SubSafe is a company that, quite literally, wants to keep your subs safe. Not, your personal submersible vehicles mind you, instead they intend to protect your submarine sandwich (otherwise known as a hoagie, depending on your part of the country) from the horror of getting wet and soggy when out on the water.
To this end, the entrepreneurs behind SubSafe have designed a water-proof, crush-proof, BPA free plastic container that can hold someone's sandwich and float safely beside them. The sub slides into one part of the container and the water-tight lit with a flat end screws on to prevent water from getting in from a lake, a river, or even when being kept chilled in a cooler.
SubSafe, as of airing, has two models, one designed for 6-inch subs and the other designed for foot-longs. Each model comes in either blue or pink plastic.
While the original inspiration was to keep sandwiches safe, the entrepreneurs claim that it can really keep almost anything safe within its water-tight enclosure. In fact, they claim that the 6-inch model can safely store up to four pounds while the 12-inch can store six pounds. And it's multi-featured. The entrepreneurs claim that they designed the cap on the container to be flat so that it can be used as a cup or a bowl.
The SubSafe costs $2.38 per unit to manufacture and retails for $17.95. They have sold $40,000 in the year to date in which the episode aired without having done "much marketing." There is a patent pending on the design of the SubSafe though they were contacted by "the largest sub chain" to sell the SubSafe as a promotional item for "x" dollars more on top of a sandwich.
In terms of capital investment, the entrepreneurs put $37,000 of their own money into the business, selling their boat to get the money. If they don't get a deal in the tank, they say that they will sell their truck next to keep it afloat until it succeeds.
This deal aired on Episode 10.13.
Making A Deal
Lori is the first to go out, wishing that the market were larger. Both Robert and Kevin claim that they want to make an offer but struggled with what they see as too little equity in return for the amount requested.
Mark and guest shark Charles Barkley team up and offer SubSafe $100,000 in return for 25% equity in the business. The entrepreneurs accept willingly and, because $100,000 is twice what had been asked for and 25% is lower than the proportional 26% one would get if it were a straight doubling of the deal, the entrepreneurs actually saw the value of their business rise by $15,385 rather than take the usual Shark Tank Bite on their value.
- *cough*Subway*cough* Obviously, right?