Legacy Shave burst onto the men’s grooming scene in 2016 with an innovative product that fused a shaving brush and shaving cream dispenser into one convenient tool. Since appearing on Shark Tank in 2022, this family-run business has seen tremendous growth in sales and brand awareness. So what’s the story behind Legacy Shave’s rise to success? Let’s take a closer look at Legacy Shave Net Worth and Revenue- What’s Behind Its Success.
The Origins of Legacy Shave
Legacy Shave was the brainchild of brothers Dave and Mike Gutow. The pair came up with the idea while they were in college, but it wasn’t until after their father passed away that they decided to pursue it in his honor. Sadly, their father died before seeing the product come to fruition, but the Gutow brothers were committed to paying tribute to him through their business.
When cleaning out their father’s basement after he died, Dave and Mike came across over 3,000 prototype shaving brushes he had secretly squirreled away. They took this as a sign to carry on his vision. In 2016, Legacy Shave was officially launched, combining a shaving brush and shaving cream canister into one practical grooming tool.
Perfecting the Design
The Gutows encountered challenges early on with designing an effective product that dispensed shaving cream while also providing a soft brush. After years of testing different formulas and materials, they finally perfected the design in 2019.
The newly engineered Legacy Shave featured a stainless steel canister topped with a soft, flexible shaving brush. With the push of a button, the perfect amount of shaving cream is dispensed for an easy glide across the skin. No more fussing with cans and brushes separately.
Crowdfunding Success on Kickstarter
To fund production of their newly perfected design, the Gutow brothers launched a Kickstarter campaign in 2019. They set a funding goal of $20,000 to cover their first production run. Within the first day, their campaign exceeded that goal by $50,000. By the end, over $260,000 was pledged by enthusiastic backers of this innovative new grooming tool.
The successful crowdfunding campaign provided the capital needed to manufacture and fulfill orders to backers. Positive reviews and word-of-mouth spread, priming Legacy Shave for even more growth in the months ahead.
Growth After Shark Tank
The biggest turning point came in 2022 when Legacy Shave founder Mike Gutow appeared on entrepreneur pitch show Shark Tank. He wowed the investors with his unique shaving brush concept and moved them with the poignant backstory of creating the product to honor his late father.
Mike agreed to a $700,000 investment deal from Shark Lori Greiner in exchange for 95% equity in Legacy Shave. Since his appearance and partnership with the high-profile investor, Legacy Shave has seen explosive growth.
In the first week after the Shark Tank episode aired, Legacy Shave sold over 2,500 units and added 800 new subscribers. As a veteran of the consumer products industry, Lori Greiner provided invaluable guidance to boost Legacy Shave’s marketing and distribution. This catapulted the company to new heights.
Legacy Shave’s Net Worth in 2024
In the five years since first launching, Legacy Shave has sold over 100,000 units and brought in over $1 million in gross revenue. The company has expanded from a passion project in the Gutow’s basement to a rapidly growing men’s grooming brand. Legacy Shave has only realized a fraction of its potential so far.
Based on sales history and forecasts, Legacy Shave is estimated to be worth around $$1 million as of early 2024. With Lori Greiner’s involvement adding rocket fuel to growth, that valuation is likely to rise quickly throughout the years ahead. The company currently sells its signature shaving brush and shaving cream combo pack for $19.99 direct to consumers.
A key part of Legacy Shave’s value lies in its strong consumer demand, recurring subscription sales, and lean business model. Mike Gutow initially invested $400,000 of his own money to get Legacy Shave up and running. By keeping costs low and production efficient, the business has strong profit margins even as a young company.
Untapped Market Potential in the U.S. and Abroad
As of 2024, Legacy Shave primarily sells its products direct to consumers via its own ecommerce site and third party online retailers like Amazon. So far, only about 1-2% of its total sales have come from retail distribution in physical stores.
But the company has high growth potential in retail chains across America and internationally. The unique shave brush concept and push button shaving cream delivery makes it stand out on store shelves. Legacy Shave is well positioned to replicate the success of other male oriented grooming brands with the right retail partnerships.
The subscription razor market pioneered by Dollar Shave Club proves that men are willing to pay for convenient shaving solutions delivered to their door. Legacy Shave is essentially the Dollar Shave Club of shaving brushes, with recurring delivery of brush heads and shaving cream refills.
Over 95% of Legacy Shave’s sales are from the United States currently. But the universal appeal of comfortable affordable shaving opens doors to overseas markets too. Beard care products have taken off in Europe and Asia. Legacy Shave can tap into the global $11+ billion shaving industry in these regions.
Catering to Wholesale and Private Label Opportunities
Aside from direct-to-consumer ecommerce, Legacy Shave also sees major wholesale opportunities selling to barber shops, men’s salons, and luxury hotels. Their unique shaving brush design brings an upscale feel that businesses want to provide clients.
Early data shows strong demand for customized private label shaving brushes too. Legacy Shave offers custom branding on the product label and brush for companies that want to resell or provide co-branded shave brushes. This creates an added revenue stream beyond consumer sales.
The growth strategies Lori Greiner undoubtedly has in store will lean heavily into these wholesale partnership and private label prospects.
Continuing a Legacy of Innovation
Legacy Shave has already carved out a special niche in the men’s shaving market with a product that makes the routine easier and more enjoyable. But the company sees potential to expand into a full men’s grooming brand centered around their novel shave brush.
Future possibilities include developing complementary products like beard oils, mustache waxes, and skincare creams that could be cross-sold to their existing customer base. The brand name Legacy Shave works nicely for spinning off other men’s self-care products.
The Gutow brothers also recognize that women purchase shaving products for the men in their lives. There may be room to develop a Legacy Shave line specially designed for female consumers doing gift shopping for Father’s Day, birthdays, anniversaries, etc.
No matter what direction Legacy Shave takes in the future, innovation will remain at its core. The company is already pioneering the shaving brush category. With more ingenuity, it can cement itself as a leader in men’s grooming innovations.
The ethos Mike Gutow described on Shark Tank continues to drive the brand – creating high quality products that make people’s lives better. By honoring their father’s entrepreneurial spirit, Legacy Shave aims to keep revolutionizing the shaving experience for men everywhere. Judging by their success so far, they are right on track to leave a lasting mark. I sincerely hope you enjoyed reading this “Legacy Shave Net Worth and Revenue- What’s Behind Its Success?” article.