Have you ever wondered what Numilk’s net worth is? With an expanding vegan milk market projected to reach $42.86 billion in valuation by 2029, Numilk is entering a profitable venture.
The company sells plant-based milk makers and milk pouches to consumers and businesses. Numilk reached media fame after its appearance on the hit CNBC show Shark Tank.
After gaining one of the most generous vegan deals on the show, Numilk’s market performance reached new heights.
As of May 2023, Numilk’s net worth is $55 million. Read on to learn more about the company’s success story.
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Joe Savino and Ari Tolwin founded Numilk in 2018. They’re originally from New York and thrive in the business world. Their mission is to foster sustainability and reduce waste.
The plant-based milk company’s co-owners gained the necessary experience, whether through their education or professional life, to skyrocket its success.
Creating Numilk was Savino’s idea. He wanted to start by finding a method to produce fresh almond milk without the hassle.
The milk’s ingredients include almonds and purified water. The machine can add maple syrup for extra sweetness.
Numilk’s CPO, Savino, earned a Bachelor’s in Business Administration from the Lubin School of Business.
After Savino completed his university education in the Finance field, he served as an Operation Manager at 121 Inflight Catering. His role lasted from 2010 to 2015.
In 2013, he co-founded Harvest Beverage Group, a beverage contract packer. Savino worked there until 2018.
Ari Tolwin grew up with entrepreneurial ambitions. He was raised in a yeshivah family in Southfield, New York.
As he turned 12, he created his first mini business selling CDs to his classmates for a markup. The now-CEO of Numilk enrolled at Duke University and completed a Master’s in Business.
By 2013, he co-founded Happy Tree Maple Water, a beverage company specializing in maple syrup water production.
Five years later, Tolwin shut down the company to enter the vegan milk alternatives industry with his friend, Savino.
They joined forces to create Numilk. Their experience with selling beverage products and entrepreneurial know-how kickstarted the new business.
Numilk holds a B2B and B2C model. The B2B model caters to grocery shops, food vendors, and cafes.
In their commercial platform, they sell a plant-based milk maker that allows customers to refill their bottles. The machines are approximately the size of two refrigerators.
The company’s In-home platform offers buyers a smaller version of the unique Numilk machine.
Aside from the machine aspect, Numilk sells all sorts of milk pouch options. It provides almonds, cashew, pistachio, and oat milk.
They provide sweetened and unsweetened options for some pouches as well.
Numilk pouches also come with latte, protein, and mocha versions, such as their distinctive mushroom mocha flavor.
Besides that, the company prides itself in using no preservatives, gums, processed sweeteners, and fillers. It aims to provide fresh and healthy food ingredients in its production process.
The dairy-free alternative offers a vitamin-enriched beverage filled with healthy fats and minerals.
The product is ideal for people on their weight loss journey since it’s low in calories and nutritionally packed with proteins.
The vegan milk alternative provides a healthy dose of calcium, potassium, magnesium, vitamin E, and vitamin D.
Not only is Numilk geared toward health-conscious consumers but those looking to improve their gut health. The milk holds fiber perfect for promoting digestive health.
Another selling point Numilk can offer is the delicious and fresh taste offered by the machine and pouches.
As of May 2023, Numilk’s net worth is $55 million. The organization markets itself as a vending machine for vegan milk alternatives.
With the growth of the vegan culture, the plant-based milk brand presents profitable future opportunities.
The company started with a $12 million funding round from investors. The co-owners invested $2 million only to accumulate a $40,000 return.
In 2019, they earned $320,000 against a $3 million loss. The following year was similarly challenging for the company.
Due to the pandemic outbreak, it lost an additional $2 million and only made $400,000. To put things in perspective, Numilk lost over $7 million against a $760,000 profit.
Before applying to Shark Tank, the owners estimated Numilk’s worth to be over $20 million. The company needed the investors’ support to expand the company’s machine inventory.
The founders also wanted the funds to support their new at-home machine product. They entered the show asking for 1 million dollars with 5% equity.
Most of the episode’s wealthy investors, including Lori, Daymond, and Barbara, bowed out of the deal due to confusion. Nevertheless, Kevin and Mark Cuban, a vegetarian, saw an opportunity.
The founders mentioned that their machine productions cost $300, and they sell it for $699. Afterward, Kevin offered the 1 million dollar loan with a 9.5% interest spanning three years.
On the other hand, Cuban proposed a 1 million dollar deal with an additional 2% equity.
On top of that, the shark suggested an extra million-dollar loan with a 3% interest for 3% more equity or advisory shares.
Eventually, the latter offer won, and Numilk ended up with a whopping $2 million investment.
Despite the success portrayed in the Shark Tank episode, some things didn’t go as planned.
The Numilk company knocked on Whole Foods’ door for a deal. What came after resulted in a plummeting future for the plant-based milk company.
The multi-chain grocery store didn’t offer a deal. The founders started a Kickstarter page to raise $222,000. They gathered the amount from over 888 backers.
Following the crowdfunding, Numilk operated in 65 stores. It also targeted coffee shops. Nevertheless, supply-chain issues resulted in unsatisfied Kickstarter backers asking for refunds.
The company was losing money, but by 2022, they created a manufacturing deal with Hamilton Beach.
The deal aimed to produce two machines, the Numilk Pro and Numilk Home. In turn, the company gradually phased out its kiosk machine service to prioritize the latter.
Numilk Pro is a mini version of its kiosk machine. The organization markets it to various vendors ranging from high-end cafes to restaurants.
According to the company’s website, you can find the machines used by Cartel Roasting Co. and Birch Coffee.
The founders primarily allocated the Kickstarter funds for this project. The machine is yet to be commercially available.
Nonetheless, consumers can opt to be on the waitlist. Numilk forecasts that the product will be available by the end of this year or early 2024.
Frequently Asked Questions (FAQs)
Was Numilk successful?
Before the company’s entrance to Shark Tank, it wasn’t performing well. Numilk’s machine inventory was the prime culprit at the time.
Despite the history of losses, Cuban still offered the founders a deal they couldn’t refuse.
What is in a Numilk pouch?
Numilk claims that it fills its pouches with pure, organic, and whole food ingredients. For instance, the almond pouch holds grounded organic almonds and Himalayan pink salt.
Where is Numilk now?
Numilk is based in New York City. Meanwhile, its manufacturing and engineering team resides in Raleigh, North Carolina.
When Numilk founders disclosed the organization’s $20 million valuation, some sharks felt uncertain. The number seemed over-valued and unrealistic.
For this reason, if you’re a business owner, inflating your value will only lead to shunning investors.
It could also cause you to over-value your sales numbers and make you spend too much.
While optimism is crucial when starting a business, you still need concise numbers to attract your investors.
During Numilk’s pitch, the majority of wealthy investors were left confused. A pitch lacking an effective presentation of a business model will likely lead to no takers.
To get any investor’s attention, be sure to lay out a clear idea of your plan.
Numilk’s product may not have been the issue, but it could’ve been the founders’ rambling with no clear conviction about their venture.
Despite most sharks turning down Numilk’s pitch, two remained, Kevin and Mark. The founders made a wise choice by picking the latter.
Not only did Mark offer a larger deal, but he’s also passionate about the venture as a vegetarian himself. He foresees a successful future in the milk alternative venture.
In turn, you will gain investors who are on the same page or vision board as you.