Shark Tank US | Pizza Cupcake Company Impresses Lori Greiner

Summary

In a compelling pitch on a popular investment show, Michelle Jimenez and her husband Andrea Machato introduced their innovative product, the 'pizza cupcake,' seeking a $125,000 investment for a 5% stake. They presented this gourmet frozen snack as a unique alternative to traditional pizza, highlighting its high-quality ingredients and appealing texture. Despite challenges in the frozen food market, the couple secured a deal for $125,000 in exchange for 12.5% equity and advisory shares. Their enthusiasm and vision for making pizza cupcakes a household name reflect their dedication to transforming the frozen snack category.

Takeaways

• 😀 Michelle and Andrea are seeking a $125,000 investment for a 5% equity stake in their company, which offers a unique gourmet product: pizza cupcakes.
• 🍕 The pizza cupcakes are designed to be a high-quality snack that makes traditional pizza more accessible and portable, suitable for various occasions.
• 👩‍🍳 Andrea's culinary background as a chef from Venice, Italy, adds authenticity and expertise to the product, while Michelle's experience in event production and social media helps market the brand.
• 🏙️ They currently sell directly to consumers and have established partnerships with catering services and popular venues, including Citi Field, home of the New York Mets.
• 📈 The company projects $800,000 in sales for the year, building on previous revenue of $344,000 and a year-to-date revenue of $77,000.
• 💰 The production cost for each pizza cupcake is 95 cents, and they retail at $24.99 for a 12-pack, with shipping costs included.
• 🔍 The entrepreneurs highlight their unique dough recipe, which combines the fluffiness of brioche with the crunchiness of sourdough, enhancing the overall taste and texture.
• 🛒 They emphasize the need for better distribution channels and fulfillment centers to expand their reach across the U.S. market.
• 🤝 Negotiations with the sharks reveal the challenges of selling frozen products but also the potential for lucrative partnerships and market growth.
• 🌟 The couple successfully counters an initial offer, negotiating terms that will help them leverage the shark's expertise to scale their business effectively.

Q & A

What is the main product being pitched by Michelle and Andrea?

The main product is the Pizza Cupcake, a gourmet frozen pizza shaped like a cupcake, designed to be a high-quality snack.

How much investment are the entrepreneurs seeking, and for what percentage of equity?

They are seeking a $125,000 investment for 5% equity in their company.

What unique qualities does the Pizza Cupcake have compared to traditional frozen pizzas?

The Pizza Cupcake features a trade-secret dough recipe that combines brioche and sourdough for a unique fluffy texture and is presented in a convenient cupcake shape.

What flavors of Pizza Cupcake are highlighted in the pitch?

The highlighted flavors are Margherita and Pepperoni.

What is the estimated calorie count for each type of Pizza Cupcake?

The Margherita Pizza Cupcake has 160 calories, while the Pepperoni version has 170 calories.

What previous experience do the founders have in the food industry?

Andrea Machato is a chef from Venice, Italy, with extensive experience in fine dining, while Michelle Jimenez has a background in event production and social media influencing.

How are the Pizza Cupcakes currently being sold to customers?

They are currently sold direct to consumers, and have also utilized distribution channels like catering and stadiums.

What were the projected sales figures for the current year?

They projected $800,000 in sales for the current year.

What challenges did the sharks mention regarding the product?

The sharks mentioned challenges in shipping frozen products and the overall difficulty in the frozen food market.

What was the final investment deal made with Lori Greiner?

The final deal was for $125,000 in exchange for 12.5% equity and an additional 2.5% in advisory shares.