RoboBurger Shark Tank Episode Update & Net Worth

RoboBurger Shark Tank Episode Update & Net Worth

RoboBurger, a startup featuring a robotic burger vending machine, appeared on Shark Tank in Season 15, Episode 21, which aired on May 3, 2024. The company aims to revolutionize the fast food industry by providing a convenient and automated way to serve freshly made burgers.

In their pitch, co-founders Dan Braido, Audley Wilson, and Andy Siegel sought $1.5 million for 5% equity, valuing the company at $30 million. They showcased their innovative vending machine that can produce a burger in about four minutes, selling for between $5.99 and $6.99.Key points from the pitch included:

• Sales Performance: The company had sold over 12,000 burgers during its 18-month beta testing.
• Business Model: The machines can be leased for $3,000 per month, with buyers responsible for stocking ingredients.

Despite initial skepticism from the sharks regarding profitability and the business model, Kevin O’Leary and guest judge Michael Rubin ultimately offered a deal of $1.5 million with terms that included a 10% equity stake. They negotiated down to a 9% stake before finalizing the agreement.

Following their appearance on Shark Tank, RoboBurger gained significant exposure and interest. The investment from O’Leary and Rubin provided the necessary capital to scale operations and refine their business model. The company has continued to develop its technology and expand its market presence.

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The current estimated worth of RoboBurger is around $30 million, reflecting its valuation during the pitch and its potential for growth in the automated food service industry.

RoboBurger is still in business and actively working on deploying its robotic burger vending machines. The company continues to innovate and expand its offerings, aiming to become a significant player in the fast food market.

About RoboBurger Shark Tank

RoboBurger, the innovative burger vending machine concept, made its debut on Shark Tank Season 15. Entrepreneurs Audley Wilson, Andy Siegal, and Dan Braido presented their futuristic approach to fast food, offering gourmet burgers made fresh by a robotic vending machine.

 The pitch aimed to secure a substantial investment to scale their operations, but would the sharks bite? In this Shark Tank update, we’ll dive into the details of the pitch, the deal that was struck, and the current status of RoboBurger following their appearance on the show.

Which Episode Number Was RoboBurger on Shark Tank?

RoboBurger was featured in Episode 14 of Shark Tank Season 15, which aired on May, 2024. This episode was particularly memorable due to the unique nature of the products presented, with RoboBurger standing out as a novel solution in the fast food industry.

 The episode generated significant interest, offering RoboBurger a platform to showcase its cutting-edge technology to a wide audience.

RoboBurger Shark Tank Full Episode;What Happened at Shark Tank Pitch

When Audley Wilson, Andy Siegal, and Dan Braido entered the Shark Tank, they were seeking $1.5 million for 5% equity in their company, RoboBurger. Their pitch highlighted the convenience and innovation of their product—a fully autonomous vending machine that can cook and serve a fresh, gourmet burger in under four minutes.

The RoboBurger machine grills the patty, toasts the buns, adds condiments, and serves the burger hot and ready to eat. It operates without the need for plumbing or venting, making it a versatile option for various locations.

To demonstrate the machine’s capabilities, guest shark Michael Rubin was invited to try out the RoboBurger firsthand. He was impressed with the machine’s efficiency and the quality of the burger, though it was noted that the burger could only be served well-done due to health and safety regulations concerning re-thermalized pre-cooked meat.

Despite the innovative concept, the pitch had its challenges. The sharks had several concerns:

• Mark Cuban questioned the company’s ambitious projections and was unconvinced about the scalability of the business, leading him to opt out.
• Kevin O’Leary struggled to get clear answers on how he could make money from the investment, which frustrated him. However, he remained interested enough to stay engaged in the discussion.
• Barbara Corcoran had reservations about investing in another food-related vending machine business, especially after her past experiences, and ultimately decided to pass.
• Lori Greiner found the presentation confusing and was not fully convinced by the business model, so she also decided not to invest.

Despite these challenges, Michael Rubin showed continued interest and eventually teamed up with Kevin O’Leary to offer $1.5 million as a loan in exchange for 9% equity. The entrepreneurs had initially countered with 8% equity, but the sharks held firm at 9%, and the deal was sealed.

What Happened to RoboBurger After Shark Tank?

Following their appearance on Shark Tank, RoboBurger has continued to grow and develop. The exposure from the show provided a significant boost in interest, leading to increased inquiries and potential partnerships. The deal with Michael Rubin and Kevin O’Leary provided the necessary capital to expand their operations and refine their technology.

One of the most notable post-Shark Tank developments for RoboBurger is the enhancement of their machines.

They have introduced new menu options, including plant-based burgers and breakfast sandwiches, expanding their appeal to a broader range of customers. This diversification is a strategic move that aligns with current consumer trends favoring plant-based and healthy alternatives.

RoboBurger has begun to explore leasing opportunities, allowing businesses and institutions to install their machines in high-traffic areas. The leasing model offers a recurring revenue stream and the potential for significant scalability, particularly in environments like airports, malls, and corporate campuses.

How Much Is RoboBurger Worth?

At the time of the Shark Tank pitch, RoboBurger was valued at $30 million based on the entrepreneurs’ request for $1.5 million for 5% equity.

 The final deal with Michael Rubin and Kevin O’Leary, which included $1.5 million as a loan for 9% equity, adjusted the valuation slightly to $16.7 million. This revised valuation reflects the sharks’ cautious optimism about the potential of the business, tempered by the risks involved.

Given the increased exposure and the improvements made to the RoboBurger machines since the show aired, it is likely that the company’s valuation has risen, though an exact current valuation has not been publicly disclosed.

Is RoboBurger Still in Business?

Yes, RoboBurger is still in business and is making strides in the fast food and vending machine industries. The company has successfully leveraged the momentum from Shark Tank to enhance their product offerings and expand their market presence.

With the support of Michael Rubin and Kevin O’Leary, RoboBurger is poised to continue growing and could potentially become a major player in the automated food service industry.

The company’s focus on innovation, coupled with its commitment to quality, positions it well for future success.

As more businesses look to streamline operations and reduce overhead costs, the demand for automated solutions like RoboBurger is expected to increase, further solidifying the company’s position in the market.

FAQs

Which Shark invested in RoboBurger?
Michael Rubin and Kevin O’Leary invested in RoboBurger, offering $1.5 million as a loan for 9% equity during its Shark Tank Season 15 appearance.

What was the valuation of RoboBurger during Shark Tank?
RoboBurger was initially valued at $30 million based on the ask, but the final deal adjusted the valuation to $16.7 million.

Did RoboBurger make a deal on Shark Tank?
Yes, Audley Wilson, Andy Siegal, and Dan Braido secured a deal with Michael Rubin and Kevin O’Leary for $1.5 million as a loan in exchange for 9% equity.

How much does a RoboBurger machine cost?
The leasing cost for a RoboBurger machine is approximately $3,000 per month, not including the cost of food supplies.

Is RoboBurger still in business?
Yes, RoboBurger is still in business and continues to grow, offering new menu options and expanding its leasing model.

What is unique about RoboBurger?
RoboBurger is a fully autonomous vending machine that can prepare and serve a fresh, gourmet burger in under four minutes without the need for plumbing or venting.