Coinout, founded by Jeff Witten, gained attention after appearing on Shark Tank in 2017. Witten asked for $250,000 for 7.5% equity, valuing Coinout at $3.33 million. The app rewards users with cashback for scanned receipts and simplifies cash transactions.
Coinout’s Pitch on Shark Tank
Jeff Witten presented Coinout with a compelling pitch.
Key Highlights from the Pitch:
- Witten sought $250,000 for 7.5% equity.
- Merchants would pay a $20 monthly fee and a 3% transaction charge.
- The app eliminated the need for physical change and rewarded users for receipts.
While the Sharks liked the idea, negotiations were intense. Barbara Corcoran offered $250,000 for 15%, contingent on signing 700 retailers. Robert Herjavec matched her offer with a contingency for a pilot program with a large retailer. Witten accepted Robert’s offer, but the deal didn’t close.
Post-Shark Tank Growth
After its Shark Tank debut, Coinout experienced rapid growth.
| Category | Details |
|---|---|
| Founder | Jeff Witten |
| Industry | Mobile Payments, Cash Back |
| Founded | 2017 |
| Acquisition | Purchased by IRI Worldwide in March 2021 |
| Revenue (2021) | $12 million |
| User Base | Over 3 million monthly scans |
The app allowed users to scan receipts and earn cashback instantly.
How Coinout Works
Coinout offers two main methods for users to earn cashback.
- Receipt Scanning:
Users scan receipts and earn cashback instantly. There’s a limit of three scans per day. - Merchant Integration:
Partner merchants deposit change directly into customers’ Coinout accounts, simplifying cash transactions.
Cashing Out with Coinout
Redeeming earnings on Coinout is easy.
Options for Cashing Out:
- Amazon Gift Cards
- Bank Transfers
- Charity Donations
Users link their bank accounts to withdraw funds securely. For consumers, the app remains free, while merchants pay a $10 monthly fee.
Acquisition by IRI Worldwide
In March 2021, Coinout was acquired by IRI Worldwide. The acquisition marked a turning point, expanding Coinout’s reach. Jeff Witten stayed with the company until April 2022, later becoming an advisor and startup investor.
Coinout’s Key Features
| Feature | Details |
|---|---|
| User Interface | Simple and intuitive |
| Receipt Compatibility | Works with any receipt |
| Cashing Out Options | Gift cards, bank transfers, donations |
| Merchant Benefits | Reduces handling of physical change |
Coinout’s dual focus on users and merchants made it a popular choice in the mobile payments market.
Coinout’s Financial Highlights
Initial Valuation:
At the time of the Shark Tank pitch, Coinout’s valuation was $3.33 million.
Revenue Growth:
By 2021, Coinout generated $12 million in annual revenue.
Acquisition Impact:
The acquisition by IRI Worldwide enabled further scaling and innovation.
Why Users Love Coinout
Consumer Benefits:
- Earn cashback effortlessly.
- Secure redemption options.
- Free to use for consumers.
Merchant Advantages:
- Simplifies transactions.
- Enhances customer loyalty.
Jeff Witten: Vision Behind Coinout
Jeff Witten’s expertise in mobile payments helped shape Coinout. His innovative vision and industry knowledge have left a lasting impact on the fintech space.
Bio Table for Jeff Witten:
| Category | Details |
|---|---|
| Full Name | Jeff Witten |
| Background | Former Googler in mobile payments |
| Coinout Founded | January 2017 |
| Role Post-Acquisition | Advisor and investor |
Coinout Today
Coinout continues to thrive, offering cashback rewards and expanding its user base. Its acquisition by IRI Worldwide has strengthened its position in the market.
