Vietnamese Startup’s Flood-Proof Car Solution: Waterproof Tarps Transform Vehicles into Boats, Lifting Up to 1,800 kg Trucks, Sparking Shark Tank Frenzy

The rainy season is a significant concern for many car owners in Vietnam. When floodwaters reach the car’s hood, the engine and air intake system are at risk of submersion. Even with repairs, the engine may suffer hydrostatic lock, requiring at least a partial overhaul or piston replacement. In severe cases, a cracked engine block necessitates a full engine replacement. Electrical systems are particularly vulnerable to water damage, leading to short circuits, corrosion, and malfunctions. High-tech vehicles with advanced features are even more susceptible to such issues.

Flood-damaged cars often retain a persistent odor, and water intrusion can damage speakers, causing distorted sound. The drivetrain may also be affected, with rust and corrosion leading to unstable performance. Interior components like the headliner and trim panels may need to be removed for drying or replacement, resulting in an uneven appearance.

If a vehicle stalls due to flooding and water enters the engine, a complete overhaul is necessary to restore functionality.

While insurance may cover some repair costs, a car’s value can depreciate by 30% to 60% after each flood event.

In response to these challenges, Covo, a startup specializing in car flood protection covers, emerged with the mission to revolutionize how vehicle owners safeguard their assets.

Covo’s co-founder and CEO, Hà Phước Thành, conceived the idea during his time in the U.S. On Shark Tank Vietnam Season 4, he shared that friends owned luxury cars but lacked protection during floods. After repairing their vehicles, Thành began developing flood protection solutions for cars, founding Hoa Lộc Thành to bring the product to international markets, particularly flood-prone countries.

Covo’s flood cover is designed as a floating “bag” that envelops the entire vehicle. As water rises, the cover acts as a buoyant barrier, keeping the car afloat instead of submerged. Tests show it can support a 1.8-ton Mitsubishi Triton.

During the 2021 Shark Tank pitch, the cover was priced between 4.2 and 5.3 million VND, depending on vehicle size. At that time, only nine units had been sold, but the product’s potential attracted significant investor interest.

On Shark Tank, Hà Phước Thành sought 1 billion VND for 10% equity. Despite modest sales, the innovative concept sparked intense negotiations among the sharks.

Shark Đỗ Liên offered 1 billion VND for 45% equity, leveraging her insurance expertise to support distribution. Shark Nguyễn Xuân Phú proposed 1 billion VND for 25% equity, citing the product’s market potential. Shark Phạm Thanh Hưng offered 1 billion VND for 10% equity, plus a 500,000 VND royalty per unit for the first 10,000 sales. Shark Nguyễn Hòa Bình presented a unique deal: 1 billion VND for 0% equity, with a 500,000 VND royalty per unit until recouping costs and achieving 5 billion VND in profit, then reducing to 250,000 VND per unit.

After negotiations, Thành partnered with Shark Hưng and invited Shark Liên to collaborate, aiming to expand into insurance-integrated car protection solutions.

Following the Shark Tank investment, Covo continues to operate. By October 2022, the company established official distributors in Japan and Australia, targeting markets vulnerable to natural disasters.