Mike Abbaticchio and Shon Lees have been friends since elementary school. They were looking for a business that represented the country’s lifestyle and passion. This led them to start Hillbilly Brand, a clothing company.
Mike and Shon aim to expand their product nationwide, so they appeared on Shark Tank Season 2 Episode 4 to seek funding from the Sharks. Did the Sharks invest in their company? Let’s find out.
| Company Name | Hillbilly Brand | |
| Founder/Co-Founder | Mike Abbaticchio and Shon Lees | |
| Founded | 2004 | |
| Product | Clothing Company | |
| Asked For | $50k for 25% equity | |
| Final Deal | $75k + 7% royalty for 100% equity of the Brand name | |
| Shark | Jeff Foxworthy, Robert Herjavec, and Daymond John | |
| Episode | S2 E4 | |
| Air Date | April 8th, 2011 | |
| Business Status | In Business | |
| Website | Visit Website | |
| Headquarters | Hialeah, Florida, United States | |
| Lifetime Worth (Sales) | $30M *estimated | |
| Buy and Watch | Buy Now | Amazon Prime |
Business Pitch Episode Recap
After entering Shark Tank, Mike and Shon asked the Sharks for $50,000 in exchange for 25% equity in their company. They explained their business goals and purpose, highlighting that country music and NASCAR fans are among their loyal customers.
Robert Herjavec was interested in the business’s sales, so he asked the owners about it. They explained that over the past three years, they had made $271,000 in sales, with $50,000 in sales so far this year. So far this year, their profit has only been $7,000.
They currently have no retail distribution, but before coming on the show, they signed a vendor agreement with Sports Authority, which will make their product available in 30 stores in the Southeast. They have also talked with a distribution company that will distribute their product in all travel plazas.
Daymond John wants to know in which category Mike and Shon own the Hillbilly name.
They explained that they own the Hillbilly name in the apparel category and have three trademarks in the United States and one in Canada.
Robert is concerned that building a brand name requires millions of dollars in investment, but Mike and Shon are only asking for $50,000. In response, they said they plan to advertise by attending country music concerts.
Mike revealed that they have already signed a licensing deal with a Canadian record company.
Kevin O’Leary said that the apparel retail industry is too brutal, so he is out.
Barbara Corcoran said she didn’t like the business, so she is out.
Jeff Foxworthy, Daymond John, and Robert Herjavec teamed up to offer $50,000 plus 7% royalty, but they wanted 100% ownership of the Hillbilly Brand name.
Shon countered with $100,000 plus 10% royalty, along with a guarantee that they could buy back some share of the name later on.
Robert countered with $75,000. Mike and Shon accepted this offer.
Sharks Offers list!
| Sharks | Offers |
|---|---|
| Jeff Foxworthy | $25k + 7% royalty for 33.33% (Daymond & Robert) |
| Kevin O’Leary | No Offer |
| Robert Herjavec | $25k + 7% royalty for 33.33% (Daymond & Jeff) |
| Barbara Corcoran | No Offer |
| Daymond John | $25k + 7% royalty for 33.33% (Jeff & Robert) |
| Founder’s (Countered) | $100k + 10% royalty for 100% Share |
| Final Deals | $75k + 7% royalty for 100% Share |
Hillbilly Brand Shark Tank Update
After the episode aired, all three Sharks renegotiated with Mike and Shon regarding the agreement, but ultimately, the deal did not come through.
Mike and Shon successfully launched their products in the global market without the help of the Sharks. They introduced new brands named Hillbilly Beverages and Hillbilly Bourbon under the Hillbilly name.
In July 2024, they continue to sell their products on their website and are also offering licensing deals. The company is currently achieving an estimated $1 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.
