MuteMe Founders Leave the Sharks Silent | Shark Tank Worst Pitches

Summary

Two entrepreneurs, Parm and Ty, pitch their product 'MuteMe' on Shark Tank, asking for $200,000 for 10% equity. MuteMe is an illuminated mute button designed to make virtual meetings more efficient by clearly indicating mute status. While the sharks appreciate the product's practicality, they express concerns about its pricing, competition, and sales strategy. Despite some positive feedback, the sharks ultimately decline the offer, citing the need for significant changes in manufacturing costs and business strategy. The pitch ends without an investment, but the entrepreneurs remain hopeful.

Takeaways

• 😀 The entrepreneurs, Parm and Ty, from Sacramento, pitch their company Mute Me to the Sharks.
• 💡 Mute Me is an illuminated mute button that changes color to indicate mute status during virtual calls.
• 💻 The product is designed for multitasking and avoiding virtual call mishaps like being unmuted unexpectedly.
• 🔊 The team explains their product works across multiple conferencing platforms without taking up screen space.
• 💲 They are asking for $200,000 in exchange for 10% equity in their company.
• 🛠️ The cost to make each Mute Me button is $11.62, and it retails for $39.
• 🤖 The product has a stainless steel top that can be laser-engraved with logos, aimed at business customers.
• 📉 Some Sharks express concern about pricing and predict the product could struggle in retail, being discounted quickly.
• 🤝 One Shark offers $200,000 for 50%, saying the business needs to be restructured and the cost of production reduced.
• 🚪 Ultimately, all the Sharks decline to invest, citing concerns over scalability and competition.

Q & A

Who are the founders of MuteMe introduced in the pitch?

The founders introduced in the pitch are Parm, the CEO, and Ty, the CFO, both from Sacramento, California. They were also joined virtually by their wives and co-founders, Handeep (COO) and Brittany (CMO).

What is the product MuteMe and what problem does it solve?

MuteMe is an illuminated mute button that helps users easily mute and unmute during virtual meetings. The light changes color to indicate if the user is muted, preventing accidental interruptions and confusion during calls.

How does MuteMe work?

MuteMe works by being plugged into the user's device. Pressing the button mutes or unmutes the microphone, and the light changes to indicate the current status. The illuminated color helps prevent confusion about whether a user is muted or unmuted.

Why did the founders create MuteMe?

The founders created MuteMe to address the common issue of people accidentally speaking while muted during virtual meetings. The product helps by providing a clear visual indicator, so users know when they are muted or unmuted.

What is the retail price and production cost of MuteMe?

MuteMe retails for $39, and the production cost is $11.62 per unit.

Why did Mark Cuban decide not to invest in MuteMe?

Mark Cuban decided not to invest because he believed the founders had not figured out how to effectively sell the product. He mentioned they were not even close to understanding how to market it successfully.

What concern did Kevin O'Leary (Mr. Wonderful) have about the product?

Kevin O'Leary was concerned that MuteMe would quickly drop in price and end up in discount bins for around $9, which would erode profitability. He also believed the product would face strong competition.

What suggestion did one of the sharks give for selling the product online?

One of the sharks suggested focusing on selling MuteMe online and engaging with platforms like TikTok to create fun, engaging content that could go viral and help boost sales.

Did the founders of MuteMe have any patents for their product?

Yes, the founders mentioned that they had a provisional patent for MuteMe, making it the only mute button that isn’t a microphone and has an illuminated feature.

What offer did one of the sharks make, and why did the founders not accept it?

One of the sharks offered $200,000 for 50% equity in the company. The founders did not accept the offer because the valuation was much lower than they expected, and it would require a complete overhaul of their business model.