0:00:02 > 0:00:06This is the Dragons' Den. Over the last six years,
0:00:06 > 0:00:11nearly 700 entrepreneurs have walked up the stairs looking for investment.
0:00:11 > 0:00:14Before them, five of Britain's most successful business brains,
0:00:14 > 0:00:18collectively worth a reported £1 billion.
0:00:18 > 0:00:21Convincing them to part with their cash isn't easy.
0:00:21 > 0:00:25But tonight, they've agreed to share their tips for success.
0:00:27 > 0:00:30From the initial idea to the pitch...
0:00:30 > 0:00:33- Are you ready for the alternative? - ..from the business plan...
0:00:33 > 0:00:37Probably the tidiest patent that I've ever seen.
0:00:37 > 0:00:39- ..to the negotiation. - 5% each, 10% in total.
0:00:39 > 0:00:41Oh, ho-ho!
0:00:41 > 0:00:45These are the business secrets that work outside the Den and within,
0:00:45 > 0:00:51revealed by the Dragons themselves and the brave entrepreneurs who've dared to stand before them.
0:01:05 > 0:01:07Tonight on How To Win In The Den,
0:01:07 > 0:01:10we unlock the Dragons' secrets to money-making ideas.
0:01:12 > 0:01:15I never cease to be amazed
0:01:15 > 0:01:20at how many new and different, good and bad ideas we get in the Den.
0:01:20 > 0:01:24- And this year's no exception. - From the simplest concept...
0:01:24 > 0:01:29So I've invented the WC anti-splash bowl.
0:01:29 > 0:01:32..to the most technologically advanced invention...
0:01:32 > 0:01:35I am a human cannonball.
0:01:35 > 0:01:38..new ideas can change the way we live.
0:01:38 > 0:01:42'Ideas come in many different forms.'
0:01:42 > 0:01:46It's not just about sitting in the garden shed
0:01:46 > 0:01:49honing your Heath Robinson-esque kind of invention.
0:01:49 > 0:01:52It starts as a decorative skirt. Then, after Christmas,
0:01:52 > 0:01:55it forms the encapsulating sack.
0:01:55 > 0:01:58- Have you thought this through? - Yes, I have.
0:01:59 > 0:02:02You think you know the idea's right when it ticks more than one box.
0:02:02 > 0:02:06All our products are low in fat and low in calories
0:02:06 > 0:02:10and are free from dairy, sugar, soya, cholesterol and nuts.
0:02:12 > 0:02:14I always have ideas, but not many are very good.
0:02:14 > 0:02:18'You've got to filter it down.' The world's first and only
0:02:18 > 0:02:21ride-on suitcases for globe-trotting tots.
0:02:26 > 0:02:30Now the Dragons are catching up with their investments...
0:02:30 > 0:02:33A bit gimmicky. Yeah, I think people might buy it.
0:02:33 > 0:02:36..and revisiting some of the entrepreneurs
0:02:36 > 0:02:42- whose ideas failed to impress. - OK, so 20 sold in minutes.
0:02:44 > 0:02:48So, pay attention as the Dragons reveal their tips...
0:02:48 > 0:02:50The idea in business is absolutely vital.
0:02:50 > 0:02:53- It's very important to have a dream.- Do the paperwork.
0:02:53 > 0:02:57There's nobody can fool yourself better than yourself.
0:02:57 > 0:03:00Think outside the box.
0:03:00 > 0:03:03..because these five lessons
0:03:03 > 0:03:07could inspire a eureka moment that will make you millions.
0:03:13 > 0:03:16Ideas are the lifeblood of the Den.
0:03:18 > 0:03:21The latest batch of entrepreneurs have had some absolute corkers.
0:03:23 > 0:03:27It's a really good breath of fresh air to see entrepreneurs
0:03:27 > 0:03:30coming through with new, innovative ideas.
0:03:30 > 0:03:33That sound turns any bath into an audible loudspeaker.
0:03:33 > 0:03:38So the Dragons' first rule is... just keep 'em coming!
0:03:38 > 0:03:43There are people in life who have one brilliant idea. That's it.
0:03:43 > 0:03:45They're then done!
0:03:46 > 0:03:52And now, we have a spray that will work in any way.
0:03:54 > 0:03:56Worth much, much more than people like that, though,
0:03:56 > 0:03:59are people who are just very ideas focused.
0:03:59 > 0:04:01I invented the toastabag in 1999.
0:04:01 > 0:04:05The latest product is our quickachips tray.
0:04:05 > 0:04:08Another new product is the shelf guard.
0:04:08 > 0:04:11And there's the h2go barrier bag for allotments, gardens.
0:04:11 > 0:04:16It's been a while since I've listened to a pitch and thought, "I'm already interested."
0:04:19 > 0:04:23So, keeping the ideas coming is key if you want to make money.
0:04:23 > 0:04:26The idea in business is absolutely vital.
0:04:26 > 0:04:30Truecall stops nuisance phone calls.
0:04:30 > 0:04:34It's that first spark that lights the flame, that little light bulb moment.
0:04:34 > 0:04:37'Please hang up now and don't call us again.'
0:04:37 > 0:04:38LAUGHTER
0:04:38 > 0:04:42You have a vision. All of a sudden, your business starts to evolve.
0:04:42 > 0:04:45I sold my last business for five million.
0:04:45 > 0:04:49I'm too frightened to carry on. At this rate, you'll have more money than me!
0:04:51 > 0:04:55I still come up with ideas every day and my MD'll say to me,
0:04:55 > 0:04:57"That's the most ridiculous idea you've ever come up with."
0:04:57 > 0:05:02As you can see, this is a typical, dreary garden fence...
0:05:02 > 0:05:05And I say, "Ah, but at least I've come up with one!"
0:05:05 > 0:05:08..unless you have something like this.
0:05:10 > 0:05:11LAUGHTER
0:05:11 > 0:05:13Point made?
0:05:15 > 0:05:18But being a wacky inventor,
0:05:18 > 0:05:20with more ideas than you can shake a stick at,
0:05:20 > 0:05:22isn't the only way to get ahead in business.
0:05:22 > 0:05:26I wouldn't say that you necessarily have to be
0:05:26 > 0:05:28the ideas-a-minute person to make money.
0:05:31 > 0:05:34It becomes a table store.
0:05:34 > 0:05:35But you have to be creative.
0:05:35 > 0:05:39"Deborah sat on the bed in the hotel room.
0:05:39 > 0:05:40"Theo sat and put his arm around her.
0:05:40 > 0:05:44"'Come on, let's get into the hot tub,' she said softly."
0:05:44 > 0:05:47Right, stop! LAUGHTER
0:05:54 > 0:05:55One ideas-a-minute man
0:05:55 > 0:06:00who entered the Den back in 2007 was Mark Champkins.
