tv The Profit CNBC April 22, 2020 1:00am-2:00am EDT
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we've signed up nearly 100 new members. we've hired yoga and spin instructors that are teaching classes throughout the day. michael and tina have been able to strengthen their relationship and are now looking forward to the future. >> oh, my gosh. >> i can't believe it! ♪ ♪ ♪ lemonis: okay, is this thing working? mic -- mic -- mic check. mic check, mic check. ana: there she is. lemonis: yep, i see your lips flapping. we can't hear you. oyez, hit the -- hit the microphone. ana. ana: hey, guys. i'm not crying yet, but the night is young.
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lemonis: so, what's going on in miami? what's up with the dark lights? ana: i mean, i don't like a lot of light, marcus. i'm not 20 anymore. you know, the less light, the better. lemonis: you want to maybe turn some lights on and lighten this up a little bit? ana: hold on. lemonis: and there's candles and, like... there. that helps. thank you, ana. you know, i don't need to be romantic with you. i mean, we're friends, but... ana: happy now? lemonis: we're not -- we're cooking friends. ana: fine, rejected again. lemonis: so, tonight we're gonna give you an inside look at one of my favorite episodes from season 7 because it's from miami. ana: miami! lemonis: it's skinny latina. and we've made a lot of progress in a very short period of time. and we're here to tell you all about it tonight. okay, ana, are you ready to watch? in the last seven years of doing "the profit," i've visited nearly 100 businesses. let's go make some money! [ horn honking ] and i've traveled the country trying to fix the people... and you do $1 million a year? you should be proud of that. man: but we don't know how to keep any of it. lemonis: ...fix the process... you see? it is flimsy.
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don't ever make these again. you don't sell them. ...and create a few products. juli: it reduces anxiety and depression. lemonis: i kind of like it. i spent countless days working on these companies. how much money did you burn through? parker: $650,000. lemonis: but we can't always fit everything i'm thinking into the show. tonight we're gonna give you an inside look at an episode from season 7, "skinny latina." woman: mmm! it's finger-lickin' good. lemonis: it's actually pretty good. over the next hour, i'm gonna take you behind the scenes to share with you what i was actually thinking during filming... ana: it's hard for me that this isn't further along, given that i've given up so much for it. lemonis: and what i like more than anything is that you were super transparent and you were honest and vulnerable. ...share some secrets... ana: they didn't show the part where you complimented me. lemonis: do you need to see that? do me a favor. can we play that clip, please? i like the fact that you take what the doctor says with seriousness.
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and i felt like you knew your [bleep] in there. ...and give you an honest assessment of my decisions. ana: you were super hard on me. lemonis: i don't think i was hard on you at all. in fact, i walked out of there saying, "i was way too easy on her." ana: oh, no, no, no, no. lemonis: my name is marcus lemonis, and this is an inside look at "the profit." you know what's interesting, ana, in the last few weeks, with everything going on, i have thought about your business more than a lot of them, primarily because people are at home cooking, right? ana: so, there's a word in spanish that doesn't really have a translation to english, and it's called "sobremesa," and it's when you just sit around the table, you have dinner, and then you just linger for a long time. that's when the best conversations happen. lemonis: okay, ana, are you ready to watch? ♪ i was contacted by a miami-based former lawyer named ana quincoces. she has a marinade and sauce company called skinny latina. woman: everything else was on top of it, right? for the barbecue. lemonis: hi, everybody.
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ana: of course i would meet you with this on. lemonis: that's all right. how are you? i'm marcus. nice to meet you. why were you so concerned about how you looked? like, with your hair. like, i didn't care, but why did you care? ana: my experience on television was "real housewives." in that first day, i cared about looking the part. former "housewife," bombshell. lemonis: do you feel like you have a different perspective on what a first impression is now compared to when i first met you? ana: absolutely. what really matters is what's in the bottle. forget the outside. it's that people like it. that's my focus. lemonis: all right, so, i want to go through the process of how it's made. i would love to understand it. can you take me around? ana: yeah, sure. lemonis: i love hair nets. i actually was going to rock this tonight at the club. woman: so, we're constantly cooking it and then pumping it into this kettle. we label it, we seal it, coat it, fill it. lemonis: and is there only one recipe? ana: no, i have four skus. this is the flagship recipe, the million dollar marinade.
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then i have a guava-fig barbecue sauce, and a mango-apricot barbecue sauce, and a hot sauce. it's a flavor-enhancer, and it's not only a marinade. it basically a cooking sauce, so you can use it on everything. you can grill with it. you can roast with it. you can add it to soups and stews. lemonis: are you a chef? ana: well, i'm not a chef because i went to the culinary institute of my mama, you know? but i'm as much of a chef as most of the people on food network. i've written three cookbooks, and i've competed on food network. and if you ask bobby flay, the greatest cook ever. lemonis: okay. ana: when the second book came out, i got called to do "real housewives of miami." don't hold that against me. lemonis: so, you were on "real housewives of miami"? how many seasons? ana: yeah, for two seasons. i'm a terrible housewife. lemonis: you know, knowing that you've done so much television, i have to imagine that you had this preconceived notion of how this whole process was gonna work. ana: yeah. i've done entirely too much reality tv. and this is like nothing i've ever done before.
