March 04, 2024
@eatfilamanila/Instagram
Fila Manila, a condiment brand focused on Filipino flavors, secured an investment on ABC's 'Shark Tank.' Company founder Jake Deleon is a Drexel University graduate who launched his business in Camden County in 2020.
A Drexel University graduate landed an investment deal on ABC's "Shark Tank" on Friday for his condiment brand Fila Manila, whose spreads celebrate flavors and ingredients popular in Filipino cuisine.
Founder Jake Deleon, who was born in the Philippines and grew up in Camden County, pitched his growing brand to the panel of sharks and explained that he wanted to represent the next generation of Filipino-American flavors. Deleon founded the company in November 2020, having previously created an almond milk brand that he discontinued due to setbacks from the COVID-19 pandemic. Before becoming an entrepreneur, Deleon helped develop products and manage brands for Procter & Gamble, Starbucks, Pringles and the pet-food brand Iams.
Fila Manila's condiments include a banana-based ketchup, ube purple yam and coconut spread, adobo marinade and sauce, creamy peanut sauce, and pineapple rum sauce. All of the spreads are gluten-free, dairy-free and vegan with no artificial colors or flavors. The products are sold by grocers in 25 states at stores including Whole Foods, Target, Stop & Shop and Mom's Organic Market.
Deleon's initial pitch to the sharks — 5% equity in the business for $250,000 — was met with an "ouch" from Kevin O'Leary and a groan from Daymond John.
But guest panelist Daniel Lubetzky, the founder of snack brand Kind LLC, took an interest in reaching a deal.
"I'm excited about this," Lubetzky said. "I think as an entrepreneur, you are extraordinarily credible."
Lubetzky and the rest of the sharks questioned Deleon's $5 million valuation of the company, which jumped from $50,000 in sales in 2021 to $400,000 in sales the next year. After the company shifted its product packaging to better serve a direct-to-consumer model, sales tapered off during the first half of 2023.
Lubetzky agreed to invest the $250,000 in Fila Manila in exchange for a 20% ownership stake at a reduced valuation of $1.25 million. Deleon can get back 5% of the company by meeting sales benchmarks. He's hoping to expand the company's U.S. footprint and boost e-commerce sales of his spreads.
“I’m super psyched I got a deal with Daniel. He was the shark I was targeting, and I think Daniel’s experience building Kind is going to bring Fila Manila where I want it to be,” Deleon said during an interview segment after his pitch.
Deleon initially established Fila Manila out of Laurel Springs, but he moved the company to Washington, D.C., in 2022.
Before his "Shark Tank" episode aired, Deleon went on the Startup CPG podcast to talk about Fila Manila. He said he had tried to get on the show several times in years past but was overlooked on a few occasions. His episode was filmed during the first half of last year.
"Last year, I emailed them again. ... I'm like 'Hey, I'm still in business, I'm still alive. This is what's going on. This is our traction,'" Deleon said. "And they were like, 'Cool, let's go through this.' So I guess third time's a charm."
Deleon said he fully expected to have to negotiate with the sharks to get a deal done.
"You come into the show and then you expect that you have to negotiate. And then you're familiar with how the sharks negotiate as well, so you have to come in with that mentality because if you do make a deal, you're probably starting from way up here and they're going to want to bring you way down here. You have to think about the mentality of meeting somewhere in the middle."
Fila Manila is the latest brand from the region to land a deal on "Shark Tank." Past companies to emerge from the show with an investment include beach chair company Sunflow, which got a $1 million investment from O'Leary in 2022. The salad brand Simply Good Jars, paper product company Black Paper Party, KIN Apparel and Bleni Blends are among the other local companies that have gotten deals on the series.