0:06:00 > 0:06:03He came looking for a £100,000 investment
0:06:03 > 0:06:06for %15 of his range of school products.
0:06:08 > 0:06:10'Mark Champkins, well,'
0:06:10 > 0:06:14he was the typical inventor that I would read in books
0:06:14 > 0:06:16'and I imagined in books.' What?
0:06:19 > 0:06:23My business designs products that help children to concentrate
0:06:23 > 0:06:28and be at their best to get the most out of their time at school.
0:06:28 > 0:06:33I'm a trained engineer, I studied at Cambridge and at the Royal College of Art.
0:06:33 > 0:06:36I've won £45,000 worth of prizes to fund my business.
0:06:36 > 0:06:40I've been to China to source manufacture.
0:06:40 > 0:06:43I set up the supply chain, set up the website with online sales,
0:06:43 > 0:06:45so perhaps I should show you the products.
0:06:45 > 0:06:50The first is a schoolbag that makes school chairs more comfortable.
0:06:50 > 0:06:54So you hang your bag up over the back of the chair,
0:06:54 > 0:06:58and then it folds out this padded area over the back rest and seat
0:06:58 > 0:07:00and makes the school chair more comfortable.
0:07:00 > 0:07:03The next product encourages children to drink more water.
0:07:03 > 0:07:08If you're just 2% dehydrated, your concentration can drop by up to 20%.
0:07:09 > 0:07:12And then, this product is the food-for-thought lunchbox.
0:07:12 > 0:07:15And then, the final product is a cooler bag,
0:07:15 > 0:07:17which keeps it nice and fresh and cool.
0:07:17 > 0:07:22I've sold £15,000 worth of products in the last four months
0:07:22 > 0:07:27and I'd be interested to use your investment to capitalise
0:07:27 > 0:07:32on the sales I've had already and bring a number of new ideas to market as quickly as possible.
0:07:35 > 0:07:39'I was selling my ideas going forward,'
0:07:39 > 0:07:41so I think that that was
0:07:41 > 0:07:47- a sensible way of pitching it. - Very, very quickly, they saw he was a mad hatter, but he actually had
0:07:47 > 0:07:50another side to him as well, which could actually make money.
0:07:50 > 0:07:54It was an impressive pitch, but Deborah Meaden
0:07:54 > 0:07:58had some concerns about the branding of Mark's inventions.
0:07:58 > 0:08:04How appealing do you think this design is to seven- and 11-year-olds?
0:08:04 > 0:08:07- How do they get engaged and excited by things?- They get...
0:08:07 > 0:08:12Something that's new, inventive, something they haven't seen before, that they can show their friends.
0:08:12 > 0:08:16Or something their friends have, that they see on TV, that looks pretty.
0:08:16 > 0:08:20- SpongeBob SquarePants.- That's quite an adult-looking design.
0:08:20 > 0:08:24I deliberately design the products to make them kind of plain
0:08:24 > 0:08:28and, I thought, kind of classy. But I could see her point.
0:08:28 > 0:08:30I think the parents are also...
0:08:30 > 0:08:36- They're the ones that part with the money.- Yeah, but if the child don't like it, it's going to misplace it.
0:08:39 > 0:08:42Four of the Dragons couldn't see the money-making potential
0:08:42 > 0:08:47in Mark's ideas and declared themselves out in quick succession.
0:08:47 > 0:08:51I was feeling it kind of slipping away from me at that point.
0:08:51 > 0:08:55Only Peter Jones remained to throw him a lifeline.
0:08:55 > 0:08:59I actually really like the seat. I think it's very clever.
0:09:00 > 0:09:03I'm really interested and I'm going to make you an offer.
0:09:03 > 0:09:08And to be clear that the offer is contingent on you,
0:09:08 > 0:09:12I'm willing to take a calculated risk,
0:09:12 > 0:09:17- because I think you are going to come up with one or two products that are going to make it.- Yeah.
0:09:17 > 0:09:21'I was really pleased when he said he was going to make me an offer,'
0:09:21 > 0:09:24but I was kind of bracing myself for a really tough deal.
0:09:24 > 0:09:27- I'm going to offer you £100,000. - Yeah?
0:09:27 > 0:09:30- In return for?- In return for 40%.
0:09:33 > 0:09:38Peter Jones had lain down the gauntlet, but Mark had other ideas.
0:09:38 > 0:09:42- 30%.- Mark, I'm not going to punt it for 30%.
0:09:45 > 0:09:48I'm uncomfortable at 40. 35 I would be comfortable at.
0:09:48 > 0:09:50I've gone up from 30.
0:09:50 > 0:09:56- Give me the total profit you're going to make in three years.- 1.3 million.
0:10:00 > 0:10:04How about we say, if you make in three years...
0:10:07 > 0:10:11..£250,000 profit, I'll give you that 5% back?
0:10:11 > 0:10:16- OK. Let's do that.- Are you going for it?- Yeah.- Let's do it.
0:10:16 > 0:10:17CHEERING
0:10:17 > 0:10:21- Well done. - Thank you. Thank you very much.
0:10:22 > 0:10:25Peter always invests in the person rather than the product
0:10:25 > 0:10:29and I think, in this case, he did exactly that, because I think
0:10:29 > 0:10:32this guy is going to invent a whole lot of wacky ideas
0:10:32 > 0:10:36and I'm sure one of them will make him a multimillionaire.
0:10:39 > 0:10:43It's now four years since Mark appeared in the Den,
0:10:43 > 0:10:46but did he reach the target Peter set?
0:10:46 > 0:10:49What we ended up doing was 250 grand for,
0:10:49 > 0:10:52as a turnover target rather than a profit target.
0:10:52 > 0:10:56And over the last three years, I've managed to hit that target,
0:10:56 > 0:11:00so I got my 5% equity back, which is absolutely brilliant, so the deal has worked out well.
0:11:00 > 0:11:05Since the Den, this prolific inventor has not only tripled his product range,
0:11:05 > 0:11:09but he's also found another creative outlet for his ideas - writing.
0:11:09 > 0:11:13In fact, Mark has just had his first book published
0:11:13 > 0:11:15about something very close to his heart.
0:11:15 > 0:11:18This is a bit of a departure from product design,
0:11:18 > 0:11:22but the book itself is all about the bizarre and intriguing inventions
0:11:22 > 0:11:26that public figures and celebrities have dreamt up.
0:11:26 > 0:11:30You know, Jamie Lee Curtis inventing a nappy, she's in there.
0:11:30 > 0:11:33And Charlie Sheen's Chapstick.
0:11:33 > 0:11:37It kind of just brings it together. I'm really, really pleased.
