Collars and Co. Shark Tank Update – Shark Tank Season 14
Justin Baer unveils Collars & Co., which revolutionizes business casual with stylish, structured-collar polo shirts that wowed Mark Cuban and Peter Jones on Shark Tank.
Justin Baer presented Collars and Co. on the Shark Tank Season 14 Episode 6. He founded the company in 2021. Justin was frustrated by the discomfort of traditional dress shirts under sweaters and came up with a solution. He created a polo shirt with a firm, dress-style collar. After a TikTok video went viral, the product demand skyrocketed. Despite initial challenges due to COVID-related supply chain issues, Baer scaled the business quickly.
About Collars and Co.
| Category | Details |
|---|---|
| Business Name | Collars and Co. |
| Founder | Justin Baer |
| Industry | Apparel (Men’s Fashion) |
| Product | Polo shirts with dress collars for business and casual wear |
| Funding (Pre-Shark Tank) | Self-funded |
| Investment Asked | $300,000 for 4% equity |
| Deal Outcome | $300,000 for 10% equity + $700k line of credit |
| Valuation | $7,500,000 |
Justin Baer seeks the right fit for Collars and Co., his line of combination polo shirts with dress collars, on the Shark Tank. Baer started the business with a 500-shirt order in 2021. When a TikTok video of him touting the shirts went viral, he was inundated with orders, and the brand took off.
Apparently, Baer got the idea while working in New York. He didn’t like the feel of a traditional, button-down dress shirt, so he made polo shirts with dress shirt collars. You can wear the shirts with a suit jacket and tie at work, then take off the jacket and tie for after-work casual attire.
Baer is no stranger to entrepreneurship. He’s founded 6 different companies since 2002, including a company he’s still running called MemberText | TextFox | PropertyChat 365 | Textology, which offers niche text marketing solutions for a variety of industries.
He had some challenges starting Collars and Co. due to the supply chain horrors during the COVID-19 pandemic. He manufactures in Pakistan, and shipping costs were spiraling upward and affecting his bottom line.
The shirts themselves have been very well received by the public. He currently offers men’s shirts, but he has plans for a women’s line. They come in a wide variety of patterns, colors, and collar styles. Prices are $69-$74, depending on which style you pick. Nick Faldo is a celebrity endorser of the shirts. The company is growing fast: reportedly 40% per month! Baer likely wants a Shark’s help scaling the business.
Check out other Shark Tank Season 14 episodes
Collars and Co. Shark Tank Pitch
Justin enters the Shark Tank seeking $300,000 for 4% of his company. Daymond looks astonished at the valuation and exclaims, “Four percent?!” Lori chuckles. He shows a board that says “Business Casual 101” and then unveils a photo of a man in a sweater with a collared shirt. It’s the “go-to” business casual look around the world. In New York, they call it the “midtown look.”
Justin hates wearing a long-sleeved dress shirt under a sweater. The shirts can develop a “floppy collar” too. The sleeves bunch up too. He knew there had to be a better way.
That’s why he invented the dress collar polo shirt. It has the firm collar of a dress shirt but wears like a comfortable polo. You can even wear it with a tie in addition to the vest or sweater. He says he’s created a new category of shirt and wants a Shark to help him create the next worldwide brand. The Sharks examine their samples. He has four collar styles. Lori likes the material; she says it feels stretchy and comfortable.
Valuation
Peter Jones says it’s a very interesting idea, then he questions the valuation and asks for sales figures. He started in 2021, and he’s sold 92,000 for $5.4 million, all direct to consumer online. The Sharks are impressed. Profits are 20% net. Daymond says it’s a well-made product, but there are two things he hates: the midtown look and the valuation; he’s out.
What Makes Collars and Co. Unique?
Collars & Co. makes polo shirts with structured dress collars, offering a comfortable alternative to traditional dress shirts. These shirts can be dressed up with a tie and jacket or worn casually. They are available in various colors, patterns, and collar styles with prices starting from $55. It’s a go-to for modern professionals.
Here are some features that set them apart.
- Structured Dress Shirt Collars: The standout feature is the firm, dress-style collar that holds its shape under sweaters and blazers, no more floppy collars or awkward layering.
- All-Day Comfort: Made from lightweight, four-way stretch fabric, these shirts offer exceptional breathability and freedom of movement, perfect for commuting, traveling, or just long days at the office.
- Versatile and Travel-Ready: Whether you’re headed to a boardroom or a dinner out, Collars & Co. shirts deliver a refined, put-together look without sacrificing comfort.
- Tailored for Today’s Work Life: As hybrid work and flexible style become the norm, Collars & Co. is meeting the moment with shirts that look sharp on Zoom and feel great on the go.
This smart fusion of style, structure, and stretch is why Collars & Co. has struck a chord with customers looking to elevate their wardrobe, without going back to stiff dress shirts.
Did Collars and Co. Get a Deal on Shark Tank?
Mr. Wonderful says they’ve had a lot of shirt companies on Shark Tank, but none of those have gone to $5 million so quickly. He considers that a hurdle and thinks Justin has some execution skills that the others didn’t have. Justin says he’s been doing internet marketing for 20 years, and the secret is his sales funnel.
Next, Lori says she thinks what he’s doing is fantastic, but it’s not for her; she’s out.
