It can be difficult to find pleasant, nutritious substitutes for nut butter, particularly for people who are following a strict diet. Many people struggle with nut allergies or require different products because of lifestyle decisions or medical conditions.
The creators of Oat Haus, Ari Schraer, Ali Bonar, and Eric Katz, realized this issue and made the decision to develop a granola-based butter as a solution. Their objective was to provide a tasty, nutritious, and nut-free spread that could satisfy the demands of customers who were concerned about their health and those who had dietary requirements.
Granola Butter was produced as a result. In Shark Tank, the team requested $375,000 in exchange for 5% ownership of their business. Did the entrepreneur get a deal on Shark Tank? Check out our Oat Haus update to find out!
Oat Haus Net Worth 2024
Ari Schraer, Ali Bonar, and Eric Katz asked for a $375,000 investment in exchange for 5% equity in their company. This meant they valued their company at $7.5 million. Despite their efforts, they did not secure a deal on Shark Tank. Since then, Oat Haus has grown significantly, with annual sales surpassing $3 million by 2024 and expanding to a larger facility. The current net worth of Oat Haus in 2024 is approximately $7.5 million.
Oat Haus Shark Tank Update
As for an Oat Haus Update, despite not landing a deal on Shark Tank, Oat Haus remained a successful business. They have greatly increased their business since appearing on the show. Oat Haus has developed into an effective company with yearly sales of over $3 million by 2024.
They also doubled their manufacturing and fulfillment area after moving from their initial Philadelphia location to a considerably larger 45,000-square-foot facility in Cleveland.
Their granola butter has become even more popular as a result of the product line’s expansion to include new, seasonal flavors including Strawberry Shortcake and Pumpkin Spice. Whole Foods, Thrive Markets, Harmons, Amazon, Wegmans, Target, and other stores now carry Oat Haus products.
No, the Oat Haus crew left Shark Tank without a deal. The founders’ drive and commercial acumen were well appreciated by the sharks, but none of them had the confidence to make an investment.
| Shark(s) name | Offer & Demand | Counteroffer | Accepted? |
| Daniel Lubetzky | Out | N/A | N/A |
| Lori Greiner | Out | N/A | N/A |
| Kevin O’Leary | Out | N/A | N/A |
| Barbara Corcoran | Out | N/A | N/A |
| Mark Cuban | Out | N/A | N/A |
Oat Haus Shark Tank Pitch
Ari Schraer, Eric Katz, and Ali Bonar were all passionate about nutrition and leading healthy lives. Granola Butter was formed in large part because of Ali’s personal battle with disordered eating. During her recovery process, she looked for spreads that weren’t nuts and were easy on the stomach.
She collaborated with her fiancé Eric and their friend Ari. She wanted to develop a spread that would satisfy the demands of those similar to her as she looked for nut butter substitutes that would be kind to her skin. Early on, it was difficult since they had to figure out how to make the product nutritious and free of common allergens like nuts, all while perfecting its taste, texture, and consistency.
The Oat Haus creators emphasized the product’s uniqueness to the sharks when they introduced their granola butter. The first butter made from oats is called Granola Butter; it has the taste and texture of granola mixed with nut butter. It comes in a variety of flavors, such as blueberry, vanilla, chocolate, and cinnamon & cardamom.
The $2.7 million lifetime sales figure, which included $1.2 million in sales in the previous year alone, thrilled the founders. The sharks were worried, though, because the selling price ranged from $9 to $12.95, and the production cost was comparatively expensive at $3.25 for each jar. Keep reading our Oat Haus update to see what happens next!
Daniel asked the founders about the numbers. Aric replied that they launched in March 2018 and made $2.7 million in lifetime sales. He further revealed that in the first year, they made $156k in sales, $435k in the next year, and $1.2 million last year. While they spent only less than 5% of revenue on marketing.
Mark questioned how much money they had raised. Aric replied that they invested $100,000 of their own funds, which they raised from friends and family. They raised $600k through convertible notes. A part of it is valued at a $5 million cap and the remaining at a $6 million cap. This investment was from successful founders like Tara Bosch and J. Cassin.
Daniel further asked about the cost and selling price. Aric replied it costs $3.25 to manufacture a jar and sell it between $9 to $12.95. To distributors, they sell it for under $5.50.
Mark Cuban doubted the product’s capacity to distinguish a part in an already crowded market. Eric and Ali clarified that their product was unique in that it was oat-based, making it healthier and appropriate for those who are allergic to nuts.
Mark Cuban decided not to invest because he didn’t think it would be competitive on shop shelves.
Barbara Corcoran liked the idea; she acknowledged she wasn’t sure how she might offer value to the company. She left because she didn’t think she could contribute to Oat Haus’ growth.
Kevin O’Leary found the product to be inconsistent, describing it as “soupy” and “unpleasant.” He decided not to invest since he didn’t think it had a strong enough appeal in such a competitive industry.
Lori Greiner was in love with the flavor, the packaging, and the idea as a whole; she didn’t imagine herself contributing to the business. Though she thought it wasn’t the appropriate fit for her, she appreciated their achievement.
Daniel Lubetzky didn’t think this idea matched his ideas because he likes to invest in businesses whose owners are passionately committed to long-term success.
What Went Wrong With Oat Haus On Shark Tank?
The primary causes of the sharks’ lack of interest in Oat Haus were worries about the product and market saturation. Particularly considering the huge number of different spreads already on the market. Mark Cuban believed the product would not stand out on store shelves.
Kevin O’Leary was hesitant to support the product since he found the spread to be inconsistent and described it as “soupy.” Last but not least, Daniel Lubetzky preferred to invest in long-term projects motivated by enthusiasm, so he felt uneasy with the idea that the founders would suddenly sell the company.
Product Availability
From our Oat Haus update research, you can buy Oat Haus Granola Butter from their website Oat Haus and at Whole Foods, Thrive Market, Harmons, Amazon, Wegmans, and Target, among other big-box stores. Original, vanilla, chocolate, and blueberry are among the flavors available for the product. Seasonal alternatives include Strawberry Shortcake and Pumpkin Spice. Depending on the flavor and store, jars might cost anywhere from $9 to $12.95.
Conclusion
Despite not landing a deal on Shark Tank, Oat Haus has achieved significant achievement on their own. The business has increased revenues, enhanced its capacity for production, and keeps bringing new tastes to its loyal customers. Oat Haus appears to have a bright future with their transfer to a larger facility and the ongoing success of Granola Butter.
Despite the fact that the sharks did not bite, the company’s story shows that success is still achievable with determination and a compelling product. Keep an eye on Oat Haus as they expand and enter more homes with tasty, healthful oat-based spreads!
Hey, I’m Amna Habib an undergraduate student of Bachelors in Business Administration. Shark Tank is one of my favorite TV shows of all time. The show provides a fascinating insight into the world of entrepreneurship by presenting creative solutions to common problems, which strongly connects to my academic interests. I’m interested in learning more about the strategic thinking and creativity that lead these companies as each pitch provides insightful information. I’ve found that watching Shark Tank has inspired my enthusiasm for business and entrepreneurship and has been a very enlightening and motivating experience. Apart from business and writing, I love food, shopping, and hanging out with friends and family. Read more About me.