0:11:41 > 0:11:44And on top of his new writing career,
0:11:44 > 0:11:48Mark has another venture in the pipeline.
0:11:48 > 0:11:51So I'm now the Science Museum's very first inventor in residence,
0:11:51 > 0:11:54which means I can come to the archives
0:11:54 > 0:11:57and look in the collection they have and design new products
0:11:57 > 0:12:01and really understand what it takes to come up with a world-changing invention.
0:12:01 > 0:12:04I think I've done very well with school products,
0:12:04 > 0:12:09but what I'm trying to do moving forward is come up with products that have a wider audience.
0:12:09 > 0:12:13Today, Mark is meeting up with his Dragon partner...
0:12:13 > 0:12:17- Hello, Mark.- Hello, Peter. - What a great place for a meeting.
0:12:17 > 0:12:23..to talk about how his new role can benefit their business.
0:12:23 > 0:12:26Why would you want to be, for a day a week, inventor in residence?
0:12:26 > 0:12:30- I get the kudos.- Yeah.- But what's the real reason behind it?
0:12:30 > 0:12:34Well, to come up with a good idea, you have to have a good problem
0:12:34 > 0:12:38and you have to see the steps it takes to get into the market and really make a difference.
0:12:38 > 0:12:42Where better to understand how that happens than here?
0:12:42 > 0:12:47And the other thing I'm doing for the museum is using their collection of interesting artefacts
0:12:47 > 0:12:50- to design products they can sell at retail.- Who owns the rights?
0:12:50 > 0:12:53Me and the Science Museum. But they exploit it,
0:12:53 > 0:12:56they manufacture it, they do the kind of licensing side of it
0:12:56 > 0:12:59and then we just take a royalty from the initial idea.
0:13:03 > 0:13:08- As well as showing the Dragon around his new inspirational office...- Wow!
0:13:08 > 0:13:12- You think Theo would like this? - Yeah. If he got in it, you wouldn't see him! It's big!
0:13:12 > 0:13:17..Mark also wants to get Peter's thoughts on some of his inventions
0:13:17 > 0:13:23in the hope that his Dragon will think one of the prototypes could be a worldwide bestseller.
0:13:23 > 0:13:28So...there's a few things here. The first thing I want to show you
0:13:28 > 0:13:33is inspired by an old-style gramophone.
0:13:33 > 0:13:36So it's a sort of £5-£10 price point for kids
0:13:36 > 0:13:39who want to amplify their music on their phones.
0:13:39 > 0:13:41But you don't have a speaker in here?
0:13:41 > 0:13:45No, it's just the way that the trumpet works to amplify the sound, so I can demonstrate.
0:13:45 > 0:13:48- Oh, OK.- If I just put a song on here. - MUSIC STARTS
0:13:48 > 0:13:53You get a certain amount of noise, but when you put it in the gramophone, it amplifies it.
0:13:53 > 0:13:56VOLUME INCREASES
0:13:57 > 0:14:00VOLUME DECREASES, THEN INCREASES
0:14:01 > 0:14:05- It does, doesn't it? - Yeah, it does. It genuinely does.
0:14:05 > 0:14:08- Um, I think that's quite clever. - Thank you.
0:14:08 > 0:14:12Can you can make from something cheaper, not plastic, so it doesn't kill the environment?
0:14:12 > 0:14:16- You use recycled plastic. - Can you use recycled cardboard?
0:14:16 > 0:14:18You could, you could make it out of card, yes.
0:14:18 > 0:14:22A bit gimmicky, it looks like a gramophone. Yeah, I think people might buy it.
0:14:22 > 0:14:29- One idea approved, on to the next. - So these are...
0:14:29 > 0:14:35levitating cutlery. So the cutlery itself, on your place table mat,
0:14:35 > 0:14:38will levitate above the place mat.
0:14:38 > 0:14:40Oops.
0:14:40 > 0:14:43- ..like so. - And if you think, in the kitchen,
0:14:43 > 0:14:46when mixing or doing something with stuff all over you mixing spoon,
0:14:46 > 0:14:48you don't want to put it on a work surface,
0:14:48 > 0:14:53- to have it levitate above the work surface and not get it dirty is smart.- That would freak me out.
0:14:53 > 0:14:56Did you spend much time thinking of this idea? LAUGHTER
0:14:56 > 0:15:01- A reasonable amount of time. - You did? I don't want to be too critical, then.
0:15:01 > 0:15:03- I'm crushed!- Sorry.
0:15:04 > 0:15:08Not all of Mark's ideas are inspiring his business partner.
0:15:08 > 0:15:12So, this is a chopping board with a magnetic strip through it.
0:15:12 > 0:15:14But Peter still seems encouraged by his innovation.
0:15:14 > 0:15:17After all, some of the greatest inventors in history
0:15:17 > 0:15:21didn't have their true eureka moment until much later in life.
0:15:21 > 0:15:25There's not a killer idea here that's going to make us both a fortune,
0:15:25 > 0:15:28but you've come up with some clever ideas that will make money.
0:15:28 > 0:15:32But it was interesting, just you and I sparking off each other, thinking, "Oh, right!"
0:15:32 > 0:15:36You even got me thinking about ideas and different things, which is interesting.
0:15:38 > 0:15:43Next year, Mark is predicting a turnover of £175,000.
0:15:43 > 0:15:45But at the moment, all of the company's profits
0:15:45 > 0:15:49are being put back into the business to develop ideas for new products.
0:15:50 > 0:15:54But far from being disheartened, Peter knows that it's his job
0:15:54 > 0:15:58to nurture Mark's creative brain into thinking commercially.
0:15:58 > 0:16:01Mark's a real ideas man.
0:16:01 > 0:16:03I just want him to think even more now
0:16:03 > 0:16:06about what is the next thing, what will people want to buy?
0:16:06 > 0:16:09I think he has to fill that void between thinking of an idea
0:16:09 > 0:16:11and actually, "Would I buy it"?
0:16:11 > 0:16:13If I think it's great that Peter's on board,
0:16:13 > 0:16:16and it really encourages me that he is by my side
0:16:16 > 0:16:19and coming up with the business perspective on my ideas
0:16:19 > 0:16:22and really helping me to see what's going to work and what's not.
0:16:22 > 0:16:26I think we'll make a decent amount of money, and who knows,
0:16:26 > 0:16:30surrounded by all these inventions we might come up with the next big thing.
0:16:41 > 0:16:44Only a handful of entrepreneurs can convince the Dragons
0:16:44 > 0:16:48that their idea is good enough for investment.
0:16:48 > 0:16:49Yes!
0:16:53 > 0:16:55But for those lucky few,
0:16:55 > 0:16:58it's like all their Christmases have come at once.
0:16:58 > 0:17:03I'm just so, so pleased. It's a dream come true.
