While many direct-to-consumer businesses strive for unicorn status, Buck Mason, a digitally native menswear brand, discovered that pursuing capital and rapid development went nowhere quickly.
Sasha Koehn and Erik Allen Ford, the brand’s co-founders, founded the company in 2013 with the goal of improving the most basic items in a man’s closet. Tees were a natural first step as customers shifted away from the formal dress and toward athleisure.
The brand attempted but failed to raise $5 million in Series A funding in 2015. That’s when Koehn and Allen Ford chose to concentrate on profitability rather than soliciting VCs to expand the company.
After the brand’s tees were named one of the best in America in a 2014 Wall Street Journal article, sales skyrocketed from $4,000 per month to more than $100,000 in only 24 hours. Rather than seeking VC funding, the brand began reinvesting money from e-commerce and retail sales back into the firm.
“We talked to a lot of VCs and were pretty much knocked down by everyone.” “I don’t think we were very adept at talking that discussion,” Allen Ford admitted. “They wanted us to demonstrate how we were going to increase our revenue by 500 percent per year.” ‘We can show you how we’re going to manufacture a better T-shirt tomorrow,’ we wanted to say.
Buck Mason has increased sales by 150 percent year over year since 2016, he claims, by focusing on “strength-based growth.” That meant being careful about how the company spent its money, from cutting the marketing budget to concentrating on more local production. Currently, the business manufactures more than half of its items in-house, reducing transportation costs. Buck Mason also made a variety of other items outside its characteristic curved-hem tee, such as five-pocket pants, henleys, and long-sleeve tees.
Recap of Buck Mason’s Appearance on Shark Tank
Sasha and Erik begin with an “at home” section in which they describe how they sell their garments in a unique way. They’ve demonstrated that American Made can be successful by selling out every new product they offer.
The two men come in with a bid of $200K for an 18% stake in the company. They fashioned their outfits after Erik’s fathers. They ignore fashion trends in favor of producing high-quality, straightforward men’s clothing. They offer out samples and describe their direct sales model, which includes both individual pieces and packages.
Mark is put off by the price of the jeans, but they explain that it is because they are made in the United States. In a year, they’ve made $300,000 in sales, and 38% of their clients reorder. They get clients through social media – primarily Instagram – therefore customer acquisition is virtually non-existent. They’ve each put in $10,000, and this year they’ll make $500,000.
Mark isn’t interested in working in the apparel industry, therefore he’s out. Lori likes it, but she thinks it’s a little too soon — she’s leaving. Robert is also out since he doesn’t understand how clients locate them. Kevin likes the garments and the branding, but he believes the price is too high; Daymond concurs. Daymond refuses because he believes it is too expensive.
Kevin says he’ll do $200K for 50% because they’re not close to making money yet. The lads claim they will not give up more than 15%. Kevin claims he won’t be able to go to that price. The lads counter with a $200K loan at 15% interest, a $100K line of credit, and lifelong clothing
Robert adds his two cents, saying he’ll give $200K for 25% and a $100K line of credit, and warns them not to respond. Mark assures them that Robert’s offer is a good one since they’ll make a lot of money working with him and the goods he can bring. The guys don’t want to give up so much stock, so they reply with 17%. The decline is because Robert will not budge.
Buck Mason’s Founder: Who Is He?
Sasha Koehn and Erik Schnakenberg developed Buck Mason in Los Angeles, California.
Buck Mason: What Happened After Shark Tank?
Buck Mason is still in operation, but there are no clear numbers to show how well or poorly it is doing. To be sure, their entire line of clothes is constantly evolving to provide men with more simple-yet-fashionable clothing, and they’ve even collaborated with Stetson Hats to create an exclusive line of hats for Buck Mason fans.
The clothing collection has grown to include more traditional button-down shirts, chinos, shorts, and denim, as well as “sweats” like sweatpants and other comfortable items.
Update on Buck Mason’s Shark Tank
The Shark Tank Blog is updated on a regular basis with news and follow-ups on entrepreneurs who have participated in the Shark Tank television show. They said they didn’t do a deal after the broadcast because they thought the firm was worth $1.5 million to $2 million and Robert’s offer was lower.
In the year following their introduction, the company increased by 20% to 100% per month. They presently have 12 retail outlets across California, New York, Austin, and Atlanta as of August 2021, with plans to open a half-dozen more in 2021. They have 18 outlets as of March 2022, with plans for three more in 2022. They opened their 19th store in May of 2022, and they plan to build three more in the summer of 2022. The company’s annual revenue is $16 million.
To Know More Latest You Can Visit Our Website: Browse Desk – Browse The Latest Unbiased News