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because reality is a misnomer. this was reality. so, people saw me vulnerable for the first time and not this idea of who ana's supposed to be. and i love that. i think in the year that i trademarked that name, there were more brands with the name "skinny" than any other brand. lemonis: what are some examples, like, i have popcorn? ana: skinnypop, skinny cow, skinny tea, skinny condoms? i don't know. lemonis: no. nuh-unh. mnh-mnh. let's stay on the sauce, lady. where do they go from here? ana: the distributor picks them up and takes them to publix, whole foods, milam's, and then i'm at fresh market. lemonis: just in the florida market? south florida? ana: yeah. lemonis: what's the price point? ana: publix has it at $4.99, fresh market has it at $5.49, and whole foods has it at $5.99. lemonis: how long has the company actually been bottling and selling? ana: 2013, i think, was the first. lemonis: so, it's been a while. ana: i know.
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i think i haven't grown it like i should have because i didn't want to put the company in debt. lemonis: how much money have you invested? ana: probably around $50,000. lemonis: okay. how many employees do you have? ana: everyone's part-time. lemonis: no full-time employees? ana: no. and i just moved to an office, like, two weeks ago. lemonis: i like the fact that ana has real skin in the game -- $50,000. that's doesn't include the amount of money she passed up on by not being a lawyer. she's really committed to this. so, i want to take you to my friend's place, woodpecker in st. augustine. lemonis: we'll see if -- ana: if skinny latina has legs. lemonis: so, i'll see you there. ana: okay. ♪ ♪ this place is so neat. lisa: [ laughs ] lemonis: what's up, hot stuff? lisa: there you are. so good to see you. lemonis: did you get dolled up for me today? lisa: i did. you look so good! lemonis: i want you to meet my friend, ana. lisa: hi, ana. ana: hi, nice to meet you.
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lemonis: my friend lisa. lisa: nice to meet you. ana: he has said such nice things about you. lemonis: so, she's got some sauces and marinades. i know they sent them to you? lisa: yes. yes. lemonis: did you have a chance to marinate anything? lisa: we did. lemonis: in order to really understand the marinade better, i asked lisa to marinate something overnight and cook it so that, when i got there, we can actually get right down to business. lisa: yes. lemonis: okay. all right. ana: it's really good. lisa: that is good. lemonis: who wants to try a few ribs that are marinated? ana: come on, guys. try it. lemonis: everybody, come on down. lisa: don't be shy. come on. lemonis: what do you think? man: they're very good. lemonis: it's good, right? man: yeah. woman: fabulous. joe: this one is injected and rubbed. lisa: mmm, now that's got a nice flavor. ana: come on. you have the white man's overbite. lemonis: i don't have moves, do i? ana: [ laughs ] i knew that you would love it, but when i saw you dancing, i was so happy. lisa: may i chime in? lemonis: please. you can't say "skinny" and "ribs." it just doesn't work.
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they're going to think, all of a sudden, "well, it's going to taste low-cal. not going to be good." you need it to be, like, some beefy latina -- no, just kidding. ana: but people are buying it, marcus. lemonis: well, they're not, or i wouldn't be here. typically, celebrity-endorsed products have great branding, but the product itself isn't that great. in the case of skinny latina, the product itself is spectacular. the branding, not so much. why don't you and i go somewhere else, and we'll dig into the financials. ana: okay. lemonis: okay? all right. ♪ great. ana: so... okay. lemonis: thank you so much. woman: welcome. my pleasure. lemonis: so, what financials do you have? ana: just 2019. lemonis: so, you don't have financials from '15, '16, '17? ana: i didn't have time, and i didn't think it was -- lemonis: you know that that's not going to fly with me. ana, i have to ask you -- you've seen the show before, right?
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you know that i'm gonna ask you about your numbers. ana: quite frankly, i thought the numbers is what you were supposed to help me with 'cause i'm good at all the other stuff. lemonis: [ sighs ] okay. let's just back up here for a second. the cost of the product, raw cost today, $1.96 for the marinade, $1.71 for the guava barbecue, $1.63 for the mango, and then the hot sauce has not yet been returning. ana: not yet, because i'm working on it. lemonis: but, then, that doesn't include the labels. 14 cents apiece? ana: what, do you have a better label? lemonis: it's a sticker. where are the financials, on a different page? ana: i have no financials. this is all i have. lemonis: okay, well... there's not much revenue. ana: no, yeah. lemonis: so, am i supposed to be excited by that or petrified? ana: excited because, you know what? you've got the benefit of my experience, and i've never lost money. there's always been a profit margin, 30%, 40%. places like costco are calling. i don't owe anybody money. i don't have partners. lemonis: which is awesome, yeah. ana: i mean, there's some value in that. lemonis: mm-hmm. yeah. ana: i don't know. i just believe in it.
