This blog will review each episode from the Entrepreneur’s point of view. Each Entrepreneur will be eligible to win the prestigious “Sharky Award”.
Platinum Sharky……Randy & Darrell with Ride-On Carry-On
This husband and wife team put on a great show. They had sold about 2000 units in the last 12 months at a price of $39.95. They had also spent about $150K on a patent. Given their passion, expertise in the field, and track record, they had no trouble getting $50K for 25% of the company.
They ended up accepting Barbara’s offer even though Kevin O’Leary (the self-proclaimed Mr. Wonderful) had given them a slightly better offer. They connected with Barbara even though “Uncle Kevin” topped her offer. Chemistry and culture are important in selecting an investor……always trust your gut. Well done!
Jeff Foxworthy had the funniest question of the night. He asked, “Kevin,who is calling you Mr. Wonderful?” There was no answer.
Gold Sharky….Mike and Shon with Hill Billy
These guys developed and trademarked a great brand. They ended up selling their entire company to Foxworthy, Daymond, and Robert for $75K plus 7% royalty. Considering their last 12 months sales were $50K-$60K, they made a great deal. They will make a lot of money and will not have to compete with the retail giants.
Silver Sharky……Ken from Uncle Zip’s Beef Jerky.
I found myself rooting for Ken. In the end, he’s better off without a 3rd party investor. He’s regional and too small for an outside investor. He also had decreasing sales. I would suggest he consider taking on a partner with complementary skills and giving him/her a piece of the business when certain milestones are reached. He needs to increase sales before asking for outside funding. I loved it at the end when he said, “I’m not gonna quit”.
Shark Chum Award…..Johnny and Vinny (from The Soprano’s) with The Broccoli Wad
Seriously? A rubber band to hold paper money? Barbara showed some creativity by funding this company and cutting Johnny down from 100% to 60% ownership and giving Vinny half of her stake. I wouldn’t have given them a $10 metrocard myself, but Barbara seemed confident that this train wreck could be salvaged and somehow thrive. This was an offer you could refuse.