Beardbrand provides customers with items for their facial hair, such as Beard Oils, Waxes, Softeners, and Washes.
The company’s objective, established in 2012 by its founder Eric Bandholz, is to alter how society perceives beardsmen by dispelling negative perceptions such as being lazy or unkempt and replacing them with a new perception of being classy, well-groomed, and stylish.
BeardBrand is now accepting orders through its website’s online store. They anticipate that their sales will total $1.25 million and that they will make a net profit of 25% of that amount.
The kit costs approximately $60, yet it may be purchased for $170. Their beard oil accounts for most of their sales, approximately sixty percent. They have a margin of between 80 and 90 percent, and their retail price ranges from $20 to $30.
In addition to being a product company, they are actively pursuing the development of its brand.
Eric and his business are thriving and making a profit, and new products are in the pipeline. The fact that he is not subject to the influence of third parties is an advantage that enables him to expand Beardbrand at the pace he prefers.
Beardbrand, after all, is the ideal lifestyle business, but it does require an owner who is passionate about the company and is willing to grow it when new trends emerge.
Eric has a good chance of making more money without the assistance of the investors from Shark Tank than he would with their participation.
Eric handles the advertising and marketing that take place online very well. He maintains a blog on which he consistently posts original stuff for others to read.
What Is BeardBrand?
BeardBrand is a firm that provides products and lifestyles for the urban bearded man, a niche market for men’s grooming. Beardbrand offers beard products, like beard oils, waxes, softeners, and washes.
BeardBrand is a brand dedicated to providing beardsmen with high-quality personal care products.
Eric Bandholz founded the company in 2012 to change the perception of beardsmen, changing long-held stereotypes of lazy, untidy men into ones of classy, well-groomed men with a fashionable image.
|Product / Business||Products for styling your beard|
|Investment Asking For||$400,000 for 15% equity in BeardBrand|
|Final Deal||No Deal|
|Episode||Season 6 Episode 7|
|Business Status||In Business|
Who Is The Founder Of BeardBrand?
Eric Bandholz is the founder of BeardBrand. The BeardBrand corporate headquarters is in Austin, Texas, and the company manufactures men’s grooming products.
BeardBrand sells products for grooming, styling, and maintaining beards, hair, skin, and mustaches, among other things.
While working at Merrill Lynch in Spokane, Washington, Eric Bandholz was an investment advisor for several years before founding BeardBrand. The company’s “no facial hair” policy caused Bandholz to resign and start a beard grooming service in his hometown.
BeardBrand Before Shark Tank
Before moving on to pursue other opportunities, Eric Bandholz served as a financial advisor with Merrill Lynch in Spokane, Washington. He encountered difficulty in his workplace due to a restrictive no-facial-hair policy, which posed a greater challenge than it would for other employees.
He felt like he led a double life, his true self hidden away in a cage, as the keen beardsman describes himself.
Eric saw himself as an “urban beardsman,” someone fashionable and well-groomed who stood in stark contrast to ZZ Top and Duck Dynasty members, to whom he was often disparaged.
He established the Urban Beardsman online magazine, a website focusing on lifestyle, grooming, and style articles directed to men wearing beards. The magazine also showcased well-maintained Youtube and Tumblr profiles that quickly attracted a small following.
Eric was motivated to leave his unfulfilling job at a multinational company after attending the West Coast Beard & Mustache Championship in 2012 and start his own company, Beardbrand, that sells high-end beard products.
Eric used the notoriety gained from being featured in a New York Times article about facial hair popularity to advertise his Beardbrand products on Tumblr, Reddit, and the rapidly growing Beardbrand YouTube channel.
Eric had accomplished a great deal with a small amount of startup capital, but his inability to raise additional funding generated a slew of complications for the operation of his company.
Due to the lack of liquid finances, the company also had the potential to run out of inventory. He appeared on Shark Tank in October 2014 to get additional funding to help him deal with his cash flow problems.
How Was The Shark Tank Pitch Of BeardBrand?
Eric appeared on Shar Tank seeking an investment of $400,000 in exchange for a 15 percent stake in BeardBrand. He began his pitch by describing the new kind of beard-wearing man as well-dressed, well-groomed, and trendy.
Kevin O’Leary inquired about any sales, and Eric said yes. Kevin said, “I need to hear you’ve had some revenue before I go to town on you.” Kevin said the $2.6 million assessment for a “box of bare-brand goods” surprised Eric.
Eric defended his value and listed the company’s first 17-month sales. In the first five months of operation, sales were $9,000; in the next six, they were $188,000; and in the last eight, they were over $600,000.
Sharks applauded the remarkable sales growth. Lori was stunned by the sales figures, but Eric’s magnificent whiskers attracted her.
Eric, the urban beard wearer, seemed to get asked the same thing every day and smiled. Robert Herjavec told Lori she couldn’t touch the people, but she persisted.
Lori giggled like a schoolgirl after a few strokes of Eric’s beard. Eric persuaded the other sharks to try it after winning them over. Robert Herjavec laughed when Daymond said he wouldn’t touch another man’s beard.
Daymond attempted to demonstrate to Eric it wasn’t personal by saying, “I wouldn’t touch a woman’s beard.”
Eric started talking about how all the women in his family liked beards, so Kevin O’Leary questioned, “So chicks enjoy beards?” Eric acknowledged that they did and was delighted to explain why.
Humans are a few species that grow facial hair, and Eric says women find it attractive. Eric’s beard affected Lori, whether or not that’s scientifically proven.
