The Sharks
(pic from here)
Has anyone caught the new show Shark Tank on ABC? If not, check it out. It’s like the Apprentice, only it deals with investors rather than employees. I’ve heard from my friend Panther Head that you can catch old episodes on hulu.com.
This show is the BOMB. Right now, it’s the best show on TV, and it will probably continue to be the best show until Medium starts back up in two weeks. The premise is simple: entrepreneurs pitch their companies before a committee of successful businesspeople (the “Sharks”), and the business people, if they like it, have the opportunity to negotiate purchasing stakes in the entrepreneur’s company. The Sharks get to ask questions about the company, the financials, the market demand, etc. before making decisions. They can also outbid each other, or cut deals and partnerships with the other Sharks. The Sharks invest only their own personal money.
I enjoy this show for a few reasons. First, it’s cool to see the new ideas that entrepreneurs are coming up with these days–it’s uplifting, especially given our terrible economy. Second, coming from sales, it’s fun watching the entrepreneurs pitching their companies. Third, they’ve got some pretty flamboyant Sharks.
Sharks Kevin O’Leary and Robert Herjavic make the show with their subtle fighting and insults–they are the most entertaining by far. Kevin O. has a single focus on money, which makes him funny to watch. The great thing about his focus on money is that he’s able to separate the facts from the presentation. Robert is the opposite; he’s an investor who loves money, but he also has a kind side. Last week, he berated Kevin O. for shaming an entrepreneur who had declared bankruptcy.
Shark Daymond is the guy who founded Fubu clothing. He’s fun to watch, but he also gets too greedy, which is why he hardly ever gets any deals. Barbara, a woman who turned a $1,000 investment into a billion dollar real estate company, is also fun to watch, and she gets deals, but they’re often not such great deals–I think her soft spot for certain entrepreneurs causes her to make bad decisions. Kevin Harrington, the “infomercial king,” is the fifth shark. He’s not as entertaining as the other Sharks, but he sometimes adds some good business advice to the discussion.
Check it out! Shark Tank opened up to lackluster ratings, but it’s building a following. Those in sales or entrepreneurship especially will appreciate the dialogue.
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But here is an...
I agree with everything you said. About #1…I think...
zomg… this IS the best show evar!!
Are you peoplez seriouz?! The appeal of the show is to see in no particular order:
1. some of the dumbest inventions, revenue models, and business propositions ever created or proposed
2. entrepreneur wannabe’s make a fool of themselves, get their dreams, self-esteem, and many times livelihoods crushed
3. (to see) how well the entrepreneurs can emotionally and physically hold up to harsh condescending criticism and insults thrown at them by the investors. (so far not so good; only a few very distraught and disappointed faces for those who even have a clue with 1 or 2 on the verge of tears)
4. entrepreneurs with profitable, scalable, and sustainable businesses try to negotiate but only end up being eaten alive by sharks who argue among themselves, backstab each other, play good guy and villain, and grin in the faces of the entrepreneurs as they shake their hands and rob them blind.
That gets boring fast especially when it’s really the sharks with the upper hand and the ones making all the “entrepreneur” shots as they buy majority ownership of the entrepreneurs’ businesses most of the time. This is made for TV and the whole process is simplified quite a bit. I am sure a lot of numbers and legal detail is hashed out afterwards. But still, the show is oversimplified for entertainment’s sake.
And don’t kid yourself; Robert Herjavec is probably the biggest shark there. He’s a wolf in sheep’s clothing. At least with Kevin, you know you are dealing with a pompous, asshole right off the bat who worships money and status more than his own mother.
It’s “uplifting” is one way to look at it…from the entrepreneur side I guess. But another way to look at it is that greedy, rich bastards like these sharks keep getting richer while the rest of us sit and cheer on their greedy ways and our own misguided romance with the American dream as the sharks rip off dumb folks, some of which have their own money greedy dreams. Because let’s face it, these investors are not investing in anything that will have any societal or long term benefit which may take time and vision to cultivate and grow. They are investing in the most profitable companies that yield the biggest return in the shortest amount of time. Money, money, money is their only motivation.
And yes, I have seen most if not all the shows.
Damn, I hate you TV! 
