Unpacking Fling Golf’s Shark Tank Appearance: A New Era in Golfing
During Season 12, Episode 24 of Shark Tank, which aired on May 14, 2021, entrepreneurs John Pruellage and Alex Van Allen showcased their innovative product, Fling Golf. Seeking a $300,000 investment for a 10% equity stake, they introduced a unique approach to the game of golf that replaces traditional clubs with a singular device known as the Fling Stick.
Transforming Golf: The Fling Golf Concept
The Fling Golf system revolutionizes the traditional golfing experience by allowing players to toss a golf ball instead of striking it with conventional clubs, enhancing accessibility. This innovative approach is designed to attract a broader audience, particularly younger players drawn to the sport. During their demonstration, Shark Robert Herjavec humorously compared the concept to a fusion of lacrosse and golf, stating:
“So guys, you’ve invented lacrosse on the golf course.”
Part of their strategy included selling directly to golf courses and consumers to foster acceptance for Fling Golf. The duo ultimately struck a deal with Daniel Lubetzky, securing $300,000 in exchange for 25% equity.
The Pitch: A Fresh Perspective on Golf
Alex and John presented Fling Golf as a modern and athletic alternative to traditional golf. They referenced a troubling trend of over 1,800 golf courses closing in the last decade, primarily due to a decline in interest among younger demographics. Fling Golf aims to revive engagement by offering an enjoyable way to play without abandoning the spirit of the game.
The game requires only a single stick, allowing for various types of shots, including putts and long-distance throws. Crucially, it does not necessitate alterations to existing golf courses, making it a viable addition alongside regular golf play. They reported that more than 1,000 courses globally were already integrating the sport into their offerings.
Reactions from the Sharks
During the Shark Tank demonstration, Daniel Lubetzky gave the Fling Stick a try, which led Robert Herjavec to draw comparisons to lacrosse. Alex affirmed the similarity, noting that his lacrosse background was instrumental in shaping the sport. However, not all Sharks were convinced; Kevin O’Leary expressed his doubts, saying:
“I’m a member of a golf club. No chance in hell are they going to let anybody run around with a lacrosse racket.”
In response, Alex confidently highlighted that many golf courses were already embracing Fling Golf, pointing to Brookline Country Club as a successful example. O’Leary countered with:
“But the golf gods would strike you dead with that thing.”
“We don’t care,” Alex replied, eliciting laughter from the Sharks.
Business Model and Financial Performance
The entrepreneurs outlined that their initial focus was on securing partnerships with golf courses to boost mainstream acceptance before transitioning to direct consumer sales. By the time of their pitch, they reported that around 300 golf courses had purchased Fling Sticks.
Financially, they recorded sales of $142,000 in 2019, with the same figure reported by July 2020. Production costs for each unit ranged from $25 to $35, while retail prices fell between $119 and $179. The Fling Sticks feature a lacrosse-style head for launching golf balls and a putting plate for short-range shots.
John and Alex had invested a substantial $1.5 million of their own funds into the venture, complemented by an additional $500,000 from other investors. They defended their valuation by pointing to their intellectual property (IP), patents, and the ongoing product development efforts.
Shark Decisions: The Final Deal
Mark Cuban was the first Shark to decline, voicing concerns about the scalability of a new sport. Lori Greiner followed suit, expressing apprehensions regarding safety and overall valuation. Kevin O’Leary dismissed the venture based on their sales statistics, labeling it as “poo poo on a stick.”
Recognizing the potential, Daniel Lubetzky offered $300,000 for 33.3% equity. Robert Herjavec matched this offer, forcing the entrepreneurs to make a tough decision. John countered with $300,000 for 20%, but Daniel, seizing the opportunity, adjusted his offer to a more enticing 25% equity with a five-second deadline. The entrepreneurs accepted, solidifying their partnership with Lubetzky.
Catch Shark Tank every Friday at 8 PM EST on ABC for more entrepreneurial pitches and deals!