Inkkas Worldwear Case Study
Inkkas Worldwear – The Profit Season 3 Episode 18
In this episode of The Profit, Marcus Lemonis visits Inkkas Worldwear. Inkkas Worldwear is maker of handmade, fair-trade, and eco-friendly shoes. Owners Dan and Dave Ben-Nun and David Malino are crafting shoes with so much respect to the environment and the people. This custom-made shoe business creates casual footwear for both men and women using the best global textiles and inspirations.
Although Inkkas Worldwear has a very unique concept and already reached several wholesale customers, the business is close to losing it all. Most of the sales are coming from online sales, while the rest is from sales to retailers. The Inkkas Worldwear’s store front in Brooklyn functions as a shoe store, …show more content…
Lots of debts.
The business is losing big and can be closed soon.
Owners did not know their exact numbers.
Their launching new products too fast.
Dan financial decisions made the company fail.
Dan struggles to listen to his co-owners.
The deal
Because Marcus sees a bright future for Inkkas Worldwear, he offered the Dan, Dave and David 750,000 for 51% ownership. He wants to give the three (3) co-owners $60,000 each as their salaries. Marcus also wishes to use some amount to resolve the debts, pay the service merchant loan, pay for inventory and product development.
Dan was so excited with the deal but his brother Dave reminded him that he will regret the deal. Marcus gave them two (2) options: (1) $750,000 for 51% ownership; and (2) 600,000 for 40% ownership. But the second option should assure Marcus that he gets guaranteed 10% return. Dan, Dave and David decided to take the second proposal and the deal was sealed.
The solution
Inkkas Worldwear stop being a retailer, they focus on being a wholesaler.
They work on style and comfort.
They transfer to a new location.
They remodeled their space and make it more conducive.
They focus on the core line.
They stick to the basic.
They stop reinventing the shoe
In this episode of The Profit, Marcus Lemonis visits Inkkas Worldwear. Inkkas Worldwear is maker of handmade, fair-trade, and eco-friendly shoes. Owners Dan and Dave Ben-Nun and David Malino are crafting shoes with so much respect to the environment and the people. This custom-made shoe business creates casual footwear for both men and women using the best global textiles and inspirations.
Although Inkkas Worldwear has a very unique concept and already reached several wholesale customers, the business is close to losing it all. Most of the sales are coming from online sales, while the rest is from sales to retailers. The Inkkas Worldwear’s store front in Brooklyn functions as a shoe store, …show more content…
Lots of debts.
The business is losing big and can be closed soon.
Owners did not know their exact numbers.
Their launching new products too fast.
Dan financial decisions made the company fail.
Dan struggles to listen to his co-owners.
The deal
Because Marcus sees a bright future for Inkkas Worldwear, he offered the Dan, Dave and David 750,000 for 51% ownership. He wants to give the three (3) co-owners $60,000 each as their salaries. Marcus also wishes to use some amount to resolve the debts, pay the service merchant loan, pay for inventory and product development.
Dan was so excited with the deal but his brother Dave reminded him that he will regret the deal. Marcus gave them two (2) options: (1) $750,000 for 51% ownership; and (2) 600,000 for 40% ownership. But the second option should assure Marcus that he gets guaranteed 10% return. Dan, Dave and David decided to take the second proposal and the deal was sealed.
The solution
Inkkas Worldwear stop being a retailer, they focus on being a wholesaler.
They work on style and comfort.
They transfer to a new location.
They remodeled their space and make it more conducive.
They focus on the core line.
They stick to the basic.
They stop reinventing the shoe