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01-31-2012 , 06:38 AM
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Originally Posted by Rikers
he wants to control the process, and I don't blame him - most of those people know nothing about business,....so 51%+, or get compensation on failed investments in VC so a big percentage. similar a bank would adjust interest rates based on risk of general defaults.

also since he invests 5% portfolio on vc there is a constrain on how much risk he would take with that money...

all of that calculations are derived from number of vc project that go cash positive
yeah, you missed my point. kevin makes offers that are worse after the better offers have already been made. in other words, he's just out there making noise, keeping up the appearance of being willing to throw money around, but in actual fact he is very nitty.
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01-31-2012 , 01:02 PM
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Originally Posted by rothko
yeah, you missed my point. kevin makes offers that are worse after the better offers have already been made. in other words, he's just out there making noise, keeping up the appearance of being willing to throw money around, but in actual fact he is very nitty.
k, I see that now
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01-31-2012 , 04:16 PM
What do you mean? As in, somebody offers $100k for 50% equity and Kevin chimes in with "wait, I'll give you $90k for 50%!"?
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01-31-2012 , 04:55 PM
Yes, just like that.
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01-31-2012 , 05:41 PM
I really like the show but they need to get some different people for the panel. I think adding Cuban has been the best thing ever for the show. He gets involved in a lot of deals and he's got a very aggressive style. Second, I like Robert and Daymond who also get involved in deals when they seem interested. All of these guys negotiate well and go up against each other a lot.

The final two people, I think are useless. Barbara just sits there and on every deal she finds something that "she can't relate with". I don't know what she does all day but how in the world does she not relate to anything. Does she spend all day just counting her money?

Kevin O'Leary is just an idiot. He seems very dishonest and I would never make a deal with him because he would try to screw you at every point of the deal for an extra $1. He makes super low ball offers to people and as earlier posters have noted, the offers are worse than offers already made by the other panelists. Who will accept $90K when they just got a $100K offer for the same percentage. Or some of his offers for royalties are just stupid and make no sense for the contestants.

Looking forward to Saturday mornings now and having a new episode of Shark Tank on Hulu with my cereal!
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01-31-2012 , 05:59 PM
O'Leary is the man, I love his never ending theme of 10% royalties forever...
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01-31-2012 , 08:19 PM
I have a question that I can't figure out.

So when a shark offers to buy 100% of the company to license it out to a bigger company, I hear them say that they will give the person selling the patent or business 7% royalties on anything that they make.

Is that 7% on all sales or is it a diluted version of 7% of amount of royalties that the shark will get from sales?

7% royalties on sales is huge, while 7% of a 7% royalty is really 0.5%. That is a major difference that the sharks aren't pointing out if so.
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01-31-2012 , 10:25 PM
I wanna see someone come in and just tell Kevin he's out right away, and not even let him make an offer.
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01-31-2012 , 10:48 PM
then he'd just bitch the whole time, still. tbh, i can't stand daymond, maybe because he has the mannerisms of 1800s british aristocracy. and yes, i agree that cuban makes the show.
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01-31-2012 , 10:58 PM
One of my current business classes, maybe 10%ish of the grade in the glass will be 4 feasability analyses over pitches that have taken place on the show(we keep best 3 out of 4). Pretty cool that watching tv pays for once!

I'd imagine there are already tons and tons of analysis done on these episodes/pitches somwhere out there on the internet correct? will definately be staying up too date in this thread!
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02-01-2012 , 02:01 AM
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Originally Posted by TomCollins
I wanna see someone come in and just tell Kevin he's out right away, and not even let him make an offer.
You are a stain on the face of capitalism....
if you come to my kitchen you gota take the heat....
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02-05-2012 , 05:08 PM
Kevin cutting in to call them lunatics when they were making offers to the scented soap queen was awesome...
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02-06-2012 , 12:17 AM
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Originally Posted by ker17
Kevin cutting in to call them lunatics when they were making offers to the scented soap queen was awesome...
Cleavage scored a few of those offers from the soap queen
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02-06-2012 , 05:28 AM
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Originally Posted by -Insert Witty SN-
then he'd just bitch the whole time, still. tbh, i can't stand daymond, maybe because he has the mannerisms of 1800s british aristocracy. and yes, i agree that cuban makes the show.
oh c'mon, daymond playing the air violin when barbara was carrying on about women working harder than men was great.
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02-06-2012 , 03:56 PM
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Originally Posted by -Insert Witty SN-
and yes, i agree that kevin makes the show.
fyp
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02-09-2012 , 01:20 PM
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Originally Posted by lozen
Cleavage scored a few of those offers from the soap queen
Yea I really can't understand the hype to invest in her and the outlandish offers. The product is okay I'm sure, but there are infinite soap brands out there. I thought it was all her charm but then barbara started chiming in, so I just couldn't figure out.

Any explanations? Barbara's participation would seem to negate the pretty woman effect...

Ezra
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02-09-2012 , 01:51 PM
She was smart, super motivated, willing to work for equity (initially), had a really great attitude to work with from a VC perspective, demonstrated C-level capability, can sell... She was like 100% ideal to work with from an angel perspective IMO. The soap is really secondary, she demonstrated a capability to break the game which would be profitable enough to justify an investment. I think they really just wanted to work with her in some capacity because if this project doesn't work then her next one likely will (notice they dug a lot more into her motivation than with most businesses). Someone who responds to the question, "why should I invest in you," and responds with "because I get s*** done," (paraphrasing) and genuinely means it is always the kind of person I want to work with.
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02-09-2012 , 02:02 PM
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Originally Posted by ezmogee
Any explanations? Barbara's participation would seem to negate the pretty woman effect...
Nah. All the guys were thinking boobies, at least in part. Barbara doesn't negate that for them or even for herself for that matter--I'd invest in Brad Pitt.
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02-09-2012 , 04:29 PM
The other thing is, just being on the show increases your chances of success considerably. I think the Shark's are realizing even if something is a bad idea in a private investment pitch, it makes sense to invest since the free publicity that comes with being on the show puts them over the edge. Look at the Shrimp Burger guy.
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02-09-2012 , 04:36 PM
shrimp burger making $5m last year was insanity. while i kinda want to try one, i cant imagine them being hot ticket items at the supermarket. good for him though
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02-09-2012 , 07:09 PM
I actually met the guy from shrimp burger and it is pretty damn tasty. I tried a few flavors too. I think it'll do well if they can market themselves as a novelty brand instead of mass market. People around the office got sick from eating it though
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02-09-2012 , 10:38 PM
That truck rack was a great product imo, really shows how much the business owner's attitude and philosophy matter so much to them...
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02-09-2012 , 10:50 PM
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Originally Posted by ker17
That truck rack was a great product imo, really shows how much the business owner's attitude and philosophy matter so much to them...
It's impossible to go into business with a ******, even if they have a good idea. At least unless you take majority control from them.
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02-09-2012 , 11:15 PM
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Originally Posted by ker17
That truck rack was a great product imo, really shows how much the business owner's attitude and philosophy matter so much to them...
Yea I agree I think it was a homerun. Shame he wasn't willing to think reasonably. I mean the sharks were trying to tell him he could create net > jobs if he moved production offshore but he wouldn't listen. Shame. I'll bet after the show he gets funding elsewhere though.

Ezra
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02-10-2012 , 10:03 PM
The Wine Balloon thing was painful to watch. I thought it was a pretty good idea. Its kinda funny when Mark Cuban puts the shot clock on the entrepreneurs — its so condescending. I kinda feel bad for that guy.
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