Shark Tank US | Is Project Pollo's Valuation Too High? 

thats it? pathetic numbers. he's not moving fast enough.

@@max.c They got Elon Musk as partner

@max low demand since inflation on earth.

😂😂😂😂😂😂

@max 😂😂

Good point but it does defeat the purpose in a way. I prefer a high fat diet with low carb low sugar myself. It`s not easy but I never felt better.

Most vegan food available on the US market are junk.

@@barackmycat9448 I can see that. And I think options will always be available for people looking for certain dietary options. What I meant was is that there are a lot of vegans and vegetarians who aren't in it primarily for health reasons. Their primary reason may be that they just don't want to kill animals. It may not be a health-conscious choice as much as it is a moral choice. For them, I'd imagine they wouldn't only want "healthy" options.

Great Insight in the last line. People want to adopt a cruelty free lifestyle. "Being healthy" is a different niche.

@@iva9427 Great response. Have a nice day. I hope it all works out for him.

🤣🤣🤣🤣🤣

Funny.. ha. Though, a lot of his movies were on the back burner due to covid and netflix signing deals. He signed picture deal with Netflix long time ago.. so some of them were filmed years ago.

😂😂😂right

🤣🤣🤣🤣🤣 this comment is fuckn gold

I’m sure he does not have ten year leases attached to any of them.

Its only been like half a year since this was filmed

@@ldc19900 since your comment 3 new stores have just opened!

We will have to see how those ten year leases work out for them.

I smell bankruptcy soon. Then again, there's a small chance it could work. But a bigger chance at failure. Maybe they opened another 7 stores while I was writing this comment

@@uhjeff3651they did

Yes! Why not just counter? It's like he's being punished for being incredibly successful so quickly.

They explained that the problem is not the valuation itself, which they could counter. The problem is the high amount of money the guy is asking. In Shark Tank they can not offer less money than what the entrepreneur is asking.

@@francislon yeah but they could give 500k and a 2mm loan for like %22

@@robertharvey6030 you are right,its not about the valuation but the fast expansion of the business that they foresee something that would potentially collapse years from now

The issue is that he wants to take a breadth first search approach rather than a depth first search approach. Meaning he wants to expand as fast as possible without actually validating the product through a small ramp up approach and making the changes that needs to be made. His validation is to simply mass open to see if people will like it as is. You only get a single chance once you've gone critical mass. No investor would ever buy into this concept.

So he wanted them to come in at that valuation all that time ago. And have made no money?

@@chrisphillips2734 why u lying

@@Nonegiven14582 1) He was already making good revenue. It would be great to see income statements & balance sheets to better evaluate it 2) The component of future growth/potential is ALWAYS included in an investors evaluation. Otherwise, what's the point of buying a stock in a company and expecting it to stay the same? An investor who believes in the future of a business just wants to pay the today's price whereas the owner of the business wants to receive the the price including potential. They just have to meet somewhere in between

@@chrisphillips2734 They have 7 restaurants in operation

@@0rcd0c You are talking out of your backside

its good but the problem is that when u have something like this and no middle ground u either go up and up very quickly then go down and lose everything like what mark said i personally would rather have something in the middle where its passive and making 100,000 for 10 years 80-90 percent without much risk then 3 million a year for only 1-4 years then worrying if i go bankrupt bc the market goes a different way or something happens thats a lot of risk its like playing ur money with bitcoin if u don't know how to play the game or if it gets too much u lose everything if u dont do it at the right time i like that hes work ethic and ambitions but going too quick can do a lot of bad in long term but good in short term but not long term

​@@leviclarke2429might as well. There's always time to fail but rarely a perfect time to succeed (and scale).

@@leviclarke2429 Lol 100,000 passive, stop watching shark tank bro, go read something

All the sharks were scared but this man is making it happen

@@jeffwhite459 The sharks were right. He was expanding too fast and his business completely collapsed. It all disappeared April 2023.

Guy is clearly whip smart.

If you don't see how much risk there is it's strange. Smart guy yeah but the risk is crazy.

