This 13-year-old saved $10,000 to start a 'socks with pockets' business–and got a 5-figure deal on 'Shark Tank'
It's not every day you see a teenager on ABC's "Shark Tank."
"I always love to see a #kidtrepreneur in the tank," Shark Barbara Corcoran live tweeted during Sunday's episode. "It's an advantage to start your business when you're young. You have nothing to lose and nowhere to go but up."
Corcoran was referring to 13-year-old Sofi Overton, who pitched her "sock with pockets" company, Wise Pocket Products, to the investors.
"I created a sock for kids, made by this kid, to make life easier for whatever we're doing," Overton told the Sharks. Wise Pocket makes leggings and socks with pockets to hold phones and other devices, and with each purchase a pair of socks is donated to children's shelters across the country.
"I got into this business when I was 11," said Overton, who told the investors she'd been watching "Shark Tank" since she was 6.
"My cousin put her phone in her boot. I tried to, and it was really uncomfortable. I asked around my school to see if other kids had this problem, and they did, so I came up with my prototype," she said. "I cut off the top of another sock and stuck it inside the sock. And I sowed it up the sides."
But Overton, who lives in Betonville, Arkansas, really impressed the Sharks when she explained how she funds her business.
"I save everything that I earn. I invested $10,000 of my own money," she said. "I had saved $5,000 and I earned $5,000 more through business pitches and competitions."
"Sofi, you're a perfect example of what every kidtrepreneur should do," Shark Mark Cuban said. "You got a job, you saved up some money, you did all the prototypes yourself, then you made actual products, then you sold those products – $16,000 worth of products," he said, referring to the business's lifetime sales.
Although the cost to make the sock is high, at $5.47, the Sharks were still interested because of Overton.
Sharks Lori Greiner and Daymond John offered Overton $30,000 for a 33.3% stake in the business. Overton countered, asking the two for $35,000 for a 25% stake. Greiner and John accepted.
Greiner and John said on the episode their end goal would be to license the socks, but in the meantime, Overton's business is more than just a money maker to her.
"Going into high school is stressful," Overton told the Sharks. But "with the Wise Pocket Products, it's kind of a boost for me, a confidence boost: If I can own a business, then I can go through school," she said.
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Disclosure: CNBC owns the exclusive off-network cable rights to "Shark Tank."
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