Bleni Blend Shark Tank Update – Net Worth, Pitch & Deal

Vending machines have been in different public places all the time. Sadly, all of them serve only sodas, chips, and other unhealthy options. To get access to a smoothie, you need to go to a café and wait in line for many hours.

Hence, the Shapiro brothers came up with the idea of unattended retail vending machines that offer healthy alternatives in under 60 seconds and are very easy and interactive ways to refuel your body.

Will the Shapiro brothers be able to vitalize the interest of the sharks? Find out more by reading below.  

Bleni Blend net Worth

Peter and Stuart Shapiro asked for a $250,000 investment in exchange for 6% equity in their company. This meant they valued their company at approximately $4.17 million. They made a deal with Daniel and Lori for a $500,000 line of credit in exchange for 35% equity. This new deal valued their company at $1.43 million. After the show aired, Bleni Blends saw a big increase in investor interest, sales, and public awareness. With an estimated 15% yearly growth rate (typical for a rapidly growing business in the health and wellness sector), the current net worth of Bleni Blends is about $2.36 million.

What happened to Bleni Blends after Shark Tank?

Unfortunately, after a year of filming, it turns out that the deal with Daniel and Lori did not go through. However, due to their appearance on the show, a lot of investors approached them, and they were able to raise the capital required to continue on their journey. The exposure and awareness raised a lot of curiosity in the public and boosted sales significantly. They decided to target mostly gyms, hospitals, clinics, schools, colleges, universities, and many more public spaces where people were interested in having a quick snack.

Did Bleni Blend get a deal on Shark Tank?

Yes, Bleni Blend did get a deal on the shark tank. With Mark, Kevin, and Daymond out. Now, it was all depending on Lori and Daniel, who decided to work together and offer a combined deal. However, Daniel understood the time, effort, and investment required on his and Lori’s team and hence made an offer of $250,000 for 35% equity. Lori and Daniel made it very clear that their team and their years of expertise will cost them something obviously. The negotiations were long as the duo kept coming up with lower percentages. However, Lori and Daniel didn’t budge. The final counteroffer made by the brothers was a $500,000 line of credit for 35%.

Shark(s) nameOffer & DemandCounterofferAccepted?
Daniel and Lori$250,000 for 35%$500,000 line of credit at 35%Yes
Daniel LubetzkyInN/AN/A
Lori GreinerInN/AN/A
Kevin O’LearyOutN/AN/A
Daymond JohnOutN/AN/A
Mark CubanOutN/AN/A

Bleni Blend Shark Tank Update

bleni blend net worth

Back Story

Peter and Stuart both have business backgrounds. Coming from Philadelphia, they had a desire to be entrepreneurs, so they went for real estate. Peter one day stumbled upon the idea of unattended retail and how it has not been explored by anyone. He got Peter involved as quickly as possible, and they went to Canada to see the prototype. They liked it enough that they got exclusive rights for the US.

Mark pointed out that they were the licensee with exclusive rights only to the United States. Peter added that this deal was valid for the life of the patent, and Mark asked about the number of years of the patent, to which they responded with 15. Peter informed them of their dedication to the company, as Stuart had sold his house and was living with Peter. Stuart and Peter have combined invested $1.2 million in the business. They are not even taking any salary at the time of the filming of the show.

Initial Pitch

Peter and Stuart Shapiro, brothers, came in with their vending machine company, Bleni Blends, seeking $250,000 for 6% equity in the company. They introduced the idea of unattended retail vending machines. They started off by mentioning that traditional vending machines offer soda chips and other snacks that are not healthy. Hence, they introduced Bleni Blends.

Bleni Blends vending machines provide customers with a fun and interactive experience along with providing real fruit juices rather than mass-produced box juices with preservatives, artificial flavors, and other additive ingredients. The duo implied that the juices were also lactose and gluten-free.

The process of using the machine is to choose one of the 16 blends and then tap the card on the machine. The duo defined it as picking fruits from trees yourself and then blending them. It also makes delicious, clean-label iced coffee. It’s like having an automated smoothie shop in just 12 square feet of space.

