Bryant Visintin and Ani Armstrong entered the tank with one mission in their mind: to scale their bicycle seat business. The duo has developed a comfortable and ergonomic bicycle seat to ensure the riders do not feel pain in their groin or crotch area while riding for a long time.
The duo asked the Sharks for $150,000 for 5% of the company. However, they could not convince the Sharks initially despite having a great idea that could satisfy the needs of many cyclists. The business was new, and winning the distribution was the most crucial part.
After knowing what bothers the Sharks, did Bryant and Ani strike a deal on Shark Tank Season 15 Episode 20? Our VSeat Shark Tank Update will focus on the small yet important details of what went down the whole segment. Scroll to know everything about VSeat’s pitch.
VSeat Net Worth
Bryant and Ani valued their company at $3 million, as they demanded $150,000 for 5% of the company. VSeat had a $500,000 equity investment from the owners. The lifetime sales are over $300,000 with sold profit margins.
While these factors add to the value of the business, it is impossible for VSeat to have a net worth of anything near $3 million. The Sharks have offered them $200,000 at a valuation of $800,000. It might seem harsh, but it is nearer to the net worth of VSeat. The current net worth of VSeat is around $1.4 million.
VSeat Shark Tank Update
What Happened To VSeat After Shark Tank?
Not much has changed for VSeat after Shark Tank. It is available on the official website for $119. The company did not mention Shark Tank on its homepage. The distribution channels take a long time to build, so we could not find any information about the establishment of that.
Did VSeat Get A Deal On Shark Tank?
Bryant and Ani impressed every Shark on the tank with their background and the product they came up with. The demand was surely there, and the sudden hike in sales advocated the case for the company. However, Mark Cuban was reluctant to invest in the bicycle business associated with designing because the market structure was rigid.
Barbara opted out because she did not like the design. Lori could not offer a better deal than Kevin and Robert, so she bowed out as well. Kevin and Robert saw potential in the business despite it being in an early phase.
The patents persuaded Kevin to offer the company $150,000 for 20% of the equity stake. Robert demanded 15% of equity for the same amount of consideration. The duo wanted to bring both Sharks on board, so they eventually struck a deal at $200,000 for 25% of the company.
| Shark(s) Name | Offer | Demand | Counteroffer | Accepted? |
| Kevin O’Leary and Robert Herjavec | $150,000 | 25% equity in the company | $200,000 for 25% equity in the company | Yes (Counteroffer) |
| Robert Herjavec | $150,000 | 15% equity in the company | ||
| Kevin O’Leary | $150,000 | 20% equity in the company | ||
| Barbara Corcoran | Out | |||
| Lori Greiner | Out | |||
| Mark Cuban | Out |
Bryant And Ani’s Backstory
The business idea started for Bryant when Ani told him that she did not want to desensitize her lady bits due to discomfort. Bryant was shocked as a trainer after hearing it from Ani. Despite his 20 years of experience as a cycling coach, he never knew how bad the discomfort could get.
Ani called her backstory an American Dream because she survived the toughest battle of her life to be in America. She was adopted by an Armenian family living in Iran. She almost got jailed in Iran as a 12-year-old when the morality police arrested her due to a strand of hair dangling outside the Hijab.
Ani’s mother begged and saved her life. The family left Iran to move to America for a better life. Ani got an MBA and Chemistry degree in the USA. She had the experience of working in the Pharma sector. However, she always had something missing inside of her.
Ani wanted to change people’s lives like her father did in Iran. She promised her father to do something better when he was dying. VSeat proved to be a relevant part of her journey to achieve exactly that. VSeat had the potential to make life easier for people by comforting them.
Initial Pitch
Bryant Visintin and Ani Armstrong introduced themselves to the Sharks and demanded $150,000 for 5% of the company. Bryant explained his misery when he had to experience stiffness in his groin area when riding the bicycle, especially on long rides. He had to wear padded shorts, but it always came short.
Ani argued that riding the bicycle should have been more fun, but the traditional bike seats put continuous pressure on nerves and arteries. The blockage of blood vessels caused numbness and pain in the crotch. The duo came up with a solution to help cyclists avoid the discomfort.
Ani and Bryant presented the Sharks with VSeat. VSeat was a revolutionary and noseless bike seat that was tailored for the comfort of riders. It was slip-resistant yet more comfortable than cushioning. I have explained the product in detail later in the update.
