godson, regarding shark tank - it's not what you think it is
1. all those companies paid about 5% equity and 2% in royalties to the show itself just for an appearance - they do so because they view it as an ad spend for their product - this is independent of any investment they may receive
2. often times they don't even want the investment because they are being given absurdly bad offers, main reason for taking those offers is to ensure they are aired (a lot of the segments never got broadcast), hope for a repeat airing or update b-roll in the future, just have negotiation fatigue as they've put in all this time trying to get on the show and now finally here and just want it to have a "happy ending" after all that time committed to it, or because they aren't sophisticated and don't understand how bad the deal they are offered is
3. none of those deals are binding, only afterwards will they have their due diligence and a lot of them are offered completely new terms or have the offers withdrawn completely - it's essentially a freeroll for the sharks this way, this is why they'll gladly spit out a bid after a 5 minute introduction to the company - they also know the company will get a big boost immediately based off the show appearance and this dramatically increases the value
4. there are major class lines in this show, it entirely compromises lower class individuals and is marketed towards them, there's a good reason why every single shark you see on that show is self made from a lower or middle class background because no old money (ie majority of investors) would whore themselves out like that on tv discussing deals - i'm not making a judgement call on that, just pointing out this show is a fantasy land of survivor biased outliers creating a fantasy land that any working class family can strike it rich inventing a new selfie stick from their garage - it's not at all representative of reality
i have no judgement on what kevin o'leary did previously, but at this point in his career he's nothing more than an "investment celebrity" so I wouldn't ever base a single thing on what him or any other shark advises - they are choosing their talking points based on what's trending that will generate views and little else, so obviously he's going to talk about something like tesla and it's far easier to part of the much bigger crowd riding massive success than a minority bear who lost everything - it'd be suicidal for his social media career to actively disagree with the masses over something that's been so incredibly successful and made a lot of his audience quite rich
having said all of this, the show is a guilty pleasure of mine
Last edited by rickroll; 03-20-2021 at 03:28 AM.