Potatoes are part of our every meal whether in curry, veggies, or as a side dish with fast foods like burgers. However, they don’t have a main dish preference and are always used as a side for other cuisine.
James and Johanna Windon, the owners of Buena Papa Fry Bar, have introduced a heterogeneous blend of cuisines with potatoes as the main ingredient. Their business is a fast-food line that mixes fries with other ingredients like cheese and pork. The term Buena Papa means Good Potato. Their one dish contains around 33 ounces of potatoes.
The owners came on Shark Tank to request $400K in exchange for 7% of their company. They also presented the sharks with their tasty Bueno Papa potato mix to impress the sharks by triggering their taste bud. Let’s explore their journey on the show.
Buena Papa Fry Bar Net Worth Shark Tank Update
James and Johanna were looking for an investment of $400K in exchange for 7% equity in the company. At the time of the episode, they valued their company at $5.7 million. They successfully secured a deal with Robert Herjavec for an investment of $400K for 19% equity in the company. The investment adjusted the company’s net worth to around $2.1 million. After the show was aired, the company experienced a good boost in exposure. As per my rough estimate, the current net worth of Buena Papa Fry Bar in 2024 is around $8 million.
Shark(s) name
Offer & Demand
Counteroffer
Accepted?
Kevin O’Leary
Out
N\A
N\A
Mark Cuban
Out
N\A
N\A
Lori Greiner
Out
N\A
N\A
Barbara Corcoran
Out
N\A
N\A
Robert Herjavec
$400K for 7% equity
$400K for 19% equity
Yes
The Owner’s Backstory
James and Johanna were high school sweethearts. James worked as an entrepreneur at Queen Latifa and then thought to move towards Latin management. Johanna on the other hand came to the US in 1980 from Columbia. She was a backbencher at school and after graduation, she taught in the same school for 12 years.
They related that they started the business during the pandemic. Before that, they wanted to have a Latin street food experience in the US and made a fusion of potatoes with flavors that were loved by their family. They invested all their savings in the business and were left with $18 only. They started specifically in July 2021 in North Carolina. After two weeks they collected $18K and afterwards, they went viral on TikTok with 16M views. The rest is history.
Initial Pitch
The owners came on the show to seek $400K for a 7% equity stake. Their business is a fast-food line that provides a potato-based heterogeneous cuisine blending Mexican, Puerto Rican, and Columbian flavors.
As the owners are a couple from two different cultures, they have created a fusion of both, creating something new. It has a blend of Colombian, Mexican, Puerto Rican, and many other Latin flavors. Their customers can also chat with them in Spanish to get a much happier experience.
There are different items served with the potatoes like pork and also healthy options like guacamole, and sweet potatoes. They also have a special bueno sauce that has mayo and cilantro inside.
Queries about the Product
Kevin asked the first question regarding the price of the product and the cost of making one. James replied that it costs them $3.50 to make and they sell it for $13.50.
Herjavec wanted to know about their margins. He pointed out that it is about 72%.
He also wanted to know if they were in stores. The owner highlighted that they have their first store which is 200 square feet. In the very first year, they made $1.1M in sales. Afterwards, they used the product money and invested in another store which is about 700 square feet. Their sales in the new store combined this year will be around $2M.
Herjavec also asked about their profit from the $2M sales. James highlighted that about $200K was their profit and they paid themselves $80K from that amount.
They also have a third store which is in an arena and their fourth one will be launched this month in Miami. They also started franchises and in their first month, they sold four franchises.
Herjavec asked about the charges implemented on the Franchises. The owner pointed out that it is about $29.50. Per year, they charge around 8% royalty and 2% for the marketing. They wanted to have a strategic partnership with the sharks. Moreover, they have $70K debt on their business.
Shark’s Response and Final Decision
Lori was the first shark out as she did not consider herself to fit in that industry.
Cuban also decided to back out because of their involvement in franchises which is very difficult to handle.
Kevin didn’t think the product was made for him in order for his face to represent the business. Thus, backing out of the deal.
Corcoran thought that they didn’t need a shark to invest in their business as they were already doing great on their own and backed out too.
Herjavec was concerned with their high $5.7M valuation. James highlighted that with all the stores and Franchises the growth sales become $6M.
Herjavec then offered them $400K but for 20% equity in their company. James counter-offered him $400K for 15%, which he readily rejected.
The shark the. Revised his offer and pitched $400K for 19%, which was finally accepted by James and Johanna.
After securing a deal on Shark Tank, Buena Papa also met with success on a wider horizon. James and Johanna were recently highlighted in a segment on ABC’s local North Carolina station, where they were interviewed and shown at their Raleigh location. They have just launched a new spot in Durham, North Carolina while continuing to operate two locations in Raleigh.
With Herjavec’s guidance, Buena Papa is now entering a phase of fast franchise growth. By October 2023, the brand had secured nine franchise agreements across the Southeast, with plans to open in those cities in 2024.
Conclusion
Buena Papa’s journey on Shark Tank helped increase the business to new heights. James and Johanna’s unique potato-based fusion of Latin flavors has gained popularity, leading to rapid expansion and success. Their partnership with Herjavec has set the stage for significant franchise growth, with multiple locations already operating and more planned for the future.
Hey there, it’s Andaleb Youns. I am a freelance content writer and am currently pursuing a BS in English Language and Literature. I have expertise in writing Blog Posts, social media content, and copywriting. I know how it feels to be a student and still be dependent on parents to fulfill even basic daily needs. This realization became apparent while watching Shark Tank. Although I started watching this show out of boredom, it proved to be an inspirational show. The show made me realize the importance of hard work, being independent, and of having a business of my own. I still look forward to it for entertaining and inspirational content.