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lemonis: you believe in what you're doing. that definitely counts for something. ana: so, everyone that's seen the show tell me that i was either crying, right about to cry, or had just finished crying -- the entire episode. lemonis: look, it was right here, right in this scene, that i knew there was real viability with this business. and what i liked more than anything is that you were super transparent, and you were honest and vulnerable. and, honestly, that's one of my biggest tips for people, is that it is important to be yourself. you do want people to know exactly who you are. that way, the investor or the partner knows exactly what they're getting. ana: i need you to help me think big and help me get to the next level. and i am willing to -- lemonis: challenge is, i don't know what i'm investing in, because there's no financials, and there's no real revenue, and i don't know what -- ana: i mean, it's not real revenue to you. lemonis: it's not real revenue because it's not on paper because you can't show it to me. so, it's phantom, but i know the proof of concept is there.
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i think the company needs a couple hundred thousand dollars, just to get it moving, right? and i'm willing to put in a portion of that, but not by myself. how many people have you talked to about investing in the business? ana: nobody. lemonis: never? ana: no. lemonis: not one time? ana: no. lemonis: why not? ana: i didn't want them. lemonis: why? ana: because they wouldn't be silent partners. lemonis: number-one rule in negotiating? know your audience. silence? yeah, that's not going to be me. ana: it's just more opinions and more stupid people that don't know anything about this, and then i'm going to have to explain the same [bleep] over and over. ugh. lemonis: look, you know that normally i would make the deal on the first day, but... ana: yeah. lemonis: ...it didn't evolve that way. i think, for me, my issue was that you were more concerned about your appearances and how you looked. you were guarded. but what was interesting is that, as time went on and we did more together, i think you started trusting me, and i started seeing the real you. you became more authentic.
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ana: despite the fact that i was a little all over the place, i knew that, eventually, you would see it. i knew you'd love the product. i just had to convince you on the process, and i had to convince you on me. i don't know a single person that is counting calories. trevor: i count my calories. ana: right. i don't know many people that -- lemonis: you know -- you know one. ana: no one has let me live that down. no one.
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lemonis: ana, uh, you may want to tighten up your situation here. ana: oh, sorry. it just popped. lemonis: i know that you're in miami, but the rest of us are not, so let's -- let's tighten it up a little bit. ana: i was a little thinner when i last wore the shirt. i was more of a skinny latina. [ chuckles ] lemonis: all right. so, i'm willing to invest in this business if other people are also willing to invest, and the only way that i'll let them invest is if they go through a full-blown investor presentation. ana: by me? lemonis: by you. i want a legitimate business plan. ana: you want me to have even more hurdles. lemonis: no. ana: when is my easy time? lemonis: no, your easy time is after you actually do it the right way. okay? ana: yes. i'm down. lemonis: okay?
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ana: i'm game. i'm excited about it. lemonis: okay. all right? right here, you're annoyed that i didn't make a deal. ana: i know what i know, but i was frustrated that i couldn't express myself in a way that would convince you to make the deal. you know, when you see the rest of the episode, i became comfortable waiting for you to realize what i already knew. ♪ lemonis: i wanted to really understand how skinny latina lived in the marketplace, so i asked ana to set up a meeting at a local grocery store where she sells her product, and i wanted her to bring in a friend because i thought if there were two people there that she may be more open-minded to constructive criticism. do you think your package stands out? do you think it -- ana: yes, i do think it stands out. lemonis: your calories are 25 for 1 tablespoon. this competitive marinade is 10 calories. it feels a little misleading that you're calling it skinny. ana: but i don't know right now in this day and age
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a single person that is counting calories as a way of dieting. it's just not done anymore. lemonis: okay, pause. ana, you got to be honest with me. how many people have given you grief over this "counting calories" thing? ana: no one has let me live that down. no one. people will say, like, "oh, calories don't count," and they'll wink, and they'll kind of make -- and it's like, "okay, fine! you're right! calories count. i get it -- they count!" lemonis: i'm pretty sure that people still look at calories. ana: i don't think so. trevor: i count my calories. ana: right. i don't know many people that count them. lemonis: well, you know one. ana: didn't know that about him. lemonis: yeah. ana: what do you want me to say? "o, captain, my captain, you were right -- calories count!" i was wrong. i admit it. i was wrong. lemonis: so, we're going to go to a focus group in miami. ana: oh, okay. lemonis: they have the product, and they're going to give us honest feedback about a list of questions. ana: okay. trevor: you got to be open. ana: yeah. i am. trevor: you have to be open. lemonis: is this what open looks like?
