Mernini

Maria Halfyard of St. John's pitched Mernini, a raincoat brand offering full-length, fashionable raincoats in 8 colours along with rain hats and liner vests, asking for $500,000 for 8.5% equity. The coats cost about $64 to make, sell to wholesalers for $162.60, and retail for $325, sold online and in 50 stores across Canada including Simons; Maria Halfyard runs the business alone from her home basement alongside a full-time job, having invested $200,000 of her own money and generating $1.6 million in gross revenue and $864,000 net profit last year.

Wes Hall and Brian Scudamore went out, wanting the founder to commit to the business full time before investing. Michele Romanow offered $500,000 for a 10% royalty plus advisory help, and Manjit Minhas declined to make an offer. Arlene Dickinson offered $500,000 for a 7% royalty until three times payback then converting to 8.5% equity, which was negotiated down to a 7% royalty until double payback then 5% forever, and Maria Halfyard accepted.

Mernini is still operating and sells through its website.