@@MultiJejje every good deal is crazy risk. Elon mask spend all his savings in a niche, where noone believed in, and see where is he today. I heard a story of starbucks, how one guy made this huge chain, where noone belived him. And now itvs everywhere... Eah it's risky as hell, but if it will be successful, the profit will be crazy huge too.

@@MultiJejje way too much overhead 12 locations at 50 million seems like a value atleast thats 4 mill per building

It’s called cocaine silly

All his restaurants closed down already. Go figure.

​@@MultiSciGeek There's still 7 open

⁠@@MultiSciGeekthe company was bought out by a big chain restaurant

He believes in himself!

Look at PP now. Zero locations. Operations bought out. Very angry former employees who were promised employee ownership and healthcare but were shorted tips, overtime, and had to pay about $400/month for their "free" health coverage, and finally no job. The sharks smelled that. And, if you were unfortunate to ever go to one of the first shuttered locations down the street from me in Houston, you also would've smelled what was ahead (I wonder if the pics of horrific veg mac and cheez are still on yelp and Google reviews). If Lucas succeeds in something else, I hope it isn't at the expense of employees and customers like he did with this venture.

Lol his numbers are terrible. He was nowhere CLOSE to 17.5 million

@@Frilleon dude that was the last round evaluation when he raised money to... so now it shouldve been around 25 to 30M

@@Frilleon bro, he already got an angel investor to pay him 1.75 million on that evaluation way before the success that he made right now

@@fos1451 Angel investor vs shark. Totally different thing. Angel investors are quiet investors. Sharks can help.

@@Frilleon come on, Frilly!

If you've ordered thinking it's chicken and only later learned it's plant-based, this is deceptive marketing with potentially dangerous consequences when it comes to allergens.

​@@singami465OH no, one person didn't know it was plant based. They're in big trouble now. 😂😂 get real!

His point wasn't that the bread and ketchup is worse than that of an actual burger, but the actual patty is generally more healthy if its actual meat. Vegeterian/vegan diets are notoriously unhealthy.

Its not pressure. Its just that for the longest of time vegetables or plant based is associated with healthy. Eat you veges to be stronger, eat ur veges to be healthier. You dont hear hey eat a fried chicken u can live longer. So it has been that way for the longest time. To change ppl mindset about its gonna be difficult. Bcos not every vegetarian became vegetarian just because they dont support animal cruelty. Some of them wants to just be healthy. Have a so called clean body. That is the reason for the pressure

Because vegans make up less than 1% of the population. You need to convince the other 99%, of whom 33-50% are trying to get healthier to access a real, sizeable market

@@MoeMoe-cg1em There is plenty of research showing that a heavily soy-based diet (which fake meat is primarily made of) is really bad for you as well. So it is a lose-lose no matter what you consume

Cost price still higher and all you said isn’t necessarily the answer to a longterm investment

He doesn't need luck, he has over 20 locations and his business is actually worth 50mil now

@@victorfontaine1098 but how about next year or they year next?. The other people the sharks mention went bankrupt in 4 years. That’s what the sharks are worried about.

@@victorfontaine1098 He went out of business in April. Y'all don't know how business works.

​@@nuknukisdeadhis company got acquired and that is why it is closing down. He exited for large sum of money. Actually read the articles please.

@@joonwonsong4081 Did you read the article? The company as a whole was not acquired, the closed store locations were acquired by a franchise group so they can open other franchises at those locations. The company itself will remain open at only 1 location. The brand is still his, the franchise group didn't want it, or even his recipes, they just wanted the locations because as the video indicated, he got them for cheap on 10 year leases. He sold them to cover some of the losses. He even posted on social media about how this is a sad end for the company but promised to fulfill all back orders on their online products. "Actually read the articles please."

Why wait 2 years? Sold for parts in April 2023. All but one location closed. Can't run a brick and mortar shop like that.

​@@nuknukisdeadthank you for the update, it sounded very risky to just keep growing like that before having each branch stand on its own...

