Interesting assortment of entrepreneurs and products in this episode. Doug from biem was the clear standout and is the winner of this week’s Sharky award for entrepreneurial excellence.
Doug has a background in the food industry and has created a sleek-looking, hand-held processor that melts and sprays real butter on vegetables, popcorn, etc. He sells the device for $137 and forecasts sales of $10 million next year. Doug was asked if he could cost- reduce his product so it could be sold for $99 and he said he could. This got three of the Sharks very interested and a bidding war ensued.
Doug showed very little emotion during the bidding process and this was mistaken for him not being decisive by Shark Daymond who withdrew his offer. Doug simply stayed quiet while the offers improved (good poker face) and eventually he made a deal with Lori for $500K for 14% equity. She is the perfect partner for Doug as this will be a great QVC product.
Best of The Rest……..Monica and Becca from Solemates both worked at Goldman Sachs before starting their company. They gave an excellent presentation, but I can’t appreciate how big the potential market is for plastic caps that cover part of a high heel in order to prevent sinking into grass while attending an outdoor wedding. They’ve created a new category and forecasting is a very inexact science.
This reminds me of the saying made famous by Steve Jobs, “People don’t know what they want until you show it to them”.
Monica and Becca put $100K of their own money into the company and raised $1 million from angel investors. Their sales this year are forecasted to be $1.1 million. They ended up getting a deal from Shark Robert for $500K for 20%…..a very high valuation.
Malorie, Madison, and Viara from Angels and Tomboys make body spray for kids ages 5 to 12. Their presentation was exciting and included the two daughters (one an angel and one a tomboy) dancing up a storm. This was unique and made their pitch memorable. They got a $60K deal from Daymond and Mark Cuban. Again, I’m not sure how big the potential market is for body spray for kids, but with Mom’s leadership and the kids’ energy I think they will be successful.
I felt sorry for Jared from Atlantic Candy Company…..he forgot his pitch! He tried to recover but he lost his audience from the get go. To avoid this disaster, entrepreneurs should either memorize their presentation or remember a few key points and speak from the heart while touching on each key point.
Also, practice, practice, practice! If you can give your pitch to a small, less formidable audience than going into the Shark Tank to give your pitch for the first time, your probability of success is greatly increased.
OVERALL RATING OF THIS EPISODE………B-