Crafty Ramen lands contract on Dragons’ Den | Jobi Cool

Downtown Guelph eatery Crafty Ramen walked into Dragons’ Den and emerged with the deal of a lifetime.

“It’s a dream come true,” said co-founder Jared Ferrall. “We are all very excited and grateful to everyone who made this happen.”

The episode, which aired on CBC last night, featured Jared, co-founder Miki Ferrall and co-owner Khalil Khamis giving the Dragons a taste of their frame for the first time.

They pitched their business with a request of $600,000 for 6.5 percent of the company, to help them become “the household name for ramen across North America.”

The company is valued at $9.2 million, however, Khamis said it is not profitable today, losing about $70,000 a month over the past 12 months.

Still, some of the Dragons saw potential.

Vincenzo Guzzo made a joint offer with Michelle Romanow of $600,000 for 18.88 percent of the company — more than three times what they had asked.

But the offer they went with was from Arlene Dickinson, for a $600,000 loan that she can convert anytime she wants to “current rates” — meaning she would own about 12 percent of the company.

Dickinson said she has invested in meal kit companies in the past and knows the path they are on, citing the meal kit subscription service that Crafty Ramen has also launched in addition to its two brick-and-mortar locations.

“Building a subscription business is expensive. None of the numbers you see surprise me. The meal kit company I invested in was doing about $2 million when they came to this show, they’ll probably do about $65 million this year,” she said.

“It was great to have multiple offers. But Arlene was kind of our target, because she’s a giant in this field, the biggest food investor in Canada, knows marketing. We couldn’t have asked for better partners,” said Jared. “We are extremely grateful that she saw potential in us and was willing to come on board.”

So what’s next?

Jared said historically that few deals made on Dragons’ Den actually come true.

“They tend to blow out, so we don’t know if it will ever be over.”

But he said they were happy to have made that connection with Dickinson.

“Even if she’s a supporter and mentor, I’d be happy to sit down with her and pick her brain for half an hour.”

Plus, the exposure after appearing on the show has already made an impact.

“We’ve had so many people repost or post about us,” he said, adding that their website blew up, with about 6,000 hits by noon the day after the show aired.

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