Minnesota "Shark Tank" entrepreneur risks $48K tariff hit as Supreme Court decision looms

When an anticipated Friday Supreme Court decision on President Trump's tariffs failed to materialize, it forced Beth Benike, a small-business owner in southern Minnesota, to make a $48,000 bet.

Why it matters: The U.S. Army veteran and former ABC "Shark Tank" contestant has become somewhat of a national poster child for small businesses that have been hurt by the tariffs and the past week has been a roller coaster as she wrangles with how to survive.

The latest: A ruling could come as soon as Wednesday, and if the tariffs stand, her Busy Baby company will owe $48,000 upon arrival of her goods in March. Busy Baby makes mealtime mats and other infant products.

• But delaying the shipment before a Lunar New Year slowdown would have meant a depleted inventory and a $500,000 loss in sales, she told Axios.

Driving the news: Benike attended Treasury Secretary Scott Bessent's Thursday speech before the Economic Club of Minnesota in Golden Valley and asked a question during the Q&A.

• She explained that she would love to make her products in the U.S., but her company is too small for large manufacturers to take on and too big for small manufacturers.

What should businesses like hers, stuck in the middle, do?

Bessent's answer was that she should consider relocating manufacturing from China to another Asian country, where tariffs are 18%-19%. For comparison, her products are currently tariffed at 30%.

Afterward, Benike told Axios she thought Bessent's answer was "bullsh*t."

• She said it would be very expensive to move production to another country, and given the history of Trump's volatile tariff policies, there's no guarantee that rate wouldn't later be increased.
• No other country has the skill and efficiency working with silicone that China has, she added.

State of play: Busy Baby did $4.7 million in sales in 2024. Benike projected $5 million in 2025, driven in part by new deals with Walmart and Target, but ended the year with just $1.8 million after struggling to maintain inventory levels.

• Her brother, who co-founded the business with her, had to leave and return to his old job.
• She's been paying property taxes only on the loan on her Zumbrota warehouse since October and is trying to sell the building or sublease space.
• To compound her problems, her husband, Jake, is a soybean farmer who got a lower price on this year's crop due to the trade war and is planning for subdued demand next year.

What we're watching: If the Supreme Court allows the tariffs to remain in place, Benike plans to add a tariff surcharge to her products.