Drinking at a bar or college party can be fun, but these places aren’t the safest environments. The number of tipping incidents has risen dramatically in recent years, which inspired Shirah Benarde and her brother Michael to invent NightCap. The product, disguised as a headband, covers a cup to prevent tipping. After appearing on Shark Tank, they landed a deal with Lori Greiner. As of 2024, NightCap is valued at $2 million.
Founder
The Baynard siblings grew up in West Palm Beach, Florida. Sheila, the youngest child, studied public relations and advertising at the University of Tampa. Michael holds a bachelor’s degree in political science and government from Florida State University. After college, he earned a master’s degree in business administration from the same university.
Like his sister, he became an entrepreneur during college. Michael also founded Michael Baynard Consulting, which helps startups scale through manufacturing and marketing.
Founding NightCap
At 16, Shirah heard horror stories from her college friends about young girls having their drinks spiked. Her friends were fine, but the young businesswoman was determined to do something about it.
She wanted to create a product that would protect girls without making them feel uncomfortable. After sketching out an idea, she went to her mom’s closet and pulled out some pantyhose and a headband. Combining the two, she created a prototype.
In 2019, Michael helped Sheila start NightCap. They received $18,000 from their parents, $12,000 from IndieGoGo, and $15,000 from a pitch competition. After nearly a year in business, sales reached $68,000.
Shark Tank Appearance
Sheila and Michael Baynard had a hard time figuring things out at first. But when they found a solution in 2020, the two believed they could get an investment from the Sharks. They joined Season 12, seeking a $60,000 investment in exchange for a 20% equity stake.
Shirah and Michael gave a great pitch that was clearly well rehearsed. The Sharks loved the product and the business was gaining momentum. Lori Greiner was most interested because it resonated with her. Lori quickly offered $60,000 for 25% of the company, an offer the founders accepted.
After Shark Tank
After the show ended, the deal with Lori was closed, and her investment was used to upgrade the company’s website and product packaging. One year after the show aired on television, the startups had revenue of $2.1 million.
The brand has been promoted to new heights through Shark Tank, and their products are very popular among college students. The headband, which serves as a drink lid, is available on Amazon, Walmart, and their official product website Nighcapit.com.
They expanded their product range to include keychains, can cooler lids and gift boxes. In early 2022, NightCap struck a deal to become the exclusive distributor of StopTopps, a similar product sold in the UK.
The company is a thriving business, having sold thousands of products in over 40 countries. They have also successfully leveraged TikTok and Instagram to drive sales. NightCap is currently valued at $2 million.
Categories: Shark Tank
Source: dut.edu.vn
