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On Shark Tank season 13 episode 21, entrepreneurs Michael Garrett and Ryan Duey presented Plunge, a cold therapy tub company seeking $1.2 million for 5% equity. The San Francisco founders transformed their pandemic garage project into a $4.9 million business within one year.
Their innovation solved a key problem in cold therapy by eliminating manual ice hauling through a built-in cooling and filtration system. During the pitch, Shark investor Robert Herjavec stepped up for a product demonstration and submerged himself in their 55-degree cold plunge tub. His reaction captured the experience:
"Oh, geez! (screams)...Is that a minute?...It's shocking, but surprisingly the breathing really helped and now it doesn't feel as bad. I wouldn't say it's comfortable but it's not bad."
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The product lineup included a $4,999 base model, a $6,990 XL version, and a $6,490 commercial-grade option. Their pitch drew multiple offers from the Shark Tank investors, leading to some negotiations and a deal with Robert Herjavec.
Pandemic garage project got $2.4M Shark Tank deal after Robert's cold test
The demonstration started with Robert volunteering to test the tub. The water temperature read 55 degrees when he climbed in wearing shorts. Another Shark Tank investor, Mark Cuban watched from his chair, telling Robert to stop making dramatic sounds about the cold.
As Robert settled into the water, his breathing steadied and he noted the cold's energizing effects. The demo showcased how users could control exact temperatures without manual ice additions. Robert's experience matched typical first-time user reactions according to the founders, who explained the body's natural adjustment to cold exposure.
Kevin O'Leary opened discussions by questioning the $24 million valuation, calculating the numbers based on their current sales. Despite valuation concerns, he saw market potential and made an offer of $1.2 million for 18% equity. His deal included immediate distribution channels through his business network.
Barbara Corcoran analyzed the company's rapid growth pattern and manufacturing demands. She structured a different deal at $1.2 million for 20% equity, with half provided as a loan to support production needs. She pointed out their main challenge centered on managing fast expansion.
Mark Cuban joined the bidding with an offer of $1.2 million for 15% equity with additional purchase order funding. He explained this structure would help them manage inventory demands while maintaining growth momentum. The multiple offers sparked intense negotiations as Michael and Ryan evaluated each Shark's strategic value beyond the monetary investment.
Robert Herjavec also entered the negotiation. He offered a total package of $2.4 million. The structure included $1.2 million in cash for 15% equity and $1.2 million as a loan. Michael and Ryan assessed the offers on the table. They turned to Robert with a counter at 10% equity while keeping the same monetary terms.
Robert considered their counter and adjusted to 12% equity as his final position. The founders accepted Robert's modified deal after evaluating the strategic benefits of his business network and financial arrangement.
Post-show developments
The agreement in the Shark Tank marked the beginning of Plunge's growth story. By 2023, the company reached $80 million in sales, shipping approximately 2,000 units monthly, per Shark Tank Blog. They moved operations into a 150,000-square-foot manufacturing facility to meet rising demand.
The product line grew beyond the original cold plunge tubs to include saunas and various models. Their rapid expansion created complex accounting challenges during due diligence, as per reports.
The founders focused on managing their fast-growing business rather than finalizing investment paperwork. The monthly production of 2,000 units demonstrated their ability to scale manufacturing while maintaining product standards.
Fans can catch new Shark Tank pitches on the ABC network.
