Will Smelko and Ron Chang hope to supplement their cash flow when they pitch Ora Organic, their line of organic and sustainable supplements, in Shark Tank episode 818. The word Ora means life, health & vitality, in the Maori language of New Zealand. Erica Bryers, who is also Will's fiance (“life and business partner”), is from Auckland, New Zealand. Erica, a co-founder of the business who doesn't appear on the show, came up with the company name
They started the business in 2015 to make nutrients, NOT supplements.
Many supplements contain all sorts of strange-sounding chemicals. Ora Organic takes the good stuff from fruits and vegetables and uses the organically extracted nutrients in their products. For instance, their Omega 3 spray (typically found in fish oil) comes from sustainably sourced algae. All their supplements are GMO free and 100% organic.
The company sells vitamins, protein powder, and other organic powders that consumers add to food or drinks for extra nutrition. Prices vary for different supplements, but they're mostly between $20 and $50. Ora sells on their website and has an extensive selection of products on Amazon.
They likely want a Shark's help with mass distribution. Will a Shark supplement their portfolio and invest in Ora?
Ora Organic Shark Tank Recap
Will and Ron enter seeking $375,000 for 5% of their business. To demonstrate what goes into many supplements, Ron starts pouring nasty chemical ingredients into a pot. It's both disgusting and alarming. Next, they reveal a table filled with fruits and vegetables and describe how their “nutrients” are natural and chef made. They hand out samples and describe how man-made vitamins are not good for you.
So far, in 10 months, they have $415,000 in sales. They also reveal a $150,000 investment at a $2.2 million valuation (a little under 15%). Robert chimes in and says he's not into the supplement business and he's out. Daymond doesn't like the valuation offered to the Sharks and thinks the guys are unrealistic, he's out. Lori likes the products, but not the packaging, she's out. Mark thought they were going into the food business and licensing to food companies, so he's out too.
Kevin likes what they're doing but not the valuation. He offers $375,000 for 20%. After some quibbling about the valuation, Kevin drops to 17%. The guys predict a good year ahead and don't want to give up that much equity. They decline and leave with no deal.
Ora Organic Shark Tank Update
The Shark Tank Blog constantly provides updates and follow-ups about entrepreneurs who have appeared on the Shark Tank TV show. After Shark Tank, the company introduced some new products, including apple cider vinegar tablets. They also won the 2017 NBJ Small Company Growth Award.
The Shark Tank effect caused sales to reportedly go up 400% and they claim the company is worth $10 million. Their Amazon store stocks all their items.