My name is marcus lemonis, healthy, beautiful smiles for life. And i risk my own money to save struggling businesses. Liberty mutual customizes your car insurance, hmm. Exactly. So you only pay for what you need. Were not going to wake up every morning nice. But, uh. Wondering if we have a job. Whats up with your. Partner . Were going to wake up every morning not again. Limu thats your reflection. Wondering how many jobs we have to do. Its not always pretty. Only pay for what you need. Everything is going to change. Everything. Liberty, liberty, liberty, liberty but i do it to save jobs, and i do it to make money. Of 97 percent of the meetings that youve held. This. Lets go to work. Is the profit. Lisa no, no, no, but youve changed some things that i had to find out later. It does make it difficult. In 2010, Justin Romines started rayjus giovanni i mean. Lisa i would like to focus on this and have you step back. With his fishing buddy, ray odom. Justin if you take the graphic stuff out of there, giovanni i dont want to help i bet you its almost. Lemonis as 50 50 partners, in stuff that im a distraction on. Their goal is to bring professionallooking sports shirts lisa but sometimes you do. To amateur fishermen. When i need you involved, ill bring you in. Katie we only need five small. Justin okay. But were short this material for all this . Otherwise, we got it. Katie correct. Giovanni okay. Lemonis with little experience in the apparel industry, i got you. They set up a fullservice operation in lawrence, illinois, lemonis this is what i really wanted out of lisa where they cut, sew, and print customizable garments. Her ability to take control of the situation and be a leader. Katie i expect at least two to three more of these today. So, we really need to go to work, justin well, then, fine. Well ship today. And i definitely want to see something. Lisa okay. Lemonis . In the next. Lemonis fishing fanatics started snapping them up, lisa week . Lemonis yeah. Lisa yeah. Thats fine. Well get started right away. And sales eventually grew to over a Million Dollars a year. Iget started right away. But fishing is a seasonal sport, giovanni ill be out of it. Lemonis okay. See you, buddy. And that means unpredictable revenue. Giovanni thanks, sir. Lemonis bye. Ray well, february, march isnt bad. April got our ass kicked. Things are moving forward at bentleys. Lemonis and the slow months have led to a lack of funds giovanni we have been working on acquiring natural pet market while their debt continues to climb. Justin we also have no material here right now in wheaton, illinois. To get the lamb order done, her best year was about 850,000. So we got to figure out how to get more in the bank. Lemonis now, rayjus finds itself this year, shes on pace for about 720,000. On dangerously thin ice. She wants 285,000 for the business. Lemonis gio has genuinely done a great job Sports Apparel is a 35 billion market in the u. S. Of getting feedback from his team before he makes decisions. I have a massive investment in the outdoor space giovanni moment of truth. Yes or no . Woman yes. With my acquisitions of gander and overtons, giovanni you want to go for it. Nevine . Nevine yes. Giovanni mark . Mark yes. And this could be a great addition to them. Giovanni dan . Dan yes, i do. Man absolutely. Hello . Lisa i think we got to doublecheck, as i look through the warehouse, make sure the names involved. Lets tighten up the numbers, ii honestly thought i was in somebodys storage garage but im good with the 285,000 as the final number. That was just holding boats in there. Giovanni well move forward. Ill take the next step. Ill set it up today. Thanks, guys. Nevine thank you. Hello . Cathy hello. Lemonis how are you . Cathy good. How are you . Lemonis hi. And then i go into this area where i see all these women working, lemonis meanwhile, weve gotten the packaging settled for our best in show line, and, i got to tell you, it was and the product is now in production. It was hot as. In there. Soon, were going to have another highmargin item hey. How are you . Nick hi, there. That will help us get our overall margins up. Matt marcus. Matt thompson. Lemonis brian brian. G, matt . . Lemonis brian. Nice to meet you guys. I didnt know where to walk in. Where are ray and justin . Matt ray and justin . Brian ray is right at his desk in there. Teams on board. Giovanni all right. Lemonis i went into another area well go in the back with tracy. That felt like an airconditioned office. Lemonis now that gio has met with the staff and hes gotten lisa on board, i want to head back to natural pet market ray we already made a blue one that goes with it. And see the negotiation with tracy. Lemonis hello . But i want to see how they do. Justin hello. Hi. Lemonis hi. Giovanni so, for