Shark Tank The sharks fight like crazy over this product Keep the bees safe

Summary

Katie Sanchez and Melissa Elms pitch Be Free Honey, a plant-based honey alternative made from apples, to the sharks on *Shark Tank*. Their mission is to help save the bee population by providing a sustainable, vegan-friendly sweetener. Despite challenges with production capacity, the entrepreneurs have seen steady growth, with retail placements in Whole Foods and year-over-year sales increases. The sharks are impressed with the product's taste and the environmental cause, but debates around pricing and branding lead to a combined investment offer of $210,000 for 30% equity, which the founders accept.

Takeaways

• 😀 The founders of Be Free Honey, Katie Sanchez and Melissa Elms, created a plant-based honey alternative made from apples to help save the bee population.
• 😀 Be Free Honey is vegan-friendly and provides a sustainable, ethical substitute for traditional honey, which is important to the growing vegan community.
• 😀 The product is made from 80% organic apples, lemon juice, and a small amount of non-GMO cane sugar for viscosity, making it a clean and simple ingredient list.
• 😀 Be Free Honey is already on the market and available in nine of the 11 regions of Whole Foods, with year-to-date sales of $114,000.
• 😀 The founders seek $100,000 for 10% equity in their company, which will help scale production and meet the growing demand for their product.
• 😀 The pitch emphasizes not only the product’s taste but also its mission to address the decline in bee populations, positioning the brand as a sustainable and ethical choice.
• 😀 One of the Sharks, Barbara Corcoran, offers $100,000 for 25% equity, suggesting that the company could benefit from improved packaging and branding.
• 😀 Mark Cuban offers $100,000 for 10% equity but proposes managing the company’s online sales to help streamline that aspect of the business.
• 😀 A third Shark, Christopher, proposes $210,000 for 30% equity, which would provide both the financial backing and marketing expertise to scale the company further.
• 😀 Ultimately, the founders accept Christopher’s offer, securing the investment needed to grow production and further develop their business.
• 😀 Be Free Honey’s product, which provides a cheaper alternative to traditional honey, could become a significant brand if marketed effectively, especially by leveraging its sustainability and vegan appeal.

Q & A

What is Be Free Honey, and how is it different from traditional honey?

Be Free Honey is a 100% plant-based sweetener made from apples, designed as an alternative to traditional honey. Unlike regular honey, which comes from bees, Be Free Honey does not require hives, helping to protect the declining bee population.

How does Be Free Honey contribute to environmental sustainability?

Be Free Honey supports environmental sustainability by reducing reliance on bees, which are facing population decline. By offering a plant-based honey substitute, the product helps alleviate pressure on bees and allows them to recover and thrive.

Who are the founders of Be Free Honey, and what is their background?

Be Free Honey was founded by Katie Sanchez, a trained pastry chef, and Melissa Elms from Nolanville, Texas. Katie has extensive experience with food and recipe creation, which influenced the development of the product.

Why is Be Free Honey an appealing product to the vegan community?

Be Free Honey is an attractive option for vegans because traditional honey is derived from bees, which is considered an animal product. Vegans avoid honey for ethical reasons, and Be Free Honey provides a honey alternative that aligns with their dietary choices.

How much does Be Free Honey cost compared to traditional honey?

Be Free Honey is priced similarly to traditional honey, with a retail price of around $5.99 per bottle. However, the production cost of Be Free Honey is $160 per unit, making it more expensive to produce than typical honey.

What are the main ingredients in Be Free Honey?

Be Free Honey contains 80% US-grown organic apples, lemon juice as the only preservative, and a small amount of non-GMO cane sugar to provide the viscosity similar to traditional honey.

What are the potential uses for Be Free Honey?

Be Free Honey can be used in various culinary applications, such as a topping for breads, granola, or oatmeal, and as a substitute for traditional honey in recipes, making it a versatile ingredient for both cooking and baking.

What kind of impact did Be Free Honey’s appearance on Shark Tank have on the company?

Be Free Honey's appearance on Shark Tank led to significant attention and a joint investment offer of $210,000 for 30% equity from sharks Chris and Barbara. This deal provided the company with the expertise and financial support needed to scale and expand its operations.

What were the terms of the investment offer made on Shark Tank?

The sharks made several offers, with Chris and Barbara ultimately offering $210,000 for 30% equity in the company. This joint deal included both financial backing and expertise in marketing and food industry operations.

How does Be Free Honey’s packaging currently compare to other products in the market?

The packaging of Be Free Honey has been a point of feedback, with some sharks suggesting it doesn't effectively communicate the product's cause of saving the bees. Improving packaging to highlight its environmental benefits could help strengthen the brand’s message.