**Shark Tank Entrepreneurs in the Crosshairs of Trump’s Trade Wars**
In a world where business decisions can lead to the creation or destruction of dreams, some entrepreneurs are finding themselves in tumultuous waters, thanks to the ongoing trade wars ignited by Donald Trump. Among them is Donnie McCall, who waltzed into the famous Shark Tank back in 2012 with a vision, a trusty pickup truck, and a request for $100,000 to bring his invention, Invisarak, to life. This collapsible cargo rack was aimed squarely at tradespeople—a market he believed would appreciate its American-made quality. However, McCall met strong resistance from the Sharks, who were more focused on the cold hard facts of production costs than on local pride.
When McCall appeared before the Sharks, he revealed that his first-year revenue was around $50,000, with production costs hovering at a steep $250 per unit. Kevin O’Leary, ever the pragmatic investor, nudged McCall to shift manufacturing overseas, suggesting that an Asian factory could produce the same product for just $150. But McCall stood firm, insisting on keeping jobs in the United States and believing that hardworking Americans would pay a bit more for homemade quality. Unfortunately for him, the Sharks weren’t biting—not one of them extended an offer, and McCall’s steadfast determination to keep production domestic was portrayed as an obstacle by none other than Barbara Corcoran.
The Sharks’ advice is a reflection of a long-standing strategy in the business world: chase after lower production costs, often overseas. Many companies have thrived by going this route, with American consumers enjoying lower prices on everyday goods. However, the global pandemic unveiled a different reality. Supply chains went haywire, and suddenly, businesses had to contend with risks associated with relying solely on overseas factories. Now, under Trump’s administration, the tables have turned, and tariffs threaten to sink ships that were once sailing smoothly.
Forbes recently reached out to various Shark Tank entrepreneurs to gauge how they’re faring amidst the chaos of new tariffs. Surprisingly, only a couple of Sharks offered their insights on the situation. Mark Cuban, ever the astute businessman, mentioned that he has begun surveying his portfolio of companies for feasible production shifts back to the U.S., specifically highlighting Guardian Bikes as a success story in domestic manufacturing. On the flip side, fellow Shark Damon John pointed out that each business has its own challenges to decipher, calling on companies to keep an eye on not just tariffs, but also inflation and shifting consumer behaviors.
Many of the Shark Tank alumni are now grappling with rising costs and unpredictable regulations that can change faster than you can say “business trip.” Some entrepreneurs, particularly those in apparel, have found outsourcing to China was not just a choice but a necessity. For companies like Bombas, which already enjoys substantial revenue, manufacturing in the U.S. seems reasonable in theory but impractical in practice. As tariffs soar—sometimes up to 145%—many small businesses are, quite frankly, panicking.
Several entrepreneurs are weighing their options, contemplating painful decisions like discontinuing certain products or, in the most dire situations, shutting their doors for good. They’re hoping against hope for a resolution to the trade turmoil so they can salvage the businesses they’ve poured their hearts into. For a deeper dive into the plight of these ten Shark Tank companies navigating the high seas of tariff pressures, readers can check out Brandon Cookin’s full coverage over at Forbes.com. Until then, it seems that for some entrepreneurs, the dream of a thriving American business could be hanging in the balance.