bentleys, justin how are you . Lemonis im good. The acquisition is more than a store. Justin im justin. Lemonis justin, how are you . Im marcus. Its you and the future that we hope you have with our company. Justin thats ray. Lemonis nice to meet you. Ray hi. Lemonis hey. How are you . Im marcus. Ray good. For me, i think, the way the deal stands, nice to meet you, marcus. Lemonis nice to meet you. So is that what ray and jus is . The 285,000 number is fair for both of us ray exactly. Yep. Justin thats right. Lemonis okay. Justin its a little bit because i think theres upside for you. Of a play on outrageous. Lemonis okay. And theres upside, but theres also a lot of risk, for us. Justin jerseys and crazy stuff we make. Lemonis they dont seem so outrageous. I mean, what are your thoughts . Justin if you wear it to the store, lisa after looking at the numbers, people kind of look at you funny. I think its a great deal with you involved with training, lemonis you guys have, like, a boat dealership in your garage. Justin yeah, thats my boat and his boat. Doing some videos, and working with us to help educate our staff. Tracy yeah. Ray my roomateincolleges boat and then two other rentals. Giovanni but we have the expectation lemonis you guys do a lot of fishing, obviously. Of the name natural pet market. Justin as much as we can. Ray yep. [ laughs ] and im sorry cause this didnt come up. Tracy no, it didnt. Giovanni im kind of throwing that in the valuation justin we are kind of geared towards the fisherman and the boater. Just cause i feel like we have to reinvest a lot. Sunprotection designed. Ray completely custom shirt. So, this starts as plain white fabric. Tracy good question, lemonis so a customer calls you and says, i want to make a shirt for my fishing tournament. And thats something to seriously consider. Ray on our website, they can actually go on lemonis would it be better for you to get your 285,000, and build their shirt. Then they can add their logos or would it be better to take 30,000 less because we have a logo library online. Lemonis they can add their logos or other peoples logos . In the Purchase Price ray well, theyre adding other peoples logos. And get a few Percentage Points on the food possibility theres a lot of companies that either, a, dont mind that they use their logo, or anything that has npm on it . But a lot of these guys that we deal with what im open to doing is put you as the face of the product are sponsored by these companies. Lemonis its almost like a dryfit shirt and give you a royalty of 2 percent from under armour or nike, so im thinking to myself, this is really cool that should far exceed the 30,000. Because, in all of my stores where i sell outdoor equipment, tracy well, lets say this. These products could do really well. If you are looking into privatelabeling foods so an individual customer that buys this, what does it cost . And if my 15year reputation name is going to be on it, how many is the minimum they have to order . Let me have a say whats in those foods. Justin one. Ray one is the minimum. Lisa i just would say keep an open mind, too, justin one is the minimum. Lemonis where does the bulk of the revenue come from . Because we have to look at affordability, so i think justin essentially that. Giovanni no, no, no. There is one elephant in the room. Lemonis and so your entire business is individual consumers going onto the website, we would be supplying the kibble component, making a custom shirt . But would be controlling it and then bundling it. Ray 80 percent of them. Justin 80 percent of it, yeah. Lemonis this would be all the stuff that lisa would be doing, not you. Giovanni um. Lemonis wow. Justin yep. Lemonis youre in the customprinting business lemonis for exclusives, extras, one consumer all the time. And business advice, visit. I think that the customizable shirt business is a nicetohave. Its a nice little Side Business in my opinion, not a core business. What experience do you guys have in this space . Ray none. Lemonis oh. Ray i was a disc jockey. Justin im in management information. Lemonis disc jockey. Justin it guy. Lemonis what are the roles that you guys have . Ray design, product development. You may be at increased risk for Pneumococcal Pneumonia lisa we have to look at affordability. Justin and i do some sales work. A potentially serious bacterial lung disease lemonis can you show me the factory . Ray sure. Lemonis well, how did you make that can disrupt your life for weeks. That transition from radio to here . Ray i always built websites for myself in severe cases, Pneumococcal Pneumonia can put you in the hospital. And designed tshirts for myself cause i was a disc jockey. It can hit quickly, without warning, lemonis okay. Making you miss out on what matters