0:17:03 > 0:17:07So, the Dragons' next lesson is - don't forget to dream.
0:17:10 > 0:17:13Entrepreneurs tend by their nature to be very optimistic.
0:17:13 > 0:17:17- Buttons?- It's the girl of my dreams, my very own Deborah Meaden!
0:17:18 > 0:17:20They tend to wear good-news goggles
0:17:20 > 0:17:25and to view the entire world through the best of all possible scenarios.
0:17:25 > 0:17:28You are looking at things with rose-coloured glasses on.
0:17:28 > 0:17:33And in business, while that's great, you've also got to be realistic.
0:17:34 > 0:17:37If you can see it from an external point of view,
0:17:37 > 0:17:40you're more likely to avoid mistakes.
0:17:40 > 0:17:44You need enough space behind this wall now, so it's irrelevant.
0:17:44 > 0:17:46Utterly pointless, David. It is utterly pointless.
0:17:46 > 0:17:49You'd never get a shower and toilet into this area,
0:17:49 > 0:17:51this is 1.2 diameter.
0:17:51 > 0:17:53But you need the space to start with.
0:17:56 > 0:17:59But some of the most successful entrepreneurs
0:17:59 > 0:18:03would never have got where they are today without that initial dream.
0:18:03 > 0:18:05Hand.
0:18:05 > 0:18:09I think it's really vital to dream. I'm a boy, and I love cars.
0:18:09 > 0:18:12So it's just it's my little dream, really.
0:18:12 > 0:18:16I was always the one at school that was being shouted at by the teachers saying,
0:18:16 > 0:18:19"Your head's in the clouds, Jones! What are you doing?
0:18:19 > 0:18:21Yeah, baby!
0:18:21 > 0:18:24I love it!
0:18:24 > 0:18:26How the hell do you get in this?
0:18:26 > 0:18:30If you've got a dream and you can see how things can happen,
0:18:30 > 0:18:34all of a sudden, your whole business idea starts to come to life.
0:18:34 > 0:18:38But dreaming that dream isn't a recipe for guaranteed success in the Den.
0:18:38 > 0:18:40There's a fine line between being a dreamer
0:18:40 > 0:18:42and being a successful entrepreneur.
0:18:42 > 0:18:48I've come here seeking £100,000 to save the Spanish pig.
0:18:50 > 0:18:52It's very important to know the difference
0:18:52 > 0:18:54between dream and reality.
0:18:54 > 0:18:59We believe that we could quite easily sell 400,000 of these
0:18:59 > 0:19:00in our second year.
0:19:00 > 0:19:04And giving yourself that all-important reality check
0:19:04 > 0:19:07often means facing up to the fact that your idea
0:19:07 > 0:19:10will probably never take off.
0:19:10 > 0:19:14- Have you had any sales yet? - No, we haven't sold any yet.
0:19:14 > 0:19:15- Have you got a website yet?- No.
0:19:15 > 0:19:20- Have the books been published yet? - No.- Have the DVDs been done yet? - No, no, no.
0:19:20 > 0:19:24- But the company has been registered? - No, we haven't even started the company yet.
0:19:29 > 0:19:32One woman who the Dragons thought might have
0:19:32 > 0:19:34her head in the clouds was Marneta Viegas.
0:19:36 > 0:19:41She entered the Den back in 2005 looking for a £100,000 investment
0:19:41 > 0:19:45for 20% of her children's meditation business.
0:19:45 > 0:19:47There was a girl called Marneta Viegas
0:19:47 > 0:19:51who had a dream to teach children to relax.
0:19:51 > 0:19:56So she made a wish upon a star and rubbed her magic lamp
0:19:56 > 0:19:59and set up Relax Kids.
0:20:00 > 0:20:03And as her pitch went on, Marneta's dream of a business idea
0:20:03 > 0:20:06became even less attractive to the Dragons.
0:20:07 > 0:20:10I didn't set up Relax Kids to make a whole heap of money.
0:20:12 > 0:20:16I would like to put on a West End stage show with all the money I get.
0:20:16 > 0:20:18It gets worse.
0:20:18 > 0:20:21I don't know an investor in the world who would give you their cash
0:20:21 > 0:20:24if you tell them that you're not looking to make any money.
0:20:24 > 0:20:29- In spite of the Dragon's warming to Marneta...- I think you're lovely.
0:20:29 > 0:20:34- Thank you.- ..none of them wanted to buy a share of her business dream.
0:20:34 > 0:20:36I'm not going to invest in you.
0:20:39 > 0:20:43Six years on, and Marneta's products are selling well.
0:20:43 > 0:20:47So, that's really good. I really like... Now you've done that.
0:20:48 > 0:20:52And with her meditation exercises now been introduced into schools,
0:20:52 > 0:20:57she says she's turned over £240,000 in the last 12 months.
0:20:57 > 0:21:01Taken nice deep breath in through our nose,
0:21:01 > 0:21:03and slowly out through our mouth.
0:21:06 > 0:21:08But even though her business has grown,
0:21:08 > 0:21:10Marneta's dream remains the same.
0:21:10 > 0:21:14I'm able earn a living, and then all the people who work for me
0:21:14 > 0:21:16and all my coaches can earn a living,
0:21:16 > 0:21:20but we're giving back at the same time as earning a living.
0:21:20 > 0:21:21Stretch them up, up, up!
0:21:21 > 0:21:25Which just goes to prove that everyone's aspirations are different,
0:21:25 > 0:21:27even when it comes to business.
0:21:27 > 0:21:34It's not about making lots of money. My business is about relaxing.
0:21:34 > 0:21:37And I don't think the Dragons would understand that.
0:21:37 > 0:21:39They would laugh again, wouldn't they?
0:21:50 > 0:21:53The Dragons sit through hours of pitches every day.
0:21:55 > 0:21:58So in order to prove that their business idea
0:21:58 > 0:21:59is worthy of investment,
0:21:59 > 0:22:03entrepreneurs often like to get it in writing.
0:22:03 > 0:22:07I've got letters from the Queen, from the Prince of Wales.
0:22:07 > 0:22:12So the Dragons' next lesson is - make sure you've done your homework.
0:22:15 > 0:22:16It's absolutely crucial,
0:22:16 > 0:22:19if you're going to have a really profitable business,
0:22:19 > 0:22:21that other people can't compete with you head-on.
0:22:24 > 0:22:26What happens if this is a rip-roaring success
0:22:26 > 0:22:30and all the pet shops will say, "We'll do our own"?
0:22:30 > 0:22:32Well, they might do. I can't stop them.
0:22:32 > 0:22:35If they can just copy your product
0:22:35 > 0:22:39and you have lots of people copying it and competing with you, you won't make money.
