Pearachute, a Chicago-based startup that helps parents and guardians find local activities for their children to take part in, received $500,000 from Shark Tank judge Mark Cuban in exchange for 15 percent equity in an Oct. 29 episode.
However, shortly after the episode was filmed, the deal fell apart when Desiree Vargas Wrigley, founder and CEO of Pearachute, determined that the deal terms weren't sufficient, according to The Chicago Tribune.
Pearachute, founded in 2016 by Vargas Wrigley, has $1.4 million in funding and has been backed by major tech players, like Match.com CEO Sam Yagan and Techstars co-founder David Cohen.
Activities available on Pearachute are available seven days a week and range from baseball to ballet. Pearachute offers three monthly subscription packages, a four-credit plan for $39, a nine-credit plan for $79 and a 30-credit plan for $199. Besides Chicago, the service operates in Dallas/Forth Worth, Kansas City and San Francisco.
Though the investment deal fell apart, appearing on Shark Tank is generally good exposure for a startup and can help them grow in other ways. Pearachute isn't the first local startup to appear on Shark Tank. Other Chicago companies like Guard Llama, PackBack and LuminAid have been on the show as well.
“From the bottom of our hearts, thank you for all your support,” Pearachute said on their Facebook page Friday. “We wouldn't be where we are today without the support of Pearachute families like you.”