Why are people so jealous of successful rich people. The world is made of haves and have nots. Why should the haves give up what they have to everyone is equal. If everyone is equal, what is the incentive to work harder to get ahead. Everyone wants something for nothing or what those that have something to give it all up. Not very American.
Great show indeed. Shark Tank is the American version of the British show “Dragon’s Den.”
This show seems to capture the American Way in all its glory.
As a wise man once said: Get Rich or Die Tryin’
http://www.getrichordietryinmovie.com/home.html
It’s definitely oversimplified. Remember that one with the baby playpen covers? They were negotiating and talking, and the patent wasn’t included with the package. They were all like, “Whaaa….that’s not included???” I’m sure the sharks look up info beforehand AND have an out after the show if things aren’t what they seem.
Still, it’s great entertainment. It’s interesting to see how partnerships are formed. I like the questions they ask: “What are YOU doing to boost your brand name?” “How much have you sold so far?” “On what basis do you think it’s worth that much?”
It’s funny how when the sharks are interested, it always comes down to negotiating the controlling interest. Frankly I hate giving up control or working for someone else. I do all the work and research, and some shmuck wants 51% of my company? I’m out!
@ Alpha Asian
Like I said, the show is so one sided with the sharks always going after the majority interest in the company not to mention ownership of all intellectual property (like patents and copyrights) that it’s not even funny. It’s amusing how in one show the sharks even likened what they were offering a song writer and his music related product to what record companies typically offer and structure their contracts with music artists. But in the music world, a lot of people understand that the ones really making all the money from the artists’ works are the big record labels and not the artists themselves. Most artists make the majority of their revenue from touring and doing shows. There’s a reason why it’s called the shark tank.
On the other hand, the investors are probably encouraged to make offers on a limited amount of proposals (which are for the most part small, obscure, and quite risky) for the sake of entertainment. So when they do invest what small amount of money that is asked for, the investors would naturally want to ensure that they gain a big enough risk adjusted return for their money…and hence the controlling ownership offers. I have a love hate relationship with this show. It’s like a train wreck that I can’t turn my eyes away from. Again, damn you TV producers!
@ Jerry Lisman from Pennsylvania
Congratulations on becoming CEO of your own venture capitalist company and gaining all your riches and success in due time. I’m sure a lot of driven people would be glad to be just as successful and American as you are when they get to your age. However, let me ask you a question or two. First why are you so defensive about being so successful and rich? What or who are you responding to exactly? I don’t think anyone is against success or riches. However, there are many ways for someone to become seemingly successful by way of riches as you have seemed to define. I have seen moronic, assholish, and unethical business people gain what you call success and riches. And I know of truly morally centered, hard working folks with a sense of purpose outside of just money and status that have built successful, long lasting empires, some of which have direct positive external effects on the environment and community around them. So no one is jealous of success and riches if they are gained by someone deserving and gained through the right way along a journey full of sacrifices, hard work, and ethical choices and behavior.
Again, why are you so defensive about your success and riches? Can you spell out unequivocally how you define successful people? And finally, is it important for you to get ahead of other rich people? Otherwise, please stop applying your one note ideological line to everything you read and don’t understand. It does nothing but shows your insecurity and your lack of reading comprehension and even thinking abilities. But again congratulations on your success and riches in life. I am sure you deserved it fellow American.
LOL,
Anyone watching this right now? “Jonathan is a beast.” LOL. Now that was the first good, respectable negotiation. Finally.
I think Kevin H. made a bad deal with Jonathan. His sales were $50,000. Kevin bought 30% for $150,000 plus 4% of sales, which values the company at half a million dollars (plus the residuals). That’s ten times annual earnings. I think Kevin overpaid, especially coming down from 100% on the exact same dollar figure and terms. Customizable internet sites aren’t even Kevin’s specialty. Oh well.
Anyway, cheers to Jonathan for a good negotiation.
Those Repubs cracked me up.
I felt bad for the sports bra lady. I thought Kevin O. was a tad bit harsh–Under Armour isn’t that old, and they challenged and have done well against Nike. Sports bras, however, have a disadvantage in that unlike shoes or T-shirts, most people can’t see them. So it’s harder to build brand recognition.
Heh. I watched that show, just because of this blog post.
My favorite product: the underwear that absorbs the smell of farts. Odor-absorbing charcoal packet included.
How could they all pass on an invention like that?!