Richualist Shark Tank Update – Net Worth 2024

Selling her home to fuel her business, Dawn Myers brought a tool on Shark Tank Season 15, Episode 19, to make beauty products more effective for people with curly hair. The Mint, developed by Richaulist, is a unique and patented product that warms and conditions beauty lotions and serums before being applied to the hair. 

Emma Grede, the only one on the Tank with curly hair and a beauty industry pioneer, instantly became interested in the Mint. However, the business was still in the initial stage, and the product pricing was too high. 

Despite the inefficient pricing at such a small production size, Dawn defended her case brilliantly. Did she manage to strike a deal on Shark Tank? Find out in our Richualist Shark Tank Update. 

Richualist Net Worth

28 April 2024 Update: We contacted the company and discovered that they have secured additional investments. Richualist’s net worth has surged to $8 million, thanks to venture capital backing after their appearance on Shark Tank.

Previously: As per the numbers and company data, Richualist net worth was around $1 million. Although several sources claim that Richualist has a net worth of over $5 million, the real figures are lower. As Dawn Myers demanded $150,000 for a 10% equity stake in the company, the valuation assessed by the owner was $1.5 million.  After negotiations with the Sharks, the valuation is reduced to $1 million. The $1 million valuation seems fair because the business has great potential. The company derives its net worth from fixed assets and working capital.

Richualist Shark Tank Update

What Happened To The Richualist After Shark Tank?

Richualist has mentioned Shark Tank on its website. The company has surely materialized the deal. The Mint’s price has been reduced from $400 to $298. Richualist is currently offering customers a pre-order discount of $100. Mark Cuban and Emma Grede surely helped Dawn Myers reduce the price to an acceptable level. 

Did The Richualist Get A Deal On Shark Tank?

Dawn Mayers asked for $150,000 for a 10% stake in her hair styling company, the Richualist. The pitch went well, and the owner successfully persuaded the Sharks to agree that the need for the product existed. 

Kevin O’Leary and Robert Herjavec could not relate to the product. Robert had no experience in hair styling, and the lack of pricing clarity bothered Kevin. Lori Greiner also opted out because she was already involved in developing a hair product. 

Emma Grede and Mark Cuban were interested in investing if Dawn Myers agreed to focus more on the Mint. They offered $150,000 for a 20% equity stake in the company. Dawn countered them with a 15% equity stake. However, the Sharks were reluctant to negotiate. 

Mark revised the offer by putting forward $150,000 for 15% equity shares and 5% advisory shares in the Richualist. Dawn agreed to the offer, and they made a deal. 

Shark(s) Name	Offered	Demanded	Counteroffer	Accepted?
Emma Grede and Mark Cuban	$150,000	20% of equity stake	$150,000 for 15% ordinary equity ‘and’ 5% advisory shares.	Yes (Counteroffer)
Lori Greiner	Out	N/A	N/A	N/A
Robert Herjavec	Out	N/A	N/A	N/A
Kevin O’Leary	Out	N/A	N/A	N/A

Dawn Myers’ Backstory

Dawn Myers had no beauty, engineering, or manufacturing background when she started working on the Mint. She is a lawyer by profession but had hair problems when she was a kid. Dawn’s mother was black, but her stepmother was white. The issue started when she used to visit his father in the summers, and her stepmother did not know how to style her hair. She would carry a fluff of hair on her head during the summers. 

In 2017, Dawn Myers was watching a Shark Tank episode when the idea of launching Richualist came across her mind. She got her inspiration from Terra Brown of Sleep Styler. She was determined to serve people who no one served. The Mint took five years to build. Dawn had to digest many refusals from investors, making her sell her house to fuel the cause. 

Initial Pitch

Dawn Myers entered the Tank and introduced herself as the founder of Richaulist, a styling company. She asked for $150,000 for a 10% equity stake in the company. 

She began by explaining the trouble she faced when waking up with messy hair and wasting three hours styling them. Highly textured hair was beautiful but complicated at the same time. They made traveling impossible, took a lot of time to style, and demanded a lot of beauty products. 

Dawn put forward the Mint. A patented and 3-in-1 styling system that makes styling easier. She demonstrated switching the pods where it required removing the lid and inserting the pod. The gentle warmth from the Mint enhanced the reactants in liquid beauty products filled in the pods. Dawn invited Sharks to invest in changing the lives of 50 million Americans with curly hair.

