Everyone has experienced being stranded in the rain with nothing to shield their purse. Although an umbrella protects you, it exposes your pocketbook, making it susceptible to moisture damage. Owners of handbags, especially those with expensive bags, all too frequently deal with this annoying issue.
Entrepreneurs Morgan George and Arley Sarner recognized the need for a workable solution and came up with a device that would ease the inconvenience of rainy days. Their handy cover, Handbag Raincoat, provides a useful barrier against moisture and damage while shielding handbags from the rain.
On Shark Tank in Season 10, Morgan and Arley offered this creative idea and requested funding to further expand the market for their product. The entrepreneurs are seeking $300,000 for 25% equity. Did the entrepreneur get a deal on Shark Tank? Check out our The Hangbag Raincoat update to find out!
The Handbag Raincoat Net Worth Shark Tank Update 2025
Morgan George and Arley Sarner asked for a $300,000 investment in exchange for 25% equity in their company. This meant they valued their company at $1.2 million. However, they did not make a deal with any of the sharks. After the show aired, Handbag Raincoat saw a big increase in website traffic, sales, and social media exposure. With an estimated 10% yearly growth rate (typical business growth), the current net worth of Handbag Raincoat is about $1.93 million.
Unfortunately, following its appearance on Shark Tank, the Handbag Raincoat company did not have sustained success. Even though the product experienced a sales bump after appearing on The View and initially secured retail locations in well-known stores like Bed, Bath & Beyond, The Container Store, and Nordstrom, it wasn’t enough to keep the firm afloat.
The company also suffered from legal disputes over design patents, which made it difficult to concentrate on expansion. The brand was ultimately driven out of the market by the expenses and difficulties. As of today, the Handbag Raincoat has ceased operations. The product is not for sale, and the business’s website and social media accounts have not been updated.
No, the company didn’t get the deal on a Shark Tank. Asking for $300,000 in exchange for a 25% stake in their business, Morgan and Arley entered the Tank. But none of the sharks put money into their company.
| Shark(s) name | Offer & Demand | Counteroffer | Accepted? |
| Barbara Corcoran | Out | N/A | N/A |
| Lori Greiner | Out | N/A | N/A |
| Kevin O’Leary | Out | N/A | N/A |
Sara Blakely | Out | N/A | N/A |
| Mark Cuban | Out | N/A | N/A |
The Handbag Raincoat Shark Tank pitch
Inspired by their personal experiences of having purses destroyed by unplanned rain, Morgan George and Arley Sarner developed a protective cover for handbags. They recognized a need in the market for a product that offered total protection without the weight of an umbrella and could be conveniently worn over a pocketbook.
Both founders put a lot of effort into creating a rain cover that was both fashionable and useful, balancing the two. However, as they created the product, they encountered difficulties, particularly when battling imitation brands that attempted to imitate their style.
The pitch from Morgan and Arley was humorous and unforgettable. They began with a comical demonstration, demonstrating how their purses were not shielded from the rain like they were. Then they unveiled their offering: a lightweight, practical handbag cover. Regarding the business side, the entrepreneurs disclosed that their landed expenses for making each Handbag Raincoat were $1.79, yet the sharks were amused.
Depending on the size, their product’s retail costs ranged from $11 to $20, while its wholesale prices ranged from $5 to $9. Their revenues were low despite their continuous expansion because of the high expenses of their initial production and legal disputes. Keep reading the Hangbag Raincoat update to see what happens next!
Every shark voiced legitimate worries:
Barbara Corcoran asked about the cost and the price of the product. The founders replied it costs $1.79 to make all the sizes wholesale for $5, $7, and $9 and retail for $11, $15, and $20.
Kevin asked about the sales of the product. The founders replied they did over $600,000 in sales in the last 3 years.
Kevin further inquired about their ownership in the company. The founders revealed they own 84% of the company.
Mark Cuban asked why they needed a partner. The founders responded that they needed a strategic partner and growth capital. They also have other ideas, so they want support to expand the business.
Not a single shark was offered. Some expressed concerns regarding the product’s profitability and market sustainability, despite being amused by the presentation:
Barbara Corcoran and Mark Cuban withdrew because they were worried about competition and the expense of protecting the design from imitations.
Sara Blakely stated she was not interested in the product because it was not something she would utilize.
Kevin O’Leary stated that his primary reason for leaving was low-profit margins.
Lori Greiner stated that umbrellas have a comparable purpose and that she did not perceive a significant enough market need.
What Went Wrong With The Hangbag Raincoat On Shark Tank?
Handbag Raincoat left the Tank with nothing because of several problems. First, the sharks believed that even if the product was distinctive, it didn’t meet a huge enough demand to warrant a large investment. The substantial legal costs associated with protecting patents and combating copycats, which cast doubt on the brand’s capacity to expand and turn a profit, increased financial strain.
Last but not least, some sharks thought the product wouldn’t last long enough in the market because umbrellas already have a comparable function.
Product Availability
In the past, Handbag Raincoat was sold at well-known retail establishments like Nordstrom, The Container Store, and Bed, Bath & Beyond. A remarkable 10,000 copies of the product were sold during its appearance on The View. Customers could purchase it both online and in physical places, with prices ranging from $11 to $20 depending on size.
However, Handbag Raincoat is no longer available, and the company’s website and social media accounts are dormant because of financial difficulties and heightened competition.
Conclusion
The original goal of the Handbag Raincoat was to protect handbags from the rain, and it was successful in gaining some market awareness. Regretfully, they could not overcome the difficulties of defending their concept and the requirement for ongoing support to remain competitive. Although Morgan and Arley’s solution addressed a useful need, scaling and sustaining profitability proved challenging.
As of right now, the Handbag Raincoat narrative is over. The founders might come up with fresh concepts and avenues, and we might eventually witness them applying their imagination to a new endeavor.
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.
