Nick and Zach have come up with a healthy snack option for people who have difficulty saying goodbye to their favorite but unhealthy potato chips. They came up with an alternative: creating crispy and delicious chips with not potatoes but egg whites.
What Do They Make?
Quevos are egg white chips with a low-carb formula packed in crunchy, crispy, flavorful chips. They provide high fiber and low carb content and are perfect for those people who like to snack on gluten-free and Atkins-friendly chips.
What Makes Them Unique?
Quevos uses egg whites instead of potatoes or tortillas to provide a flavorful and satisfying crunchy chips option. They can also double as a healthy keto nutritious snack that provides energy and power throughout your day.
Quevos have 8 grams of protein and 4 grams of fiber in every serving of the chips, and their keto flavors come with just four carbs per bag of chips.
Are They Still an Active Company?
The company is still running successfully and has an active website. They have also received several five stars reviews on Amazon.
How Did the Shark Tank Pitch Go?
Nick Hamburger and Zach Schrier came to Shark Tank seeking $200K for 5% equity in their business.
They began their pitch by explaining how people go through five stages of grief when they finally realize and accept that the potato chips they love too much are not healthy for them. They have come up with the perfect healthy solution to help people escape this vicious snacking cycle through their Quevos egg white chips.
Their egg white chips are an excellent alternative to starchy, fried, and processed snacks.
They provided the Sharks with their chips samples, providing the two classic flavors, cheddar and BBQ, and two keto flavors, sour cream onion and dill pickle.
They explained that their chips contain the same volume of calories, perhaps more, but the chips’ high fiber and protein content provide a better filling experience than regular snacks.
They launched their product in 2018. They did a kick starter and raised $72,000, and started selling in retail in the same year. They made $260,000 in sales the previous year and did $660,000 in the current year. Upon Mark’s inquiry, they revealed that 80% of their sales were online, and 20% of sales were done through retail.
Their product was available in 400 stores, and they manufacture their chips through a unique process while working with co-packers as they continue to grow their business. The problem was that the quotes they had been provided were twice the value they expected.
Robert asked them to explain the process of manufacturing the chips, and Nick replied that they employed a unique and proprietary process, which neither involves frying nor baking.
When Nick was diagnosed with type 1 diabetes, he had to watch out for the ingredients of every single snack he put in his mouth. One day he noticed the crispy egg white coating left on the pan after making an omelet, and that is where he got the idea of making chips from egg whites.
Zach explained that he was the company’s CEO and revisited the idea of these chips as he was going to college. He teamed up with Nick to work on a full-time production of the chips.
Zach took one year off his college to discuss the concept and strategy behind the company, but now he has returned to college and sits on board. Nick dropped out of university and has been working for two years.
They had raised $1.2 million through their company as Craft Heinz invested in their business. They were in their incubator program as the only pre-revenue brand, and this fact received a lot of praise from all of the Sharks.
Mark asked them about the amount of money they were investing in marketing, and the pair responded that they spent $20,000 a month on marketing and made $90,000 last month on sales online.
Robert was the first Shark to go out. He found the young entrepreneurs very inspiring and wished them well, but thought that the product wasn’t for him.
Kevin offered them $200K for a royalty of 10 cents on every bag of chips until he recouped $400K, but he would only take 2.5% equity. He said he would help them sell the chips directly to consumers rather than through Amazon.
Daniel asked them about their future plans, and Nick explained that they were hoping to sell the company in 3 to 5 years because it could get perilous to hang on to a brand in this market department. Daniel thought they were asking for too much valuation, and Zach explained that they were not planning to give up so much of their equity at such an earlier stage of the company. However, for the Sharks, they were open to negotiations.
Daniel offered them $200K for 10% equity. While Zach and Nick were discussing the offer among themselves, Lori told them to accept Daniel as their partner and went out.
Mark told them that their product would always require people to sample it first and that it was going to be a big challenge for the company. For that reason, he went out.
Zach countered Daniel with $300K along with a line of credit. Daniel asked them to bring their equity up, but he declined. Daniel said that since his offer wasn’t exciting to them, he was going out. Zach again offered him $300K for 10% equity, and Daniel wanted them to come up to 10% plus 2% advisory shares.
The duo agreed and made a deal with Daniel.
Our Review of Quevos
The Quevos egg white chips are crunchy and delicious, and even though their price is a bit higher than what we prefer, they are an excellent option for healthy munching and much better than potato chips.
Pros of Quevos
- High fiber and high protein content
- Low carbs present
- Made with wholesome, all-natural ingredients
- Exciting and delicious availability of flavors.
Cons of Quevos
- Quevos chips are a little bit pricier as compared to other chips.
Who Is Quevos For?
Perfect for people who like to indulge in keto snacks and low carbs or high fiber content chips.
Are There Any Alternatives?
- Moon Cheese
- Kibo Lentil Chips Variety Pack
- The Happy Snack Company Chickpeas Lime & Cracked Pepper.
Our Final Thoughts:
The brilliant product design, great enthusiasm and zeal of the young entrepreneurs Zach and Nick, and Daniel’s expertise and value would prove to be a significant stimulus to take the company to new heights in the future.