitching round. Beekids is an educational technology platform that creates online games for kids and supports parents with teaching methods and lessons for their children. Beekids asked for $130.000 in exchange for 10% of its company stocks. On the other hand, Bunny Boo is a toy company that applies the Montessori method to create physical and educational toys for toddlers to help them reach their full potential from a very young age. Bunny Boo called $65.000 for 20% of its company.
After a heated discussion among the Sharks, Bunny Boo was the winner and made it into the pitching round, Beekids had to wait out for a year and were given the opportunity to enter Shark Tank Vietnam season 6. Shark Jimmy and Shark Bình were rooting for Beekids because they believed Beekids its online platform could go further and easier to scale up. Shark Liên, Shark Phú, and Shark Hưng chose Bunny Boo because they didn’t want the children to get in contact with technology for too long too soon, so they preferred physical products for babies.
The Sharks discussed intensely over the winner of the first Duel Pitch
Bunny Boo prides itself on products’ safety and “the most high quality and unique toys with the lowest prices that any mom can find”. After listening to Ms. Trần Thanh Thảo - CEO and founder of Bunny Boo presentation, Shark Jimmy asked a question about her distribution channel and goal for the future. To which Ms. Thảo replied that her company was currently only available in mom & kid shops, bookstores, toy shops, and the General Trade channel. She was looking for more funds to get Bunny Boo products into the Modern Trade channel, supermarket chains, and even export to the global market.
When it’s time for the Sharks to make their offers, Shark Phú backed out from the game, and to everyone’s amazement, Shark Jimmy changed his mind and decided to invest in this startup with $65.000 for 50% of Bunny Boo. With 50%, Shark Jimmy would accompany Bunny Boo with all the strategy planning, allocating the startup’s resources, changing its business model to D2C - direct to customers, as well as developing the company’s distribution channel, supporting it on Omni Channel to increase sales volume. In 2019, Shark Jimmy Lee created an international ecommerce platform called papmall® that provides shoppers a place to sell and buy products with maximum convenience. Therefore, if Bunny Boo joined BIN Corporation Group ecosystem, it would have benefited a lot from Shark Jimmy and papmall® support system.
Shark Hưng also made an offer of $65.000 for 45% stocks and said he would help Bunny Boo in marketing and planning its business strategy. Shark Liên was the last one to price her offer with $65.000 for 36% and she even said she would cover the insurance for all of Bunny Boo’s products to guarantee parents that they are baby-friendly. Feeling the heat of the competition, Shark Jimmy lowered his bargain to $65.000 for just 35% of the startup and kept the said terms and support. In reply to Shark Jimmy’s move, Shark Hưng and Shark Liên decided to join forces and created a combination of 2 Sharks changing the offer to $65.000 for 36% of the company stocks. This was an unrefusable offer to the founder of Bunny Boo, Ms. Thảo decided to close the deal with Shark Hưng & Shark Liên with $65.000 for 36% of her startup.
Shark Jimmy Lee took note of some of the great innovations made by startups
Electronic device startup got a one-in-a-million deal with a generous Shark
The second startup of episode 5 was electronic device and accessory startup Velasboost. The startup got a quite impressive profile and a massive ambition joining Shark Tank Vietnam 2022. Mr. Lê Hải Vũ, founder of Velasboost, wanted to call $200.000 for 15% of his company stocks. The competitive edge of this startup is that its products for the phone, tablet, and laptop ecosystem have all the required licenses and certifications from Apple and Qualcomm, and its price is more affordable than other products in the same segment. After just a year of foundation, Velasboost has designed 29 products, sold almost 25.000 items, gained a revenue of $250.000 and a gross profit of $85.000.
After a series of questions, 3 of the Sharks were eager to have this startup join their team. Shark Jimmy gave more than what the startup was asking for, a deal of $350.000 for 47% of Velaboost. Shark Jimmy said that he wouldn’t want to take over Mr. Vũ’s control of his business, so he would just accompany the startup with the funding and marketing, and he would also help Velasboost to join his global ecommerce platform on papmall® . Shark Liên made a deal of $190.000 for 49% of the startup stocks and stated that she would help with marketing and introduce Velasboost products to her technology-lover community. Shark Phú offered $250.000 for 50% control of the company, and promised to let Velasboost join his SunHouse’s ecosystem. By signing with Shark Phú, Velasboost would be able to access all of SunHouse’s manufacturing and storage facilities, as well as combine with their distribution line into electronic supermarkets and MT channel. Therefore, the startup could expand its business scale and sales volume by at least 10 times, and in the future if it needed more funding, Shark Phú would be more than happy to help.
Standing in front of the Sharks tempting offers, Mr. Vũ had to take a minute to discuss with his fellow team members. Finally, he decided to go with Shark Phú’s generous offer of his full support and $250.000 for 50% of Velasboost company stocks. In the future, with Shark Phú’s commitment, when the startup needs to expand its business, he can just ask Shark Phú for more funding and won’t need to go on another startup pitching show.
