Kim Nelson loves cooking, and she followed her passion to start Daisy Cakes, a cake business using her own recipes without artificial flavors. To attract customers, she and her mother participate in various shows, such as holiday shows.
Let’s find out if any of the five Sharks invested in her business and how it’s doing now.
| Company Name | Daisy Cakes | |
| Founder/Co-Founder | Kim Nelson | |
| Founded | 2009 | |
| Product | Bakery Cake | |
| Asked For | $50k for 25% equity | |
| Final Deal | $50k + $1 royalty until the money is recouped for 25% equity | |
| Shark | Barbara Corcoran | |
| Episode | S2 E5 | |
| Air Date | April 15th, 2011 | |
| Business Status | In Business | |
| Website | Visit Website | |
| Headquarters | Pauline, South Carolina, United States | |
| Lifetime Worth (Sales) | $25M *estimated | |
| Buy and Watch | Buy Now | Amazon Prime |
Business Pitch Episode Recap
After entering Shark Tank, Nelson asked the Sharks for $50k in exchange for 25% equity in her company. She demonstrated her product and had the Sharks taste her cakes, which they all enjoyed.
Kevin Harrington asked how Nelson reaches out to customers. She responded by explaining that she attends holiday shows and other events to showcase her product, which helps her achieve good sales.
In the last year, within 3 months, she and her mom attended 3 shows and made a total of $27,000 in sales, all due to events like holiday shows.
She has her own commercial kitchen and bakes 5,000 cakes every 30 days.
Kevin O’Leary said that while the cake tastes great, there are many challenges to turning it into a successful business, so he is out.
Kevin Harrington said that it is a “word of mouth” type business, so he is out.
Robert Herjavec said that it’s not an investable business, so he is out. Daymond John said that the business is too small for him, so he is out.
Barbara Corcoran offered two conditions:
- $50k plus $1 royalty until the money is recouped for 25% equity.
- Nelson’s mother would also receive a share in the company.
Nelson accepted Barbara Corcoran’s offer.
Sharks Offers list!
| Sharks | Offers |
|---|---|
| Kevin Harrington | No Offer |
| Kevin O’Leary | No Offer |
| Robert Herjavec | No Offer |
| Barbara Corcoran | $50k + $1 royalty until the money is recouped for 25% equity |
| Daymond John | No Offer |
| Founder’s (Countered) | No Counter |
| Final Deals | No Deals |
Daisy Cakes Shark Tank Update
After this episode aired, Nelson received a large number of orders, and within just one month, cakes worth a total of $100k were sold. In a very short time, the business surpassed its lifetime sales record.
In Season 3, Episode 11, the first segment of this business revealed that Nelson faced a loss of $165,000 due to mistakes made by a contract bakery. After this error, he decided to oversee production himself.
After appearing on the show, Nelson launched several new cakes and began accepting corporate orders, significantly increasing his revenue. As of July 2024, the business is operational and generates an estimated $5 million in annual sales.
Check out Shark Tank Season 2 Business Update.
If you want more updates on the businesses that appeared in Season 2, visit here.