Peter Jones says he’s in a similar business and asks about costs. The shirts cost $15 to make, and they sell for $65-$75. Mr. Wonderful says he’s never made an offer on a shirt company, but he’s going to make one for this company. 4% doesn’t get him out of bed; he offers $300,000 for 10%.
Justin says “no way” and tells Kevin that if this were a slow-growth VC deal, that would be one thing. Collars and Co. is growing at 28% a month, and Justin has no other investors.
Peter says Justin has dismissed a pretty good offer, and Justin says “no way” again. Justin says his ask reflects a $7.5 million valuation, but the company is really worth $20 million.
Mark asks what Justin needs, and he replies, “inventory, marketing and we need to build a team.” He’ll need those things to go to $50 million, and he may need a line of credit, too. He also wants a mentor. Daymond says, “I’ll mentor you, take the 10% offer.”
Peter says he knows this market and it’s brutal; in 6-12 months, this could go out of fashion. Justin doesn’t believe it. Daymond says inventory could start eating into profits and that everything will eventually go out of style.
Peter says he has the infrastructure for this type of business in place, and he can sell it all over the world. He offers $300,000 for 10%. Justin again says, “No way.” Daymond starts arguing with Justin, and Mark says, “he’s out” to shut Daymond up.
Mark and Peter Seal the Deal
Mark thinks $300,000 isn’t enough, and Justin says he’ll probably need a $700,000 line of credit as well. In response, Mark Cuban says he could offer a line of credit at 8 or 9, which Justin laughs at, and Mark says interest rates are going up. Justin says he has hard assets. Mark says he and Peter gave Justin the $300,000 plus the $700,000 line of credit, and asks what equity he’ll offer them.
After a break, Justin says he’d do that deal for 5%. All the Sharks express astonishment and shake their heads. Justin says 10% is too much, and Mr. Wonderful says, “I’m out.” Peter says he knows the value of this business, and Justin has done well in getting a 10% offer.
Justin says he’s going to do $10 million in sales in 2022, and Peter is valuing the company too low. Peter expresses his frustration with Justin and thinks he’s dismissing the value of the Sharks. Justin says he’s going to do $10 million again, and Lori says that he could be doing $80 million with Peter and Mark.
Mark says, “if either one of us doesn’t do this deal, our lives aren’t going to change; we’re still going to be bleeping rich.” Mark says there is no amount he could pay to have Peter help him. Justin says he doesn’t like the $3 million valuation the Sharks are offering, and Peter goes out.
Mark goes out too, and Justin asks if Mark would do it for 7%, and he says no. Peter says Justin will regret this decision someday. Mark gives Justin one more chance at accepting the offer of $300,000 and a $700,000 line of credit at a market rate interest of 10%. Peter says he’s in on the deal, too, and Justin accepts.
Read more details about Collars and Company – Dress Golf Shirts
What Happened to Collars and Co. After Shark Tank?
The Shark Tank Blog constantly provides updates and follow-ups about entrepreneurs who have appeared on the Shark Tank TV show. Here is the Collars and Co. Shark Tank Update.
In the immediate aftermath of the show’s original air date, Collars and Co. had a 300% increase in website traffic and a 100% increase in sales. Mark Cuban told CNBC that Justin reminded him of his younger self. The deal with Mark and Peter closed.
Justin told MR, “Mark and Peter have been awesome. They are in touch and always extremely responsive. I’ve gone back and forth with Mark on email some nights until 1:00 am.” The company also launched an outerwear collection and introduced brand ambassadors, such as former New York Giant Tiki Barber and golf champ Sir Nick Faldo.
The company plans on doing wholesale in the first or second quarter of 2023, and they opened a pop-up store at Tyson’s Galleria in McLean, Virginia, from November 20 through December 4, 2022.
Update Segment
This business gets an update segment in Season 14, Episode 18. In the Collars and Co. Shark Tank update, Justin says that in the 18 months before Shark Tank, he did $5.4 million in sales. In the two months since doing the deal with Peter and Mark, he’s done $8.5 million in sales. The company introduced a women’s line, which sold out in one week.
Justin is meeting with buyers from Nordstrom, Zappos, and Saks Fifth Avenue. Due to the increased volume, the company went from an 8000 square foot warehouse to a 20,000 square foot warehouse. Peter got international business exposure through his website, which was localised. Mark says this will be a $100 million company before long.
Justin announces he’s donating over $50,000 worth of products to Hire Heroes so veterans can look good on the job. He wishes his parents were alive to see his success, but he’s enjoying being a good example to his kids. His parting advice for entrepreneurs: “know your worth.”
In the summer of 2023, the company opened a brick-and-mortar store in Chicago. A second store followed in October 2023 in Boca Raton, Florida. By April 2024, a third store opened in King of Prussia, PA. Lifetime revenue has surpassed $20 million.
Where Can You Buy It?
The Collars and Co. products are available for purchase directly through their official website. You can also buy them on Amazon. For more details, check out their social media on Facebook and Instagram.
Quick Summary
- Justin Baer presented Collars and Co., polo shirts with dress collars designed for both business and casual attire.
- The company has experienced rapid growth, with $5.4 million in sales in the first 18 months.
- He sought $300,000 for 4% equity and secured a deal with Mark Cuban and Peter Jones for $300,000 plus a $700,000 line of credit at market rate interest for 10% equity.
Curious about the other businesses that appeared on Shark Tank Season 14 Episode 6? Check out the business updates below.
