In case you missed it, Outer was on Shark Tank a few weeks ago and made an incredible comeback. The company had initially gone on the show to seek a $ 200,000 investment in exchange for a 20% stake in their business. In this article, we’ll be answering some common questions about what happened to Outer after Shark Tank and giving you some useful tips on how you can make a comeback after appearing on the show!
Story of the Outer and Its Founders
Outer Patio offers a wide variety of premium outdoor furniture from wicker. The selection of furniture includes sofas, coffee tables, and more. In addition, Outer Furniture also has a variety of care products and outdoor furniture accessories such as rugs, throw pillows, and covers. The business was developed with the mission to reinvent outdoor furniture and how it is sold.
Outer Furniture has reinvented the industry in terms of how they sell their product. They keep their competitive prices low by eliminating the need for showrooms.
You can order the furniture online but if you want to see the furniture, you can arrange a viewing with a “neighborhood showroom” – which is real customers’ backyards.
In addition, Outer pays a fixed rate to their neighborhood showroom hosts which eliminates the pressure of bringing commission into the conversations. In addition, the furniture is eco-friendly, and has a 100% ethical production!
While Outer had managed to achieve some success on their own, they wanted more. This is why they applied to Shark Tank and had a chance of getting an investment to grow the business even further. [1] [2]
Outer at Shark Tank
Jiake and Terry entered the Tank seeking $ 750,000 for 4% equity. They immediately impressed the Sharks with their numbers, making $ 800,000 in just four months. However, the Sharks did question the valuation of the company. With all the facts at hand, Terry and Jiake reassure the sharks that the valuation is based on market size.
In addition, they also mention that the company has no overhead costs as Terry’s family covers the inventory costs from their factory.
The business duo gets offered a deal from two Sharks. Kevin offered $ 750,000 for 20% of the business, not long after Lori counters with an offer of $ 750,000 load for 5% equity and $ 30 per unit royalty until $ 1 million is paid back.
After some consideration, Terry and Jiake accept the deal Lori offers! [2]
How is Outer Doing After the Show?
The probability of Outer becoming a premier patio furniture label has improved significantly with Lori’s extensive experience in the business-to-consumer space. However, it is reported that the deal with the celebrity investor hasn’t closed yet.
Despite that, this business has seen tremendous success in fundraising. In June of 2020 alone, they acquired $ 4.3 million, and again in January 2021 another $ 10.5 million was added to their total funding amounting to a grand sum of a whopping $ 15 million from multiple angels as well as venture capital investors!
The appearance at the show alone was enough for other people to find out about Outer. This brought in more customers and increased brand awareness for the company. There is a thing called the Shark Tank effect, which means a company is more likely to receive an influx of customers after appearing on the show.
This recent influx of funds will be used to conduct material research and create new products. Their aim is to expand from outdoor residential seating furniture into tables, loungers, and chairs. With a strong emphasis on marketing, they are targeting hotels, restaurants, and other travel-related venues in search of the highest quality outdoor furniture.
While Covid was a danger to a variety of businesses, Outer wasn’t one of them. In fact, they gained even more money as many people decided to upgrade their outdoor furniture during the pandemic. In 2019, they experienced an astounding 1000% jump in sales — from a mere $ 1.1 million to a staggering $ 12.2 million! As of July 2021, their revenue has reached the milestone of $ 45 million, and currently have 500 showrooms located across 49 states; with plans to double that by the end of this year. Here’s hoping for even more success!
The venture capital world has taken notice, and in June 2021 they sealed the deal with a $ 10.5 million Series A funding round led by Sequoia Capital China – a sure sign of approval from industry experts! In September 2021, the company closed a successful $ 50 million Series B investment round with Capital Today, Tribe Capital, C Ventures, and Upfront Ventures.
Fast forward to July 2022: they’re proud to have expanded their product offerings to include outdoor dining furniture, fire pits, rugs, and more – driving annual revenue up to an impressive $ 26 million (and counting!)
