"Love, love, love" - When Shark Tank investors went on a bidding war for Pulp Pantry

During Shark Tank season 13, episode 23, Pulp Pantry (now Trashy) founder Kaitlin Mogentale pitched her sustainable snack company, which converted discarded vegetable and fruit pulp into gluten-free, vegan chips. With 2021 sales at $250,000 and 2022 projections of $500,000, the $5 million valuation sparked varied responses from sharks.

Lori Greiner saw potential in the venture but considered the valuation risky, leading to her distinctive offer:

"Thing for me is I love what you're doing, love love love…how about if I gave you the $500,000 is as an loan because that feels a little safer to me. $500,000 is a loan at 6% interest which is less than the going rate. 3 years to pay it off, and then I would still want the 10% equity stake."

At the end, Mark Cuban secured a $500,000 investment for 17% equity winning against multiple competitive offers. The pitch resulted in complete product sellout post-show.

---

Mark Cuban won bidding war for Pulp Pantry on Shark Tank season 13

Mogentale's Shark Tank pitch centered on a $500,000 investment request for 10% equity, setting the company valuation at $5 million. Her product line showcased four flavors: Sea Salt, Barbecue, Salt and Vinegar, and Jalapeno Lime.

The business model demonstrated good margins, with production costs at $1.70 per unit, wholesale pricing at $3.24, and retail rates between $4.99 and $5.99. The company secured partnerships with major juice manufacturers to source pulp materials, establishing a reliable supply chain for sustained growth.

The pitch generated multiple competing offers. Kevin O'Leary led with $500,000 for 25% equity, focusing on the financial metrics. Lori Greiner gave a distinctive offer combining a $500,000 loan at 6% interest with 10% equity.

Barbara Corcoran withdrew from consideration, citing market competition factors. Emma Grede also stepped back, expressing concerns about the valuation framework.

The bidding intensified as Cuban highlighted his experience with successful food companies.

“I'm going to give you a list of my Shark Tank companies: Mush (Oatmeal), Pans Mushroom Jerky, Pnuffs, Wanted Date, Unreal Deli, Snackling Nuts, and More Truffle Shuffle, New Milk Everything Legendary – all these are companies in your category. Companies that are on a mission to make the world a better place and to make people healthier.”

The Shark Tank investor continued,

“I understand the category. So I'll make you an offer, and it's going to be 500k for 20%, and I can tell you that, when you walk in the door, we all know every entrepreneur has the limit to go above, but you have to ask yourself where can you get to because that's really where the value comes.”

Responding to Cuban's initial offer of $500,000 for 20% equity, Mogentale countered with 15% equity, maintaining her stance on company valuation. The back-and-forth concluded with both parties agreeing to 17% equity.

---

Post-Shark Tank performance

Pulp Pantry experienced significant growth markers after the appearance, as per Shark Tank blog. Product inventory sold out completely following the episode's airing and the company also expanded retail presence beyond original Los Angeles locations, securing spots in stores like GoPuff, Bevmo, and Urban Outfitters.

The company's environmental impact metrics showed substantial growth. The total vegetable waste savings reached 228,000 pounds by 2024, stemming from partnerships with two major juice manufacturers.

Water conservation efforts through pulp upcycling saved 17 million liters, while their practices preserved 500,000 square feet of crop lands.

Additionally, sales channels diversified through retail partnerships and a subscription program priced at $18 monthly. The company maintained production efficiency with costs at $1.70 per unit while keeping marketing expenses under 5% of profits.

In April 2024, the Shark Tank company underwent rebranding, changing its name to "Trashy" while maintaining its core mission in food waste reduction.

---

Fans can watch new episodes of Shark Tank on ABC network.