Buttercloth Bags A Shark Tank Deal From Robert Herjavec
Highlights
- The Buttercloth Clothing company was brought to the Shark investors by Danh Tran in season 10.
- After initial apprehensions, it bagged a deal from Robert Herjavec.
- Buttercloth’s net worth has grown over the years to currently be at over $15 million.
Every season, Shark Tank presents hundreds of varied products to the audiences. Out of these, some Shark Tank products build a unique presence, regardless of the number of years passed. One such breakthrough business to have appeared on the show is Buttercloth, which appeared in the tenth season.
The entrepreneurs behind Buttercloth, a clothing line, bagged a deal from Robert Herjavec after an emotional pitch. Since then, it has only grown and become one of the notable Shark Tank businesses. Its success has been so great that Buttercloth appeared in the show’s update segment in season 16.
Here are detailed insights into the Buttercloth clothing business’s current status and developments after Shark Tank, along with a brief look back at its pitch in season 10.
Buttercloth Net Worth And Latest Update
Like the previous seasons, Shark Tank Season 16 includes an update segment for businesses that have been achieving commendable growth in every episode. Buttercloth, too, was included in the update for the fifth episode of season 16. The segment showed Danh Tran, its founder, reflecting upon his journey post Shark Tank.
Danh revealed that when he appeared on Shark Tank six years ago, Buttercloth’s sales were less than $500K. But now, its sales figures have gone over $58 million. Additionally, the current net worth of Buttercloth Clothing is more than $15 million. Danh added that the business is spread in brick-and-mortar stores across the US.
The premise of Buttercloth’s Shark Tank pitch centered around its ‘comfortable’ line of shirts. But as the business progressed, Danh realized that he had to offer more to stay ahead of the competition. This is why the entrepreneur invented ‘Icy Cotton,’ a brand-new patented fabric.
The Icy Cotton fabric is infused with mint into the cotton so that users can feel cold when touching it.
In addition, Buttercloth launched its first women’s collection. Danh claimed that as of 2024, the company has 35 full-time employees and has started shipping inventory. It also has a 7,000 sq. ft. warehouse in California.
View this post on Instagram
While Buttercloth is scripting a new success story every day, the next section offers a look back into how it all began for the company with Shark Tank.
Buttercloth Shark Tank Pitch
Danh Tran, along with Gary Falkenberg and Ron Artest, approached the Shark Tank investors with Buttercloth in the tenth season of Shark Tank. Seeking $250K for 10% equity in the company, Danh claimed that it presented a line of ‘comfortable’ shirts. Ron had joined the entrepreneurs as an investor and celebrity spokesperson.
Danh started the pitch by discussing his dislike for ‘stiff’ shirts that are itchy and scratchy. Offering a solution, he presented Buttercloth Clothing, which sells shirts that feel like a soft T-shirt. The entrepreneurs added that their shirts are made of long-fiber cotton, a unique, natural, and sustainable fabric.
Describing himself as the in-house Buttercloth long-fiber cotton scientist, Ron said that the brand’s shirts maintain a six-way stretch and breathability. He then went ahead to share the samples with the Shark investors. While they liked the quality, the judges were apprehensive about the $40 customer acquisition cost.
Why Did Robert Herjavec Invest In Buttercloth?
Although four out of the five Shark Tank panel members opted out of the deal, Robert expressed his liking for the product. But his investment came through after hearing Danh’s backstory. In it, he described himself as a Vietnamese immigrant who came to California to fulfill his fashion aspirations.
Danh revealed that he migrated to California with his family in 1994. His initial work in the fashion vertical involved designing Barbie Dolls’ clothes, for which he had previously taken fashion classes at a community college.
Following this, Danh graduated from Otis College of Art and Design and then worked as the head designer at Affliction Clothing for a decade. To start Buttercloth, he cashed in his $401K and sold his house.
Hearing the backstory made all the Shark investors teary-eyed. However, Robert, in particular, was moved because he made it to glory after migrating to the US.
As a result, Robert Herjavec offered $250K for 25% equity. But Danh tried to counter him with $250K for 20% equity, which Robert rejected. Finally, the entrepreneur accepted the deal at $250K for 25% equity.
How Did Robert’s Partnership Help Buttercloth?
Buttercloth’s mention in the sixteenth season is not the only update segment it has featured in. Instead, it found a place in the eleventh season’s updates as well. This is because Robert Herjavec’s deal with Buttercloth turned out to be game-changing in just a short while after its Shark Tank journey.
As discussed, when Danh appeared on the show, the company had only $500K in sales. But right after the episode aired, Buttercloth’s sales skyrocketed. Additionally, just a year after Shark Tank, the company came out with a ‘Robert Herjavec Collection.’ Danh introduced the collection in the updates for the eleventh season.
Robert’s association and investment with Danh have continued for years after the Shark Tank deal in 2018. He has even tried to utilize his connections to take Buttercloth to new heights. The same was demonstrated in the update segment of season 16, which showed Danh and Robert interacting with Jay Leno regarding a commercial for Buttercloth.
View this post on Instagram
Conclusion
The journey of Buttercloth from its humble beginnings to its current emergence as a million-dollar empire highlights its ability to innovate, persevere, and find the right partner. On the other hand, Robert Herjavec’s investment in the company offered Buttercloth Clothing with both financial backing and mentorship through industry connections.
The company’s recently launched ‘Icy Cotton’ further shows its focus on getting past competition. Plus, the Buttercloth net worth of $15 million and sales of $58 million exemplify the potential of Shark Tank investments.
Entrepreneur, auteur, raconteur. Rob Merlino is a blogger and writer who enjoys the Shark Tank TV show and Hot Dogs. A father of five who freelances in a variety of publications, Rob has a stable of websites including Shark Tank Blog, Hot Dog Stories, Rob Merlino.com and more.
Speak Your Mind