The social media presence of Outer is also incredible. Their Instagram platform has a huge following with over 100K followers! With promotional content such as product launches, giveaways, collaborations, and more – they’re certainly keeping their fans engaged.
Facebook is quite populated as well, with the company having 40k followers over there.
It seems that the Outer guys have made the right decision in appearing at Shark Tank. With the help of exposure, Outer has become a premier patio furniture label and is currently valued at $ 100 million! Terry and Jiake’s hard work and determination have certainly paid off. The sky’s the limit for these two entrepreneurs! [2] [3] [4]
FAQ
Did Outer get a deal?
Terry Lin and Jiake Liu decided to pitch an outdoor furniture brand called Outer on Shark Tank. The two entrepreneurs had a successful pitch that impressed the Sharks, and ultimately they got an offer from Lori O’Greiner.
However, it seems that that deal didn’t pass through in the end. The two entrepreneurs decided to turn down Lori’s offer and focus on their own efforts instead.
Luckily, they got the assistance of other investors to help finance and launch their brand in the market. They managed to raise over $ 10 million in funding, which helped them expand rapidly and reach more customers around the world.
Today, Outer is thriving and has become a leading outdoor furniture provider. Its unique designs are now available all across the US and annual earnings are around $ 20 million!
What is an Outer on Shark Tank?
Outer on Shark Tank is a brand featured on the ABC hit show “Shark Tank” in which entrepreneurs pitch their product or service to potential investors, known as “sharks”. Outer is a brand of outdoor furniture, created by Terry Lin and Jiake Liu, that offers quality outdoor furniture that is easy to set up and take down. The furniture features a unique design of interlocking parts and can fit into any outdoor space.
The annual earnings of the company are around $ 26 million which is an impressive number. This is despite their offer with Lori never proceeding past negotiations.
Who owns Outer furniture?
Outer furniture is owned by its founders, Terry Lin, and Jiake Liu. After his appearance on Shark Tank, they made a deal with Lori to gain additional funding and mentorship. This allowed Outer to grow into the company it is today, with a wide variety of outdoor furniture available for purchase.
While it’s still unclear whether the deal with Lori had closed yet, it is clear that Outer is continuing to grow and develop its product line. They have also gained the attention of several other investors.
Did Outer get a shark tank deal?
Yes, Outer received a deal from Lori Greiner. The deal was for an investment of $ 300,000 in exchange for a 5% stake in the company. Since then, Outer has used the money to invest in product development and expand its reach into new markets.
How much is Outer worth today?
After securing an investment from Mark Cuban, Outer was able to focus on new marketing strategies and product development that allowed them to expand their reach across the United States and offer their products to a wider audience. In 2017, Outer secured another round of funding that saw its valuation increase even further.
Useful Video: Kevin and Lori’s Intense Showdown Over Outer’s Outdoor Furniture | Shark Tank US
Conclusion
Terry Lin and Jiake Liu had worked hard on bringing outdoor furniture to the masses and it paid off when their Outer brand debuted on Shark Tank. After making an initial impression with their unique product line, they were able to secure a deal from Lori O’Greiner. Despite the success of the show, it hasn’t been an easy road for Outer since then.
They had some disputes with Lori and the deal couldn’t conclude in the end. Even though they were unable to fully capitalize on the Shark Tank exposure, Outer was able to continue growing their business without Lori’s help. They received additional capital from investors and expanded their product range in both style and functionality.
Right now they are constantly hitting $ 20 million in annual revenue and their signature product remains popular within the outdoor furniture market. All in all, it looks like Terry and Jiake are still doing well with Outer despite the initial setbacks that followed Shark Tank.
Overall, Outer has been able to make a name for itself since its appearance on Shark Tank and it looks like they’re well on its way to becoming a major player in the outdoor furniture market. We wish them all the best in their future endeavors and look forward to seeing what else they have in store for us!
References:
- https://www.sharktankblog.com/outer-furniture-outdoor-furniture/
- https://www.sharktankblog.com/business/outer/
- https://www.instagram.com/liveouter/
- https://www.facebook.com/liveouter/