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ana: this is as open as you're going to get today. ♪ ♪ lemonis: how are you? kathleen: hi. welcome to focus groups. lemonis: nice to see you again. kathleen: so, we have 10 people selected at random. there's a camera and two-way mirror. so, you can see them, they don't see you. ana: right. so, if they're here, isn't there this kind of presumption that they're trying to find what's wrong with something? kathleen: no. there's going to be people that really like it, as well. lemonis: let's go do it. ana: it was really scary to me. like, i couldn't breathe. lemonis: why is that? ana: i didn't know what to expect. i had no idea. lemonis: i think there's something in your dna where you're a little skeptical all the time. ana: i mean, it is part of my dna. it's my training as a lawyer. i can't turn that off. it's because i always had to look at things, like, "what's wrong with this?" as a lawyer, so i had to be very analytical, and that just stuck with me.
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like, i'm just a little suspicious always. kathleen: thank you all for coming. i would like you to circle what you like on that label, cross out what you don't, and put a question mark by anything that you are confused about. done? so, now what i'd like you do, just without thinking, give me one word on your first impression. lemonis: oh, boy. kathleen: what did you write? aaron: i actually wrote "skanky." ana: skanky? really? alice: it's great that there's a woman on the label, but we can put a woman differently and not so... skanky. it makes it looks like if a latina woman is supposed to look like that. woman #1: in the kitchen. woman #2: i think it's just so cliché that when we think of latina, we always think that they're just showing cleavage. kathleen: okay. tell me something that you liked on this. what did you circle? giancarlo: gluten-free, for health reasons. kathleen: okay. woman #2: i circled "skinny" and the "all-natural" because i try not to use marinades that have a lot of sugars.
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kathleen: okay. somebody else? woman #3: i'd like to see low-sodium and maybe how many calories on the front. kathleen: okay. lemonis: what? i'm sorry, did she want to know what the calories were? trevor: it's so weird. do you think she counts that? lemonis: how rude. trevor: nobody does that anymore, though, marcus. kathleen: okay. what else? rivly: i crossed out "all-natural" because it doesn't say much. it doesn't mean much to me. kathleen: okay. what would make that mean something to you? rivly: it would have to say organic, gluten-free, no preservatives, no added sugar, low sugar, you know, all of that. ana: oh, dude, really? like, what else do you want me to put on the label, you know? that's just one of those people that, for me, likes the sound of her own voice, is just a know-it-all. i look at it, and i'm not proud how judgmental i was. because it's not really who i am or what's in my heart. i just get defensive. and then there's this, like, wall that comes up, and it's like, "no, it's you. you're wrong." lemonis: i'm disappointed that somebody gives feedback she doesn't like, "oh, they don't know what they're doing."
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john: we were tasked to evaluate your product label. lemonis: you went in thinking that it was a takedown, and most business owners go into focus groups almost prepared to fight. ana: oh, god. it's really hard. lemonis: i get it. ana: it's just so different. lemonis: if you're looking to take your business to the next level, log on to theprofitcasting.com.
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♪ hey allergy muddlers... achoo! ...do your sneezes turn heads? try zyrtec... ...it starts working hard at hour one... and works twice as hard when you take it again the next day. zyrtec muddle no more. ♪ ana: that's just one of those people that, for me, likes the sound of her own voice, is just a know-it-all. and i don't think when they say, "oh, it's skanky," that it's coming from a place, really, about the label. i think that everybody brings themselves into it, and it's like that bothers me. lemonis: ana can't help herself but to react negatively when somebody gives feedback. it's literally got to stop. kathleen: how many think it's a diet, kind of low-calorie product? aaron: i would think that immediately.
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kathleen: yeah. aaron: just by the name. woman: is this bethenny frankel's brand? kathleen: so, you think it's skinnygirl? what would you think if it was not? woman: you're just getting a free ride off the skinny brand. rivly: i had that same issue, too. lemonis: ana, let me ask you a question. what are your real feelings about the confusion with, you know, that other lady's product? ana: i really don't care about the other lady's product. lemonis: ana... ana: no, i'm serious. "latina" and "girl" are not the same thing. lemonis: yes, they are. ana: no, they're not. when i started my little startup in 2013, bethenny was just doing skinnygirl margaritas. she had not ventured into food. my thing is all about food and inspiring people to get in the kitchen and cook something. kathleen: guess what we get to do now. all: taste it. kathleen: so, if you want to pass it around, that's fine. ♪ lemonis: come on, baby. bring it home. it's going to be excellent.
