Entrepreneur Jared Steele pitched his innovative Terrashroom product on Shark Tank Season 16. Terrashroom is a mushroom grow chamber with an intelligent mobile control system that provides data on mushroom growth and allows remote control of temperature, light, humidity, and air circulation.
It helps beginners grow various types of mushrooms, allowing them to harvest in just 7-10 days. Growing mushrooms in the chamber requires four simple steps: select the mushroom type, add water, set up through the app, and, after a few weeks, they’re ready to harvest.
What do the Sharks think about this unique harvesting technology product, and how is the business growing? Let’s get a complete update.
| Company Name | Terrashroom | |
| Founder/Co-Founder | Jared Steele | |
| Founded | 2022 | |
| Product | An intelligent chamber that grows mushrooms | |
| Asked For | $175K for 2.5% Equity | |
| Final Deal | No Deals | |
| Shark | No Sharks | |
| Episode | S16 E4 | |
| Air Date | Nov 8th, 2024 | |
| Business Status | In Business | |
| Website | Visit Website | |
| Headquarters | Austin, Texas, United States | |
| Annual (Revenue) | $780,000 *estimated | |
| Worth / Valuation | $7 Million | |
| Watch On | Amazon Prime | |
What Is the Background of The Founder?
Jared Steele founded Terrashroom in 2022. Before this, in 2019, he started a business called Pombox, a timed smartphone lockbox device, but it was unsuccessful. He has experience in sales and marketing and has worked in these roles for several major companies, including Darktrace, GL Brands, Sana Benefits, and Angle Health.
He is currently focused on his chamber business and working on growing it further.
Business Pitch Episode Recap
Jared Steele asked the Sharks for $175K in exchange for 2.5% equity in his company, valuing it at $7 million. He explained to the Sharks that growing mushrooms is difficult, and they are not easily available in grocery stores.
To solve this, he created Terrashroom, an automated chamber where you add water to a tank and place a mushroom block inside. Through an app, you can adjust the chamber’s environment to grow mushrooms.
He sells the Starter Master Grow Kit for $399, while the Grow Kit Super Bundle is sold for $549. He also sells Ready-to-Grow Mushroom Cakes for $30.
Additionally, the production cost of a single chamber is $158, and the cost of a mushroom block is $3.51.
Jared started this chamber as part of his hackathon project, but seeing the interest from many people, he decided to turn it into a final product and started selling it. Currently, he has 6,500 pre-sales, and there are 22,500 people on the waiting list.
In August 2022, Jared began advertising on Facebook and has since generated $780,000 in pre-sales. However, he has not delivered a single unit yet.
Jared explained that before launching the ads, he had consulted with a manufacturing company to turn the prototype into a final product.
The manufacturer promised the product would be ready in a couple of months, but unfortunately, that timeline was not met.
Mark Cuban said the product has been oversold and that Jared is not yet ready to deliver it. Therefore, he is out.
Daniel Lubetzky said the product is great, but the valuation is too high, so he is out.
Lori Greiner said she loves hydroponic farming, but the issue is that the product is over-engineered, so she is out.
Kevin O’Leary liked the idea and offered $175,000 in exchange for 15% equity. Jared countered, saying he could go with 5% equity, but Kevin replied, “I’m out.”
Sharks Offers list!
| Sharks | Offers |
|---|---|
| Daniel Lubetzky | No Offer |
| Kevin O’Leary | No Offer |
| Mark Cuban | No Offer |
| Robert Herjavec | No Offer |
| Lori Greiner | No Offer |
| Founder’s (Countered) | No Counter |
| Final Deals | No Deals |
Terrashroom Shark Tank Update
After the episode aired, when we checked the Terrashroom website, we saw that the company had completely redesigned it with a unique look. The product is still in pre-order mode, and there is a 25k waiting list.
On November 9th, 2024, @terrashroom.io updated their official Instagram, announcing that the product has arrived in America from China and the pre-order products are now ready to ship. Deliveries will be made soon.
You can check out Season 16 for more business progress reports.