Queries about Bleni Blend

what happened to bleni blends after shark tank

Daniel asked if the iced coffee had any sweetener. Peter told them that it just has regular sugar.

Kevin asked if there was any sugar in the tropical mango. Peter told them that the fruits do not have any added sugar; they are just the fruits.

Daniel asked if they used any pouches or if they purchased the produce. Stuart told them that these are proprietary blends and they are aseptically packaged in bags so they are shelf stable. Peter told them that they have three manufacturers and three facilities in the United States that package it for us. Basically, they didn’t want to use frozen or refrigerated products.   

Daniel asked about which one is the busiest in all the locations and what the revenues are. Stuart responded that they have 41 vending machines out in the market; this was at the time of the filming. 20 more units were delivered and ready to be placed and stocked. Daniel again asked about the profits. Peter told them that one machine does about $8,000 per month.

Kevin asked if there was a service entity involved in refilling the vending machines. They said that they either have their own team run it day to day, and then they have a program where they resell the machine to the location, and the location owners have to buy the fruits from the duo. Kevin also mentioned they had to buy the fruit from them because it was packaged, and Peter told them that they owned the entire supply chain.

Mark Cuban asked what one smoothie cost. $5.25 on average was the answer from the duo. It costs them to make it for $1.40, and they sell it for $5.25. Mark further asked about the economics of the company. Peter informed them that typically, a large food sales company approaches them, and they give the company 15% to take care of the machine.

Daniel was curious to know what kind of companies were approaching them. So, the duo informed them that they had contracts with various brands and companies. Daniel further inquired about the revenues. The duo explained that they started in 2020 and made $10,000 in 2021. They were able to make $275,000, and in the year of appearance on the show, they had made $465,000. They claimed that they were on track to reach $1.5 million.

Daymond asked how much the machines cost. Stuart informed them that each machine cost them $19.500, and they sell for $30,000. So, according to Stuart, when they sell them, they make a profit of $35,000.

Mark asked if they were manufacturing the machines. Peter told him that the person who owns the patent is making the machines, and the duo has included in their contract that at any point, they can buy the patent and all the IP and bring the manufacturing over somewhere else for $1 million.   

Mark also asked if there were any performance requirements. The requirements are yearly based, and each year they increase. In that year, they had to buy 80 machines that they had already ordered. Each year, 20 more machines are added as per the requirements, from 80 to 100 to 120, and so on.

Lori asked if there was a cap on the requirements and Peter informed her that currently there was no cap on it. Peter told her that their goal was to get the IP and the patent. Stuart told her that they want to focus on growing the brand and creating as much awareness and customer base as possible.

Shark’s Responses and Final Deal

did bleni blend get a deal on shark tank

Kevin remarked that he didn’t like the capex on the machines, and if there was a way for him to invest in the bags, that would have been good for him. Daymond said that he thought that it was brilliant and the end product tasted delicious, but for him, the deal breaker was the fact that they were using someone else’s product. Mark was concerned about the low barrier to competition and the liabilities that come with not having a patent and self-owned business. Lori jumped in and praised the juices. Daniel said that he would have to be very tough on them since his team would have to invest a lot of time, effort, and investment.

Product Availability

The vending machine can be found in most of the public areas around the country. They even managed to survive COVID-19 and are proud of the fact that their business was able to handle the pressure and provide healthy alternatives to everyone. The company has been actively posting about various juices and smoothies on all social media. Along with sharing the new and old locations added to the mix. The website of Bleni Blends itself shares a lot of information about the vending machines and the variety of drinks available.

Conclusion

The Shapiro brothers came in with some delicious drinks for the sharks along with the automated interactive retail vending machine that serves the drinks. Made with fresh fruits and without any additives, it was a great pitch and deal. However, when sharks went into the details of the economy of the business they found many loopholes. Regardless, Lori and Daniel decided to invest. Whether or not that deal went through later, the company got a boost by just appearing on the Shark Tank and was able to get the investment needed. That’s what we call a happy ending.  

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