Convincing a child to take a bath after playing is hard. But what if they could bring their playtime to the bathtub? SoapSox sells adorable plush toys with soap pockets, so your kids can also use them to wash themselves. Founders Alvin Uy and Ray Philips pitched the business on Shark Tank but didn’t get a deal. Following its Shark Tank debut, SoapSox is worth $6.2 million.
The Founders
Alvin Uy and Ray Philips are both fathers who grew up in the same area in LA. Ray graduated from the University of California and Alvin studied art at three schools: Cal Poly Pomona, Platt College, and ArtCenter College of Design.
Not much is known about Ray’s early career, except that he worked at a child treatment facility. However, Alvin started as a senior art director at TLR & Associates and later became a creative director at Insight Creative Group, Inc. As a businessman, he founded Vinjen Realty, Vinjen Capital, and AARK Investments.
Founding SoapSox
At Ray’s job, there was a kid that refused to bathe for days as he couldn’t take his favorite stuffed toy into the bath. So, Ray made a plush toy that could hold soap and it worked. He was convinced this could help other parents and partnered with Alvin to design the product.
SoapSox was launched in 2013 with seven toy designs. The duo ran a Kickstarter campaign that raised $52,000 from 624 backers. Six months later, they did $300,000 in sales and inked a deal with Nordstrom.
Shark Tank Appearance
Despite being new to the market, SoapSox already had impressive sales. Alvin and Ray appeared on season six of Shark Tank, seeking $260,000 for 10% equity. After making their introduction, each Shark was given a SoapSox animal that symbolized their personalities. Sadly, the Sharks were surprised at the hefty margins of the toys.
Daymond John offered $260,000 for 33%, but the entrepreneurs didn’t want to give away too much equity. That’s why they turned down Lori Greiner and Robert Herjavec’s offer of $1 million to buy the entire company.
After Shark Tank
Despite not getting a deal, Alvin and Ray turned to crowdfunding to raise money. In 2020, they raised over $1 million on StartEngine at a $6.2 million valuation. Currently, SoapSox makes around $2.5 million in annual revenue. Websites such as GoBankingRanking estimate their annual sales to be $8 million but there are no sources to verify this.
In 2016, the startup scored a licensing deal with Disney and Paw Patrol, which let them make plush toys of TV characters that kids adore. The products are available on SoapSoxKids.com, Walmart, ToysRUs, Amazon, and 50 Nordstrom US stores. Right now, they’re in over 400 mom and pop stores and hospital gift shops.
Many SoapSox toys have 4 to 5-star reviews on Amazon. Children and parents love them and SoapSox is continuing to see steady growth. The Sharks will regret not offering slightly more money to buy them out.
