It doesn't take long for Marcus Lemonis, self-made millionaire and entrepreneur, to recognize what a business is doing wrong. On this week's episode of CNBC's "The Profit," the small business investor visits a company that doesn't realize just how many people might want to buy its product.
Overtone Acoustics was selling its popular sound-absorbing panels, which double as art, to individual customers only, mostly those with music studios or home theaters. The company made a modest $300,000 in sales in 2016, and by not selling the panels for commercial use as well, it was missing out on a giant opportunity to earn additional revenue.
"[Founder and CEO Brad Turpin] doesn't realize that this artistic piece could now be used in any type of business — restaurants, hotels, bars, office spaces," Lemonis says.
His task was to get Turpin and his team to think creatively and expand its customer base. By marketing toward business owners, managers of hotels, and other audiences, Lemonis says the company could easily fix its money woes and do $1 million in revenue in 2017.
"What I like about Overtone is that they make products that are both functional and decorative," Lemonis says. "And I think a recording studio is only one of a number of places they could be used."
After revamping how the company manages its finances and makes its product, Lemonis secures Overtone an opportunity to pitch an executive of The Hard Rock Cafe. Turpin and his partner land a deal to outfit one of the company's New York locations.
"As far as I'm concerned," Lemonis says, "Overtone has a very bright future."