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Previous Episodes August 9 August 16 August 23 August 30 September 6 September 13 September 29 October 6 October 13 |
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You have the dream. They have the money. But do you have what it takes to swim with five of the business world's elite sharks? Recaps by Chico Alexander, GSNN
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Episode 10 It's the last swim of the season for five sharks and five challengers hoping not to be reduced to chum. The first... OWNER: Jeff Wolsky, parts unknown Jeff is in the Tank looking for an extension of an already lucrative online business. He presents each of the panelists with a custom bobblehead of each. What he wants to do is to bring these to physical shopping malls, mostly kiosk locations. So far, he's generating seven-figures with the online business. O'Leary wants to know why he should invest in an idea when there's a REAL business worth over $1 million. Barbara has a few questions. Jeff says the product is proven. Daymond wants a piece of the existing business, wanting Jeff to rethink the offer. "It would really depend on what insurance you're looking for." Jeff's willing to throw in a small percentage of the existing business. An average kiosk would generate... well, that's hard to say, because Jeff doesn't know. O'Leary says that his business is already making a profit and he doesn't need to go into a mall. He'll fork over the money if he swears off of malls and grow the online. Jeff declines. "Uncle Kevin wants to put a special bracelet on your ankle. Every time you mention 'mall', 200 volts, whammo." He counters with an offer for 15%. The Sharks don't like the kiosk. Daymond: "Greed is good... but we need to be greedy together." He's out. Kevin H agrees. He could offer the same thing for $10,000. Barbara joins them, saying that what he offers is a terrible way to start a business relationship. Robert asks Jeff what he makes in a year. "Between $500,000 and $600,000." No hard numbers. Kevin O offers $100K for 20% to forget about the malls. Robert counters with $125,000 for 20%. Jeff suggests that the two Dragons-cum-Sharks go in together and split the 20%. Jeff goes back into the dark, while Robert & O'Leary negotiate a joint deal, thinking, who's the Shark here? Their final offer: $100,000 for 20%. DENIED. Kevin's out. Robert goes back to his offer: $125,000 for 20%. Counter: $100,000 for 7%. Robert goes into his Yiddish dictionary and pulls this gem out: "The way it begins is the way it ends." All of the Sharks are out. Next... REVISIT: Pork Barrel BBQ At the nation's capital, Pork Barrel BBQ sauce is flowing like the Potomac. They're in 130 stores, they have their own restaurant, and they have their own campaign bus... Pork Barrel One. OWNER: Sandy Hyun & Roman Pietrs, New
York City Mr. Poncho is a solution to an everyday problem... tangled cords on MP3 players. The innovation: the thing that keeps the cords untangled (C-Note: I've seen similar products in Best Buy... lots of luck, you two). They have a patent pending on the entire unit, the little plastic thing has its own patent. The first year grossed $11,000. The second year: $35,000. The units sell for $18, costing them $3 to make them. They've not priced them with manufacturers. Robert's kids would not buy these because what's important is the skin. Why not just buy the plastic thing and stick it on the phone? It would be a great idea, but they don't have the patent. Three of the Sharks are out due to that. Daymond joins them because there's no practicality. Kevin H says that it's a tough sell... All of the Sharks are out. OWNER: Dr. Floyd Seskin, Aventura, FL Dr. Seskin developed a product that blended his day job (urology) with his passion (golf). He's looking for the Sharks to take his product, a club you can pee in, to its maximum potential. The going price: $25. And he's sold 3000 of them in South Florida. ... the less said about it, the better. Kevin H is a golfer, but he'd never buy this. O'Leary mentions that once you aerate your package, it's indecent exposure. Daymond, who calls himself the Brand Whisperer... is out. He doesn't know how to market it. Barbara can't relate to the product, so she's out. Robert can't invest in something he'd never use, same with Kevin O. Kevin H says that he sees it as a novelty. He's ready to deal... $25,000 for 70%. ACCEPTED: Kevin H's deal of $25,000 for 70% Be sure to wash. OWNER: Brian Duggan & Adam McCombs,
parts unknown There are thousands of high school athletes who never attract the college scouts and are overlooked. JumpForward empowers parents and students with social profiles to market themselves to colleges. Colleges pay a subscription fee to make money. They've signed up over 30 schools and 60,000 student athletes. The business may max out with $15 million to $20 million. There are smaller competitors, but they proactively prevent violations. Rules and regulations are complex. They also have a patent on mobile apps. Barbara mistrusts the presentation. She's out because she doesn't want to invest in another hi-tech failure. Same with Kevin H and Daymond. Brian thinks that they have three competitive advantages. Kevin O offers $200,000 for 20%. Robert counters with $300,000 for 35%, saying that they need more cash. They discuss either colluding with each other or competing with each other... They decide on $400,000 for 50%. Brian & Adam decide to back off on the 50/50 deal and go back to $200,000 for 16% due to allocating equity to future employees. Kevin says it's too low. Robert still likes more money, giong to $500,000 for 50/50. $600,000.... Brian suggests a counter offer to both remaining Sharks: $750,000 for 50/50 if BOTH go in. The other option: $300,000 for 25%. Robert & Kevin stay with $600,000 for 50%. DONE. ACCEPTED: Robert & Kevin O's deal of $600,000 for 50%. And the Shark Tank is closed for the year. Will we see a second? That's for ABC to decide. Until then, remember... everything has its price. To see this episode in its entirety, go to www.abc.com/primetime/sharktank. |
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