CAKES Body Shark Tank Update – CAKES Body Net Worth

CAKES Body, a comfortable solution to avoid nipple freak out, arrived at Shark Tank Season 15, Episode 9 to let women feel free in tense situations. Casey and Taylor entered the tank with a primary goal in mind: to take their business to the next level.

The business made over a million dollars in the first year of its operation. It had an amazing organic revenue stream on TikTok. However, the CAKES Body depended entirely on one product. To change this, Casey and Taylor wanted the Sharks’ expertise to help the company make a brand. Did they succeed? Find out in our CAKES Body Shark Tank Update.

CAKES Body Net Worth

CAKES Body arrived at Shark Tank with a $6 million valuation estimated by its founders. Casey and Taylor asked for $300,000 for 5% to reach the $6 million valuation. Emma negotiated and invested the same money for 10% of equity. This deal valued the company at $3 million. 

However, the real net worth of CAKES Body is around $4 to $4.5 million. The company had an excellent sales record since its inception. It maintained a staggering net profit of 35%, which ultimately added more value to its equity.

What Happened To CAKES Body After Shark Tank?

CAKES Body performed excellently before coming to the Shark Tank. However, the co-founders had expressed their interest in expanding the product line. As of now, the website only has the nipple covers listed. It does contain a section confirming that the brand appeared on Shark Tank. Besides this, we found no other evident improvement to the company.

Did CAKES Body Get A Deal On Shark Tank?

Taylor and Casey negotiated a deal with the most experienced shark in the women’s care and wearables industry. The duo asked the Sharks for $300,000 for 5% equity in CAKES Body. The pitch went well, and all the Sharks were impressed. However, Mark and Robert exited due to their lack of interest and experience in the boob accessory market. 

Kevin and Emma seemed interested in the business. Emma initially offered the twin sisters $300,000 for 12.5% of equity in the company. Kevin called Emma greedy and offered the founders an even greedier offer. He agreed to give $300,000 for a 5% stake in the company but combined it with a $1 royalty per set that would expire when Kevin had recovered $1 million.

Taylor and Casey thanked the Sharks for their offers. However, they were unwilling to do a royalty deal because cash outflow from the operations was unacceptable. They eventually accepted the negotiated deal from Emma, where they were bound to receive $300,000 for a 10% stake in the company. 

Shark(s) nameOfferDemandCounteroffer Accepted?
Emma Grede$300,00012.5% equity stake in the company $300,000 for 10% equity share.Yes (counteroffer)
Kevin O’Leary $300,0005% equity share in the company ‘and’ a royalty of $1 per set that expires after $1 million is paidN/ANo
Lori Greiner N/AN/AN/AN/A
Robert Herjavec OutN/AN/AN/A
Mark Cuban OutN/AN/AN/A

CAKES Body Shark Tank Update

what happened to cakes body after shark tank

Taylor and Casey’s Backstory 

Taylor and Casey started the brand CAKES Body simply. They searched for a comfortable nipple solution and were surprised to find that most females faced the same problem. The duo had been working in the corporate sector for over ten years. However, after getting laid off by their respective employers, the sisters thought of dedicating their lives to fighting for women managing NFO. 

Initial Pitch

Casey and Taylor wanted to talk about something women had been suffering for a long time: the Nipple Freak Out (NFO). Nipples could turn on while working out at the gym, swimming in the pool, or walking through a cold aisle. 

Most sports bras and swimsuits had pads to prevent NFO, but the duo confirmed that those solutions only lasted a wash. Those materials became soft and flaccid after a wash. In such conditions, females used to do two things: either put adhesives on their nipples or wear traditional bras. 

Casey and Taylor presented CAKES Body, a set of nipple covers that were smooth and breathable. The nipple covers are clung to the nipples by using the body’s warmth. It needed no adhesives and came in three different sizes. All the product features are mentioned later in the update.

Queries About The Product 

Lori Greiner was instantly impressed by the product as she put it on her arm. She confirmed that the product was light and comfortable. Sharks wanted to know about the origin of the business idea. I have explained it in the ‘backstory’ section of the update. 

