Sleaks

Kathy Vurinaris, of Toronto, sought $375,000 for 15% of Sleaks, a company making patented, washable bladder leak underwear designed as an alternative to disposable adult diapers, which she created after her 88-year-old mother refused to wear disposables. The underwear features a waterproof, fully washable pouch that can be reused up to 100 times, absorbing 75 millilitres on its own or 145 millilitres with an optional washable pad insert, more than three times the absorbency of typical period underwear. The product costs $4.85 to make and retails for $49, giving a gross margin above the Canadian retail average of 53.4%; the company is pre-launch, with 1,000 units already produced in two colours, a valuation of $2.5 million based on comparable exits in the washable underwear space, and a first-18-months revenue projection of $2.2 million; Kathy previously ran non-apparel categories at Joe Fresh, a $290 million business, and plans to sell direct-to-consumer and through independent pharmacies rather than large retail chains initially.

Brian Scudamore went out, saying the founder needed more than capital and was better matched with another dragon. Wes Hall went out despite believing in her ability, saying it was not the right fit for him. Manjit Minhas offered $400,000 for 25%. Arlene Dickinson offered $500,000 for 22%, valuing the company at $2.2 million. Michele Romanow offered $450,000 for 20% plus a 5% royalty until her investment was repaid, and Kathy Vurinaris accepted Michele Romanow's offer, citing a personal connection to her cause.

Sleaks is still operating and sells through its website.