Pat Pezet and Matt Canepa, who founded a grinds coffee pouches business, first started out as entrepreneurs. Along the way, they experienced a setback.
The partner used to play a professional baseball sport in an amateur and semi-pro league. After finishing their academic degrees, the partner returned to the college to pursue their career. At there, they worked relentlessly at night and consumed a lot of caffeine.
One day, the business concept was brought up while both of them were trying to accomplish their classroom project very late at night. Then Pat and Matt participated in a contest, in which they won a great prize.
Moreover, the grinds coffee pouches produce tiny pouches flavoring coffee, which boosts the consumer’s adrenaline. Therefore, they will stay alert, sharp, and fully focused all day and night.
Each package can contain a substantial amount of Vitamin-B and other vital minerals to keep you awake and energized.
Company Overview in Shark Tank
|Company Name||Grinds Coffee Pouches|
|Website / Social Media||https://www.getgrinds.com/|
|Episode||Season 4 Episode 15|
|Product Offering||Grinds coffee pouches for chewing|
|Founder||Pat Pezet & Matt Canepa|
|Required Investment||$75,000 financing with 10% stake in the company|
|Closing Deal||$75,000 investment in return of 15% share in the business|
|Offered Sharks||Robert Herjave and Daymond John|
|Current Business Status||In Business|
What Is Grinds Coffee Pouches?
The business features mini packages that are flexible and contain coffee flavors inside. Consumers can chew them for boosting their alertness and focus while working overtime.
You can just chew a few pouches of the grinds coffee, so that you do not have to bother about being anxious throughout the day and night.
Each pouch could make a lot of saliva that you can swallow. It would be a good method of absorbing the nutrients contained inside them. By having a pouch, it means that you are effectively brewing fragrant and delicate espresso inside your mouth.
On top of that, the products carry a lot of Vitamins B, which are sources of energy and nutrients, so it keeps individuals to stay bright and fresh all day long.
Furthermore, the grinds coffee pouches are made as a substitute to chew tobacco in a healthier way. It can often be chewed by many professional baseball players while they are playing.
Other than that, the coffee pouches are used by people who want to reduce their tobacco consumption. Thus, by chewing the coffee pouches, they could stay away from the tobacco and obtain a healthier lifestyle and energy.
You have the option to spat it out whenever you want to. Also, even if you spat the saliva out, your body already takes up a certain amount of caffeine. Hence, it still carries caffeine, yet in a smaller amount.
Thus, spatting saliva or swallowing it would be your choice. If you think you already consume too much caffeine, you may spat it out. Meanwhile, if you need more of it, you can add a few more pouches. The choice is up to you as a consumer because there will be no negative side effects at all.
Swallowing the coffee pouches is a creative way to stop smoking. All those little pouches contain coffee that tastes good, as well as vitamin B, which will help you stay awake.
Coffee pouches containing ground coffee are sold in containers that hold 4 to 5 servings. Moreover, each pouch’s caffeine is equal to 5 coffee cups, containing around 20 energy.
The grinds coffee products are made with containers, consisting of natural energy sources. The ingredients are commonly found in Red Bull and other energy drinks.
The grinds coffee pouches concept was founded by Pezet and Matt, who are both from California. They studied finance and business at the University of California Polytechnic, where they graduated with certificates.
They met while playing a lower-tier baseball league and decided to start packing the coffee pouches. Mat was a pro baseball player who spent his time.
The story began when the partner worked through the nighttime to complete the economics assignments. To stay awake, they shoved the coffee in the mouth in the same way they chewed tobacco.
The companion was energized by the experience. Furthermore, their innovative energy pouches were also pouring at the same time. Pro baseballers concluded that using caffeine wads as a substitute to chew tobacco would be a healthier option.
Chewing tobacco is replaced with grinds coffee pouches, which are meant to replace tobacco.
Both Pat and Matt came up with the concept of producing grinds coffee pouches while they tried to accomplish their assignment late at night. They were seeking one thing to make them awake; therefore, they packed grind coffee pouches to chew.
It was difficult initially, yet they could tell everything was working when they chewed on them and felt energized. This ad also prompted the partner to join a competition, where they each won $500.
Chewing tobacco is bad for your health, and people who play baseball know this. Since the partner established this innovative brand, a lot of baseball players have appreciated their concept. One of the baseball managers also embraced them.
Not long after that, the companion notified that the team management had replaced a tobacco chewing habit with their coffee grounds. As a result, they both were motivated by a desire to turn this vision into a company.
They were given help in finding a factory to kick off the production, as well as substantial media coverage from outlets, including Magazine.
As a means of extending their company, they sought to participate on the Shark Tank show. Surprisingly, they were accepted into season 4.
To begin with, they were seeking a $75,000 financing in return for ten percent of the business on the shark tank reality show, where Matt and Pat pitched the grinds coffee pouches.
According to Pat, the tiny pouches are produced by freshly ground coffee that has been strengthened with ingredients that help maintain users to stay alert and energetic.
Matt delivers the prototypes to all sharks, except for Barbara to test out on a regular basis. Surprisingly, the taste has caught them by surprise.
In the first year of launching, the business generated $3.5K in sales. However, they obtained an endorsement from one of the baseball managers. Furthermore,
The business had already made $135K in sales revenues after two years of launching. Additionally, when they debuted on the show, they were able to reach the target by selling up to $300,000 in sales.
Although this tobacco chewing substitute appears to have excellent statistics, would the Sharks chew them?
One shark came and agreed to finance $100,000 in investment, yet he requested a 25 cent royalty for each product sold and the share of 30%.
However, Daymond and Robert agreed to offer a $75,000 financing for 15% equity of the business. In addition, Daymond wanted to be involved in the business sale and bring some advice to the company.
After a few more discussions, Matt and Pat agreed to accept Robert and Daymond’s investment.
Following the shark tank appearance, grinds coffee pouches business has gained a lot of fans despite the fact that no agreement was reached.
There was a decent possibility that Daymond and Robert (the two sharks) did not get their deal with the company worked out.
The two sharks may have bought this coffee pouches business when the company was just starting out, and there was not much of a market for them. Considering the time investment, Daymond sometimes does not engage in any businesses if he obtains below 10% shares.
Following the broadcast of the episode, the company gained widespread attention. The company sells their products directly to consumers and via third-party online merchants, such as Amazon. MMQB has praised the partner for the tastes, which they brought to the market.
The company is very active on social media channels, such as Facebook and Twitter. Moreover, the business’s Facebook page has more than 20,000 likes. It is the result that the companion is clearly committed to making his business a household name.
However, despite the Shark Tank negotiation falling through, the business continues to thrive all over its webpage and via online stores, such as Amazon.
The pouches are flying off the shelves, and the company is expanding.
For those addicted to chew tobacco, there is already an innovative market solution that may assist them in kicking the habit and making a name for themselves on the shark tank tv reality show.
During the discussions, the contract with both business and Sharks broke down, according to Forbes magazine. As of now, the company is still operating on the market with a yearly income of more than $5 million.