If the name of the product doesn’t give it away, ChessUp is a chess game. But, that’s not the end of the road. The product is a lot more than your standard game of chess since it uses the power of AI technology to streamline the gameplay.
Designed for beginner chess players, the integrated technology in this tool is designed to help them learn the basics of chess and how to get started with it. The main intent behind the product is to help people learn chess from scratch.
If you are curious to know where ChessUp currently is and how their company is doing after Shark Tank, we have all the details.
Shark Tank ChessUp Update
- Entrepreneur – Jeff Wigh and Adam Roush
- Business – Chess game for teaching beginners
- Ask – $300,000 for 5% equity
- Result – $300,000 for 5% equity + 3% royalty
- Sharks – Lori Greiner
When it comes to sports, chess is a game that’s not everyone’s cup of tea. Not only are the strategies complicated, you have to pay close attention to the gameplay every step of the way. One of the most challenging things about chess is learning it. If you are a beginner who doesn’t have a lot of idea about chess but want to get started, ChessUp is the product you need.
Founders Jeff Wigh and Adam Roush brought their company on Shark Tank, asking for $300,000 for 5% equity. During the pitch, the two of them explained the objective and logistics behind the product and explained the advanced technology and how it streamlines the learning experience.
During the pitch, the founders also opened up about the fact that the company has an implied valuation of $6 million, which is massive.
When breaking down the finances behind the product, Jeff and Adam clarified that each unit retails for $399 and the manufacturing cost is roughly around $120. They also confirmed that they have $1.7 million backing them up from their Kickstart campaign.
The founders further broke down their net sales until that point saying they had sold $400,000 until that point.
After listening to everything and assessing the pros and cons, next came the point for the Sharks to declare their thought on the situation. Barbara Corcoran and Mark Cuban didn’t seem interested in the product and they didn’t think they would be able to contribute to the company’s growth, for which they stepped down.
Kevin O’Leary seemed interested but wasn’t sure about the royalty part. Lastly, it was Jeff and Adam who offered a direct offer to Lori for $300,000 for 5% equity and 3% royalty until she has 1.5x her investment. To that, Lori readily agreed.
Following the Shark Tank episode, ChessUp has gained a boost in its sales, thanks to its immaculate marketing reach. They have also been able to onboard a new audience and customer base after the show, further reflecting on their sales.
ChessUp is currently operational and doing quite well. Their products are directly available on their website.