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ana: it worries me because it's supposed to be on food. lemonis: everybody's going to love it. giancarlo: um, excellent. the flavor is great. man: it's got a great taste, but it is light, so i could see it being the skinny deal. woman: i like that there's little chunky pieces of, like, vegetables or whatever the product is. like, to me, i know that makes it the natural part. they want you to see it. alice: it's tangy. it's definitely latino flavor. i can just eat it up like this. lemonis: when that lady tasted the product and she liked it, your whole demeanor changed. ana: that was a turning point for me. that moment right there, that was the turning point for me. in my whole journey, to really not be so closed off and that these things aren't mutually exclusive. the product could be great, and the label could suck, and it was like, "i get it now." lemonis: you went in thinking that it was a takedown. you went in thinking it was gonna be negative. and most business owners go into focus groups almost prepared to fight. and i appreciated the fact that your demeanor changed, but i didn't like the fact that it took you hearing
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something good about yourself to do it. ana: all i had to really do was change the label, and it's like, "that's it." it was that easy. kathleen: anybody going to try this when you go home? aaron: i'm going to try it. woman: i'm definitely going to try it. rivly: i'm going to publix after this so, yeah. ana: wow. kathleen: really appreciate everybody's honest opinion, and good deal. ana: cool place. lemonis: yeah, it is cool, isn't it? ana: mm-hmm. lemonis: i made a call to black dog, which is one of the best branding agencies in all of miami to help me show ana some new ways to think about her product, and what i'm hoping they can do is show her the possibilities of what could be done if she was open-minded. you know, i took you to black dog because one of the lessons that i want to teach people is that individual entrepreneurs don't have to go out and hire a bunch of employees. you can surround yourself with an army of outside services that act like employees, and whether that's black dog or whether that's contemporary marketing,
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you can hire people that actually support your business, and they aren't fixed expenses. and so, for those people that operate their business out of their home or their garage, or they operate businesses with a small staff or a small budget, there are plenty of resources out there to actually make your business work faster, stronger, and make it bigger than it actually is. ana: oh, boy. i'm a little nervous. john: you shouldn't be nervous. this is exciting. we were tasked to kind of evaluate your product label. ana: okay. john: but i don't think that we can do that without looking at your overall brand, and it is slightly all over the place. ana: [ chuckles ] yes. john: you've got a very popular instagram where you have "ana qooks" with a "q." skinny latina does not have your name forefront on there at all. we want people to be able to recommend your product or recommend your brand. john: and i have a concern of the scalability of your product when you have an illustration that is almost exactly like skinnygirl.
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we're thinking about taking your script and really playing up on the "q" part. we think it's fun. we think there's some elegance to it. now the drum roll can happen. and this is very different. it's bright, colorful. ana: um... ana q -- it says "ana q." [ sighs ] okay. i don't like this. i think it's really busy. i hate that the little woman is not there at all, you know? i love her. lemonis: does it look bold and flavorful? ana: it does. it's appealing. i just don't know that it's me. lemonis: okay. ana: you know, you become attached to something, and so it kind of freaks me out. john: yep. ana: oh, i'm going to start crying. [ voice breaking ] oh, god, it's really hard. lemonis: i get it. ana: it's just so different. lemonis: i don't think i was hard on you at all. i walked out of there saying, "i was way too easy on her." how much are you raising? how much money do you need? ana: marcus, i'm so lost with this. lemonis: well, you should have an answer.
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♪ ana: [ sniffles ] it's just so different. it's like i'm losing myself. i just worked really hard without knowing anything, and that's what i came up with. and if it's [bleep] it's [bleep] but it's me. lemonis: any time i'm looking at a business, i want to see emotional stakes that show me that this business is everything to people. ana's reaction proved to me how much this thing means to her.
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let's try to be objective for a minute. ana: okay. lemonis: okay? what i like about what they did, ana, is that they clearly marked out the calorie content, which people in the focus group said, "tell me that it's healthy." ana: right. lemonis: tell my why it's skinny. and they understood who the brand really was, which was you. from a business standpoint, ana q is the brand, and skinny latina is a product inside of ana q. ana: you know what's so funny, marcus? that you said that you wanted, like, ana q to be, like, the umbrella brand. it dawned on me afterwards that, in my whole life, people have always called me ana q. lemonis: because nobody wants to take a chance in pronouncing it. ana: [ chuckles ] john: the use of illustration is not a problem, but it has to be done well. lemonis: it looks a little bit like clip art. ana: i'm -- i'm embarrassed that i ever used that label. and i never thought i would say that. i am embarrassed that i used that label. i-i said it. there, i said it. it's, like, now i love them. i love them. i go to the grocery store,
