Saskatchewan-raised non-alcoholic winery co-owner lands $1M deal on Dragons’ Den
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It’s a classic story of a small business that can make it happen.
Canada’s first non-alcohol winery landed a $1M investment deal in the television show Dragons’ Den in January.
ONES’s passion project Tyler Harlton from Pence, Sask., and Agriculture Canada scientist Chris Pagliochini. Having grown up surrounded by prairie farms, Harlton is no stranger to the agriculture industry himself.
ONES owners said their experience at Dragons’ Den is a key part of their success in creating wines that have the flavor and texture consumers expect from alcoholic wines. ONES products contain only 0.5 percent alcohol and zero sugar.
Since launching in 2022, ONES’s wines have grown from being sold in small boutique shops to hitting shelves in nearly 600 stores across Canada.
The owners of ONES, Canada’s only non-alcoholic winery, have struck a $1 million investment deal for 15 per cent equity from beverage industry leader Manjit Minhas of Dragons’ Den. Co-owner Tyler Harlton is originally from Penns, Sask., and says the non-alcohol beverage industry has experienced significant growth since ONES launched in 2022.
Harlton told CBC Saskatchewan that going to Dragons’ Den was a big step for him, and finally validated what he and Pagliochini had been working hard on for less than four years.
“He said, ‘Yeah, it’s a great business.’ The business has value and (they) think it has potential,” Harlton said from his business in Summerland, B.C.
“So for people who started out, making batches in the kitchen and hand-delivering… just to see that kind of stage recognition, it was really rewarding. And as a growing business, we’re looking for resources, for money, for expertise.”
The four dragons were surprised by ONES’s steady growth and revenue in a short period of time – especially when Harlton and Pagliochini told them that they could not only pay themselves and their communications coordinator, but put the remaining profits into marketing.
While the Dragons said there was still a lot of work to do to take the business to the next level, everyone was impressed. Long live the dragon, said Harlton, Business woman and investor Arlene Dickinson provided particularly useful criticism to the ONES team.
“Arlene told us, ‘You’re a Canadian brand that uses Canadian wines. You should really put that front and center,'” Harlton said, adding that this is great advice for an emerging business during the current economic pressure for Canadian-made products.
ONES’ Merlot bottles now have the Canadian maple leaf on them, and more changes are on the way.
eradicating stigma
The success of ONES means more to its owners than just expanding its reach and advancing the science behind alcohol-free wines.
Harlton said this means more people who don’t or can’t drink alcoholic beverages can still enjoy quality wine, and they can do so with less risk of people pressuring them about why they aren’t drinking wine.
“There’s still this stigma that if you’re drinking non-ALC wine you’re a loser, or there’s something wrong with you. And as more people are drinking non-ALC wine, that stigma goes away.”
Katherine Harbach of Regina has faced this stigma since she was diagnosed with non-alcoholic fatty liver disease, in addition to other health problems, about two years ago.
Harbach said, “I (had to say) I needed to buckle down and give up alcohol and eat better. Hopefully my situation would improve. That’s where I really started to look into different non-alcohol options.”
When people found out that she was not drinking, they would press her for reasons or ask if she was pregnant. Harbach said he felt the questions were offensive.
Meanwhile, the 37-year-old mom wanted drinks that weren’t pop or juice. She wanted to enjoy something special at dinner tables, restaurants and beaches.
Harlton said that’s why he sees demand for non-alcoholic premium BC wines.
Harbach described ONES’s success on Dragons’ Den as a great sign. He said this shows that the non-alcohol beverage industry is growing and stigma is decreasing.
“I think it’s really incredible that this is available to people who are recovering alcoholics or, like me, whose health conditions are such that alcohol is no longer an option.”
In Dragons’ Den, it was ultimately beverage industry leader Manjit Minhas who offered ONES winemakers a $1 million investment deal in exchange for 15 percent equity.
It features Harlton and Pagliochini saying “Cheers!”
