Highlights
- Cool Wraps offers shrink-wrap gift bags that conform to any shape, providing a professional look with just a hair dryer, perfect for wrapping awkwardly shaped gifts.
- Jeffrey Miller secured an offer from Mark Cuban for $250,000 with a 3% royalty, but the deal never closed, and Cool Wraps struggled to capitalize on the “Shark Tank effect.”
- As of 2022, Cool Wraps is no longer available online, and the company has gone out of business, though they had $5 million in annual revenue before shutting down.
Overview
| Category | Details |
|---|---|
| Name | Cool Wraps |
| Founder | Jeffrey Miller |
| Industry | Gift Wrapping, Packaging Solutions |
| Product | Shrink-wrap gift bags |
| Funding Sought | $100,000 |
| Investment Ask | $100,000 |
| Equity Offered | 40% |
| Valuation | $250,000 |
Cool Wraps entrepreneur Jeffrey Miller pitches his line of shrink wrap gift bags in the Shark Tank in episode 319. Miller designed Cool Wraps for people who don’t have a flair for gift wrapping. Instead of messing with scissors and tape, all you need to do is slide a gift – even something irregularly shaped – into a Cool Wraps bag and blast it with a hair dryer. The gift bag will “magically” shrink to a wrinkle – free, snugly wrapped gift and you’ll look like you stopped at the wrapping booth to have it professionally wrapped. Miller has appeared on QVC with the product and has an “as seen on TV” type of commercial for the product. Cool Wraps are packaged for gift store retail displays and can be branded for specific stores. Miller also sells on the fundraising circuit.
Cool Wraps Shark Tank Recap
Jeffrey Miller is offering 40% equity in Cool Wraps in exchange for a $100,000 investment. He presents the bag, giving a demonstration of the shrink-wrap gift bags. When Robert Herjavec asks about the pre-wrapped gifts on display, he flounders, losing his place and becoming visibly flustered.
He explains that the product was on the market 10 years previously, but his former partner was unwilling to put up the collateral for necessary loans. Now Miller owns the company, but his own sales skills have been an obstacle. Robert Herjavec is skeptical. “Obviously you’re not the sales guy,” he says. “I don’t see the market, and I’m out.”
Lori Greiner sees potential in the product, but she wants to buy Miller out for $150,000.
Mark Cuban jumps in, offering $250,000 and a 3% royalty, but he wants an immediate answer.
Miller accepts the offer.
Cool Wraps Shark Tank Update
Normally a Shark Tank appearance launches a product into the atmosphere, a phenomenon known as “the Shark Tank effect,” but in the case of Cool Wraps, customers were, at first, disappointed to find the product unavailable and nearly impossible to find online. Cuban had his work cut out for him. He’d purchased a product with a proven track record and robust potential market, but the brand needed to be built from the ground up.
The deal with Mark never closed. In early 2015, the company has a strong web presence. The social media is a bit slow to update, with the last posts showing up in February and May 2015, but it’s clear the product is available for sale. Cool Wraps took a product that had been tossed aside, and turned it into a successful business, providing wrapping-challenged customers everywhere with a new way to wrap their awkwardly-shaped gifts.
Fast forward to February, 2022, and Cool Wraps is no longer for sale anywhere online. The company is still in business, but they are going the distributor route to sell. They claim to have broad distribution in Europe and the Middle East. Revenue is $5 million per year.
As of August, 2021, the website is down and social media has not been updated for 7 years. The company is out of business.
Posts About Cool Wraps on Shark Tank Blog
Company Information
Video
Where can I buy these?
Great product! Went to the website and couldn’t figure out how to order.:( Please advise.
Please let me know where I can buy this!
Love to get this product. I’m 75 wrapped 50 packages for Xmas. Wish I had shrink wrap. Have arthritis in my hands, very tough to wrap. Thanks, Sharon
PLEASE put up a website to order from. I KNOW I will be a customer. I can’t believe shark tank would not help. Love love love the ideal.
Please can you told us from where we can buy it?
this product looks like such a fun way to wrap presents with your kids. I have no idea why this hasn’t blown up. judging by the guy on shark tank he desperately needs to hire a couple of business people to help him. I love love love this product!