Mr. Poncho is a company from New York, NY, that has finally solved the problem we've all had with tangled headphones in our pockets. Mr. Poncho has done this by inventing a small colorful pouch with a wheel that someone can wrap their headphones around. This wrapping, obviously, prevents the tangling that happens when someone just jams the headphones into their pockets.
Mr. Poncho has been a going concern for two years. In the first year the business made just $11,000 but in the last year, Mr. Poncho made $35,000. Each little headphone pouch costs $3 to make and every single one is hand made. The entrepreneur then sells these for $18 a piece. When questioned, the entrepreneur tells the sharks that they have never reached out to any manufacturers to see what it would cost to make on a larger scale.
The fact that each item is hand made is enough to overcome in the increase in sales year-over-year and the sharks decline to make a deal with this entrepreneur.