Game creators Jake, Lachland, and Erin Johnson, came up with Flipoutz, a coin game. The game has a multiplayer component.
The players wear silicone bracelets containing up to five motivating coins. The concept is to exchange coins with friends and keep track of them online.
The Johnson children and their parents pitched Flipoutz on Shark Tank in 2011. As part of the deal, they asked for $100,000 in exchange for 20% of the company.
The Sharks offered them $100k for 33% of their investment during the show – Kevin O’Leary, Robert Herjavec, and Daymond John.
What is Flipoutz?
FlipOutz is a coin game and interactive fashion bracelet developed by three siblings, Jake, Lachland, and Erin Johnson, while stuck in traffic.
FlipOutz contains two bracelets with random coin combinations of five or two coins. The best thing about the coins is that children can interact with them online by sending notes.
Children can keep track of how their coins are traded around the globe. One of the youngest entrepreneurs on the show was Lachlan Johnson, 18 years old.
|Entrepreneur||Jake, Lachland, and Erin Johnson|
|Investment Asking For||$100,000 for 20% equity in FlipOutz|
|Final Deal||$100,000 for 20% equity in FlipOutz|
|Shark||Daymond John, Kevin O’Leary, and Robert Herjavec|
|Episode||Season 2 Episode 3|
|Business Status||Acquired, Out of Business|
Who is the Founder of FlipOutz?
FlipOutz is both jewelry, and a toy rolled into one. This idea came to Jake, Lachlan, and Erin Johnson, 13, 16, and 18, while their parents asked them to pick a toy, they would want (rather than stop them from arguing while traveling).
FlipOutz is a silicone rubber bracelet containing five coins (random coins) with bright, creative designs and energizing words. FlipOutz lets users collect and trade coins with pals while tracking them online.
The Johnson family appears on Shark Tank as they wait for their patent-pending currency tracking and trading method.
FlipOutz Before Shark Tank
Jake, Lachlan, and Erin Johnson discovered that they were inventors on an unusual auto ride home from the beach-inspired.
Their parents advised them to make a new toy to take with them on the way home since the three were constantly bickering.
The children’s parents had low expectations for this pastime, but they came up with something they thought had potential when they pooled their resources. Flipoutz was born at that time.
It was a simple concept. There are five compartments on this silicone rubber bracelet that can accommodate different coins. There would be strange designs and uplifting messages on the coins.
They aimed to develop coins that could be traded and tracked through Flipoutz. Mr. and Mrs. Johnson thought this innovative toy and child’s wardrobe accessory had great potential and decided to look for an investor from a Shark on Shark Tank.
How Was the Shark Tank Pitch of FlipOutz?
Emily Johnson introduces her children and husband in her Shark Tank debut. Next, she informs them about the origins of Flipoutz.
Emily asked the children to think of a toy or game that would encourage them to cooperate and not fight during the car ride home.
Emily Johnson appeared on Shark Tank requesting an investment of $100,000 for a 20% stake in FlipOutz.
She and her siblings begin introducing the Sharks to their product after their financial concerns are temporarily resolved.
As she displays two Flipoutz wristbands on her wrist, she explains to the Sharks that coins are contained in the wristbands, and they can be collected, traded, and tracked online via the Flipoutz website.
Erin begins by handing out bracelets to each and explaining how the coins got their artistic style from her.
The purpose of these coins is to provide the wearer with a way to express their individuality through unique artwork and encouraging words.
Additionally, the back of each coin has a ten-digit code that enables the coin to be tracked as it is transported around the world.
Three Johnson children and their parents pitched FlipOutz on Shark Tank in 2011.
In exchange for a 20% stake in FlipOutz, the presentation requested $100,000.
According to Mr. and Mrs. Johnson, their initial $250K investment in the business generated only $20K in sales over the past six months. Barbara and Kevin withdrew when they realized their marketing was inadequate.
A corporation has expressed interest in producing 25 million coins and 2-3 million bracelets and is willing to pay 30% of the inventory upfront.
Sharks were inspired to contemplate and seize the opportunity. The first offer went to Daymond John.
Daymond joins forces with Kevin to move the deal forward, and Mr. Wonderful (Kevin) quickly follows suit. After some haggling, Johnson’s agrees to accept $100K in exchange for 33 percent of the stock.
What Happened To Flipoutz After Shark Tank?
FlipOutz received the necessary marketing boost to boost sales and establish themselves in major toy retailers after appearing on Shark Tank. The FlipOutz is now available at Toys R Us and Hallmark stores.
FlipOutz enabled children on five continents to swap coins through its website, and sales increased.
FlipOutz prospered from 2011 to 2013, and the Johnsons eventually sold it to Wild Craze Inc., a consumer products holding company, for an undisclosed price plus shares.
Amazon currently offers the product for $5.99 for five coins or $1.99 for two coins, and it continues to be a popular item with children.
How Does FlipOutz Make Money?
Shark Tank history has taken a twist, and now comes the miniature attitude version. Children’s versions of Shark Tank are now available, where children with innovative concepts can get their ideas presented to start their firm.
FlipOutz proved to be a profitable venture, and the children revealed that production costs were $0.66 per bracelet and coin, with a suggested retail price of approximately $5. The profit margin on each product made was staggering.
Children and young people can attach notes to their coins and write about them on the website, and the next owner will be able to do the same. An excellent idea to personalize the game; it was almost as if the coins had a life of their own.
FlipOutz Basic Information:
- Product Name: FlipOutz
- Headquarter: Carolina
- Founded: 2011
- Total Employees: 39
- Total Revenue: 6.1 million
- Company Status: Acquired
Who are Investors in FlipOutz?
Here is the list of investors in FlipOutz:
- Daymond John is an American businessman, investor, and founder of FUBU with an estimated net worth of $300 Million. Now he isn’t a part of Shark Tank anymore.
- Kevin O’Leary is a $400 million investor and the founder of Shark Tank.
- Mattel bought Mindscape Corporation, O’Leary’s company that generated over $800 million in annual revenue, for $4.2 billion in 1998.
- Robert Herjavec owns The Herjavec Group Investments, which finds, trains, and funds entrepreneurs with a net worth of about $200 million.
What is the Alternative to FlipOutz?
Silly Bandz is an alternative product to FlipOutz, a rubber band for kids.
Interesting Aspects of FlipOutz
- One of the most intriguing aspects of these coins is that tracking their sales is simple; each coin has an embedded 10-digit code that can be entered online to see how they are priced worldwide.
- FlipOutz allows children to keep track of their money. (Unfortunately, this website has been shut down.)
- It weighs around 45 grams and features two or five coins.
- It allows children wearing the coins to express themselves through unique artwork or good messaging.
Is FlipOutz Profitable?
You can purchase FlipOutz coins, which are now available on five continents, along with Toys R Us and Hallmark Stores.
Johnson licensed FlipOutz to Wild Creations in 2013, an online retailer and licensee that offers an extensive selection of toys. Wild Creations owns FlipOutz, but it is still available on Amazon.
Shark Tank has proven to be a real resource for the Johnson family.
Beaux Up is Lachlan Johnson’s latest enterprise, with her 15-year-old brother as her business partner.