The Sharks Question Bruw Owners Strategy | Shark Tank US | Shark Tank Global

next into the tank is a cost effective way to make a trendy beverage at home hi sharks my name is Max feber I'm from Detroit Michigan and I'm seeking $50,000 for 25% of my company Brew I've perfected a new way to make cold brew coffee at home without the need for complicated or overpriced equipment when I was just 15 years old I fell in love with coffee I tried making it 15 I tried making it roasting it I did everything I could to learn more about it one day I stumbled across cold brew coffee and I was dying to try it if you're not familiar with cold brew it's a type of coffee that's made in cold water instead of hot water this doesn't extract the acidity out of the Coffee Bean so it's smoother it's sweeter and some even find that it's easier on their stomachs after watching countless videos online I found that people use mason jars to make it themselves at home all the time so that's so I tried I took ground coffee and cold water and I put it in a jar to let it sit in my fridge for 24 hours then I tried to filter it I used a cheesecloth a pourover paper towels it it just went everywhere I made this whole mess all over my counter my parents were mad I didn't have my coffee and I wasn't about to spend hundreds of dollars on a complicated cold brew coffee maker I knew there had to be a better way so I ran into my garage I ripped a screen door off the wall I grabbed a hot glue on some mason jar lids and after some trial and error the first Proto type of Brew was Bor obviously we've come a long way since then so let me show you how it works first you take some ground coffee and cold water and you combine it in a standard mason jar so I'm just going to fill it all the way to the top with the water and just a little bit of coffee the bottom is really all you need now I'm going to put it in my fridge to let it sit overnight it's really fast wow so now you take the double-sided Brew filter and you insert it straws side down into the the Mason jar with coffee then you take an empty jar and you secure it to the top oh now just flip and watch as your coffee drips from the top jar through the filter into the bottom jar giving you some delicious cold brew coffee people love how simple this method is but sharks I need your help to take me to the next level so who wants to jump on board and Brew with me all right can we try of course I have some samples for you do you think Max is a little hyper because we're drinking so much coffee Max I have a question how old are you now I'm 18 years old now so you have a cold brew coffee that I actually made in my hotel room last night because of how easy the system is to use you made this 24 hours ago 24 hours ago i' the sugar cubes and I have some milk is is is this oh my God what really strong is this the normal strength of it it's not strong enough for me really so the benefit of this system is because it's just a mason jar you can use as much or as little coffee as you want so I did it the way I like it and I don't like it that like overpowering but because I'm Croatian we like our coffee so fill it up all the way to the top just a drop of water you can just chew on the ground it okay so how many people actually go to the trouble of making cold brew coffee I know that a lot of large coffee retailers have recently switched over to cold brew coffee Pete's Coffee has entirely changed from iced coffee to cold brew I know Starbucks is selling cold brew now in addition to iced coffee and they're both selling at $2 to $3 more than a normal cup of iced coffee is Max are you selling the filter or the bottles okay our number one bestselling product is that filter right there so that brown pouch is the filter with the straw and it can hang how much does that sell for that sells for between $5 and $20 see that so anybody could use their own mason jar exactly yes so this any Wide Mouth Mason jar you can find it at practically any grocery store whates it cost you to make it it costs us right now $4 to make it in that package and with scale it that's going to drop to $150 with a new two Cy mold so we're selling it online right now big box retail is what we're aiming for in the next year where would you want to be in a big box retail store so this product would do very well in you know something like a Bed Bath and Beyond or a Target do you have competition there are other coldre coffee makers they range anywhere between 50 and $250 they do so there's one that you put on your counter and you add it you know it's this big and you put it on your counter and it sits and there's a valve at the bottom to you know filter it there's really nothing that's designed for somebody using a mason jar that just wants to do it I get this sense that you're running at about 15% and drinking a lot of the product that's I I'm not kidding and I'm not saying that's a bad thing but the numbers don't lie why don't tell us what what you've sold last year we did $50,000 in revenue and this year we're on track to do $100,000 in Revenue so max are you going to go to college I'm in college I'm uh just finished my first year where at Babson College I'm majoring in business let me ask you so you're 18 years old how long you've been watching Shark since I was about 8 years old wow watching Shark dink I learned how to run a business right you see entrepreneurs stand here and they're you know doing something that might not be the smartest and they just get roasted for it and I was like okay and so I'm taking the lessons that you telling other entrepreneurs and applying them to this business the most inspiring thing about being a shark 50% of the people that come up to us are kids and they're learning the language of business and look at you you you've taken that it's just so inspiring to be a shark and to help people that way and he's augmented with coffee a lot of it so I have a question do you have a patent my patent was granted 5 days ago so pretty good timing I'd say patent was actually done completely pro bono so I reached out to a patent firm one of the Premier patent firms in Michigan and I said hey I'm a 16-year-old kid I invented this product any chance you can help me out and they were nice enough to say you know what sure kid like we'll write a patent for you good for you for you amazing did that's what we call the power broke I love it Max maybe it's the coffee but you're really a Dynamo I mean you're coming out here blasting love the fact you've been a fan fan for a decade but it's not a company it's a product you're not even a full CEO because you're in school I'll give you the um the 50k I want 50% that's it okay how much is it why if I hear the the rest of the room you didn't have an offer two seconds ago now you do well I feel that this isn't going to be your big hit product I think you have a lot more in you you're so smart and you're only 18 that think there's going to be lots more and it only takes one it's a good idea but for me not the right investment so I'm out thank you Max tell me what happens on day two 50,000 in the bank go so we have the 50,000 as soon as we have that we kick off the production to get the cost of this down dramatically but do you really think that your problem is cost I do if we have this made and landed for $150 and we can sell this for $4.99 on a store shelf I think you know that's such a convenience buy Max I'm torn with this because I I like you one of my top companies bombas socks they're from bapson they started off doing 800,000 they're valued at 150 million right now so I know you're going to figure it out but you don't know retail you want to try to get into retail I would be interested in trying to offer it to a you know piz's coffee or a a Starbucks license so I would offer you 50,000 for 30% okay thank you Max I I love the household but I'm worried it's going to be a part-time thing for you so I've been working on this all the time all day I walk out of class I sit at my computer and working on this non-stop I'm R I respect the hustle I don't know if this is a full-time business for that reason I'm out appreciate it thank you okay so when you look at your gross margins you're selling it for 20 and making it for four right so you're $16 in Gross margins so why would you want to take your margins down even you get your cost down to a buck 50 right and sell it for five when you're making enormous margins right now so I'm still interested in selling at these enormous margins obviously it's a good price and people are buying it at this price right but I think that if this was hanging in a store at the register for $5.99 $8.99 whatever it is and someone says oh let me make some Co you know I make cob why do you want to sell more to make less so I do just think it'll be an Impulse buy I think we're going to get more volume of sales I think more people are going to be buying this at the register more people will be buying this online test it your assumptions may be wrong you could test it look I love when little mini M come out here right I I I can see I can feel it so I like what you're doing thank you I like the higher margin so are you open to focusing on the higher margin as opposed to Ping the Christ not because instead of spending the money on the new molds you can push that into advertising I hear that okay yeah I'll give you the 50k for 30% and I want to know [Music] now yes the deal thank you appreciate it buddy thank you guys is the coolest thing ever w thank you so much we got a deal I've been watching Shark Tank since I was 8 years old and now to finally have a deal with one of the Sharks I've been watching since I was a little kid and aspiring to is just unbelievable I'm so it's a dream come true this is the most incredible experience that I've ever had he's exactly why we do the show entrepreneurship the American dream is alive and well for