most. Ray and im still on the radio now. It was always my creative outlet. Lemonis youre still a disc jockey today . Ray yeah. Just one dose of the prevnar 13® vaccine lemonis and how often do you do that . Ray i go twice a week, but im on every day. Can help protect you from Pneumococcal Pneumonia. Lemonis so youre good. Ray i like to think so. Its not a yearly shot. Prevnar 13® is approved for adults to help prevent so it just kind of transitioned infections from 13 strains of the bacteria that cause from i get to be creative on the radio Pneumococcal Pneumonia. And write stupid songs and fake commercials, dont get prevnar 13® if you have had a severe allergic reaction to the vaccine or its ingredients. And, here, i get to draw. Lemonis oh, very cool. Adults with weakened immune systems may have a lower response to the vaccine. Justin heres our factory, marcus. The most common side effects were pain, this is our area where we do sewing. Redness and swelling at the injection site, this is cathy, by the way. Lemonis hi, cathy. Im marcus. Cathy hi. Limited arm movement, fatigue, headache, muscle pain, lemonis how are you . Cathy nice to meet you. Lemonis nice to meet you. What are you sewing . Joint pain, less appetite, vomiting, fever, cathy jockstraps. Chills, and rash. Lemonis [ chuckling ] jockstraps . Okay. Ask about prevention. Ask your doctor or pharmacist about prevnar 13®. So, this is part of your lineup . Justin we do this for a client. The seasonality of the business, this is to help us keep these guys working all year round. Cake in the Conference Room showing em youre ready. To be your own boss. Katie you can laugh out loud because everyone does thats the beauty of your smile. When they hear that we make jockstraps. Crests three dimensional whitening. Lemonis i dont feel like ive met. Removes stains,. Katie oh. Im katie groves. Nice to meet you. Whitens inbetween teeth. And protects from future stains. Im manager in charge of special projects, crest. So im over jockstraps, healthy, beautiful smiles for life. Lamb and goat products, as well as. Yeah. Yeah, this is nice. Lemonis wait. What . Hmm. [ laughter ] katie sorry. How did you make the dip so rich and creamy . This is a lamb blanket. Oh its a philadelphia they put it over their wool to keep them clean. Family recipe. Can i see it . Theyre mainly used for state fairs, all that sort of thing. No. Philadelphia dips. So good, youll take all the credit. Lemonis so, this is also contractmade . Katie correct. Justin correct. Katie this is for goats. They are leg warmers. Lemonis these are for ts and. It stops them from biting on their leg. Lemonis jockstraps, lamb coats, and goat leg warmers . Ahh now thats crisp. Crisp taste. Brewed with no corn syrup. Bud light. Like, Richard Simmons goat leg warmers. Super emma just about sleeps in her cape. Like, theres nothing else you could have come up with . But when we realized she was battling sensitive skin, how much revenue will you do in jockstraps a year . We switched to tide pods free gentle. Justin close to 30,000 a year. Its gentle on her skin, and dermatologist recommended. Lemonis and how much will you generate in revenue from the lambs and the goats . Tide free and gentle. Justin lambs and goats so far this year are at 80,000. Safe for skin with psoriasis, and eczema. Lemonis 80 . Justin yeah. Lemonis so how much revenue will you do in those custom tshirts . Justin about 1 million a year. Ray about a million bucks. Lemonis i like the fact that they are trying to fill these voids of the irregular cash flow, but the products that theyre making are such a small percentage of their revenue, its so off the mark of their core business that its not even really scalable. All right, guys. Ill hang out here with them. Justin okay. Lemonis i dont need you. Justin all right. Holly hi. Im holly. Nice to meet you. Lemonis nice to meet you. What do you guys think about them cutting and sewing things like lamb and goat and jockstraps . Katie it takes about three times as long to do a lamb product as a shirt product. Holly mmhmm. Katie . Just because the shirt construction is super simple. Lemonis and how much money do you make on the lamb product versus the shirt product . Katie oh, shirt is way more. I mean, it cost us, what, about 30, id say, to make a shirt, and we sell it for over 100. And, a lamb product, we sell for 17. Lemonis and it costs three times the amount of time to make it, takes three times . Katie yeah. Yeah. Lemonis have you guys gotten together and had an opinion with the two of them and said, this is ridiculous . Holly it doesnt really matter. Lemonis at all . Holly were kind of, like, on our own out here. Nobody really comes out here. It gets really hot in here. Lemonis no ac in here. Holly and katie no ac. Holly