Emma Grede was curious to know the duo’s plans to fight competitors because the market was saturated with similar solutions. Casey explained that when they began researching, there was no company owning the boob accessory space.

They wanted to develop a seamless solution for women who did not poke through clothes. She further claimed that the CAKES Body nipple covers were broader and lighter than other products on the market. The adhesive connection did not fade from the sweat. 

Mark Cuban asked the sisters to justify the $6 million valuation with their sales. Casey humbly stated that they started the business with $10,000 in savings. CAKES Body spent $0 on marketing and had no external investor in the first year. Despite these factors, it made $1 million in sales. Sales figures for the last five months of the current year were $1.5 million, which were expected to inflate to $5 million by the end of the period. 

Casey claimed that the company earned a 35% net profit margin on the products that it sold. Last year’s profit was $300,000, while this year’s performance earned them a net surplus of $500,000. The panel was amazed by the rapid growth of a mere nipple cover, so Mark asked the duo about their main revenue stream. Taylor established that 90% of the last year’s sales were from organic TikTok reach. 

The sister duo was planning to rely less on TikTok as they were trying to diversify their revenue streams. Paid ads were the next source of customer traffic. CAKES Body made every penny spent on paid ads five times, which was extraordinary.

Robert Herjavec asked co-founders about the cost of producing each unit of nipple covers. Taylor explained that each unit cost the company $8 and was sold at $30 online. They enjoyed a whopping gross margin of 75%. The duo acknowledged that their business was in the beginning and needed the Sharks’ expertise to take it to the next level. The founders were planning to convert CAKES Body into a multi-product brand.

Shark’s Response And Final Deal 

cakes body net worth

Mark made a quick decision to opt out of the negotiations. He suggested that the CAKES Body did not need expansion but a strong customer feedback mechanism. The founders could use social media to know what the customers want. Robert also refrained from investing in the business because he had no experience in the boob accessory market, 

Emme appreciated Casey and Taylor by calling them more than marketers. She said that the business was in its early days, but the founders should find better channels to find clients. She could see the product succeeding in the wholesale and retail market. Her offer was $300,000 for 12.5% equity in the company. 

Kevin called Emma greedy. He offered the founders $300,000 for a 5% equity share, but he wanted a royalty of $1 per set until he would recover $1 million from the company. The royalty would lapse after the aforementioned amount was paid, but the shareholding would remain with Kevin.

Casey and Taylor thanked the Sharks for their offers. They turned down Kevin’s offer because they needed money to grow, and royalty would take a large chunk of cash out of the working capital. They countered Emma’s offer with $300,000 for 8% ordinary shareholding. Emma and the pitchers closed the deal at $300,000 for a 10% equity share in the company. 

CAKES Body Availability

The CAKES Body founders wanted to make it a multi-product brand, but it currently has only nipple covers available online. These nipple covers are different from other substitutes on the market. The CAKES Body nipple covers are made of silicone. They are light and soft to ensure a breathable experience. However, the most value-adding feature is adherence to body heat.

The CAKES Body nipple covers do not have irritative adhesives on the edges. They are washable and reusable. You can buy them from the official website in three sizes: OG, plus, and itty bitty. The major customer traffic comes from the TikTok channel run by the co-founders. 

The product solves the common problem faced by ladies all around the globe. It is better than the substitutes because the material is breathable. Once Emma helps take CAKES Body to wholesale and retail channels, it will replace the traditional nipple covers and costly bras. The organic TikTok content can help the company win customers throughout the world. Casey and Taylor can definitely solve many critical problems. 

Conclusion

Taylor and Casey were humble on the Tank but outperformed most companies appearing this season (when yearly revenue is considered the benchmark). The duo had an excellent start to their nipple cover business. However, the problem existed with managing growth because the founders planned to launch other products besides nipple covers. 

Emma Grede is the Shark in the Tank when it comes to developing apparel, women’s care, and lifestyle brands. Casey and Taylor have already laid a solid foundation with high revenues and profits. They had an open world of opportunities for their business to expand and capitalize on profits.

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