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'Shark Tank' founders ask for $1 million — Barbara Corcoran says she'd rather buy a beach house instead

"I’m still concerned about taking on debt when we don’t need to take on debt, especially 9%," Rob Neuner said.

Over the years, many aspiring entrepreneurs have caught the attention of the Sharks with their innovative products. During an episode of 'Shark Tank' Season 11, Rob Neuner and his business partner, Mike Grice, presented their company, which manufactures and sells canned air, to the Sharks during Season 11. In the episode, Neuner and Grice were seeking a million dollars for a 5% stake in their company, Boost Oxygen. Neuner and Grice didn’t walk away empty-handed; they secured a million-dollar deal for Boost Oxygen.

During the pitch, Neuner said, "Oxygen is the most essential element for the heart, for the brain, and for the muscles to function. We've all seen supplemental oxygen being utilized by professional football players on the sidelines, by aviators, by mountaineers, and by many other people for many different purposes." Soon after, Grice chimed in, "Boost oxygen is 95% pure aviators' breathing oxygen compressed into affordable and portable aluminium canisters. It's an all-natural product for health and wellness, but it's not a medical device. Our mission at Boost Oxygen is to make compressed oxygen as available as bottled water."

When Neuner and Grice stated they were seeking a $1 million investment for a 5% stake in their company, Boost Oxygen, a shocked Barbara Corcoran said, "I'm out."  Following that, Kevin O'Leary asked the duo, "What are your sales?" to which Neuner responded, "This year, it will be $6.4 million. In 2018, we had $705,000 in net income. This year, we're gonna make another $1.5 million." Then, the duo revealed that their oxygen canisters came in 3 sizes, and they sold them for $14.99, $9.99, and $7.99. The manufacturing cost for all the sizes was $2.05.

Guest Shark Rohan Oza was the first one to back out, and he said, "My concern is you are trying to educate people on a problem they don't really know they have, and so, unfortunately, for that reason, I'm out." Following that, Corcoran shared, "I had an experience with your brand when I was in Utah with my husband. Bill has breathing issues. I wholeheartedly agree with you that you need to do retail because I don't think people take the time to think let me order a supply online, but as you've already learned, it's a very expensive proposition, more importantly, I saw a beach house last week that was exactly a million dollars, and it was beautiful. I'd much rather have that beach house for the million dollars, so I'm out."

Lori Greiner was the next Shark who refused to invest in Boost Oxygen. Meanwhile, Mark Cuban dropped out, saying he didn't see the potential in the product. At last, O'Leary offered a loan of $1 million at 9% interest for 7.5% equity in Boost Oxygen. As per Market Realist, after hearing O'Leary's offer, Neuner shared, “I’m still concerned about taking on debt when we don’t need to take on debt, especially 9%. Following that, Grice and Neuner asked O'Leary if he could lower the interest rate to 6% and his equity share to 5%. Eventually, O'Leary lowered the loan interest rate to 7.5% and his equity share to 6.25%, and the trio sealed the deal.