Ever wonder if the Sharks have second thoughts after they make a deal during an episode of Shark Tank?
I am aware of several deals that got killed, delayed, or re-negotiated during due diligence after the taping of the show. That is to be expected in any investment scenario.
But I have never heard of a case where a Shark passed on a deal (“I’m out”) and then accepted a counter-offer after the show……. until last Friday’s episode.
Jim Pittman from AirBedz drove a hard bargain during the show. In fact he rejected Barbara Corcoran’s offer of $250K for 50% of the company. He countered with $250K for a 25% stake and stood firm. Barbara sent him packing and said, “He’s a fool. He’s a fool” as he left the stage. Mr. Wonderful, Kevin O’Leary, also piled on by saying, “That guy made a huge mistake”.
This weekend, Jim posted the following comment on this blog……
“After the cameras were off, Barbara’s management team came to my dressing room asking me to consider accepting my counter offer that I offered Barbara at 25% equity stake, I agreed and left the studios with a Shark Tank deal. I am glad I stuck to my guns and didn’t fold like most of my critics would have”.
Interesting development. Looks like Jim is a better salesman than we thought! Good luck my friend. I will be interested to see how you’re doing in a few months.