every friday, theyre gone fishing. Giovanni no, no, no. There is one elephant in the room. Lemonis theyre gone fishing. We would be supplying the kibble component, holly they go fishing all the time. But would be controlling it and bundling it. Lemonis well, how do you make payroll through fishing . Lemonis this would be all the stuff katie yeah, well, those are questions we have, as well. That lisa would be doing, not you. Im following lisas lead. Giovanni okay. Holly yes. Lisa its going to be our private label. Were not going to do anything lemonis did they tell you why i was coming . Katie they didnt actually tell us why you were coming, against our food promise that youre its the same concept you have here. But its a real small company, so we know why youre here. Tracy right. Right. Holly we know all the gossip. Lemonis why am i here . And if were aligned anyway, it should be an easy deal. Lisa yeah. Giovanni yeah. Katie well, youre here because the business is out of money. I mean, thats easy for us. Tracy sure. Lisa i just would say having a little bit invested theres nothing left to pay anyone. Our vendors are maxed out on their credits. In the longterm growth will keep you way more engaged. We cant order more material, does that work with you, that that includes the name and if they dont make a deal with you, well all be looking for jobs. And everything we talked about . We have payroll due, and there were at least three to five people tracy yeah. I think so. Giovanni great. Perfect. Who hadnt cashed their checks from last pay period. Tracy awesome. Lisa thanks. Lemonis you guys hold the paychecks . Lemonis thank you. It was really nice meeting you, by the way. Holly yes. Lemonis have you ever tracy it was nice meeting you, too. Had a check bounce . Katie yeah. Lemonis what im noticing about lisa lemonis maybe one of the reasons is that she truly is starting to get comfortable that the business is struggling is because these guys are only putting in putting her stake in the ground that shes the president , 4 days of effort. And i feel like we got a good deal. All right. Ill see you guys in a little bit. Holly okay. Lemonis thank you so much. This process, gio, that you did. Katie bye, marcus. Lemonis bye. Giovanni i like it. Lemonis . Was better. The other thing that i liked is that you went over this with the staff. Giovanni yeah. Is it warmer in here than it was in there even . Lemonis so they understand it now, marci oh, yeah. And you actually let lisa make the decision. The thing is the press runs at 390 degrees, lisa yes. Giovanni i learned my lesson. Lemonis i love working with you guys. So its always hot. Lisa [ chuckles ] lemonis thanks, lisa. Lemonis yeah, but, i mean, they could pump some cool air in here. Marci it would be a little more enjoyable. Lemonis its odd to me that marci is out in the warehouse standing and working with this very hot machine things are going great at bentleys, and the schaumburg store is now open. I mean, really hot. And right on the other side of the wall wow. Holy cow. Are a bunch of guys sitting in cubicles after i visited schaumburg, with plenty of light and plenty of air conditioning. Lisa got the store open in 5 days. So what is is this printed on paper . This store looks ridiculous. Marci yeah. So, this is printed on special paper. Lisa im pretty excited about it. Lemonis okay. The girls inside were telling me lemonis oh, my god. Giovanni it was 2 years in the making. That the business is somewhat disorganized. Lemonis now that we have a process in place, marci it is a little frustrating, though, once construction is complete, the stores will open in no more than 7 days. To kbe able to make payroll. Hint lemonis as opposed to getting on the phone, is this the new royal animal stuff . Selling, making money. Marci mmhmm. Lisa yes. Just in time for the winter. Fishing is more important. Lemonis the new royal animal products are on the shelf, i actually have a video on my phone of a friday afternoon and with a 65 percent margin, this is going to help us raise our overall margin. I think you would probably find pretty interesting. So this is just me. What i like is that you put all the highmargin product right up front. Its a quarter after 1 00. Lets go see whats going on in rayjus. It looks unbelievable. Sike lets see whos all here. [ laughter ] but, most of all, im noticing a huge difference in these two. Lemonis nobody. Whats changed about your life . Giovanni i mean, everything. I think im calmer because i dont have a stress that we had before. Lemonis look, of all the businesses doesnt that piss you guys off . Marci yeah. That ive invested in the show, lemonis you want to talk about morale being bad . Its the biggest investment when one of your employees feels the need with the bigge