LINKA – Smart Bike Lock
NO DEAL
EPISODE SUMMARY
🕓 Air Date: February 26, 2016
Asking For:
$250,000 for 10%
Investor:
No Deal
Deal:
No Deal
PRODUCT SUMMARY
LINKA is the world's smartest bike lock, utilizing a hardened steel ring that slides into place with a tap of a button and an accompanying app to provide additional features such as battery life monitoring and theft alerts.
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Background Story
Mohamed Mohamed, the founder and CEO of LINKA, hails from Oakland, California. Frustrated with the prevalent issue of bike theft affecting 1 million Americans annually, Mohamed decided to tackle the problem head-on. A mechanical engineering graduate from The City College of New York, Mohamed began his career as a manufacturing engineer at Toyota, emphasizing a background in manufacturing and quality.
Inspired by personal experience and the desire to contribute to bike security, Mohamed launched LINKA. His motivation stems from his parents’ immigration from Egypt to provide him and his brother with a better life, showcasing a strong drive to succeed and gratitude for his family’s sacrifices.
The Product
LINKA is a smart bike lock designed to combat the rising issue of bike theft. Activated with a simple tap of a button, a hardened steel ring slides into place, securing the bike without the need for keys or bags. When the user approaches, LINKA recognizes their proximity and automatically unlocks.
The accompanying app not only monitors the lock’s battery life but also provides updates on local bike theft history, recommends safe parking spots, and suggests routes to those locations. The lock’s strategic placement makes it challenging for potential thieves to access it with bolt cutters.
LINKA offers an optional mounted add-on noose chain for additional security. Priced at $129 MSRP, with an additional $30 for the optional chain, LINKA has gained traction with a successful Kickstarter campaign, exceeding its goal and generating $130,000. Since then, the company has achieved sales of approximately $40,000.
How It Went
The company’s position before Shark Tank
LINKA launched its product through a successful Kickstarter campaign, demonstrating strong initial interest and support. The founder, Mohamed, highlights a background in manufacturing and quality assurance gained from working at Toyota. The company’s sales since the campaign amount to $40,000, indicating steady consumer adoption. LINKA has secured partnerships with distributors, retailers, and biking manufacturers, with a strategic focus on the bike-centric city of Amsterdam, where they have 45 meetings lined up.
Mohamed emphasizes the company’s dedication to addressing the prevalent issue of bike theft, backed by thorough research and preparation. Despite the disappointment of not securing a deal on Shark Tank, Mohamed remains confident in LINKA’s potential and determination to continue growing.
The Negotiations:
Despite a compelling pitch and positive aspects of the LINKA product, the sharks ultimately did not invest. Barbara Corcoran and Kevin O’Leary expressed skepticism regarding the product’s deterrent effect in deterring bike theft in larger cities. They believed a visible chain serves as a more effective deterrent. Mark Cuban, while acknowledging the product’s potential, criticized the valuation, finding it about 50% too high. The sharks collectively raised concerns about the highly competitive market for bike security solutions and the challenge of introducing a “better mouse trap” in such a saturated space.
Mohamed defended LINKA’s preparation, quality, and customer needs, emphasizing the extensive research conducted before launching the product. However, the sharks remained unconvinced, ultimately leading to LINKA leaving the tank without a deal. Mohamed expressed disappointment but remained determined, citing the hard work and dedication invested in LINKA, ensuring its continued growth despite the setback on Shark Tank.