Shark Jimmy tripled the offer for an outstanding accommodation technology startup
The last startup that joined the pitch was HANZ, an accommodation technology startup that specializes in upgrading hotels and boosting them on OTA, booking platforms. Mr. Tân Trần and Trần Bá Hoàng Minh are the founders of this renovating startup and they wished to call $100.000 for 1.5% of its company stocks. HANZ described its business model as similar to Indian accommodation company OYO. The founders said that they access and support a hotel with 3 factors:
- Increase the hotel’s revenue by 20% thanks to the help of the ASE - Automated Sales Engine, OTA, and GDS - Global Distribution System.
- Lower 18% budget of marketing and inefficient human resources.
- Improve the hotel quality, hygiene, and convenience to 3 stars and maximize customer experience.
In 2021, HANZ’s Gross Merchandise Volume was around 1 million USD, its net revenue was $100.000 and its profit was $50.000. Up to this day, HANZ has developed its service in 22 cities in Vietnam and had over 200 accommodation partners using its system. The startup’s ambition was to expand its scale up to 3.000 partners in 86 Vietnam cities and reach out to 4 South East Asian countries within 18 months.
After carefully listening to the startup’s presentation, Shark Liên and Shark Hưng decided to back out of the deal. Shark Phú offered the accommodation technology startup $100.000 for 15% of its stocks. On a side note, Shark Bình commented that “HANZ is a capital-intensive business model”, and their calling for just $100.000 might not be enough. The founders responded that so far they have only invested $86.000 and have already upgraded 200 hotels in 22 cities of Vietnam, so an extra $100.000 would be just fine for them to reach their near future business plan.
Taking Shark Bình’s remark into consideration, Shark Jimmy finally made his offer, he tripled what the startup was asking for and decided to give the startup 300.000 US Dollars in exchange for 35% of HANZ stocks. And if the business developed as great as Mr. Tân and Mr. Minh’s strategy, Shark Jimmy would invest an extra $200.000 and back down his shares to only 30% because he wouldn’t want to hold too many stocks and discourage the founders of HANZ. He also added that he would support the startup with his own OTA and booking engine Travelner, so that in the future HANZ could join BIN Corporation Group ecosystem and be more independent from the current OTA systems and could avoid the risk of their algorithm affecting the startup.
The founders hesitated for a while and added their condition that within 24 months if HANZ’s profit exceeds the amount of funds Shark Jimmy Lee invested, they would buy 10% of Shark Jimmy’s stocks at the current price and give him 15% interest. Shark Jimmy Lee agreed with their terms and successfully closed his third deal on Shark Tank Vietnam season 5.
Shark Jimmy closed his third deal on Shark Tank Vietnam season 5 successfully with accommodation technology startup HANZ
About BIN Corporation Group
BIN Corporation Group is a multidisciplinary international corporation with many different fields and business activities. Established in 2009, with 10 member brands, BIN Corporation Group has developed a tech-applied enterprise service ecosystem and always aims to grow our credibility and create a strong position in the world economy market.
Member companies of BIN Corporation Group: papmall®, PayCEC, BIN Media, OneIBC, DNBC Financial Group, GIS, MobCEC, Travelner, Khải Hưng Group
papmall® is an international ecommerce platform that connects sellers and buyers from all over the world. papmall® brings shoppers an easy, secure, and convenient online shopping experience. In addition to giving selling solutions to global providers to optimize sales revenue.
papmall® utility services and solutions:
- Global online shopping marketplace.
- Global online commercial marketplace.
- Consultant services and payment solutions.
Thanks to the combination of superior technology and advanced security systems of global standards, papmall® international ecommerce platform is the top choice for buyers and sellers to make online transactions in a secure, rapid, and simple way, across all platforms and devices.
papmall® - the best international ecommerce platform
About Shark Tank
Shark Tank is the most prestigious reality show for venture capitalists and startups. Shark Tank program originated in the US and has created a big buzz back home, ever since the show has been franchised by many countries around the world including Australia, India, Mexico, Columbia, Indonesia, Nepal, Malta, and Vietnam. Hence, Shark Tank becomes a global platform for future startups despite borders and generational differences. Shark Tank comes to Vietnam under the name “Shark Tank - Thương Vụ Bạc Tỷ”, bringing a whole new playground for Vietnamese startups and businesses.
With 4 seasons and dozens of broadcasts, Shark Tank Vietnam has brought the opportunity to improve and expand the business scale for hundreds of Vietnamese startups. The Shark Tank 2022 season 5 promises to bring potential investment projects for sponsors, as well as breakthrough and development opportunities for new talented entrepreneurs.
The fifth episode of Shark Tank Vietnam season 5 ended with the success of the following startups
- Educational technology platform startup - Beekids: unsuccessful to get through the Duel Pitch round and had to skip this season to join Shark Tank Vietnam season 6.
- Educational toy startup - Bunny Boo: Shark Liên and Shark Hưng joined together and closed the deal with $65.000 for 36% of this company stocks.
- Electronic device and accessory for phones and laptops startup - Velasboost: Shark Phú closed the deal with $250.000 for 50% of this company stocks.
- Fashion startup - Melya: Shark Bình closed the deal with $500.000 for 10% of this company stocks and he committed to loan this startup an extra $500.000 with negotiating interest.
- Accommodation technology startup - HANZ: Shark Jimmy closed the deal with $300.000 for 35% of this company stocks.
Stay tuned for more exciting news and information about the million deals of Shark Jimmy Lee at papmall® Newsroom.