A college dropout who was fired later started a sweet tea company that now generates $4 million annually.

Darien Craig and Brandon Echols have been friends since they were six years old in Hayden, Alabama. They went to the same high school and dropped out of college together, as they revealed on Friday's episode of ABC's "Shark Tank."

In that episode, Craig and Echols reached another significant achievement together: accepting an investment proposal for their jointly owned business, Y'all Sweet Tea, which Craig established in 2021 following his termination from his previous employment, as he stated on his company's website.

"The week I was fired, I had only $7 left," Craig wrote. "I used the $300 from my last paycheck to buy the jars, sugar, and tea that would eventually launch my idea."

Echols stated on "Shark Tank" that the company sells its tea both directly to consumers and in approximately 600 grocery stores, primarily in the southeastern United States. Last year, the company generated $4 million in revenue, including nearly $800,000 in profit.

The show's investor judges found the detail that the company added flavored teas to its lineup last year and sold 10,000 units of its first flavor, "Georgia Peach," in just 35 minutes, particularly interesting. Craig noted that the first eight of those minutes were responsible for $100,000 in sales.

"Few entrepreneurs can claim to have dropped that amount of money on their own site in such a short period," Kevin O'Leary stated. Barbara Corcoran added, "That's quite rare."

Mark Cuban remarked, "That is like beauty."

'You don't need me to tell you how to run this business'

Craig and Echols requested $500,000 from investors in exchange for a 5% stake in their company. Rashaun Williams, a venture capitalist and minority-stake owner of the NFL's Atlanta Falcons, quickly offered them $500,000 for 10%.

"Williams stated, "I will allow you to determine whether you want to visit Walmart, remain direct-to-consumer, or strike a balance between the two. You don't require my guidance on how to manage this business; I believe you are on the path to success.""

Cuban and Corcoran were a better fit for Williams' investment style, as Craig and Echols noted that they hoped to eventually find an exit for their company and a professional VC investor could help them grow enough to get acquired or go public.

O'Leary proposed a joint offer with Williams for $500,000 for 20% of Y'all, which the two investors would split down the middle.

Lori Greiner and Mark Cuban made a joint offer of $500,000 for 15% of Y'all. O'Leary countered with the same amount.

Craig inquired about the possibility of any investors contributing an additional $250,000. However, they declined, with Williams stating that they could always raise more funds in the future. Following a brief discussion, Craig and Echols opted for Greiner's and Williams' joint offer, prioritizing the combination of Williams' VC expertise and Greiner's retail experience over the stronger financial terms of Williams' individual proposal.

""Lori's retail experience and Rashaun's business acumen made for an unbeatable partnership," Echols remarked."

CNBC has the exclusive rights to air "Shark Tank" off-network.

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