The founder of Lark presented their self-cleaning, UV-powered water bottle and related pitcher to the Shark Tank panel, seeking $500,000 for 1% equity.
After discussing the business, market size, technology, and philanthropic efforts, several Sharks declined based on valuation, while others made higher-equity offers.
Negotiations resulted in Justin accepting a final offer of $1.5 million for 6% equity (2% each from three Sharks) with all shares vested up front, matching his minimum acceptable company valuation.
Key topics included the product's technology, sales to date, environmental impact, charitable contributions, and deal structure negotiations.
Action Items
No explicit follow-up action items or owners were assigned during the meeting.
Lark Product Introduction & Technology
Lark offers a self-cleaning water bottle utilizing patented UVC LED technology to eradicate 99.99% of bacteria, viruses, and mold with the press of a button (normal mode: 60 seconds; adventure mode: 3 minutes).
The technology is integrated into the bottle's cap, designed by a Caltech physics PhD, with an optical system to reflect UV light efficiently inside the bottle.
New product line includes a water pitcher employing a two-step purification process: filtration for contaminants, followed by UV purification.
Market Opportunity, Sales, and Philanthropy
Global water market is approximately $300 billion, with reusable bottles comprising 7%.
Company launched in 2018, achieved $5.5M in first full year sales (2019), $9M in the last 12 months, with projections for $14M this year.
Profitability: Expecting a $1M loss this year after an initial venture capital raise; maintains $6.5M in the bank after raising $6.7M at a $31.7M valuation.
Lark donates 1% of gross revenue to water-related charities through 1% for the Planet and Charity:Water.
Patent Position & Competition
Holds approximately 10 patents (utility and design) on bottle and other products; acknowledges the existence of copycats and pending legal actions.
Claims to be first to market for UV self-cleaning bottles, with unique positioning for both bottle and pitcher products.
Shark Q&A and Negotiation
Sharks questioned high valuation ($50M for 1%), cost and retail pricing ($95 retail, $40 landed cost), competitive landscape, and accessibility for low-income consumers.
Multiple offers made, all demanding more than 1% equity; negotiations focused on maintaining company valuation integrity and advisory share structure.
Final agreement: $1.5M investment for 6% equity (2% per Shark, up front, no advisory share contingencies).
Decisions
$1.5M investment for 6% equity accepted — Rationale: Maintained minimum company valuation based on latest funding round; all shares vested up front, no complex advisory share contingencies.
Open Questions / Follow-Ups
No outstanding questions or unresolved issues were left open by the end of the meeting.