Rent A GrandMa Shark Tank Update
Child Care Service's - Season 3 - Episode 305
Now here's a novel idea that could fulfill a much needed service when you are trusting someone with your most prized possession, your Kid's. I distinctly remember the very first time we hired a baby sitter when our Son was only 7 months old. We must have called no less than a half a dozen times before we finally cut the night short and came home early. I sure wish we had a
Todd Colby Pliss must of had a similar experience for him to come up with the Rent A Grandma Business Opportunity. It was such a unique idea combining Grandma's with parents looking for a responsible babysitter, he already had 50 Grandma's on the books and ready to rent out.
Pliss and one of his hired Grandma's came into the Shark Tank looking for a $150k investment in exchange for 20% of the Rent-A-Grandma Franchise Opportunity. His flagship store is located in Los Angeles, Ca. which all Grandma's are also certified cookie makers and always eager to bake a fresh batch of cookies. Sure it sounds a little gimmicky, but it is a unique twist that keeps the phone ringing.
Total sales last year for the Rent A Grandma Business was around $25,000.00 with each Grandma being rented out for $14 to $20 per hour depending on your needs. According to Todd, when you compare hiring a teenager for babysitting that charges $10 to $13 per hour, you receive a lot more value for your money. Geese, I guess I haven't hired a babysitter for a while but do babysitters really make that much money these days?
Kevin O'Leary starts crunching the numbers after Todd says the companies cut is usually 15% of the babysitting bill. Kevin is not happy Granny will make $85 for 5 hours of babysitting when his cut would only be $15 bucks. O'Leary says "It's not enough. we gotta squeeze Granny Big Time". LOL, it's a classic Shark Tank Scene for the ages.
Even though the margins seem rather low with the Rented Grandma making the majority of the money, Pliss explains their customers pre-pay for several months in advance with an average bill between $1200 to $2400 collected up front. This helps keep the overhead low while showing a decent profit upfront. Once the Granny's get their schedule, the companies work is mostly done.
In the end, none of the Sharks were interested in this untapped labor force renting out Grandma's and no deal was struck on the Shark Tank Show.
Todd didn't get a deal on Shark Tank but that has not stopped the Rent A Grandma business to take off in a major way. According to the website, he now has over 340 Grandma's signed up and ready to be rented out. But as hard as I tried I could not find a list with all the new Franchise locations. I found new Rent A Grandma's from Dallas to Ft. Lauderdale and one as far away as Winnipeg, Canada, but no real information on the new franchisees that have joined this opportunity.
The Rent A Grandma has also expanded its services to include child care, home care, cooking, cleaning, pet care, senior care, tutoring and even a personal assistant. In fact, you can rent a Grandmother for just about anything you might ask of your own Grandma.
I could not find anything on the site but it looks like Pliss has also started the Rent A Grandpa Business. At least the same web developer developed both sites so I'm assuming this is also his business as well. You can hire a Grandpa for just about anything imaginable, but you may have to pay for a membership to use these services.
If I read this correctly, you can get a free membership if your area is still being developed with Rent A Grandpa's looking for work. But once the consumer list grows, you will then need to pay for a membership to hire them. I'm not so sure charging the consumer for a service like this is the best route especially when Angie's List provides this service for free, but I do like that name.
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