Queries About The Product

Emma Grede instantly found the product relatable because she spent six hours styling her hair before coming to Shark Tank. She asked if the Mint worked for all sorts of hair textures. Dawn confirmed that the product was designed primarily to foresee hair texture because they were underserved despite spending too much on beauty products. The Mint also worked fine on looser curls. 

Robert Herjavec curiously asked Emma about the foresee hair texture. Emma explained that the texture was super curly and hard to style. She asked Dawn if the product included the beauty serums or if the company sold just the styler and pod system. Dawn said that users must put their beauty serums in the pods system. 

Kevin inquired whether the customers could buy multiple cartridges from the company. Dawn explained that Richaulist sold multiple cartridges to its customers. However, she was in talks with beauty product manufacturers about co-branding the cartridges. 

Kevin O’Leary further asked about the price. Dawn said that the Mint was sold for $400 each, which surprised the Sharks, but Dawn was ready for the expression. She argued that Richaulist had prepared a small batch of only 100 units for $120. However, the company handled the assembly, which reduced the cost to $60 per unit. Ultimately, they were planning to reduce the price.

Mark Cuban did not agree to the strategy. He insisted Dawn stick to the current price because the Mint was sold out despite inefficient pricing. He asked about the price of the cartridges. Dawn told Mark that the pods were available in a batch of six on a subscription basis. A batch costs customers $36. She added that developing the material was the hard yard. It took $1 million to create a prototype and test it. 

Lori Greiner wanted to know the company’s source of funding. Dawn answered her with her story, which I explained in the ‘backstory’ section of the update. Most of the money came from Dawn selling her house. Richualist received funds from incubator programs and pitch competitions. The $1 million fund was raised in the form of convertible notes. If the notes were converted, Dawn would still have 72% ownership in the company. 

Kevin asked about the revised selling price of the Mint. Dawn confirmed that she planned to sell the Mint for $200 because of the lower cost of goods sold. She wanted to make money from subscription revenue earned through pods. Mark disapproved of the strategy.

Emma inquired Dawn about her plans because the business was still in the initial stage. Dawn confirmed that Richualist was in talks with Procter & Gamble and L’Oreal. They were negotiating to partner with Richualist by co-branding the pod system strategically. 

Emma called the strategic partnership a distraction because it was too early to divert attention from the Mint to the cartridges. Mark agreed with Emma, confirming that the Mint had the power to disrupt the market. Once Richualist causes the disruption, other brands will voluntarily offer pre-fills. 

Sharks’ Responses And Final Deal

Kevin did not like the fact that Dawn still had to figure out the selling price. He bowed out, stating that the business needed a Shark with hair to help it. Robert also opted out because the product was not his space, and he could not understand it. 

Lori complimented Dawn for being an amazing entrepreneur but refused to invest. She disclosed that she was working on a hair product that would be a conflict of interest. After Lori got out, Emma and Mark started questioning Dawn about her plans. 

Emma and Mark offered $150,000 for 20% equity in the company. Dawn countered them with 15% of the equity share to protect her investors. However, Emma and Mark needed a cushion against future dilution. Mark revised the offer at $150,000 for a 15% equity stake and 5% advisory shares. Dawn agreed to the offer, and they struck a deal.

Product Availability 

Currently, Richualist is selling a single hair styling product named the Mint. It is a three-in-one styling system with a unique patented design. It makes styling curly hair easier, healthier, and faster. 

The user has to remove the lid and load it with a pod filled with beauty serums. The Mint gently warms and conditions the serum or lotion. It makes applying liquid beauty products on curls easier and streamlines detangling. 

The product is available on the official website for just $298 instead of the previous price of $400. Richualist sells pods in a pack of six for $36. The pods are sold on a subscription basis. The subscription model is an effective strategy for customers continuously repurchasing the pods.

Since Mint is a patented product, it is hard for competitors to replicate its design and utility. The simple-to-use design is suitable for everyone. It served people with curly hair, a market comprising 50 million Americans. This provides the Mint with ample opportunity to expand. 

Conclusion

Dawn Myers impressed every Shark on the panel with her charismatic presentation. She made them realize the need for the Mint, a tool developed to make beauty products more effective. She initially faced problems arranging the funds for her business, so she sold her house.

The company is still in the initial stage, but Emma Grede and Mark Cuban saw potential in the business. Richualist has a patented design that has a lower manufacturing cost. Dawn Myers’ objective is to serve people with curly hair, which can help the company earn sustainable profits.