0:22:39 > 0:22:43You can't possibly have anything that prevents anyone else
0:22:43 > 0:22:44selling the same thing.
0:22:44 > 0:22:47- Why?- It's a piece of cloth.
0:22:48 > 0:22:51If you have got a good product, then yes, get it patented.
0:22:51 > 0:22:55Are you saying that you've got a patent and international rights to stop anybody else
0:22:55 > 0:22:58- putting a line down the middle of a bed?- Yes.
0:23:01 > 0:23:04But don't assume that just because you've done the paperwork
0:23:04 > 0:23:08for your idea, the Dragons will be satisfied.
0:23:08 > 0:23:11We get a lot of people who come into the Den with patents.
0:23:11 > 0:23:15- I have a patent pending. - I secured a patent for this in 2005.
0:23:15 > 0:23:20- We've patent pending at present. - Sometimes people get very confused.
0:23:21 > 0:23:26- You can't possibly have a patent. - I absolutely have.
0:23:26 > 0:23:28- The patent is for the concept. That's the patent.- It isn't.
0:23:28 > 0:23:31- It is.- No, it isn't. Let me see it.
0:23:33 > 0:23:36The patent is only worth something if it can help you own
0:23:36 > 0:23:39that particular market.
0:23:41 > 0:23:45Nowhere does it say that you have a patent to be the only person
0:23:45 > 0:23:49with a container that you can put frozen food into outside a house.
0:23:49 > 0:23:53I'm sorry, Duncan, that concept is patented.
0:23:54 > 0:23:58And there's one Dragon who is particularly picky about her patents.
0:24:01 > 0:24:03- Who owns the rights to the design of this?- I do.
0:24:03 > 0:24:06I actually filed a patent and that's pending.
0:24:06 > 0:24:10- And how long ago did you file that application?- I filed it last week.
0:24:11 > 0:24:14Do you or do you not own the technology?
0:24:14 > 0:24:17We have a five-year licence to use the technology.
0:24:17 > 0:24:21And how sure are you that that does not infringe the original patent?
0:24:21 > 0:24:23That's a very good question.
0:24:23 > 0:24:26And she's not just a stickler for patents,
0:24:26 > 0:24:31because when it comes to paperwork, nothing gets past Deborah Meaden.
0:24:31 > 0:24:35You've got e-mails here to prove somebody wants to order 100,000 of these.
0:24:35 > 0:24:37- Yes.- I think we ought to see those e-mails.
0:24:37 > 0:24:44They said they want so and so many, and they want to test it first.
0:24:44 > 0:24:46That's a little bit different, isn't it?
0:24:48 > 0:24:50Do the paperwork.
0:24:54 > 0:24:57Two women who had done the paperwork for their idea
0:24:57 > 0:25:01were cousins Lisa Marshall and Shelene Mitchell.
0:25:01 > 0:25:05They entered the Den at last year looking for a £50,000 investment
0:25:05 > 0:25:10for a 15% share in their stackable outdoor plant container.
0:25:11 > 0:25:12Hello, Dragons.
0:25:13 > 0:25:17- My name's Lisa.- And I'm Shelene, and we're from Blooming High.
0:25:17 > 0:25:22Originally, our product idea came from...
0:25:22 > 0:25:24I went round to visit Shelene
0:25:24 > 0:25:28and she had got an outstanding display in her garden
0:25:28 > 0:25:32and I asked her where I could get one from, and she said, "I made it myself."
0:25:32 > 0:25:34I said to her, "It would be a good idea,
0:25:34 > 0:25:35"I think it's a good idea
0:25:35 > 0:25:38"and it's got potential to commercialise it."
0:25:38 > 0:25:39And here we are today.
0:25:42 > 0:25:44They was what I'd call down-to-earth ladies.
0:25:44 > 0:25:48They weren't on their high pram, looking down their nose at you.
0:25:48 > 0:25:52They were just natural, homely, loving girls.
0:25:52 > 0:25:58I don't think people expected them to really know what they were doing.
0:25:58 > 0:26:01As well as demonstrating the product,
0:26:01 > 0:26:04the duo explained its unique selling point.
0:26:07 > 0:26:12It has an internal watering tube that fits together.
0:26:13 > 0:26:17It has a patent on it at the moment and a trademark as well.
0:26:17 > 0:26:19It's got a UK granted patent for what?
0:26:19 > 0:26:23For the way it's watered through this watering tube.
0:26:23 > 0:26:24No-one's come up with the idea before.
0:26:24 > 0:26:27- Have you got the patent here?- Yes.
0:26:27 > 0:26:29Could I ask somebody to look at it?
0:26:31 > 0:26:34They were going on about the patent and I thought to myself,
0:26:34 > 0:26:37"Here we go. Just like me, here.
0:26:37 > 0:26:39"This is where they'll come unstuck."
0:26:39 > 0:26:42But after examining the pair's paperwork,
0:26:42 > 0:26:45Deborah Meaden gave her verdict.
0:26:45 > 0:26:48I was expecting to look at this and think,
0:26:48 > 0:26:50"They've probably got an application in
0:26:50 > 0:26:53"and they're not quite sure where they are in the process".
0:26:53 > 0:26:59Actually what I've got is probably the tidiest patent I've ever seen in the Den.
0:27:00 > 0:27:03Having Deborah say our patent was the tidiest patent
0:27:03 > 0:27:05that had been through the Den was a boost.
0:27:05 > 0:27:08It was a good achievement.
0:27:08 > 0:27:11So once they had shown it was a really good patent,
0:27:11 > 0:27:16it suddenly meant they were being taken much, much more seriously.
0:27:16 > 0:27:21But paperwork perfectionist Deborah still wasn't satisfied.
0:27:22 > 0:27:26The question to me is, how important is it that you've patented it?
0:27:26 > 0:27:30So what I would like to understand is why that is so good.
0:27:31 > 0:27:36We tested this tube over a period of five years, so this tube is unique.
0:27:40 > 0:27:43The duo may have protected their invention,
0:27:43 > 0:27:46but after hearing their poor sales figures...
0:27:46 > 0:27:50We have sold, at the moment, just under 700.
0:27:50 > 0:27:53..Duncan Bannatyne decided they needed a lesson
0:27:53 > 0:27:55in how to promote their idea.
0:27:56 > 0:27:59Let's do it. Let's do it.
0:27:59 > 0:28:00Phone me now.
0:28:00 > 0:28:01Ring, ring.
0:28:01 > 0:28:03Hello?
0:28:03 > 0:28:06Hello. My name's Lisa and I'm from a company called Blooming High.
0:28:06 > 0:28:09We have a new product out on the market
0:28:09 > 0:28:12that we think you could be interested in.
0:28:12 > 0:28:13Is that it?
