MTailor Shark Tank Net Worth 2023
Mtailor has an estimated net worth of $25 million. The company’s monthly revenue is estimated to be between $350,000 and $450,000. In February 2016, Miles Penn founded Mtailor and appeared on Shark Tank America seeking a $2.5 million investment for a 10% stake in his company.
However, the Sharks were not convinced by Penn’s technology and refused to make a deal. Despite this, Mtailor has grown significantly since then.
As of July 2022, the company’s revenue was $4.4 million and it was valued at more than $15 million. Penn persisted despite the Sharks’ criticism and Mtailor is still in operation today.
What Is MTailor?
MTailor is an online company that creates personalized men’s clothing, including suits, shirts, and pants. Their unique selling point is that each item is tailor-made to fit the specific measurements of each individual customer.
To ensure a precise fit, MTailor offers an app for Android and iOS devices that helps customers accurately measure their bodies before placing an order. Customers have a vast selection of over 10,000 different clothing options to choose from.
MTailor was founded in 2013 by Miles Penn, who created the initial prototype of the app during his senior year of high school. After proving the concept and launching the company, Penn became the CEO of Bit Body, Inc., the parent company of MTailor.
Who Is The Founder Of MTailor?
The founder and CEO of MTailor is Miles Penn, who used to attend Stanford University. While studying there as an undergraduate, he developed an interest in entrepreneurship and launched his first business, which provided personal training services to fellow students, during his sophomore year.
Penn is an avid online shopper, but he became frustrated with receiving clothing items that didn’t fit properly from various e-commerce retailers. This problem led him to create the MTailor app, which allows customers to obtain custom-made shirts and suits at a lower cost than traditional tailoring.
The app works by precisely recording 17 points on a person’s body using their smartphone’s camera, which enables the app to measure the customer’s physique and create a personalized garment.
Penn’s inspiration for creating MTailor also came from his belief that shopping for clothing is a waste of time, and he saw an opportunity to utilize technology to solve this problem. Additionally, he wanted to overcome the challenges of purchasing ill-fitting clothing online and the hassle of returning them.
MTailor received support from Penn’s venture capital firm, which includes Y Combinator and Khosla Ventures, a well-known investment firm founded by Vinod Khosla, co-founder of Sun Microsystems.
The company has raised $2 million in investment and claims to be 20% more accurate than traditional tailoring methods. Shirts start at $69, making it a cost-effective solution for customers seeking personalized clothing.
What Happened To MTailor At Shark Tank Pitch?
Miles Penn, after a lengthy product development period, approached the Shark Tank investors seeking collaboration.
He aimed to obtain $2.5 million for a 10% stake in his company, which was valued at $25 million. During the pitch, Miles revealed his aversion to visiting malls and how online shopping has worsened in recent years. He presented his program, which uses a phone to measure shirts and is more precise than a real-life tailor.
The software calculates the size of a shirt based on a video that is taken by resting the phone against a wall and doing a single spin. The app offers over 10,000 style and color options and provides bespoke shirts for $69, which is half the price of other custom shirts, due to the absence of a store and tailor.
The app’s patented methodology uses 14 measuring points, resulting in fewer returns, around 15%, compared to a retail store, which has approximately 25% returns.
However, Daymond expressed doubts about the company’s valuation. Miles disclosed that although the income was $150,000 per month in July, it has decreased since then, with current sales on track to earn only $1.1 million. He also revealed that he has $1.4 million in the bank but has experienced supply chain issues, still paying too much for shirts despite the volume.
Miles is seeking help from the Sharks with the supply chain and believes Daymond can be an asset. He raised $2 million at a $10 million valuation to justify his $25 million valuation.
All five Sharks remained in, despite concerns about the valuation. Miles wanted to develop his own line and believed licensing would endanger the company. Daymond offered $2.5 million for 17.5% but suggested licensing. Kevin offered $2.5 million in loans at a 7% rate for three years in exchange for a 2.5% stake.
Mark believed this was an excellent offer, but Miles declined because he was searching for equity partners rather than loans. Miles left the pitch without securing a deal, and the Sharks expressed doubts about his business’s trust and potential for success.
What Happened to MTailor after Shark Tank?
Miles Penn opted to follow his ambition of maintaining his App product after the sale crashed in the Shark Tank investors.
The firm has continued to operate following the show’s airing. As of May 2021, the firm generates $4.4 million in annual revenue and is valued at over $15 million.
Competitors of MTailor
The company main competitors are; Threadless, Shoptagr, Damartex and Missygow.
Net Worth of MTailor
The company was valued at $15 million during the pitch, in 2021 the company has a net worth of $25 million.
MTailor FAQs
What is MTailor?
MTailor is an online store that allows individuals to receive custom made shirts in a matter of minutes.
Who owns MTailor?
Miles Penn is the Co-Founder and CEO at MTailor.
What is his offer on Shark Tank?
Miles was seeking $2.5 million for 10% of the business at valuation of $25 million.
Did he get the deal?
No, but he ultimately decided not to pursue his business further.
Who are their competitors?
The company main competitors are; Threadless, Shoptagr, Damartex and Missygow.
How accurate is MTailor?
MTailor is so confident in their algorithm that they promise a flawless fit and openly boast that it is 20% more accurate than a professional tailor.
What inspired the owner to start the company?
The inspiration for starting MTailor stemmed from frustration with ordering apparel online.
Where is MTailor located?
They are headquartered in San Francisco and supported by some incredible investors, including Khosla Ventures, Y Combinatory, and some of Silicon Valley’s most seasoned angel investors.
How much do MTailor jeans cost?
With pricing ranging from $79 to $119, MTailor is on the expensive side and a little more than the average male is willing to pay.
However, the fact that it is personalized and there is a guarantee of a great fit makes it more desirable.
How do I return MTailor?
Refundable, if anyone desire to return an item, please send an email to [email protected] telling them of the item.
After receiving the item, we may give clients a pre-paid return label and offer a complete refund.
How long does it take to get a suit from MTailor?
Custom made MTailor garment is projected to take between 5 and 6 weeks to deliver.
In exceptional circumstances, shipping may be delayed due to factors beyond their control, such as fabric availability or natural catastrophes. In certain instances, delivery may take a little longer.
What is the net worth of Miles Penn?
His net worth is unknown.
