eCreamery Shark Tank Update

eCreamery Shark Tank Pitch

Abby Jordan and Becky App gave up successful careers in the corporate world to open an ice cream shop in Omaha Nebraska, called eCreamery.

eCreamery does business nationally through its website where people can customize ice cream and have it shipped to their door. Abby and Becky want to open up a manufacturing facility to meet demand and improve efficiency.

eCreamery has done $2 million in revenue since inception in 2007 (five years) with $750k in revenue expected this year with a $60k profit. The profit margin is 60%, but Abby and Becky have reinvested the profits into creating a more efficient manufacturing and shipping operation.

Abby and Becky have another investor that owns 70% of the company that put in $600k. Robert asks if it was the Oracle of Omaha himself, Warren Buffet.

The sharks loved the ice cream but found the shipping cost to be an issue, and the not present 70% shareholder complicated things. Kevin proposed half the money, but with no takers, all the sharks went out.

eCreamery After Shark Tank

Mark Hasebroock of Dundee Venture Capital was the owner of Ted & Wally's ice cream in the retail location that eventually became eCreamery. Mark learned from Ted & Wally's failure that e-commerce was the way to succeed and became eCreamery's partner.

In season 4, episode 23 we go an update that it took eCreamery 5 years to do $2 million in sales before Shark Tank, and in three months after airing they have done $500k in sales. They forecasted to do $2 million in sales this year and by 2015 are going to be a $5 million business (whatever that means. Valuation?).