0:28:13 > 0:28:16We're not from sales backgrounds and we do realise...
0:28:16 > 0:28:18That's why you need to sit down.
0:28:18 > 0:28:22Not, "I am the Lisa from a company called Blooming High."
0:28:22 > 0:28:24"Hi, it's Lisa from Blooming High here.
0:28:24 > 0:28:29"The most fantastic product ever patented for the garden centre, you need it".
0:28:29 > 0:28:33Duncan had to give them a bit of a lesson on how to make a phone call.
0:28:33 > 0:28:38What Duncan did was really good and I hope that they did listen to him.
0:28:42 > 0:28:44Despite giving the pair a lesson in cold-calling,
0:28:44 > 0:28:47Duncan Bannatyne decided he couldn't invest
0:28:47 > 0:28:49and three other Dragons also dropped out.
0:28:49 > 0:28:53But would the likeable duo's watertight paperwork
0:28:53 > 0:28:56be enough to convince Deborah Meaden to part with her cash?
0:28:58 > 0:29:03Often people stand in front of us and we say, "Don't do it, stop it. You're wasting your time".
0:29:03 > 0:29:05I'm going to say the reverse here.
0:29:05 > 0:29:07Carry on. Half of this is you thinking, "We can't.
0:29:07 > 0:29:10"We're not sales people". Of course you can.
0:29:10 > 0:29:14Get it in front of the right people. Tell them why they need it. You'll sell it.
0:29:14 > 0:29:18But I don't think there's enough for an outside investor. So I'm out.
0:29:18 > 0:29:19Thank you.
0:29:19 > 0:29:21JAMES: Take care, bye.
0:29:21 > 0:29:22So close.
0:29:22 > 0:29:24Birthday cake, but no candles.
0:29:34 > 0:29:37A year on and Shelene and Lisa's business
0:29:37 > 0:29:38is growing at a steady rate.
0:29:38 > 0:29:42The cousins have taken delivery of their latest shipment of products,
0:29:42 > 0:29:46complete with their newly redesigned packaging.
0:29:48 > 0:29:51Look at that!
0:29:51 > 0:29:54Looks more like green for gardening.
0:29:54 > 0:29:57The fact that we didn't get an investment did make us work
0:29:57 > 0:30:00a little bit harder because straight after we came out of the Den,
0:30:00 > 0:30:03my first port of call was to put in some phone calls to people.
0:30:03 > 0:30:07It drove me to go knocking on the doors and to persist, really.
0:30:07 > 0:30:11It makes you go all the more determined to prove them wrong.
0:30:11 > 0:30:13That's it. All done.
0:30:17 > 0:30:20Shelene and Lisa are still selling their stackable plant container
0:30:20 > 0:30:23in local garden centres, but on the Dragons' advice
0:30:23 > 0:30:26they now also sell through their own website
0:30:26 > 0:30:28and have managed to get their product
0:30:28 > 0:30:32in the online store of one of the UK's biggest supermarkets.
0:30:32 > 0:30:37And their business expansion plans don't stop there.
0:30:37 > 0:30:40To get it out of the UK was one of the roads
0:30:40 > 0:30:42that we were looking down as well
0:30:42 > 0:30:44and that's in the pipeline at the moment.
0:30:44 > 0:30:50Gone out to Switzerland already. We're negotiating with Japan at the moment.
0:30:55 > 0:31:00Today the pair are at a well-known shopping channel to promote their latest idea -
0:31:00 > 0:31:03a watering system for hanging baskets.
0:31:05 > 0:31:09And Dragon Deborah Meaden has come down to watch
0:31:09 > 0:31:13these fully-fledged business women in action.
0:31:13 > 0:31:16I'm here to catch up with Lisa and Shelene from the Blooming High.
0:31:16 > 0:31:17Last time I saw them was in the Den.
0:31:17 > 0:31:20We were all very impressed with them.
0:31:20 > 0:31:23I was really impressed with their patent and paperwork.
0:31:23 > 0:31:26But we were concerned how far the business could go
0:31:26 > 0:31:31so today I get to find out, were we right or were we wrong?
0:31:31 > 0:31:34Good afternoon to you. Now I did promise you a very special garden bargain.
0:31:34 > 0:31:37They don't come much more innovative
0:31:37 > 0:31:40than coming straight from the Dragons' Den.
0:31:40 > 0:31:46The duo say that last year's turnover was just over £146,000
0:31:46 > 0:31:49with a profit of nearly £54,000.
0:31:49 > 0:31:50There they are.
0:31:50 > 0:31:52Looking very calm and relaxed.
0:31:52 > 0:31:55And with their growing product range,
0:31:55 > 0:31:57they expect next year's figures to rocket.
0:31:57 > 0:32:01100% of the call-centre consultants are now on the phones
0:32:01 > 0:32:02taking your orders.
0:32:02 > 0:32:06I remember us saying in the Den that the shopping channels would be
0:32:06 > 0:32:09a very good route and here they are, they've taken that advice
0:32:09 > 0:32:12and sure enough, they're selling product through it.
0:32:12 > 0:32:15So 20 sold in minutes.
0:32:15 > 0:32:16Pretty good.
0:32:16 > 0:32:20Lisa and Shelene haven't seen Deborah since the Den.
0:32:20 > 0:32:25With just a short break before they're due back on set, the ladies get down to business.
0:32:25 > 0:32:28So, how's it going?
0:32:28 > 0:32:29Yeah, it's going all right.
0:32:29 > 0:32:33It's getting there. Obviously, we've sold a lot more.
0:32:33 > 0:32:35We sold out once.
0:32:35 > 0:32:38We totally sold out, yeah.
0:32:39 > 0:32:43We've changed the packaging and gone for a more greeney garden,
0:32:43 > 0:32:47than white and pictures because a few people suggested
0:32:47 > 0:32:50- that the white may get dirty a little bit quicker.- Yeah.
0:32:50 > 0:32:53We've also got the booklet, instruction leaflet...
0:32:53 > 0:32:57is now multilingual because it's gone out to Switzerland
0:32:57 > 0:33:00and we've got strong interest at the moment from Japan.
0:33:00 > 0:33:03Oh, right. Hold on, we've done England
0:33:03 > 0:33:05and now we're taking of the world.
0:33:05 > 0:33:08The business sounds like it's going from strength to strength.
0:33:08 > 0:33:11But in spite of their tidy patent,
0:33:11 > 0:33:14Lisa and Shelene are still worried about their growing competition
0:33:14 > 0:33:16from other manufacturers.
0:33:16 > 0:33:21This is their chance to ask advice from the experienced business woman.
0:33:21 > 0:33:24There are people out there that are trying to do it
0:33:24 > 0:33:26but we're not quite sure what we should do about that.
