The following are actually REAL negotiations between entrepreneurs and investors (Guppies & Sharks). The sharks invest their own money at their discretion. The guppies get devoured into a belly of finance, or spit back into the ocean of hard knocks to fend for themselves. The entrepreneurs must convince the sharks to invest the FULL AMOUNT, or walk away with NOTHING.
THE GUPPY: Aldo Orta
THE COMPANY: Aldo Orta Jewelry
WEBSITE: aojewelry.com
SYNOPSIS: Exclusive designer jewelry
SEEKING: $180K for a 45% stake
PRODUCT/SERVICE: A high end and affordable line of jewelry reflecting history and mythology of all cultures.
WHAT'S THE SKINNY?: He has exclusive clients such a celebrities and royal families but he wants to do much more affordable designs for the mass market. He has pieces in the $220 range and many other pieces under $200. QVC wants him to come with $50K for the first order and that's why he's here.
BUSINESS MODEL/HOW DOES IT MAKE MONEY?: He sells to high end celebrities and royal families.
STATS: Kevin O'Leary is worried about Aldo getting hit by a bus and losing his investments because he's a 1 man show and he's out. Daymond loves the designs but he doesn't think people can afford to pay for jewelry right now and he's out. Robert thinks the price point is too high for a large scale middle america market and he's out. Barbara likes something about Aldo and decides to give him half the money if QVC does buy into it and says he has to get the other half from someone else. Kevin Harrington is a vendor for QVC, he has all the insurance and everything in place but he's on the fence. He seems to want to know if Aldo can use the track record of his past sales to high end customers to his advantage. Barbara suggests Kevin get off the fence and he finally decides to go in with Barbara on the deal with the other $90K. Aldo walks out with the investment he sought.
CAME IN SEEKING: $180K for a 45% stake
WALKED WITH: $180K for a 45% stake
GRADE: (Guppy): A
GRADE: (Sharks): A
COMMENTARY: This guy managed to get the EXACT amount he was looking for including equity and all with his exclusive line of jewelry and charisma. He sold Barbara on his aura. His charm managed to get him the deal he needed. Wow. He walked with the reflection of what he came in seeking. Good job Alto.
"If you want to achieve things in life, you've just got to do them, and if you're talented and smart, you'll succeed."
- Juliana Hatfield
- Juliana Hatfield
CHECK OUT THE SHARK FINS SECTION FOR ARTICLES AND INTERVIEWS. ALSO CHECK OUT THE SHARK TEETH SECTION FOR HELPFUL TOOLS OF THE TRADE.
WHAT DO YOU THINK? COULD HE HAVE GOTTEN THE SAME CAPITAL (OR HIGHER) WITH A LOWER STAKE? WHERE THE SHARKS FAIR IN THEIR NEGOTIATIONS? DID BOTH PARTIES COME OUT ON TOP? POST YOUR COMMENTS AND TEST YOUR NOODLE AT THINKING LIKE A BILLIONAIRE...........
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