SEASON 8 EPISODE 3
mail in service for quickly and safely drying and fixing wet phones and electronic devices
Adam Cookson and Craig Beinecke
$500,000 for 5%
$500,000 loan at 13% for 5% equity after loan is repaid
Modern technology and innovation have empowered companies to manufacture waterproof devices, which are impressively important. Unfortunately, since the market is not exhaustively solicited, most companies retail the products, including cameras, mobile-phone, and laptops, among other essential gadgets, at ridiculously high prices. Financial implications have rendered the luxury unaffordable for multiple consumers. Entrepreneurs Adam Cookson and Craig Beinecke, who are the co-founders of TekDry, introduced the company in 2014. TekDry, based in Denver, uses technology to provide fast, reliable, and safe recovery of a wet mobile phone to avoid water damage.
TekDry before Shark Tank
The technology at TekDry features low-pressure, controlled heat and beads, which rid 100 % of moisture from the wet device. The technology can restore lost data in the device, and the people embraced it since it was a common need. The beads in the water-removal machine gently generate some heat as the first step, followed by removing any air in the chamber. The vacuum created triggers the gentle heat to turn the liquid into gas, which then evaporates and leaves the mobile phone leaving it dry. Often people face frustrations when their gadgets fall in water or other liquids, which is evident by trying to salvage them by placing them in rice; a strategy that fails almost all the time.
Their pricing at TekDry ranges from $39.99 to $99.99 for a process that takes approximately 30 minutes. Before shark tank, founders Cookson and Beinecke had already raised $2.3 million to set up and run their business. Their machines were already in over 80 Staples stores, and the company they further offered a mail-in service where clients would only pay once the ability for fixing was confirmed. They needed more funding for their company to make advancements in production and reach as many stores as possible, ensuring profitability.
TekDry on Shark Tank
TekDry founders pitched their company on Shark Tank as first aid for tech devices. Although the Sharks were impressed by the technology, they feared that technology advancements would overtake TekDry. Kevin O’Leary closed the deal with the two co-founders by offering them a loan worth $500,000 at 13 % interest for 5%.
TekDry After Shark Tank
Since its appearance on Shark Tank, TekDry significantly grew, securing fundraising directed towards manufacturing new equipment. The Company has further advanced and employed more staff to support a more extensive store network. However, similar to new startups offering services other than products, TekDry has encountered some market challenges. Despite the relevance and need in the market. TekDry, headquartered outside Denver, Colorado, still has wide coverage gaps in the areas it covers. Its staples are not readily available in many areas. However, TekDry’s website lists of operation areas and any client can send in their gadget for $ 70, and if the gadgets do not work, refunds are available. Additionally, it ensures shipping the phone back to the owner. When a gadget falls in the water, experts from TekDry recommend the user to retrieve it soonest possible, power it down to prevent short-circuiting, wipe any water and get it to the nearest TekDry Staple for drying.Visit the TekDry website