What Happened to GiftCard Rescue After Shark Tank?
What is GiftCard Rescue?
GiftCard Rescue was an online marketplace for the sale and exchange of gift cards situated in the United States. It allows users to sell their unused gift cards.
Its website is similar to a blog in that it provides a list of gift card brands as well as the serial numbers that may be used to sell the gift card.
Every year, 10% of all gift cards go unused. You’ve probably heard of at least a handful of them. You might not be able to use the card in-store, or you might not be able to find the item you were looking for.
GiftCard Rescue will help you cash in your unused gift cards. You can find out how much they will pay you by entering the data for your gift card on their website.
Who is the founder of GiftCard Rescue?
Kwame Kuadey founded GiftCard Rescue. He was up in a remote West African hamlet without running water or electricity.
He recalls studying by the light of a kerosene lamp, fantasizing of a better life. When he traveled to the United States to attend college, an opportunity presented itself.
While studying for his MBA at John Hopkins University, he found inspiration in an unexpected place. A friend mentioned that he had a lot of unused gift cards.
Kuadey recognized his friend’s problem as a common one. Almost $8 billion in gift cards go unclaimed each year.
He came up with a solution to this quandary, and GiftCard Rescue was founded with some sweat labor and investments from personal savings, credit cards, and loans.
The money is normally 65-70 percent of the card’s value and is sent into your PayPal account within 24 hours.
As a result, GiftCard Rescue resells refurbished and unused gift cards at a discount, often as much as 10%, making it a good source of gift cards in the first place.
Kuadey was challenged with a problem that many new firms experience. His own finances have exceeded Gift Card Rescue.
He has been working from home, with the support of his wife. While his annual sales top $120,000, his earnings might be far greater if he had the capital to grow. His business concept is simple: he buys cards from customers who want to cash them in for 65-70 percent of their face value, then resells them for 90 percent of their face value.
He’s conducted extensive research to establish which cards would sell and which would not, and he’s received confirmation from Amazon.com that they are interested in working with his company.
What Happened to GiftCard Rescue at Shark Tank pitch?
On Shark Tank episode 104, Kwame Kuadey traveled a long distance to promote GiftCard Rescue. Kwame was on the lookout for a Shark to help him with scaling and marketing.
Kuadey entered the Shark Tank seeking for $150,000 offer for a 30% stake in his GiftCard Rescue Company, which worth $500,000.
He will be unable to continue his enterprise without the inflow of funds. Robert Herjavec asks probing inquiries about the company’s worth.
Kuadey responds vehemently, claiming that the value of his company is contingent on financial investment, potential collaboration with Amazon, and his own management qualities.
Daymond John, Barbara Corcoran, and Mark Cuban all voted against the deal. Kevin O’Leary was interested, but made a counter-offer. He will provide Kuadey $150,000 in return for a 50% stake in the company.
Kuadey responds with his own offer of 40% equity shares. Kevin O’Leary’s offer remains unwavering.
Robert Herjavec steps in and offers to join Kevin O’Leary for an additional $50,000 in exchange for a 50% ownership in the company. Kuadey accepts the offer and goes out from the ground with a deal.
What Happened to GiftCard Rescue After Shark Tank?
Kuadey eventually turned down Robert and Kevin’s offer. With the Amazon deal on the table and the exposure he gained from his presence on the program, he believed that giving up a 50 percent ownership in his company was an unnecessary sacrifice.
Kuadey’s dedication and work ethic moved him ahead. GiftCard Rescue made $6 million in 2012 and more than $10 million in 2013, making it one of the most lucrative businesses to appear on Shark Tank.
Kuadey’s confidence, perseverance, and business savvy are moving him forward. When asked about the profitability of his firm, he replied that he had $15 million in sales in 2015.
The firm was dissolved in July of 2016. A lender won a judgment for debt default and banned the company’s bank account, forcing the shutdown, according to reports.
At the time, the Baltimore Better Business Bureau received 300 complaints. The issues appear to have been resolved as of July 2021.
Competitors of GiftCard Rescue
GiftCard Rescue faced a slew of competitors in its sector. There are three of them: Plastic Jungle, Cardpool, and CardCash.
Net Worth of GiftCard Rescue
During the pitch, the firm was valued at $500,000. The company went out of business in 2016, and its total worth is unknown.
GiftCard Rescue FAQs
What exactly is GiftCard Rescue?
GiftCard Rescue was a company that resold gift cards. On their website, you may buy both current and expired gift cards. In certain circumstances, the cards have been totally removed from their website. Wal-Mart, Visa, Amazon.com, and JetBlue Airways are among the credit cards accepted by the firm.
Who is the founder?
Kwame Kuadey is the founder of GiftCard Rescue.
How much money did Kuadey make on Shark Tank?
Kwame Kuadey did, in fact, have a deal with Robert Herjavec and Kevin O’Leary. He received $200,000 in exchange for 50% ownership of the company.
Is GiftCard Rescue still in operation?
GiftCard Rescue is no longer in operation. It is unclear if Kwame Kuadey still owns the corporation.
Where could I find GiftCard Rescue?
GiftCard Rescue is a non-profit organization based in Baltimore, Maryland.
Where did the idea come from?
GiftCard Rescue was inspired by friends’ abandoned gift cards. He was having problems selling his unused cards and was aware that others were experiencing the same issue.
How much money did GiftCard Resort make?
GiftCard Rescue made around $14 million in 2015 and $10 million in 2013. They have been in business since 2009. They made $6 million in revenue in 2012.
How did GiftCard Rescue work?
The business concept was simple: buy cards from clients who wanted to cash them in for 65-70 percent of their face value, then resale them for 90 percent of their face value.
How much did GiftCard Rescue expand?
Since 2009, GiftCard Rescue has been in operation. They’ve expanded their operations throughout Europe and Australia. They intend to grow into other nations. How much did GiftCard Rescue’s expansion cost? To mail the cards overseas, it cost them $500 every transaction, including shipping, handling, and labor hours.
How did GiftCard Rescue get paid?
GiftCard Rescue was compensated through cash back and chargebacks.
GiftCard Rescue accepts which payment methods?
Payment methods offered by GiftCard Rescue included PayPal, check, money order, wire transfer, and gift cards and gift certificates.
What were the GiftCard Rescue terms?
GiftCard Rescue’s terms and conditions were the same as those of any other gift card reseller. One may contact them with their credit card information to be accepted, and they can return their unused or unwanted gift cards that they purchased to receive cash back.
What was GiftCard Rescue’s return policy?
The return policy was straightforward: if item was purchased and returned within 10 days after purchase, it may be returned for a refund. There is no way to return the item beyond 10 days.
What were the advantages of GiftCard Rescue?
The company was located in a region with significant unemployment and poverty rates. Many individuals are struggling financially and cannot afford to buy gifts for loved ones on important occasions, which is why gift cards were created.