Bethenny Frankel Waxed Mark Cuban’s Arm on ‘Shark Tank’ (and It Might Have Helped This Company Scored a $100,000 Deal)
If you’re thinking about investing in a company, you’ve got to test its product.
PHOTO CREDIT: Getty Images
When Jennifer Paschall and Gita Vasseghi pitched their company No Mo-Stache, an on-the-go wax strip for women's upper lips, the male investors had some questions. "You get the extra hair, why don't you just shave like the rest of us?" Mark Cuban asked the co-founders.
Bethenny Frankel, one of the show's celebrity guest judges, explained to Cuban that if someone shaved the hair on their face, it would grow back thicker. Then, to make sure he understood, she slapped a wax strip on his arm and removed a section of hair.
"All the competitors that I have used in the past, they are very sticky, they get gooey....I just waxed his arm and it is very neat," Frankel said.
Frankel's experiment on Cuban may have settled any questions about the efficacy of the product, but the sharks were even more excited to hear the company's numbers -- No Mo-Stache sold $400,000 worth of products in two years. Paschall, owner of The Beauty Strip waxing salon, and Vasseghi, an L.A.-based fashion executive, launched the company in 2012 when they realized there was demand for fast waxing options -- regardless if the area sits above a woman's lip or on a billionaire investor's arm.
In the end, Frankel and Lori Greiner made a deal with the co-founders to expand their product into a more expansive on-the-go kit for women. Frankel and Greiner offered to invest $100,000 for a 25 percent stake, plus a royalty of $1 per unit sold up to $200,000.