Mr. Wonderful's Tough Deal for Kids' 3D Printer — Shark Tank US — Shark Tank Global

[00:00:00] Speaker 1: Hi Sharks, I'm Ben and I'm Jen and we're co-founders of Toy Box. We're asking for $150,000 for a 5% stake in our company. When I was a kid I used to build cities out of mud in my backyard and I used to raid dumpsters for parks to see what type [00:00:21] Speaker 2: of crazy things I could build. Kids have always had a ton of potential and a huge appetite to create but often lack the opportunity to build their vision. So [00:00:29] Speaker 1: we've come up with a more powerful way for kids to build and design toys the [00:00:32] Speaker 2: way they want it. Introducing Toy Box. The first of its kind 3D printer and creativity platform built entirely with kids in mind and with the Toy Box app you can immediately start printing with absolutely no prior training. So how's [00:00:46] Speaker 1: it work? Simply find the toy you want and press print. Toy Box will instantly beam down your toy and start printing and if you're feeling more creative you're in [00:00:55] Speaker 2: luck. Welcome to the creator space of the app. Here kids can design and print their own toys. So whether you're drawing simple things or designing your own block buddies, Toy Box can fuel your creative needs. [00:01:07] Speaker 1: So Sharks, let's invest in the next generation of young minds and turn this toy box into a [00:01:13] Speaker 2: money box. And of course we have samples. Cool. Thank you. I got a lobster. Why a lobster for Damon? Because I used to work at Red Lobster. And Laurie, we printed you your own scrub daddy. And Mr. Wonderful, we printed you your one true love, a big bag of money. And Jamie, we printed you a shout out to your shark tank pitch, a cutout of [00:01:35] Speaker 1: Kevin O'Leary. And Mark, we know you're super involved in basketball so we gave you... You gave me a pumpkin? A big horn. Oh, are you going to give me a license deal? [00:01:46] Speaker 3: I'm offering you $600,000. [00:01:50] Speaker 1: So anyways guys, tell us about your business. So we built most of this company on an $80,000 investment. Total, we've raised around $290,000. [00:02:02] Speaker 2: The reason we were able to build this product with such a small investment was because we're experts in software. [00:02:09] Speaker 1: We've worked at Microsoft as developers and engineers. I personally worked in data science. [00:02:14] Speaker 4: So this isn't unique in that 3D printers have been out now for a while. What's different is is that yours is specifically for toys and is it therefore smaller and less expensive than others out there? [00:02:27] Speaker 1: Yeah, so we sell this printer for $299, which is definitely on the cheapest end of 3D printers. What we do specially for kids is we combine hardware and software to make a really friendly user experience. So we have right now over 750 toys. We add 7 to 10 toys a week and then we're always monitoring what kids are playing with and we adjust what we add based off of that. [00:02:49] Speaker 5: Yeah, the worry with toys is that it gets, you know, used a couple times and then put away. And at $299, that's a big decision on a toy. [00:02:55] Speaker 1: What are your sales like? So right now we're focusing just on internet sales. Primarily sales on our website, we just started selling in September. We've done over $300,000 in sales since then and all we do is advertise on Facebook. [00:03:08] Speaker 6: And what does it cost you to make? [00:03:10] Speaker 1: So we buy this for $150, we sell it for $299, but there's nobody on the market that has this software and hardware stack that's so developed for children. Our biggest target demographic is [00:03:21] Speaker 2: six to nine-year-olds. And you can print toys from famous media like Disney, Minecraft, Marvel, Lego, all sorts of things. [00:03:30] Speaker 3: Well, you have to go license those. [00:03:31] Speaker 1: Right. So licensing is a huge opportunity. Imagine if a kid could, you know, print his own Minecraft world on this printer. We see this as a huge, huge, huge opportunity. How long did it take to print this out and how many passes? So that one takes about four hours, maybe about eight passes. [00:03:47] Speaker 6: You see, there's the problem. The attention span of a six, seven, eight, or nine-year-old is going to be difficult. And I can see the first couple times mom or dad or whoever helping them, and that's great. But no kid that age has that attention span. And I think that's too big a challenge. [00:04:02] Speaker 7: So for those reasons, I'm out. So guys, liability-wise, I mean, you're dealing with seven-year-olds. I mean, when I was seven, I would have easily held my, you know, my parrot under there to make some boots for the parrot. You know, I'm just a little afraid of selling to a bunch of six, seven, and eight-year-olds where what can happen will go wrong. We do require parental guidance. And you can say that all you want, but no parent's sitting there for four hours with them. And that machine's running. And I'm just a little concerned about that. So for that reason, I'm out. Thank you. [00:04:33] Speaker 3: So guys, you're a subset of the toy business. I mean, you really have to find that parent that's thinking investing $300 in my child's imagination is a good thing. And I think that's cool. But it's not everybody. I like it though. So I'm going to make you an offer. I bring a lot of value to this space. That's the way I look at it. But right now, you're still at the proof of concept. You're basically just starting out. And I happen to think licensing would help this. And that's hard work. I agree. I'll give you the $150,000 for 10%. And the reason I'm saying that is that certain things you want to do will happen faster with me driving them. [00:05:08] Speaker 5: Let me make it easier for you. I love the mission. I love -- I have a nine-year-old son. I would love the idea that he'd play with this. I think at $2.99, I just don't see it yet. Hope you succeed with it though. I'm rooting for you guys, but I'm out as an investor. [00:05:22] Speaker 4: So, I think that kids -- Jen and Ben, I want you to know something. If she drops [00:05:26] Speaker 3: out, that gives me a lot more incentive to get friskier. You know that. Right. Because you're starting to lose sharks here, and I made you an offer. I would love to hear your offer, Lori. [00:05:34] Speaker 4: Okay. Before I was so rudely interrupted -- Well, I'm just pointing out a reality of the shark tank. That's all. Okay. I was saying, I think products like this are really great because they inspire kids to build and design and develop. The problem I have is, is I think that the age group you're targeting is a little bit too young. If it was the next age bracket up, like eight to 13, I would like it better as an investment for me. But because it's not, I'm out. [00:06:04] Speaker 3: She didn't have an offer. But you still have an offer, but it's going to be modified slightly. I'm feeling very frisky now. I don't like it when I make an offer, and you're still listening to others. You have to realize I have flexibility too. I want 15%, not 10. As usual, all roads lead to Mr. Wonderful. What are you going to do? Do you mind if we talk about this for a little bit? Sure, but you know what happens. You don't want to really leave the carpet. [00:06:44] Speaker 1: All right. We'll do $150,000 for 12%. That's our final deal. [00:06:50] Speaker 3: You think the difference -- You think the difference of 3% 300 basis points makes a difference? I -- You either believe that 15% is worth it or not. I bring a lot to the table. No. [00:07:03] Speaker 6: 85% of a watermelon is a whole lot better than 100% of a grape. [00:07:15] Speaker 1: All right. We'll do 13% and then -- No, no, no. I'm not done. And -- and 2% in advisory shares. 13% and -- Say it again? 2% in our advisory shares from our pool. [00:07:29] Speaker 3: You have a deal. All right. Congratulations. My goodness, that was tough. Thanks, Kevin. That's really good. You did a good job. Congratulations, guys. [00:07:39] Speaker 6: You did it. [00:07:53] Speaker ?: Thank you.