Amber and Mark Schaub, husband, and wife, created a collection of children’s clothes under the brand name Rufflebutts.
When they appeared on Shark Tank in 2013, they pitched a multi-million dollar enterprise. They wanted $600,000 for a 7% stake in the company.
Lori Greiner promised Rufflebutts $300k in the first year and the rest in the second for 10% of $600k. As Mark Cuban pointed out, Greiner’s loan offer was the worst that Greiner had ever made.
But the Schaubs consented to the $600k loan at a nine percent interest rate.
Are They Still an Active Company?
Rufflebutts is still in business, adding more items to their catalog. Rufflebutts and Ruggedbutts (also founded by Amber and Mark that sells clothing items for boys) didn’t fulfill their arrangement with Lori two weeks after the show’s debut date. The deal didn’t happen at all. However, they are still in business and making $6 million a year as of June 2022.
How Did the Shark Tank Pitch Go?
A 7 percent stake in $600,000 was all Amber and Mark Schaub were after when they appeared on Shark Tank. Amber began their presentation by describing how their quest for a product they couldn’t find led them to launch an enormously successful business.
All of the Sharks were pleased with Amber and her daughter’s samples. Mark Schaub bragged about the company’s $4 million in revenues, its profitability since inception, and its lack of debt, which astounded the Sharks.
Kevin was surprised when Mark Schaub told him they had over 2,000 SKUs or separate items depending on attributes such as color, size, and style.
When Robert enquired as to why the Schaubs needed the money, the sharks stepped aside, and the Schaubs said that they valued the collaboration the Sharks offered as the firm expanded.
Amber elaborated and argued that Rufflebutts had no direct competitors. Kevin stepped out and explained that in the past, he was a member of a firm that nearly went bankrupt because it had too many SKUs.
Since they didn’t know enough about the fashion industry to help Amber and Mark Schaub, Mark and Robert Cuban also walked away.
When Barbara and Lori refused to say anything further, the air in the show became increasingly tense. Barbara accused Lori of wanting to go last to outbid her.
Lori disputed this, saying she was more concerned with the valuation than with whether or not she would finish first or last in the competition.
Tired of waiting for Lori, Barbara gushed about how pleased she was with Amber’s sense of innovation and commercial acumen.
As a result, she offered Amber and Mark $600,000 at a 12 percent interest rate, with half of the funds coming from a credit line.
However, Barbara’s value was too low for Amber’s liking, and she referred to their children as future shareholders because the firm would someday be theirs.
Lori, who was also impressed by Amber, offered them $600,000 for 10%, but they had to pay back half the money in the first year and the other half by the second year.
Lori countered Barbara’s claim that she sells items by pointing out that her specialty was in retail, whereas Barbara’s was in the real estate industry.
However, Rufflebutts has become a highly successful brand, even though the sale has yet to be finalized. Almost all of their customers have been pleased with their purchase, which is unusual for an online clothes retailer with more than 200,000 Facebook likes.
Since they always offer excellent bargains and are very honest, we can tell from Rufflebutt’s website that they genuinely care about their clients.
As Barbara pointed out, Amber possesses both a creative and a business-minded perspective, and her husband’s assistance and encouragement only serve to strengthen the family firm.
Our Review of Rufflebutts
We put some Rufflebutts clothes on some of our little testers, and they loved them. We believe that you won’t have any problems putting the clothes on or taking them off because they are easy to fit into.
When you buy from Rufflebutts, many people will compliment you on your choice of clothing for your little child. If you try out their swimsuits, your toddler will be shielded from the sun’s harmful rays due to the UV protection material they use to manufacture their swimsuits.
The dresses that they offer are of excellent quality and fit well. Even after a few washings and a trip to the beach, the color of their swimsuit does not fade.
Pros of Rufflebutts
- Applying sunscreen does not affect the color of their swimsuits.
- Accurate sizes.
- Their shorts do an excellent job of concealing the diaper. This gives a modest look to the toddlers.
- Their swimming range comes with built-in SPF 50 that provides an adequate level of protection. Therefore, you won’t have to apply sunscreen on your baby’s body.
- You may add a monogram to the clothes to give them a personal touch.
- Their clothes have elegant designs, and the patterns are not wild and crazy.
- Affordable
Cons of Rufflebutts
- Their swimsuit may hold little sand, which may get hard to wash off.
Who Is Rufflebutts For?
Rufflebutts began as baby bloomers and have now grown into a full apparel line for girls ages 2 to 6. Their Ruggedbutts apparel collection for boys is also available online.
These high-quality clothing are reasonably priced to enhance a child’s adorableness. The owners made a request for $600,000 for 7 percent of Rufflebutts in the Shark Tank.
The Sharks were blown away with their vast sales numbers and a massive number of SKUs; good for customers, but it is undoubtedly hard to manage for an investor.
Barbara proposed to join them in exchange for a more significant stock stake of 12%, while Lori offered to join them in exchange for a 10% stake.
The deal was finally done when Lori agreed to 9 percent of Rufflebutts.
Are There Any Alternatives?
Carters Inc. is one of several options to consider as an alternative to Rufflebutts. Its primary focus includes infant clothing, toddler clothing, accessories as well as a wide range of other goods.
The company owns the Carter’s and OshKosh B’gosh brands, two of the most well-known in the industry. Leading department shops, national chains, and niche merchants worldwide carry these products.
Customers may purchase them through the company’s almost 1,000 retail locations across the United States and Canada and on their website.
Our Final Thoughts
In contrast to Cuban’s judgment, the Schaubs indicated that the risk was worth it and that they were satisfied with their negotiation, despite some media outlets’ agreement.
Rufflebutts is a thriving enterprise. The company’s success can be seen in its enlarged apparel collection, including denim, dancewear, swimwear, and wedding gowns.
Bloomers aren’t the only thing they’re famous for! In the first year in business, Rufflebutts was profitable, which is quite unusual.
They had already made multi-million dollar revenues in their fifth year in operation, and the firm has been growing tremendously since then.
This was made possible by Amber’s business expertise and ability to think beyond the box.