0:33:26 > 0:33:30The first thing you need to know is whether they infringe your patent
0:33:30 > 0:33:32because it was quite specific.
0:33:32 > 0:33:35The next thing is, are they selling lots of them?
0:33:35 > 0:33:37- They are.- They are?
0:33:37 > 0:33:40You need to know how much of YOUR market they are taking
0:33:40 > 0:33:45because honestly the last thing I ever want to go to is litigation,
0:33:45 > 0:33:47but if you've got good patent and they are infringing it
0:33:47 > 0:33:50then you need to tell them and they need to stop.
0:33:50 > 0:33:54Lisa and Shelene's new product launch was a great success.
0:33:54 > 0:33:56They sold all of their stock
0:33:56 > 0:33:58and their appearance on this shopping channel also
0:33:58 > 0:34:02helped them to sell out of their original stackable plant container.
0:34:02 > 0:34:06Plus, they've now signed with a Japanese distributor
0:34:06 > 0:34:10and are currently preparing to ship their first 10,000 units to Japan.
0:34:10 > 0:34:13We got the best result you can get from the Den.
0:34:13 > 0:34:15Because we didn't lose any of the company
0:34:15 > 0:34:18and we got appraisal for our product.
0:34:18 > 0:34:22These two are an absolute prime example...
0:34:22 > 0:34:24They stood in front of us in the Den,
0:34:24 > 0:34:25they listened to everything
0:34:25 > 0:34:29and they have taken exactly the steps we were talking about.
0:34:29 > 0:34:33That's the point of the Den. It's not just about investments.
0:34:33 > 0:34:34It's the stuff you can learn from it.
0:34:42 > 0:34:47This is the Dragons' guide to money-making ideas.
0:34:47 > 0:34:50Five simple lessons that could inspire
0:34:50 > 0:34:53a very lucrative light bulb moment of your own.
0:35:00 > 0:35:05When entrepreneurs come up with new ideas to showcase in the Den...
0:35:05 > 0:35:07Wow!
0:35:07 > 0:35:10..they always try to make them seem as innovative as possible.
0:35:10 > 0:35:13It is very difficult to make something from scratch
0:35:13 > 0:35:16so we really have to think outside the box quite a bit.
0:35:16 > 0:35:21So the Dragons' next lesson is TOTB.
0:35:23 > 0:35:28The world needs people who can frame that the problem in a different way
0:35:28 > 0:35:33and consequently have come up with a different way of resolving it.
0:35:33 > 0:35:37Easy Over will turn over a fried egg without the need of splashing
0:35:37 > 0:35:39hot oil on to the top of the egg,
0:35:39 > 0:35:43reducing the risk of potential pan fires and burns.
0:35:43 > 0:35:46I think it's always better in business
0:35:46 > 0:35:49if there is something unique about your own business model.
0:35:51 > 0:35:54And if you do have an out of the box idea,
0:35:54 > 0:35:55it can pay dividends in the den.
0:35:55 > 0:36:00Very rarely do we see brand new ideas in the Den.
0:36:00 > 0:36:03YoodooDoll is the first ever make your own doll.
0:36:03 > 0:36:08Every now and then, you get something you've never thought of.
0:36:08 > 0:36:09I like it and it's fun.
0:36:09 > 0:36:12So I am going to make you an offer.
0:36:12 > 0:36:15And out of the box ideas aren't just for the entrepreneurs.
0:36:15 > 0:36:18The Dragons have their moments too.
0:36:20 > 0:36:23I like thinking out of the box I like to be a little bit edgy.
0:36:23 > 0:36:25My offer...
0:36:25 > 0:36:27is to buy that. Have we got a deal?
0:36:27 > 0:36:30Yes, we've got a deal.
0:36:30 > 0:36:33I would say the majority of entrepreneurs are out of the box thinkers.
0:36:33 > 0:36:37That's the first time I've bought a house without looking round.
0:36:37 > 0:36:40- Hello!- Hello! Do you want to come and play?
0:36:40 > 0:36:43We're pragmatic and we're realistic but at the same time,
0:36:43 > 0:36:47we're always thinking outside of the box.
0:36:53 > 0:37:00One out of the box thinker who entered the Den in 2009 was inventor Rupert Sweet-Escott.
0:37:00 > 0:37:04He came looking for an £80,000 investment for 10%
0:37:04 > 0:37:08of his aviation and renewable energy business ideas.
0:37:08 > 0:37:13What I'm offering is pedal-powered enhancement of performance.
0:37:13 > 0:37:16So basically you can take off from flat ground
0:37:16 > 0:37:20using a compressed air motor
0:37:20 > 0:37:21or electric motor
0:37:21 > 0:37:25and recharge your batteries in flight.
0:37:25 > 0:37:28Or you can just improve your glide which is for the purists.
0:37:30 > 0:37:34Doesn't it make you proud to be British? Your classic mad inventor.
0:37:34 > 0:37:37My good friend here Dominic
0:37:37 > 0:37:41will now demonstrate how the system works.
0:37:42 > 0:37:46You had to sort of think, I just love this guy.
0:37:46 > 0:37:48I have another product
0:37:48 > 0:37:51and that is a wind turbine that looks like a chimney pot.
0:37:54 > 0:37:58The cleverness of Rupert's variety of ideas
0:37:58 > 0:38:01piqued the interest of former Dragon James Cann.
0:38:01 > 0:38:05- How much have you ever made in one year? What's the maximum?- 800,000.
0:38:05 > 0:38:07- £800,000.- Dollars.
0:38:07 > 0:38:12And they closed a deal for 49% of Rupert's company.
0:38:20 > 0:38:23Having shaken hands on an agreement in principle in the Den,
0:38:23 > 0:38:28the deal didn't get through the due diligence process outside it.
0:38:28 > 0:38:30My uncle Richard told me once,
0:38:30 > 0:38:34"There's only one ship that doesn't float. A partnership."
0:38:34 > 0:38:37Some people are born to work alone. I think I'm one of them.
0:38:37 > 0:38:42In the end, Rupert self-financed his company with proceeds from a foreign property sale,
0:38:42 > 0:38:45and to date, has sold 12 air bikes.
0:38:45 > 0:38:50But his big success has been his wind turbine chimney pot idea.
0:38:52 > 0:38:55Hi! How's it going then? Haven't you finished yet?
0:38:55 > 0:38:57Sales are incredible.
0:38:57 > 0:39:0295% of them are export, mainly in Japan
0:39:02 > 0:39:06and I hope to do very well in the UK too.
0:39:06 > 0:39:08What do you reckon, two more days on this site?
0:39:10 > 0:39:13Rupert tells us he's sold nearly 400 wind turbines
0:39:13 > 0:39:17and has a current turnover of £270,000.
