Kids often use different cardboard cutting tools to create unique designs with their creativity. However, most cutting tools are unsafe for kids. To solve this, Max Liechty and Kausi Raman invented ChompSaw, a power tool that helps cut cardboard easily and into proper shapes.
Their company, Chomp Shop, offers the ChompSaw Maker Bundle, which includes the ChompSaw, table accessories, a hole punch, a scoring tool, and more.
So, let’s see if any of the Sharks decided to invest in this unique cardboard and paper-cutting device business and get an update on its progress.
| Company Name | Chomp Shop | |
| Founder/Co-Founder | Max Liechty and Kausi Raman | |
| Founded | 2022 | |
| Product | A kid-safe power tool for cutting cardboard | |
| Asked For | $250,000 for 5% equity | |
| Final Deal | $250k for 15% equity | |
| Shark | Mark Cuban and Lori Greiner | |
| Episode | S16 E5 | |
| Air Date | Nov 15th, 2024 | |
| Business Status | In Business | |
| Website | Visit Website | |
| Headquarters | Philadelphia, Pennsylvania, United States | |
| Annual (Revenue) | $2.3 Million *estimated | |
| Worth / Valuation | $5 Million | |
| Watch On | Amazon Prime | |
What Is the Background of The Founder?
Max Liechty and Kausi Raman are the co-founders of ChompShop, a business offering a kid-safe power tool for cutting cardboard. Both have a product design background and completed their master’s degrees in Integrated Product Design at the University of Pennsylvania.
Here, this video shows how the cutting tool ChompSaw works.
Business Pitch Episode Recap
Max Liechty and Kausi Raman appeared on Shark Tank, seeking $250,000 in exchange for 5% equity in their company. They introduced their product, ChompSaw, a device designed to help cut cardboard into creative 3D models.
They also explained their plan to offer a monthly subscription service where kids receive monthly cardboard materials to complete fun projects.
Kevin O’Leary showed interest in the company’s sales, to which Kausi revealed that in October 2023, they ran a Kickstarter campaign and raised $1,175,102. Since then, they have raised an additional $1 million.
However, all orders are still in the pre-order stage, and they have not yet delivered the product. Additionally, they have sold 10,000 units for $230 each, with a manufacturing cost of $73.81 per unit. Max said they plan to deliver the pre-order products within the next couple of months.
Currently, the company operates on a direct-to-consumer model. Kevin believes that the product’s profit margin is not sufficient to succeed in a B2B business model.
Kausi shared that they raised $5,000 from a family member through a Simple Agreement for Future Equity (SAFE). Kevin offered $250,000 but asked for 20% equity in the company.
Guest Shark Rashaun Williams believed it was too early to invest in the company, so he was out.
Barbara Corcoran matched Kevin’s offer of $250,000 for 20% equity.
Mark Cuban is also interested in the business and believes that the product margin is low. To increase the margin, he suggests reducing the manufacturing cost. Mark and Lori Greiner teamed up and offered $250,000 for 15% equity. Max Liechty and Kausi Raman accepted their offer.
Sharks Offers list!
| Sharks | Offers |
|---|---|
| Rashaun Williams | No Offer |
| Kevin O’Leary | $250k for 20% equity |
| Mark Cuban | $125k for 7.5% equity |
| Barbara Corcoran | $250k for 20% equity |
| Lori Greiner | $125k for 7.5% equity |
| Founder’s (Countered) | No Counter |
| Final Deals | $250k for 15% equity (Lori & Mark) |
Chomp Shop Shark Tank Update
Like many other Shark Tank businesses, ChompShop gained popularity online after the episode aired. They are likely to sell thousands of units of ChompSaw.
The best part is that the company’s official Instagram handle, @itschompshop, has seen a significant increase in engagement, especially with their Shark Tank clip going viral.
Six days after the episode aired, the company received around 2,500 orders for the ChompSaw product. ChompShop is already on track to sell out its current inventory of 5,000 units by Christmas.
We are now tracking the progress of this business and will provide more updates as they come.
You can check out Season 16 for more business progress reports.
I placed an order after seeing shark tank on the 16 th of November. I haven’t received any emails confirming my order. Can you please check on it.
You should contact the company at [email protected].
If you wish, you can also contact the company through their Instagram account: @itschompshop.
I placed a order on 11-16-2024. They said it would not be shipped until 12 -1-2024. I under stand this , What Do not under stand how they take my money and use it for 18 days and it still has not been shipped ! I starting to think it might be Shark rip off and not Shark Tank