Not for $2.5 mil... this guy files for bankruptcy and dilute all their cash

Should've done 500k for 5% instead of 2,5m. No shark will risk 2,5m for something that hasn't even made that much money

Terrible deal

Those are terrible restaurant numbers and his prices are waaay too low. Maybe 500,000 for 15-20% with those numbers, but there’s no guarantee this guy will make it. Restaurants fail very easily

yeah when I heard 2.5 for 5% I already knew sharks werent gonna bite.

Tell him if you ever see him to bring it back!!!

You read my mind.

best comment so far hahahahhaa

Ever heard of Tom and Chee? They followed his exact path and went bankrupt. For 2.5m?

@@shemmy95 really?????

Well he's successful now from what I've heard

@@aljae6763 You spoke a bit early. Business died in April 2023.

Nah they wouldn't bat an eye tbh, not even a good deal as the valuation is way too high.

@@alexsze9136 I'm talking about well after this episode aired. Any other time the sharks are willing to negotiate. Besides Mark's annoying comments about vegan food and how people do it for health, always agitate me.

he is sucwssful now like cheech and chong guys but see what happened to them. The growth has to be organical

Man I hope this comes to europe. Looks so delicious!

@@tropfen It's sold to a bigger company recently. And no vegan offerings, just the locations and tools

Definitely smart. No wonder he's growing so fast

You're just really special and see what nobody else can aren't you. Swear I hate people like you - cynical about the entire world, everything is always staged and in your head you're part of the 1% that sees what nobody else does and you're just so smart. He wasn't there for a commercial he's just too ambitious and does not have proof of concept. He's skipping steps trying to rush to success and thats why he didn't get it.

True

@@peterc6559 I ain’t reading allat

@@peterc6559 the irony that you're literally the exact person who you claim the original commenter to be. This has to be satire

Seems he valued it perfectly though, there’s a ton of sites reporting him opening like 8 new locations with a valuation of 50 million now and a revenue of 10 lol, kinda crazy

@@emiliosvourliotis1646 yes fully agree - but he did not get this message to the recipients

he came for the ad.

@@emiliosvourliotis1646 The only halfway reliable source I found reporting his annual revenue reports $1M. The net worth you're seeing is 100% based on his valuation in this episode, which was based on inaccurate future projections. 3 stores have closed down, and he has not opened nearly as many as he predicted. Don't get me wrong, $1M is nothing to laugh at, but he's definitely not hitting the success he predicted, some of his money has been burned on failed locations (19% of them), and that's dangerous given the high speed / high risk expansion game he's playing. Don't get me wrong, though, I'm really intrigued by him, and I genuinely want to see him succeed! The man has huge cojones and is on another level.

Thats not accurate... work with investors every day and the one thing they preach is speed but it might be based on type of business... His problem was that he wanted 2.5 million and regardless of what he was doing and had done or said, no one would have offered him that money because the money they use for these bids are a part of the money they get paid from the show and not their actual money in the bank.. shark tank is technically an illusion They make it seem like its theese guys own money are being put into the businesses but they failed to inform people that they all make 10 million a year and then use a part of what they are being paid to invest ... sort of like what Kevin did with FTX where he claimed it was his money that was invested in FTX but it was actually the money that he got from FTX was being put back in the company....

Just because a product is good doesn't mean the operation is good. The guy was going too fast and already ran his business into the ground.

Yeah like what the hell, even if the menu items are called "chicken sandwiches" (what are they called, by the way?), the customer has no idea what they are ordering. It's like ordering a coffee and getting a tea, because in their menu coffee means tea. Nothing against plant-based stuff, though. You just can't be misleading.

That sounds deceiving n misleading people. How can they not show it's plant base food on the menu??

I just googled it and apparently they have 6 locations here in SA?!? My friends and I drove by one on the ghetto part of San Pedro but the "project" part sounded suss so we googled and saw it was vegan and skipped it. I can't believe they have 6 in town when I have never heard one person mention it.

