I watched over 100 episodes of the reality show Shark Tank in which entrepreneurs in short introduce their idea and hope to convince successful entrepreneurs and investors to invest in them and help them with their knowledge and experience.
Who are the investors?
Kevin O`Leary – he started a company for programming worth 4.2 billion dollars
Barbara Corcoran – she was a waitress from Manhattan who started a real estate empire
Robert Herjavec – he sold his first online companies for 350 million dollars
Lori Greiner – she owns over 100 patents and they call her the queen of the television network QVC
Daymond John – he started the brand Fubu and is believed to be one of the best known experts for clothing brands
Mark Cuban – he is a successful entrepreneur who also owns the team Dallas Mavericks
I wrote down the questions from investors which anyone who is considering to start their own business or already own one and would like it to be even more successful should ask themselves. I’ve noticed that the investors are mostly interested in the person who made their own product or service and the branch in which the product or service is competitive. According to the investors, you can succeed even if you have an average product if you are ready to work for it and prove it.
The most common questions from investors:
- Tell us more about yourself.
- Where did you get the idea for your product/service?
- Why do you need the investment?
- What are the sales of the product/service in the last three and the last twelve months?
- How much does it cost to make the product and for how much do you sell it?
- What is special about your product?
- Where do you sell the product?
- Do you have a distributor and who is it?
- How long have you been selling your product/service?
- How do you manage doing this next to the job you have, if you have it?
- Explain how you make money – how will we make money?
- How many products can you make and in how much time if this is your plan?
- Why can’t your product be »easily copied«?
- Do you have a competitor who makes similar products?
- How did you get your business’s or product’s/service’s assessment?
Important comments from investors
- Business is risk.
- If they are to invest they must like the product or service.
- Sales don’t lie.
- It doesn’t matter how many times you lose, you must succeed only once.
- You don’t trust the product if you aren’t working on something else as well.
The most successful products according to Investopedia which got the investments on Shark Tank were:
- natural cream for sensitive skin Simple Sugars ;
- a gadget to learn the guitar ChordBuddy ;
- a product which helps to prevent and locate bugs Buggy Beds ;
- gourmet cupcakes named Wicked Good Cupcakes ;
- a gadget to measure health which connects directly to your mobile phone Breathometer .