What Happened to KaZam after Shark Tank Pitch?
What is KaZam?
KaZam is a company that makes balance bicycles to help youngsters learn to ride without training wheels.
Instead of pedalling, children may glide on their bikes by resting their feet on a footrest. After they’ve achieved enough speed, they may concentrate on steering.
Unlike ordinary bikes, they do not rely on training wheels for help. The primary goal for the youngster should be to establish balance and control.
The KaZAM Bikes are designed for youngsters aged three to six who have yet to learn to pedal a bike.
Instead of typical training wheels, the cycles have a foot rest that allows youngsters to become used to gliding on two wheels before “graduating” to a traditional design cycle with pedals.
Who is the Inventor of KaZam?
KaZam was founded by Mary Beth Lugo. Mary Beth Lugo is an inspiration. She took a notion and turned it into a viable business that fills a true need.
The concept to balancing bike training has been around for a long and was pioneered in Europe.
Her younger kid, at the age of three, was riding a two-wheeled bike without ever having training wheels thanks to the balanced bike strategy.
That’s when her husband and she thought there may be a significant need for something like this in the United States, so they founded KaZAM Motorcycles.
KaZAM bikes have received several awards and have been on The Today Show and in Parenting magazine.
What Happened to KaZam’s Pitch on Shark Tank?
Mary Beth appeared on Shark Tank season 4 episode 24 before two little children riding what looked to be ordinary bikes, demanding $300,000 in exchange for a 20% share in KaZam. This equates to a $1.5 million valuation.
She explains her business to the lad as he rides. He was riding a bike that didn’t have any pedals.
Daymond questioned about the cost of each bike in comparison to the sale price. She claims to make these for $28.25 and sell them wholesale for $45. They are available for purchase directly from the company for $99.95.
Barbara questioned about the age range of the KaZAM, to which Mary Beth answered, “2 to 5.”
Mark was interested in her sales to date. Mary Beth noted that they have finished $1.4 million in the previous three years.
Robert wanted further information, enquiring as to the prior year’s and the year before that’s sales figures. She reported that they made $611,000 last year, up from $384,000 the previous year.
In 2013, she expects to earn $1.5 million.
Kevin stated that she would require a large amount of riches to be worth investing in. He stepped outdoors.
Robert praised her sales and replies to common questions. He stated that he would not buy one, but he could see why someone might. Robert just had no vested interest in the items. He stepped outdoors.
Daymond indicated that he feels she has a brilliant concept, but he does not believe he will be repaid once he has given her the money. He also went out.
Mark claimed that if he could persuade the skeptic Barbara to join him, he would make her a $300,000 offer for 40% of the purchase price.
Cuban sets the shot clock to 24 seconds. Barbara is persuaded to come in by Mary Beth, but she refuses at 32%.
Barbara and Mark discussed it and reached an agreement. The offer was accepted by Mary Beth, and the three of them exchanged handshakes.
What Happened to KaZam Following Shark Tank Pitch?
KaZAM and Mary Beth Lugo get an update segment in Season 5, Episode 521.
After appearing on Shark Tank, KaZam created Ride-On, a miniature balance bike meant for children as young as 12 months old.
The KaZam Ride-On is $65, and it is available in blue, pink, and white. The company also sells its own Short board with cubed Shark Wheels and has a Shark Tank contract with Mark Cuban, Kevin O’Leary, and GoPro Shark Nick Woodman.
In the two years after she appeared on Shark Tank, Mark Cuban and Barbara Corcoran have helped catapult Mary Beth Lugo’s balance bikes to new heights.
Revenues topped $1.5 million after a few months following Mark Cuban’s investment in KaZAM Bikes.
The bikes were quickly featured in magazines such as Sky Magazine, as well as being recognized by the Oppenheim Toy Portfolio and the Mr. Dad Seal of Approval.
The bikes, on the other hand, received huge boosts when they were placed in Dicks Sporting Goods stores and achieved the holy grail of children’s retail products with a placement at Toys R Us.
KaZAM Bikes are appearing in driveways around the country, while Mary Beth Lugo is swimming smoothly with her Shark buddies.
As of August 2021, the company’s annual revenue is $5 million.
What is KaZam’s Net Worth?
Mary Beth came on Shark Tank and asked for $300,000 in return for a 20% share in Kazam. This equates to a $1.5 million valuation.
She accepted a $300,000 offer from Mark and Barbara for a 32% share, resulting in a 937,500 valuation.
Because the Company has developed, the current valuation is higher than the one she accepted on the show.
Who are KaZam’s Competitors?
Schwinn Bikes, Strider Sports International, EVELO Inc., Faraday Bicycles Inc., Superpedestrian Inc., Ninebot Inc., Pedego Electric Bikes firm and Currie Technologies Inc. are among KaZAM’s top competitors.
1. What is KaZAM?
KaZAM is a company that manufactures bikes without pedals aimed toward balancing bikes and not training wheels.
2. Who Invented KaZAM?
Mary Beth Lugo was the founder of KaZam Motorcycle Co. She invented the balancing bike and created a non-pedal two wheeler for toddlers, who cannot learn to ride with training wheels.
3. Where can they buy KaZAM?
They can purchase KaZAM bikes at their company website www.kazambikes.com or on Amazon, but they are much more expensive on Amazon compared to the price you will pay at KaZAM’s website.
4. Are KaZam Bikes Good?
KaZAM bikes are meant for kids who are 2 1/2 years and above, but the minimum age on the company website is 2 1/2 years old.
5. How do they work?
Kids can learn to balance on bike without pedals or training wheels. It is much easier because they don’t have to use their feet like the kids who are learning with the training wheels.
6. How much was Mary Beth Lugo seeking in the Tank?
Mary Beth asked for $300,000 in return for a 20% stake in the company. This equates to a $1.5 million valuation.
7. Whom of the sharks invest in KaZam?
Mark and Barbara believed that Mary Beth has good ideas, and she could potentially grow the value of her business dramatically over time. They offered $300,000 for a 32% share in the KaZAM.
8. How much does it cost to purchase?
She makes them for $28.25 and sells them wholesale for $45. They sell direct to the public for $99.95.
9. What age are recommendable for KaZam bikes?
She recommend the bikes for 2-5 years old. KaZam has introduced Ride-On, a small balancing bike designed for children as young as 12 months old, after appearing on Shark Tank.
10. What is their warranty policy?
All KaZAM products are warranted for one year from the date of purchase.
This Warranty is only valid for the original retail purchaser, who must provide evidence of purchase to substantiate any claim.
11. Is KaZam still in business?
As of August 2021, the company’s annual revenue is $5 million.
12. How can they contact KaZam?
They can contact KaZam through its official site www.kazambikes.com. They can also email them at [email protected].