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and i look at them, and i'm so proud. i love them all. look at the hot sauce. she's so hot. she's so cool. i love her. lemonis: how has black dog helped you? they've helped me over the years, but how have they helped you? ana: i've never been around a group of professionals that are so invested. it's very available whenever i need anything. and they hold me accountable. ♪ lemonis: so, today, i'm at the biltmore hotel in miami for ana's investor presentation. are you freaking out? ana: there's a part of me that's excited, but mostly i'm terrified. lemonis: ana, do you know why i took you to the biltmore? ana: well, because it's so miami, iconic. it's been there, and it's stood the test of time, just like skinny latina is gonna stand the test of time. lemonis: that was a really nice packaged answer. the real answer is, i wanted to take you there because it's big and it's impressive and it's historic. i wanted to create this intimidating environment where there was a huge room and this sea full of people,
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and then it would intimidate you. ana: well, yeah. mission accomplished. i always think i'm, like, suspicious, 'cause that was my experience with reality tv, that it's all set up in a certain way. you did -- you did do that to me. lemonis: when did you think i set you up? ana: with the students, with your university of miami business school students. lemonis: that wasn't -- no. it was not a setup. no way. you're gonna meet a young lady who has a bottled sauce business, and my biggest concern is that she tends to judge people a little bit. and so i'm looking for you guys to really put her through the paces that a normal person would get that's trying to raise venture capital. if you guys decide to invest, then i'm deciding to invest. if you guys decide not to invest, you're gonna have to tell her why, 'cause i won't be investing, either. now, that shouldn't make you feel bad for her. man: wow. lemonis: it's business. unfortunately, you have to make tough decisions sometimes. all right? ana, it's called practice. and if i'm gonna have you train for the olympics,
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it's not gonna be in a kiddie pool. ana: the condiment market is growing exponentially. it's expected that by 2025, it's going to hit about $174 billion. i mean, we want a piece of that, right? we're on the shelves next to some of the biggest brands. i'm at fresh market. i'm also at whole foods and at 400 publix stores. man #1: is it a sugar-free marinade, or is lower calories? ana: yes, it absolutely has lower calories, and it has ingredients that you can pronounce. lemonis: listen, i think you know this, but my job in this entire process is not just to write a check. it's to help people build their confidence and get better. in your particular case, there was two issues that i had. in my opinion, you were unfairly judging people. i didn't like it. and i felt like you were applying that same judgmental attitude towards yourself. and you are more qualified and more confident than even you think you are. ana: yeah. lemonis: and if you don't have the confidence in yourself as a business owner, how are you gonna get other people to have confidence in doing business with you?
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ana: yeah. man #3: what is the growth potential that you see in your sauce, you know, if we invest, you know? ana: okay, well, that's a very good question. i have a three-year growth plan, and part of it is expanding to more skus. i think that's really important to present to new retailers, to develop new products, but i can't do that without an injection of capital. man #4: so, last year, what were your total sales? ana: last year we sold 200,000 units. man #5: do you know the profit of that? ana: i think it was about $116,000. man #6: what's your anticipated net profit for 2019? ana: we're kind of on track for very similar, maybe a little more. lemonis: do you have a forecast in your presentation? do you have a slide for that? ana: i don't have a slide for that. lemonis: are there any financial slides in here that show revenue per year, the net profit per year? how much inventory are you sitting on? how much cash are you sitting on? what are your payables? how is it going to grow? how much capital do you need to actually grow into that? ana: no. lemonis: nothing like that? ana: no.
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♪ marcus, you were super hard on me. admit it. lemonis: i don't think i was hard on you at all. in fact, i walked out of there saying, "i was way too easy on her." ana: no, no, no, no, no. lemonis: i was much easier on you than i would've been on other people. ana: like, lies, all of it. you were pissed at one point. you said, "you know what? let's go outside. get your pad, get a paper, whatever -- let's go outside." like the principal. lemonis: what we're gonna do, we're gonna let america decide. ana: i don't know the first thing about those numbers, marcus. i-i don't. lemonis: what do you mean you don't know. of course you do. how much are you raising? how much money do you need? ana: i... i mean, some of the things are not as quantifiable as a bottle of sauce. lemonis: i understand that. so, if somebody asked you for $100,000, what would you ask them? ana: what are you gonna do with it, and what do i get for it? lemonis: right. well, you should have an answer. ana: i -- and i don't know how to answer that. lemonis: are you gonna go to caracas?
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what are you gonna do with it? ana: oh, god, no. lemonis: are you gonna rent a fancy office? ana: no. lemonis: are you gonna drive a fancy car? ana: no. lemonis: are you gonna pay yourself a million dollars a year? ana: no. lemonis: okay. so, i would even say, "you don't have to worry. i don't waste money. i don't take a salary. i don't have a lot of people working for me. so whatever the money is, the bulk of it is going to go into inventory." ana: right. i-i'm still -- marcus, i'm so lost with this because i'm really not good with numbers. lemonis: you're not, but you're doing great. you're doing great. ana: i'm glad you think so. lemonis: i do. i would tell you if you didn't. ana: i know. all right, fine. maybe in that scene, you weren't that mean. lemonis: oh. i said, if you can get somebody else to invest... ana: yeah. lemonis: ...i'll invest. ana: right. lemonis: so, how -- how's that working? ana: all the nice things you said about me were cut out because you have to look like the mean boss man. lemonis: for exclusives, extras, and business advice, visit theprofit.cnbc.com.