I dont trust your comment because you didnt down that sandwich in the parking lot like a savage

@@chaos3088 it says “chickenless chicken” on the menu lmao

really?

@@spaceduck4080 yes sir

@@WhereAmI2024 that's sad I really feel bad for the guy, thought they were doing well since other comments said they opened more restaurants

The Sharks can't offer a lower number in Shark Tank, only higher equity. Maybe he didn't know.

When someone comes into the shark tank with a unrealistic evaluation it's a bad sign for investors. Their either delusional or trying to nicle and dime you out of money. Who's to say the chicken guy dosn't run with the money?

indeed

Great point.

Someone else said it wasn't good above and said they didn't even finish half of it..I guess it varies based on taste preferences.

@@souldesire5932 must be pretty good to open 20 locations....

Pyramid already collapsed in April 2023.

One of the 212 verses I have memorized ! It’s a great verse and rings true ! I stole 131k from a casino and got caught! Had to give 107k back!!! The Lord brought me this verse One of my favorite Proverbs now

That's not the point, at 2.5m the risk is too high. It's not about how much they are making, it's about the fact that a company and product that is still in a proof of concept stage is expanding so fast. See it takes time to develop and finalise a concept. There's a feedback loop between you and your customers, over time that loop will help you fine tune your product by understanding your customer base better. When you have 1, 2, 3 stores it is easier to make these changes. But when you have 50+ stores, mistakes can be catastrophic. You don't even know if you'll have long term repeat costumers or if majority of your costumers are just people trying your product out for the first time. All the early start up mistakes and unforseen situations resulting from being "green" now have to be handled not in 1 store, but 50 other stores. It will be so easy to go bankrupt. There's so much that goes into expansion, different areas have different demographics and will react differently to the same products. It's why Fanta tastes different in different parts of the world. Point is, when you expand so quickly without finalising a formula for success, and a solid structure that accommodates for possible differences across locations, you're setting yourself up for trouble. It might work, but it's too risky to put such a large amount of money into.

Luck - Yes. Silver spoons - No.

Now they have 6 locations.. they are going downhill fast

Now they are bought out.

They are already out of business.

He seems quite sharp and not a salesman

Kevin Heart: “so fast” 😂

@@alexanderher7692 ehh he’s maxing out his debt to stretch his locations without knowing if it’s profitable or lasting. that’s a recipe for bankruptcy after all the funding is burnt. not quite financially smart.

@@xdae go big or go home

Desperation? He's a millionaire. Lol he doesn't need these sharks.

They didn’t go under. Still some locations in Cincinnati. Just had them this past Friday.

“acquired by an unidentifiable business” aka the IRS 😂

@@DocPicklezlmaooo good riddance. I could tell something was off about this guy. He comes off as dishonest.

Not all reviews were positive. One of the first locations was closed prior to Shark Tank. I was shocked when it opened where it did. I was grossed out when I looked at reviews and saw the negative ones. Didn't last six months. The sharks were onto his bs valuation and model. Growth is now 0%.

Extremely high risk and execution equals success. Ray croc did this, that’s why the sharks are sitting there and there’s Jeff besos, elon musk and many many others you go all in execute and do it again. Many try and only a few make it

It is a way to grow business

If you start at 10 then they would end up giving away 20

Also, a rule of shark tank is they cannot offer less than the initial ask. Since he initially asked for $2.5, they could only work with that number or go higher and adjust equity.

Can't blame them. Most of these are terrible ideas.

It’s not. Overpriced in an over saturated market

Every other fast food looks good in commercials too 😂

@@ywla did you taste it?

@@bryson5628 You must have somelow standards.

He's out of business as of April 2023. One location still open, rest sold to a franchise group to cover losses. They are going to open other chains at those locations with his cheap 10 year leases.

Yup, it’s already happening. Three locations in TX have closed down and they’re halting development on some other locations in other states.

Already out of business. Burnt all the capital on expanding too quickly. Those 10 year leases were a great deal, but that also means he can't close many stores, vast majority of them have to succeed.