-stephanie: noemi did. -nicolas: noemi did. noemi: it's funny. you pick two things.t's, like, popping out. it doesn't belong in this pile. nicolas: well, we could probably pick 100 things like that. noemi: we liquidate that. nicolas: it doesn't matter if we liquidate. don't try and justify it. it wasn't correct. lemonis: and you know what's even more amazing to me? you're doing $5 million with this product. can you imagine what you would do if your product was right? and so what is the problem? how did it happen? nicolas: obviously, it's a family business, so the problem is that noemi's work wasn't up to par, and -- noemi: i had a very bad year. nicolas: noemi's work wasn't up to par. we were still depending on that product, and we ate it. lemonis: how much do you think it's cost? nicolas: almost a quarter of a million dollars. lemonis: and who signed off on them to be designed? nicolas: nobody checked. lemonis: the fact that they've lost $250,000 is alarming, but what's more alarming is the reason they lost it. you have one person designing it, and nobody is check a

noemie was the chief designer. noemie: look all the detail inside.emonis: and her kids, stephanie and nicolas, ran the business. nicolas: did you make the labels for these yet? lemonis: the goureau family have been designing and retailing upscale clothing since 2008... noemie: voilà. lemonis: ...with seven stores across the country. courage. b was doing around $5 million in annual sales, but they were losing $500,000. -stephanie: we're losing money. -nicolas: calm down. lemonis: their connecticut store was chaotic, their merchandise a mess. some of their clothing had serious quality issues. it's disturbing. but even worse, the stockroom. nicolas: so, the inventory that we have down here -- this is what didn't make it. lemonis: this was a room that was filled with years of bad decisions and hundreds of thousands of dollars of dead inventory. who designed, like, these two things right here? stephanie: noemie did. nicolas: well, we could probably pick 100 things like that. noemie: we liquidate that. nicolas: it doesn't matter if we liquidate. don't try

noemi. now, noemi, what did you think when your husband said, dear, i'm going to play in the nba.t was a great idea. i mean i already knew he could do it. he has the will. where there is a will there's a way and i never got to see him the first time around play as a basketball player so this is my chance to actually see him play as a player. >> let's see if we can see him if he's got some skills. you want to, you know, shoot around a little bit and show us what you got there. come on, grandpa. what you got? what you got? come on. don't be scared. don't be scared. all right. you got range. let's see. let's see. all right. big man. he's supposed to dunk. >> oh, there you go. >> yeah. [ applause ] oh. okay. okay. >> he's >> it's okay. oh. there you go. [ applause ] now he's getting a little bit of a rhythm. and who's that? >> looks like some help from the family. >> i know. >> can we see? >> he's got some skill there one more. one more, one more, grandpa. all right. so tell us why you wanted to do that. who are the two that are helping you shag balls right now? >> that's my son chase

noemi: i never approved this design. -nicolas: you approved this. -stephanie: are you kidding?mpany in a deep financial hole. that's created a ton of family drama. nicolas: you want all of the accolade without doing any of the work. lemonis: if they can't figure out a way to iron out their differences, there won't be a business to fight over. stephanie: nicolas, i don't want him to walk out that door because of this. lemonis: my name is marcus lemonis, and i fix failing businesses.

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