Urban Float is a spa and general well-being business focusing on floating therapy. Float therapy entails floating in a sensory deprivation tank filled with a foot or less salt water. Urban float has designed sleek pods filled with ten inches of water and twelve hundred pounds of Epsom salt.
Float therapy has been shown to relieve stress, assist the body in relaxing and even alleviate chronic pain. Urban float firmly believes in float therapy’s physical, emotional and mental benefits and encourages clients to make it a part of their daily routine.
Urban Float was found when Joe Beaudry looked for ways to improve his mental and emotional state while doing his high-pressure corporate job at Verizon. He stumbled upon float therapy and was instantly hooked and decided to share its benefits with a broader audience. With Scoot Swerland, Beaudry opened Urban Float and quit his corporate job to dedicate himself to the business. The first location the duo opened was occupied for 22 hours of the day, showing the massive demand for relaxation techniques.
Urban Float continues to thrive as a business and has opened locations in Tacoma and Vancouver, Washington, in addition to the four locations in Seattle that were already in place. The revenue is in millions, and a bustling franchise program has seen them run other operations in Ohio and Texas. The business has introduced other wellness therapies such as an infrared sauna and red light therapy to its catalog. Urban Float continues to make above a million dollars in revenue and can be declared a bonafide Shark Tank success.
How Did The Shark Tank Pitch Go?
Beaudry and Swerland entered the Shark Tank pitch fully confident in their business. They were fully aware of their facts and figures and impressed the Sharks with their enthusiasm for float therapy. The duo looked for $500,000 for a 5% stake in their business. The sharks raised a few murmurs as they found the offer too steep.
The entrepreneur duo revealed the many benefits of the therapy and raved about its life-altering effects that caught the Sharks’ attention. Kevin O’Leary seemed especially interested. However, the two sharks, Mark Cuban and Matt Higgins, were fully aware of the therapy as they had worked with sports teams that continually looked for new recovery methods. Higgin’s revelation that the Miami Dolphins used the sensory deprivation tanks for recovery caused a bit of concern from Lori Greiner’s side as the therapy was not exclusive to the business.
Beaudry informed the Sharks that their 4 locations had seen an inflow of $ 2.5 million in sales which led to renewed interest; however, that interest quickly waned when it turned out that the business had about $ 1 million in debt. The amount of debt promptly fizzled out interest in most of the sharks as they pondered the company’s feasibility.
Cuban pulled out of making an offer by saying that he was aware of these recovery trends due to his work with the Dallas Mavericks, and they usually become obsolete quickly. Greiner and John Daymond also backed out of making an offer due to their concerns about the debt.
This left Higgins and O’Leary, both of whom seemed interested. O’Leary liked the business’s cash flow and made the partners an offer of $100,000 as an investment and $400,000 as a loan to be returned at an interest rate of 9.5% per year for three years.
The duo was conflicted about the equity size when Higgins made them a counter offer of $500,000 for 15% of the business.
Swerland and Beaudry were clearly unwilling to part with too much of their business and had an entire back and forth with the Shark, and eventually settled on an agreement of 12.5%. The duo was ecstatic at securing their deal.
Our Review of Urban Float
Urban Float boasts modern, state-of-the-art locations explicitly designed to provide a soothing floating experience. They cater to all sorts of clients, from those looking for pain management to those just looking to unwind. There are several pros and a few cons for those looking to indulge in float therapy
Pros of Urban Float
- Studies showusers experience low pain levels after continued therapy.
- Objective evidence for the business’ claims
- Decreased stress and anxiety symptoms
- COVID screening is done for every client before using the pod
- UV rays treat water for hygiene
- Expansion of services by including other forms of therapy
- Different membership structures such as week passes are available for those who do not want to buy a yearly membership.
Cons of Urban Float
- Clients have complained of issues of charged membership fees when not using the service
- The Pods cannot be used by people who suffer from claustrophobia
- Air circulation in the pod is an issue.
- Membership pricing is too high for average clients
Who Is It For?
Float therapy is not restricted to any demographic. However, people looking to recover from injuries or people looking for alternative treatment for chronic pain might be more drawn to these pods. It is also trendy in the demographic now looking for different ways of relaxation due to the ever-increasing stress of today’s world.
Are There Any Alternatives?
There are numerous float therapy centers and luxury spas all over the US, as there has been a rise in wellness culture over the years. Just Float, a luxury spa in Los Angeles, claims to be the largest float therapy center in the world and is an excellent high-end alternative to Urban Float. Most health spas provide float therapy along with their other services; therefore, there are many alternatives to Urban Float that clients can choose at their discretion.
Final Thoughts
Urban Float is a business that continues to thrive due to its identification of space in the market and providing a solution. Swerland and Beaudry walked away from their Shark Tank deal after disagreements with Higgins and his team. The business has independently managed to march on; however, there are still many steps it can take for greater expansion.
The numerous benefits of float therapy, coupled with the business’s due diligence of their service, led to a capable business model. However, their revenue did take a hit during the pandemic due to people avoiding enclosed spaces. This halted Urban Float’s expansion plans. A more significant roll-out of the franchise program and greater expansion of services provided will lead to even greater revenues for Urban Float.
