This 17-Year-Old Is A Business Powerhouse | Shark Tank AUS

Summary

Seventeen-year-old Morgan Hill, founder of the donut business 'Destroy Morgan' in Melbourne, seeks $200,000 for 20% equity on a TV show. Morgan started his entrepreneurial journey at 13, growing his business into a well-known brand, supplying cafes and earning $500,000 in revenue. Two investors, Janine and Steve, offer higher stakes—42% and 30%, respectively. After consulting his parents, Morgan stands firm on his offer, declining their proposals but gains Janine as a mentor. His determination and success impress everyone despite not securing the investment.

Takeaways

• 💼 17-year-old Morgan Hill is the owner of 'Destroy Morgan', a successful artisan donut business in Melbourne.
• 🎂 Morgan started his entrepreneurial journey at 13, selling donuts to local cafes before opening a pop-up store.
• 💰 Morgan is seeking $200,000 in exchange for 20% equity in his business, valuing it at $1 million.
• 🍩 The pop-up store sold over 10,000 donuts in just 8 days, leading to a permanent store that's been open for 15 months.
• 📈 Last year, the business made $500,000 in revenue with $130,000 in profit, and Morgan projects $850,000 in revenue this year.
• ⏰ Morgan balances running the business while being in his final year of high school, working around 60 hours a week.
• 💵 Two sharks offered investments: Steve for $200,000 for 30% equity, and Janine for $200,000 for 42% equity.
• 👨‍👩‍👧‍👦 After consulting with his parents, Morgan declined both offers, not wanting to give up more than 20% equity.
• 🦈 Despite declining the equity offers, Morgan accepted Janine’s mentorship, appreciating her vast experience in the food sector.
• 🎯 Morgan remains confident in growing his business with Janine’s guidance and aims to expand further in the future.

Q & A

What business does Morgan Hill own and operate?

Morgan Hill owns and operates 'Destroy Morgan,' an artisan donut store based in Melbourne, Australia.

How did Morgan Hill's business start?

Morgan Hill started his business at 13 years old by supplying local cafes with goods, which quickly gained media attention and led to his expansion.

How successful was the pop-up store that Morgan opened?

Morgan's pop-up store sold over 10,000 donuts in eight days, showing strong demand and success for his products.

What were Morgan's financial goals for Destroy Morgan when he pitched on the show?

Morgan asked for $200,000 in exchange for 20% equity in his business, valuing Destroy Morgan at $1 million.

What were some of the unique donut flavors that Morgan presented to the sharks?

Some unique flavors Morgan presented included 'Cookie Monster' (cake batter-filled), 'Class Clown' (chocolate hazelnut), 'Bruno Mars' (Mars bar and salted caramel), and 'Golden Gaytime Crunch' (based on the ice cream).

How much revenue and profit did Morgan’s business generate last year?

Morgan's business generated $500,000 in revenue with a net profit of $130,000 in the previous year.

What were Morgan's projections for the current year?

Morgan projected his business would generate $850,000 in revenue with a net profit of $350,000 for the current year.

Why did Steve and Janine decide to make offers that required more equity than Morgan originally proposed?

Steve and Janine asked for more equity because they believed that helping scale the business would require significant time and effort, which they felt justified a larger stake.

What final offers did Morgan receive from the sharks?

Janine offered $200,000 for 42% equity, and Steve offered $200,000 for 30% equity. Janine later reduced her offer to 33%, but Morgan declined both.

What decision did Morgan ultimately make regarding the offers?

Morgan decided not to accept any equity offers but agreed to maintain a mentorship relationship with Janine, who offered to help him even without taking equity.