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that's why working together ist more important than ever. at&t is committed to keeping you connected. so you can keep your patients cared for. your customers served. your students inspired. and your employees closer than ever. our network is resilient. our people are strong. our job is to keep your business connected . it's what we've always done. it's what we'll always do. that liberty mutual customizes your insurance, i just love hitting the open road and telling people
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and when the day comes, when we're no longer looking at our worlds from the inside out. it will be what we did in here that will make us stronger out there. that liberty mutual customizes your insurance, i just love hitting the open road and telling people so you only pay for what you need! [squawks] only pay for what you need. ♪ liberty. liberty. liberty. liberty. ♪ ♪ lemonis: what i thought we could do now, this is where it's a little awkward, but i'd like -- ana: this is a little awkward now? lemonis: no, what we're going to do now. ana: okay. because it's been awkward the whole time. [ laughter ] lemonis: not for me. i'm fine. ana: i just don't -- you're right. of course. lemonis: what i'd like you to do is go around the room. we want to understand from people, would you invest in this company based on this presentation? it's a yes or a no. ana: based on my presentation, would you invest in my product? man #1: yeah, i don't think so. man #2: uh, no. ana: no? man #3: no. ana: no? man #4: no.
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ana: no? woman #1: no. woman #2: no. no. man #5: no. lemonis: okay. so, if you asked the question differently and said, take the numbers out of the equation, would you invest in me and the product? ana: okay. paul, would you invest in me and the product? paul: yes. ana: yes. would you invest in me and the product? woman #3: yes. man #6: yes. ana: yes? man #7: yes. ana: yes? man #8: yes. ana: yes? man #9: yes. ana: really? yes. woman #4: absolutely. man #10: it'd be a yes with some conditions. ana: yes. lemonis: okay. the one thing that i thought you did really well today is for the first time that we've been together, you didn't judge anybody that was asking you questions, and that, to me, was the biggest win. i feel like we've made progress, but in terms of me investing right now, i'm not there yet. ana: okay. i'm okay with "yet." lemonis: well... that's good. one of the tips i tell people in business is, if you can learn how to adapt in an uncomfortable situation,
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then, when it's comfortable, you're gonna rock it. ana: yeah, loud and clear. i got that lesson, and i can tell you that, if i had to do that investor conference today, i mean, your jaw would be on the floor. we would have to get you a harness to bring it back up. i would kill it. lemonis: the last thing i want to do before we move forward is to have ana submit her product to a food lab. i want to know that everything that's in the bottle and on the label is factually correct. man: the nutritional content, caloric content was 18.5. lemonis: okay. man: it tested negative for the presence of soy, and expressed to gluten is less than 5 ppm. lemonis: so, it would qualify...? man: as gluten-free. lemonis: well, this is great. i'm not gonna lie -- i feel more legitimate. ana: so, this scene, they didn't show the part where you complimented me, 'cause you were super impressed with how much i knew about, like, chemistry and [bleep] lemonis: okay.
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when i complimented you, do you need to see that? do me a favor -- can we play that clip, please? you know, a lot of people want to start -- "i have the best sauce. i have the best cookies," and that may be true, but to make them portable requires scale and science. and i like the fact that you take what the doctor says with seriousness. he's a professor, he's an expert. ana: right. lemonis: and i love that. nice meeting you. man: good, marcus, thank you very much. lemonis: and i felt like you knew your [bleep] in there. ana: yeah? lemonis: yes. ana: all the nice things you said about me were cut out because you have to look like the mean boss man. lemonis: well, here's what we'll do. we'll re-edit the entire show, we'll spend a couple hundred grand, so that you can see all the nice things. ana: i think that all works, yeah, okay. lemonis: okay, good. ana: got it. ♪ hi. how are you guys? mike: how are you? ana: nice to meet you. mike: hi, mike. lemonis: contemporary marketing is a company that i use to launch products to market. if ana can have contemporary agree to rep her marinade,
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she'll have exposure to grocery stores across the country. ana: okay. so, four skus of a brand called skinny latina. lemonis: i connected her with a marketing agency in south florida that worked on a rebranding. this is what is and what it's transformed into. man: all of them pop better. i mean, this clearly states the brand. i like it. lemonis: so, i want you to take mike and the team through your numbers so they can understand the financials, to understand how strong the business is. ana: so, in 2018 our total revenue was $94,824.80, which left us a gross profit of $35,056.03. i sell all three of these products for $3.30 a unit. a bottle of marinade from the co-packer costs me $1.91, including labels and costs, and the margins on this is 42.12%. lemonis: the way that you're speaking about your margins and the costs, you're like a whole different person. ana: thank you. so, is this something you guys would consider taking, skinny latina and me on as a customer and helping me grow this thing?
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mike: we definitely would. ana: yes. mike: yeah. ana: thank you so much. that really means a lot. lemonis: ana, i have a little surprise for you. a good friend of mine, jackie pino, who was on a previous episode, is one of the head buyers at walmart.com. she saw your episode, and she's agreed to test your product out. it'll happen sometime late this fall. ana: really?! oh, my god. thank you, thank you. [ laughs ] ♪ ana: the thing, for me, that's so special about christy's is that my mom used to bring me to christy's on my birthday, and i would, in turn, take her to christy's on her birthday, so it's a very special place for me. so, one of the things that i said to you was, through this process, is if you can get somebody else to invest, i'll invest. ana: yeah. right. lemonis: so, how's that working? ana: it's working okay. i mean, there's somebody here that wants to meet with us.
