Highlights
- Patrick and Harriet Mills pitch Wine and Design, a franchise model that combines art classes and BYOB experiences.
- The entrepreneurs enter the show seeking $500,000 for 10% equity in the company.
- Post-show, the business faced legal challenges but continued to grow, reaching $12 million in revenue by 2023.
Overview
| Category | Details |
|---|---|
| Name | Wine and Design |
| Founders | Patrick Mills, Harriet Mills |
| Industry | Art Classes, Franchising, Entertainment |
| Product | BYOB art classes for adults, offering fun nights out, team building events, and more |
| Funding | Sought $500,000 for 10% equity on Shark Tank |
| Investment Ask | $500,000 |
| Equity Offered | 10% |
| Valuation | $5 million |
Patrick and Harriet Mills want to try the art of the deal on the Sharks when they pitch Wine and Design in Shark Tank Episode 826. They are in the business of franchising their art classes for grown-ups where wine is allowed. Harriet created the franchise concept after taking an art class with her friend, Emmy Preiss.
The two women ran the flagship Wine and Design shop Raleigh, NC for two years before launching the franchise concept. The company is the leader in this business model nationwide with 76 franchisees (and more coming). Their home state of North Carolina boasts 25 franchises. The studios offer fun nights out, birthday parties, team building events and more.
The cost to start a franchise, including the $25,000 franchising fee, ranges from $50,000 to $100,000. Some states require a license for BYOB establishments which can add to the cost and time it takes to open a franchise. Their franchise wide revenue is growing more than 35% annually ad they want to have 100 franchisees by the end of 2017.
They likely want a Shark to help them fuel demand and growth. Will a Shark design a deal with the Mills’?
Wine and Design Shark Tank Recap
Patrick and Harriet enter seeking $500,000 for ten percent of their business. With them is one of their painting instructors and a male model who strips naked for the painting session. Barbara is getting all hot and bothered by the model’s presence as she sips her sample wine.
Their sales are impressive: $10 million in 2016 with $12-13 million projected for 2017.
Did Shark Tank Invest In Wine and Design?
Barbara, Lori and Mark ultimately think there’s too much competition in the space and they all go out. Robert offers $500,000 for 33% of the business and Mr. Wonderful, the wine loving Shark, offers $500,000, with $350,000 as a line of credit at 12 percent interest, for 10 percent equity. They accept Kevin’s offer.
Wine and Design Shark Tank Update
The Shark Tank Blog constantly provides updates and follow-ups about entrepreneurs who have appeared on the Shark Tank TV show. The deal with Kevin closed. In 2014, Emmy Preiss, Mills’ former partner and Mills agreed to part ways. Preiss agreed to keep ownership of the original location and Mills retained the rights to the franchise program. After doing the deal on Shark Tank, Preiss sued Mills claiming she was forced to sign documents against her will that locked her out of the business. The lawsuits threatened to kill the deal with Kevin, but they were settled in December, 2018 through mediation. You can read about that HERE, HERE and HERE.
Less than a year after their original air date, while the lawsuits were flying, the business had an update segment in episode 916 on January 7, 2018. In the update, they drink wine and tout the company’s successes.
By the end of 2019, they had 82 locations/franchisees.
In February, 2020, the company appeared in The Shark Tank Greatest of All Time Special in the “greatest pitch success” category. It was the nude model that rocketed this pitch to one of the greatest. During the Covid-19 pandemic, franchisees began offering virtual classes and “Wine and Design On Wheels” where they’d bring materials to your location. Some franchisees didn’t weather the pandemic and closed down.
As of November, 2021, the company was still adding franchises and has an estimated annual revenue of $8 million. By July, 2024, the business had contracted to 58 locations. It has 2 “coming soon” in 2024. Despite being off its peak of 82 franchises in 2019, the company managed to do over $12 million in sales revenue in 2023; 2024 revenue should top that.
Posts About Wine and Design on Shark Tank Blog
Wine & Design – Art Studios for Regular People
Wine and Design Company Information
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Video
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