Kevin instantly wanted to test VSeat because he always felt uncomfortable riding a bicycle. After using the ordinary seat and VSeat subsequently, Kevin admired the design. He called it package-friendly and non-restricting. Barbara also tried VSeat and was surprised by the comfort despite the absence of cushioning.
Queries About The Product
Mark asked Ani about the cost and selling price of the VSeat. Ani explained that VSeat was available on the official website for $119 per seat. Each seat cost the company $24. They managed to sell VSeats worth $300,000 in the last three years. However, $26,000 were sold in the last year, while seats worth over $270,000 were sold during the current year.
The Sharks were impressed by the long leap in sales. Ani clarified that they started advertising the seat on Facebook and Instagram which helped raise the sales. Lori wanted to know about the background of the duo (I explained it earlier in the update). The panel got emotional after learning about the troublesome backstory of Ani.
Lori asked if the company patented VSeat. Ani proudly claimed that VSeat had six registered design and utility patents. Barbara inquired about the amount of money the duo had put into the business. Ani and Bryant said that they invested $500,000 in the business.
Kevin argued that every bike store had five to six types of seats. People had to purchase the bike first and then proceed with the seats. He added that the market was big, so how was the company going to manage the distribution?
Mark and Robert emphasized the importance of Original Equipped Manufacturers (OEMs) and licensing. Kevin agreed with them and asked the duo whether they were planning to manage distribution themselves or engage OEMs. Ani said that the company could go either way.
Sharks’ Responses And Negotiation
Mark explained to the duo that he previously invested in Guardian Bikes on Shark Tank. The company had excellent design ideas. However, OEMs were never interested in executing the designs because the margins did not allow them to add more costs. He opted out because his experience with the vast bicycle market was not good.
In Kevin’s opinion, the execution process was long, especially if the duo was planning to involve OEMs. He offered them $150,000 for 20% of the company because the VSeat had registered patents.
Robert was the only Shark that could actually relate to the immigration backstory because his family migrated to the USA from a communist country. He said that he was grateful for the opportunities offered by the USA. He presented the duo with $150,000 for 15% of the company.
According to Barbara, the design did not seem too comfortable. She opted out as the product did not have the potential to make it big. Lori also made an exit because Robert and Kevin’s offers were good.
Bryant and Ani tried to convince Robert to reduce the demanded stake in the company. None of the two Sharks agreed to compromise on the demanded equity. Bryant asked both Kevin and Robert to join.
Robert and Kevin agreed to bring $150,000 for a 25% stake in the company. Bryant asked them to increase the cash consideration to $300,000. The Sharks offered $200,000 for 25% of the company. Bryant and Ani agreed to the offer.
Product Availability
VSeat is a revolutionary product for bikes who hate the discomfort felt in the crotch area while cycling. It has a noseless and bump-free design that prevents the arteries from blocking. Its ergonomic design is ideal for prolonged journeys. It is unisex, slip-resistant, lightweight, and adjustable, unlike the traditional bike seats.
The company sells VSeat directly to customers through its website. It is available for $119 and the company earns around $95 of profit margin per piece. The profits are sustainable, and the recent hike in sales advocates the demand for the product.
However, the bicycle industry is a vast playfield to exploit. Supplying VSeat to every bike store around the USA will require an effective distribution business model. However, the company has on developing the distribution model. Engaging the OEM can be risky because manufacturers do not cater to designing needs due to restricted margins. If everything goes well, you might often see people installing VSeat on their favorite bikes.
Conclusion
Bryant and Ani have lived their life around cycling. They have the passion to work for the betterment of the cyclists’ health. The product design was great, but the company had to work on the distribution of bikes.
Robert and Kevin are the best Sharks on the panel to help the company establish a solid distribution network. The product has potential. Selling the bikes directly to the customers can help VSeat earn contracts with leading manufacturers around the globe.
While VSeat got a much lower valuation than what the co-owners initially demanded, getting $200,000 for 25% of the company is not bad. The deal is acceptable since the experience of two Sharks can disrupt the market.
Hi. I’m Daniyal Durrani. A CA-finalist, CPA-UK, and Master in Economics, with a decade-long business studies experience. I work as an Audit and Business Advisory Manager in a globally recognized accounting firm. I have been watching Shark Tank for a long time and have always admired the innovative business ideas. The revolutionary solutions to unaddressed day-to-day problems presented on the show used to impress me like no other thing on TV. Read more About me.