Photos are important. Ashley Green learned that when she was 21 years old: Her mom died suddenly, leaving her with only one picture of them together.
The lesson inspired her and her husband Kenny Green to start a clothing company, Kaans Designs, while she was on maternity leave in 2014. Kaans Designs sells matching sets of shirts and apparel made for families’ “perfect photo op,” according to the company’s website.
“I wanted to create a brand that forced you to document those memories. It became my mission to make sure that you’re going to take a picture in my shirt, you’re going to take a picture surrounded by your family,” Ashley said on Friday’s episode of ABC’s “Shark Tank.”
The Greens, both 38, launched their company from their garage in Fort Wayne, Indiana, as a side hustle: Ashley was a high school teacher and Kenny was a social worker. They used a $200 investment from Ashley’s dad as their seed money, she said.
Ashley started working on Kaans Designs full-time in 2017, and Kenny alternates between doing the same and taking up other full-time jobs as needed, Ashley tells CNBC Make It. The company also has two part-time workers and up to four additional seasonal employees, says Ashley, all selling products that retail anywhere from $2 for mini iron on patches to $58 for a matching mother-daughter sweatshirt set.
On “Shark Tank,” the Greens asked the show’s panel of investor judges for $75,000, in exchange for a 15% equity stake in Kaans Designs. Their small business is profitable, they said — making $44,000 last year — and it’s appeared on Oprah Winfrey’s “favorite things” list twice. The company could finish 2024 with $300,000 in sales, Ashley added.
But she and her husband were struggling to keep up with demand, and they wanted help establishing more product lines. “The issue is expanding our product category,” said Ashley. “Once they go through the sets, they don’t have anything else to buy.”
‘I would bet on yourself’
Four of the judges dropped out without making an investment offer. Kevin O’Leary and Daymond John both said Kaans Designs didn’t need an investor to grow, with John projecting that it could be worth $5 million to $10 million someday.
Lori Greiner said she didn’t know enough about the fashion industry to invest. And Mark Cuban dropped out because he couldn’t rival the offer set forth by Todd Graves, a guest Shark and the billionaire founder of Raising Cane’s Chicken Fingers.
Graves offered the Greens a $75,000 loan, rather than an investment, in exchange for 10% of Kaans Designs’ equity. He also asked John, the founder of apparel company Fubu, to join the deal purely as a mentor.
“I’m there anytime,” John responded. “I’m going to mentor you, but I’m not going to invest.”
Ashley said she’d prefer a traditional investment-for-more-equity deal. Graves declined, advising the Greens to keep as much ownership of their business as possible. “You’re working hard. You’re making this happen. This is your story,” Graves said. “I would bet on yourself.”
The couple agreed to Graves’ offer. After the show’s taping, they closed the deal with a 10-year repayment term on the loan, the Greens say.
“This is a dream come true,” Ashley said on the show. “This is just a testament to keep going and that you can do things outside of your home. You can do them in your garage. You can reach the world.”
Disclosure: CNBC owns the exclusive off-network cable rights to “Shark Tank.”
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