Rebecca Rescate made a strong pitch for CitiKitty when she entered the Shark Tank to face the Angel Investors who could help make her dream come true and it worked.
She asked for a $100,000 investment for 15% of her company.
The investors all were amused with her invention, the toilet training kit that teaches a cat how to use the toilet.
She offered direct answers and exuded confidence with every question that the sharks asked.
She was asked what it costs to make the product. She knew her costs, she pointed out what she sells them for and how many units she orders at a time. This again exudes confidence on a pitch and makes investors more comfortable with a deal.
She had impressive numbers showing that she sold 40,000 units and pointed out that she’s never advertised.
She also said that she put up $20,000 and has continued to reinvest her profits back in the company.
Kevin Harrington came back with an interesting statement. He said he looks for two things. He wants a product that solves a problem and a mass market. He sees both with this product.
He offers $100,000 for 40% of the company.
Barbara Corcoran throws in an offer of $100,000 for 15% provided she’s able to take the deal to her friend who has AsSeenOnTV.
Rebecca tells Kevin that she can’t accept his deal. She thinks that it’s too much.
Kevin counters asking her to make a better offer. She responds with $100,000 for 20% and Kevin fires back at 25%.
As Rebecca thinks about the offer, Barbara chimes in saying every time she does a deal with a guy, it’s sweet in the beginning but it never turns out that way. What Barbara should say is that it almost never turns out that way no matter who you’re in business with.
Rebecca makes a comment that if she walks out there will be daggers in her back.
Barbara drops the contingency and Rebecca counters asking a joint deal to happen with both Kevin and Barbara. They both say no.
Rebecca passes on Barbara and goes with Kevin at 20% for $100,000.
Most entrepreneurs that step into Shark Tank and think that this is the only way to get their company to the next level, but in almost every case the deals come pouring in after they walk out.
It’s all about exposure that makes the deals happen.
Learn more about another Shark Tank Entrepreneur
Speak Your Mind