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lemonis: one of the people that ana invited to her investor conference a few weeks ago was her friend, nick molina. ana: hi, nick. thanks for coming. nick: hi. how are you? lemonis: nick, how are you, sir? nick: good to see you. lemonis: nick is miami-based and has a track record of successful startups. this is a real serial entrepreneur. i'm curious to see if ana can actually negotiate with the both of us. ana: so, we've already talked about the possibility of nick investing. lemonis: yeah? ana: so, do you think you want to invest in my business? nick: well, i mean this in the nicest way, but i think you need me, to be honest with you. lemonis: what's the company worth, in your mind, today? ana: skinny latina is worth $500,000 based on five times revenue, which last year was close to $100,000. lemonis: a half a million dollars? ana: yeah. there's risk for everybody here, marcus. lemonis: not for me. i haven't written a check yet.
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ana: what's my value? right? lemonis: are you asking me that? ana: no, i know what it is. lemonis: well, what is it? ana: it's -- it's a lot more than $500,000. lemonis: i'm sorry. i didn't mean to get that wrong. at t-mobile, we know that connection is more important than ever. so we're making big moves to help those who need it most. introducing t-mobile connect. a prepaid plan to help keep america connected. starting at just $15 a month, it gives flexibility for uncertain times. visit t-mobile.com/connect to learn more. you can also manage your account, and make payments online. stay connected with t-mobile connect. people know aflac... aflac! ...but not what they do. so we're answering their questions. aflac is auto insurance, right? no. uh uh.
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lemonis: listen, we're obviously living in a different time right now, and a lot of people are home cooking with their families. what's impressed me the most about what you've done in the last month is that you're engaging with everybody, and you're giving them solutions to their problems. ana: i offered people an opportunity to send me just a list of whatever they have in their pantry, and then, i'll just create a recipe for them. lemonis: a half a million dollars?
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ana: yeah. there's risk for everybody here, marcus. lemonis: not for me. i haven't written a check yet. ana: the way that you invest, to my understanding, is that you invest in the process and the product and the people. it's a great product. what's my value, right? lemonis: are you asking me that? ana: no, i know what it is. lemonis: well, what is it? ana: it's a lot more than $500,000. lemonis: that confidence is what i love about you. what do you think the investment should be? ana: i think $200,000 for 40%. lemonis: the deal that i'm willing to make is to agree to your $500,000 number. i would want to lock that valuation up for 12 months, and i would want to have the right to invest up to $125,000 for 25% of the company and no less than $75,000 for 15%. so, what it does for me is it gives me the flex
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to go from $75,001 to $125,000, but if at some point, i feel like the wheels are coming off the bus, i can mitigate my risk for the other 50. ana: i don't think $75,000 is enough money. nick: listen, ana. let me jump in here for a second. you're short $75,000 from the $200,000 you were asking for, right? he's committing up to $125,000, okay? i'll jump in for the remaining $75,000 with the same premise. i want to mitigate mine to the same percentages as marcus'. ana: okay. that sounds... like a good plan, and i feel kind of really fortunate to have both of you. so, do we have a deal? ana: yes, we have a deal. lemonis: okay. we have a deal? nick: we have a deal. lemonis: great. ana: thank you. neiman marcus, here i come. lemonis: that's -- i wouldn't lead with that. [ laughter ] cheers. ana: cheers. thank you. lemonis: you did good, lady.
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ana, has this been an emotional journey for you? ana: yes, it has been a lot of work. but i have direction now, and i -- i now know that i'm on the right path. lemonis: after the original episode aired, you posted a picture that had these stacks of boxes by your front door. ana: yes. lemonis: how many bottles did you actually fill after the episode aired? ana: 920. i did it all by myself. lemonis: i think what a lot of people missed through this whole process is that the key to success is really understanding who you are and why you do what you do. and the thing that i love about you is how hard you work. and you're unbelievably selfless, and most people don't know that about you. the progress that's happening is because of what you're doing. ana: it's worth it. it's worth it. lemonis: and that, to me -- no pun intended -- is your secret sauce. i'm sorry -- not secret sauce, ana, secret marinade. i didn't mean to get that wrong. secret marinade. ana: [ laughs ]
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♪ . i'm craig melvin. and i'm natalie morales. and this is "dateline." veronica kasprzak: you can lose a child without knowing it in a second. and it wasn't an if, it was a when are they going to tell us that she's not coming home. this is not what was supposed to happen. natalie morales: the note was under her blanket. i saw it sticking out, and i grabbed it. natalie morales: their daughter was a runaway. veronica kasprzak: i am frantic because i didn't know how to find her. natalie morales: they called police. they searched. and then a jogger found a red shoe and a pool of blood. dennis murphy: here they are, three people at the door. i just started sobbing.
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