Numilk, a company that produces machines to create fresh, on-demand plant-based almond milk, has become a noteworthy name in the beverage industry.
The company was founded by Ari Tolwin and Joe Savino, both seasoned entrepreneurs with backgrounds in the beverage industry.
Their innovative machine allows users to make fresh almond milk with just two ingredients: almonds and purified water.
For added sweetness, maple syrup can also be included. Customers simply need to insert a bottle into the machine, choose their desired option (sweetened or unsweetened), and within a minute, they have a fresh, homemade almond milk beverage.
Post-Shark Tank Success and Challenges
Numilk appeared on Shark Tank during its 12th season, where the founders pitched their business to the investors in exchange for $1 million in return for 5% equity.
They valued their company at $20 million at the time, which some Sharks felt was too high, but the pitch caught the attention of Mark Cuban, who offered $2 million: $1 million in cash for 7% equity and the other $1 million as a loan with 3% interest.
The deal was finalized, and Cuban’s backing proved pivotal in the company’s subsequent developments.
Since their Shark Tank appearance, Numilk has made considerable strides, securing partnerships with major retailers like Whole Foods, where they sell their machines in over 150 stores across the United States, primarily on the East Coast.
In addition, they launched a successful Kickstarter campaign, raising over $222,000 from more than 888 backers. Their home version of the machine is available for pre-order at $249.95, while the Pro version sells for $1,299.
Despite these successes, Numilk has faced challenges, particularly in terms of supply chain issues and delayed shipments, which have led to frustration among some customers.
The Kickstarter comment section has been filled with individuals seeking refunds, and although the company has negotiated a manufacturing deal with Hamilton Beach for the Home and Pro machines, their financial situation has remained precarious.
As of the latest available data in 2024, Numilk is valued at $55 million, though it is believed they are still losing money. The latest sales figures for 2023 have not been made public.
The Founders’ Journey and Business History
The founders, Ari Tolwin and Joe Savino, have deep roots in the beverage industry. Ari Tolwin, an orthodox Jew with an MBA from Duke University, co-founded Happy Tree Maple Water in 2013, where he served as CEO.
Joe Savino, who holds a BBA in Finance from Pace University, co-founded Harvest Beverage Group, a beverage contract packer, in the same year. Both left their respective companies after five years to focus on launching Numilk, a plant-based milk business.
The idea for Numilk came from Joe Savino, who saw the opportunity to create an on-demand almond milk maker.
The device was designed to be user-friendly, with a retail price of $299 for the standard model. Customers could simply insert a bottle, and the machine would create fresh almond milk in less than a minute.
Despite strong demand, Numilk’s early years were financially challenging. In its first year of operation in 2018, the company raised $12 million to develop its concept but only made $40,000 in revenue.
By the next year, revenues rose to $320,000, but the company suffered a loss of $3 million. In 2020, they earned $400,000 but still faced significant losses of $2 million.
Moving Forward
While Numilk’s journey has not been without its hurdles, it has certainly proven its potential in the plant-based beverage space.
The company’s products are now available in a growing number of grocery stores, and the backing of Mark Cuban continues to fuel their ambition for expansion.
They are working on building more wholesale partnerships with grocery stores and coffee shops and are focused on improving their supply chain issues.
Numilk’s goal moving forward is to turn its innovative concept into a profitable business while continuing to promote the growth of plant-based products in the market.
In sum, Numilk’s net worth as of 2024 stands at $55 million, a reflection of the company’s growth despite its ongoing struggles. With Mark Cuban’s investment and continued efforts to expand, the future for Numilk could still hold great potential.
However, it remains to be seen whether the company can overcome its financial setbacks and scaling challenges to reach profitability.
