The Dragons are some of the best business brains in the world. They invest their time, energy and money specifically in innovative and promising businesses. While the majority of the entrepreneurs hear, “I am out”, others manage to shake hands with the Dragons. It is not easy to impress investors and convince them to invest in the business. But what is more difficult is to negotiate a favourable deal. A successful negotiation needs flexibility, persuasion and confidence. As Dragons Den completes 17 years, let us have a look at the Dragons’ Den’s Toughest Negotiations.
Alex Buzaianu- Temporary Forevers
Alex Buzaianu is one of the biggest winners and negotiators of the BBC show Dragons’ Den. In the 15th series of the show, tough negotiator, Alex Buzaianu proposed his company, Temporary Forevers on the Dragons’ Den. He pitched the brand of elegant leather products and asked for an investment of £90K for a 7% stake. The entrepreneur also claimed to sell products worth £165K through online sales and crowdfunding. However, the majority of Dragons unanimously thought that Alex’s company valuation was hugely impractical.
Moreover, Peter Jones and Jenny Campbell were impressed by the entrepreneur’s exceptional leather products and proposed different offers. The two offers were tense and didn’t last long as Jenny withdrew her offer after Alex solely negotiated with Peter.
Following a tough negotiation, Alex accepted Jones’ offer of £90K for 35% equity, dropping to 25% once goals are achieved. However, the deal fell through after the show, making Temporary Forevers just a temporary investment of Jones. At present, the net worth of the company is £1m.
Gary Taylor- Alpine Cleaning
Gary Taylor is popularly known as one of the bravest entrepreneurs to appear in the Dragons’ Den. The entrepreneur famously told the Dragons that he doesn’t need their investment. Taylor is the owner of Alpine Cleaning Services, a company specializing in washing coaches and lorries in Warrington.
The entrepreneur pitched his idea of establishing truck cleaners at motorway service stations. Taylor asked for an investment of £200K in return for a 20% stake in his company. After questioning the entrepreneur for 20 minutes, four of the five dragons were impressed by Taylor. Dragon Duncan Bannatyne and Richard Fairleigh offered the entrepreneur two similar deals of £100K for 20% equity. Interestingly, the dragons being hard negotiators shifted the stake from 20% to 40%.
Further, Theo Paphitis, Farleigh and Duncan proposed to invest together in the business as 33.3% equals. Deborah also entered the negotiations with a bid of investing £200K for 40% equity. However, after a long discussion, Theo and Deborah Meaden together offered to invest in the business. Taylor accepted the deal on the show but later withdrew the proposal.
Also Read: Dragons’ Den Failures
Sharon Wright- Magnamole
Sharon Wright is famous for her jaw-dropping pitch at the Den. In the 7th series of Dragons’ Den, Sharon confidently pitched her invention Magnamole, which safely threads cables between cavity walls. The entrepreneur asked for an investment of £50K, in exchange for a 15% stake in her company. However, Sharon did not enter the show only for investment. She solely worked 20 hours per day, without taking any off and wanted the Dragons’ help to make Magnamole successful.
All the five Dragons were impressed by Wright’s pitch. Theo was the first Dragon to accept her proposal at the exact investment and equity she asked for. However, Duncan and James offered Sharon £80K for a 25% stake in the business. Meanwhile, Deborah also gave Sharon the same offer as Theo.
After discussing with the Dragons, the businesswoman asked James and Duncan to lower their proposal to 20% equity. However, in the end, she accepted an £80K investment for 22.5% equity.
Also Read: Dragon’s Den What Happened Next?
Dragons’ Den is the biggest British reality programme.
The dragons analyze every pitch to invest in and are indeed tough negotiators, but the entrepreneurs on the TV show are the toughest negotiators.
With business skills, cleverness and innovation, the entrepreneurs have made their business a big success. These negotiations prove that confidence, a great business idea and a good pitch can help aspiring entrepreneurs in impressing dragons.
These were some of the toughest negotiations at Dragons’ Den. Which one of the negotiations was your favourite? Let us know in the comment section below.