Eric started an internet store in 2012, selling largely to the online community he founded. Kevin O’Leary then pointed to his bald head, “I used to have a lot of hair, but then I did deals like this.”
Mark Cuban laughed like only a man with thick, healthy hair could. Kevin questioned, “What are the annual sales?”
Eric said he expected $1.2 million in sales with a 25% net profit margin. Kevin thought the company wasn’t worth $2.6 million despite its great stats and profitability.
Eric claimed that beard oil accounted for 60% of his sales and had an 85% markup.
Mark wasn’t sure the business could develop beyond a certain point. He thought it could make $5 million a year, but it wasn’t scalable to a bigger market. The shark praised Beardbrand’s items, but the statistics didn’t match up; therefore, he was eliminated.
Eric, who seemed well-prepared and in charge of the Shark Tank, thanked Mark for his feedback. Robert Herjavec didn’t like beards and dropped out without explanation.
Beardbrand’s high valuation looked to be the reason for the sharks’ lack of interest, despite its outstanding sales.
Eric tried damage control, saying Beardbrand had gone from nothing to over $100,000 in sales in months and that the sharks didn’t see many enterprises like his.
Lori adored Eric’s beard, and most of the sharks liked him, but she didn’t like Beardbrand. She told Eric he was doing well, but his items lacked demand.
Only bearded guys could be targeted, and QVC’s queen, who prefers mass-market products, was out. Still beaming, Eric’s high valuation scared off the sharks. Even behind his thick and glossy beard, Eric’s smile looked forced.
Kevin said Beardbrand should be worth $600,000 without hesitation. It was a far cry from Eric’s $2.6 million, so Kevin quipped that to invest $400,000, Eric would have to own the entire firm.
Eric didn’t laugh, already looking to Daymond to salvage a deal. Daymond adored Eric and praised him and Beardbrand. The high valuation deterred him from making an offer, even though he could envisage $3-4 million in sales in a few years.
Daymond was also out, leaving Eric without a deal.
Final Deal: No deal between Sharks and Beardbrand.
What Happened To BeardBrand After Shark Tank?
BeardBrand has grown rapidly over the years, as evidenced by its wide variety of goods. The Urban Beardsman store now carries a variety of high-quality beard oils, mustache wax, beard and shave soaps, grooming kits, and everything required to achieve the Urban Beardsman look.
According to the most recent information I uncovered before Shark Tank 609 breaths of air, Beard-Brand generates $40,000.00 per month.
Since the total startup capital was only $30, split evenly between Bandholtz, Reinders, and McGee, I think we can safely conclude that these three people are making the right business judgments.
Beard Brand LifeStyle is a well-defined niche inside a niche, and some of the Sharks may have difficulty investing in such a narrow “perceived” market. BeardBrand LifeStyle is a niche within a niche.
The other side is that it again demonstrates that anyone can establish a successful business from “Anything” they are truly passionate about discussing.
Eric’s Shark Tank strategy may shave off a nice chunk of the BeardBrand Business if he uses the same strategy to build this Lifestyle Brand inside the Shark Tank. There is a good chance the Sharks may be able to shave off some of Beard Brand’s business.
Eric has continued to expand his business and his involvement in the community. BeardBrand expanded its product range to include fragrances, hair care, and skin care products in August 2021.
BeardBrand is a thriving company with annual revenue of $7 million as of 2022.
BeardBrand Shark Tank Update
Beardbrand is still in business, and the high-end website now features a blog post written by Eric on his experience as a guest on the show that was published shortly after the initial screening.
Eric experienced a rare glimpse behind the scenes, and he has nothing but admiration for the Sharks and the production staff, and he appears to have gained a lot of insight and knowledge from experience overall.
Eric’s online community is also growing; his Beardbrand YouTube channel presently has 106,000 subscribers. His grooming and lifestyle suggestions have been viewed thousands of times, sometimes even more than 100,000.
Eric is also active on Reddit, offering advice to other entrepreneurs and developing strong relationships with the beard-appreciation community that has grown there.
Eric described his essential business concept in a blog post published a year ago, demonstrating how he differs from the typical entrepreneur in several ways.
‘We have the opportunity to run our firm for reasons that are enjoyable to us. The most enjoyable part of blogging is spreading the word and making a difference.
He stated that the idea of focusing on one product, being lean, and reaping huge profits does not appeal to him.
Beardbrand is more than a company to Eric; it is first and foremost, a community. This is a unique point of view from a business owner, but Eric believes it is necessary.
Instead of selling stuff, I’m establishing a brand and a way of life,’ says the author. We are responsible for educating consumers on developing and maintaining their beards properly.
‘We are building a market, rather than simply selling to a market,’ he says of his role in the company.
That method is unique, and the market that Eric has established appears to be far larger than any of the sharks anticipated.
In a conversation with Eric on Reddit, where he goes by the handle of ‘Bandholz,’ he expressed a willingness to answer a couple of questions, as he does on various topics regularly.
Besides acknowledging that things were chaotic after the performance, with a sudden rise in interest that he was not prepared for, he also revealed that sales figures for 2015 were up by 150 percent over the previous year.
According to all appearances, Eric’s business appears to be as strong and healthy for the foreseeable future as that wonderful beard he sports.
Is BeardBrand Still In Business?
Beardbrand is still in business as of 2022 without having a Shark Tank deal. Also, BeardBrand generates $7 million annually.
What Is the Net Worth Of BeardBrand?
The valutation of BeardBrand when it appeared on Shark Tank was $2.6 Million. The net worth of BeardBrand as of 2022 appears to be around $5 Million.