0:39:17 > 0:39:19So it seems the Dragons are right.
0:39:19 > 0:39:24Out of the box is a very lucrative way of thinking.
0:39:24 > 0:39:25Hold on, hold on.
0:39:27 > 0:39:31We know how much the Dragons love to disagree about money-making ideas.
0:39:31 > 0:39:34I disagree with Duncan. I think this is a fantastic idea.
0:39:34 > 0:39:35I say it's a great idea,
0:39:35 > 0:39:39you say, "I disagree with Duncan. It's a great idea."
0:39:40 > 0:39:47One Dragon believes strongly that thinking outside the box can lead you down the road to disaster.
0:39:47 > 0:39:50Thing about thinking outside the box, it's just been overdone.
0:39:50 > 0:39:52I think it's absolutely crazy.
0:39:52 > 0:39:56Be realistic. Think about how you can improve on our business,
0:39:56 > 0:39:58how you can make it work better.
0:39:59 > 0:40:03Put one end through the other, pull it tight, cut the end off.
0:40:03 > 0:40:06Now you can use that bit again.
0:40:06 > 0:40:08Think inside the box. Simple.
0:40:13 > 0:40:17Two entrepreneurs who didn't try to re-invent the wheel
0:40:17 > 0:40:20were husband and wife team Neil and Laura Westwood.
0:40:23 > 0:40:27They entered the Den back in 2008 looking for £100,000 investment
0:40:27 > 0:40:29for 15% of their self-adhesive
0:40:29 > 0:40:32portable white board distribution business.
0:40:37 > 0:40:41We have secured the sole and exclusive distribution
0:40:41 > 0:40:43and selling rights in the UK and Ireland.
0:40:43 > 0:40:48We also have the option of expanding that
0:40:48 > 0:40:51to other worldwide territories subject to negotiation.
0:40:53 > 0:40:56Sometimes your idea doesn't have to be your own.
0:40:56 > 0:40:58It doesn't have to be completely original.
0:40:58 > 0:41:01Often you can have a good observation
0:41:01 > 0:41:04of what may be working well in another market.
0:41:06 > 0:41:13The product itself is currently selling over 200,000 rolls in Japan.
0:41:13 > 0:41:16To make money you don't have to necessarily invent the product
0:41:16 > 0:41:19but you have to spot an opportunity.
0:41:21 > 0:41:23With offers from four of the Dragons,
0:41:23 > 0:41:26Neil and Laura made a joint deal with retail giant Theo Paphitis
0:41:26 > 0:41:30and marketing expert Deborah Meaden for 40% of their business.
0:41:32 > 0:41:37Three years on, the couple have reportedly sold 50,000 white boards.
0:41:37 > 0:41:41Today they're meeting with one half of their Dragon duo...
0:41:41 > 0:41:43Hello. Did you find it OK?
0:41:43 > 0:41:46..to celebrate their ongoing success.
0:41:46 > 0:41:49You came into the Den without an invention.
0:41:49 > 0:41:52You found a product you thought was useful
0:41:52 > 0:41:56- and thought you could sell it.- Yeah.
0:41:56 > 0:41:59And we've marketed it well, created the brand,
0:41:59 > 0:42:02and we've added more products to the range now as well.
0:42:02 > 0:42:05Where do we go from here?
0:42:05 > 0:42:08We're already exporting to Australia.
0:42:08 > 0:42:12There's over four pallets already gone there the last couple of months.
0:42:12 > 0:42:15The first container has gone over to America.
0:42:15 > 0:42:18It's really exciting at the moment.
0:42:19 > 0:42:24With a reported profit for this year of just over £455,000,
0:42:24 > 0:42:31it looks like Neil and Laura's inside the box idea could make them the next Dragons' Den millionaires.
0:42:32 > 0:42:37Before the Den we were making £45,000.
0:42:37 > 0:42:42In those three years we've sold almost £2 million worth of products.
0:42:42 > 0:42:45Those turnover figures are fantastic.
0:42:45 > 0:42:47Doesn't get much better than that, does it?
0:42:47 > 0:42:50- Cheers.- Cheers.- Congratulations. - Cheers, Theo.
0:43:01 > 0:43:05Every entrepreneur needs to have confidence in their product.
0:43:05 > 0:43:10I wouldn't be here today if it wasn't knowing this was a unique idea.
0:43:10 > 0:43:14But where do you draw the line between self belief
0:43:14 > 0:43:16and knowing when to give up?
0:43:16 > 0:43:19It's not going to make you a lot of profit, love.
0:43:19 > 0:43:21For that reason, I'm out.
0:43:22 > 0:43:25So the Dragons' final lesson is:
0:43:25 > 0:43:27Don't kid yourself.
0:43:29 > 0:43:33A mistake people make is to come up with ideas
0:43:33 > 0:43:36that fundamentally don't solve any problem.
0:43:36 > 0:43:41Problem: Seized union nuts. Solution: Bag clamps.
0:43:41 > 0:43:45Because there was no problem there to be solved.
0:43:45 > 0:43:49Problem: Seized union nuts. Solution: Pump off.
0:43:51 > 0:43:55The best thing to do is work out, does anyone actually need this?
0:43:55 > 0:43:58If I didn't invent it would anybody miss it?
0:43:58 > 0:44:03In 200-300 years, nobody has invented your gizmo?
0:44:03 > 0:44:06- No.- Because it hasn't been a problem.
0:44:08 > 0:44:15But being your own worst critic means taking a good, long, hard look in the mirror.
0:44:16 > 0:44:20Nobody can fool yourself better than yourself.
0:44:20 > 0:44:23The first thing you will notice is how quiet it is.
0:44:23 > 0:44:26Second thing I notice is my hands aren't feeling terribly dry.
0:44:27 > 0:44:33Every successful entrepreneur I know is capable of saying,
0:44:33 > 0:44:35"I got that wrong."
0:44:35 > 0:44:38It's not something you should give up your day jobs for.
0:44:38 > 0:44:41We actually did quit our day job to do this full-time.
0:44:41 > 0:44:43Ah.
0:44:43 > 0:44:46Make sure you ask yourself the question,
0:44:46 > 0:44:50"Am I being honest with myself?" If you are being honest,
0:44:50 > 0:44:53continue down the path of your dreams.
0:44:53 > 0:44:57If this idea was genuinely as exciting as you are presenting,
0:44:57 > 0:45:01somebody out there would have approached you with a proposition.
0:45:01 > 0:45:05- They haven't.- If you are not, cut it there and then.
0:45:05 > 0:45:07I think it's a matter of persistence
0:45:07 > 0:45:09and I think it will be on a shelf near you soon.
0:45:09 > 0:45:13The Dragons are not known for keeping their opinions to themselves.
0:45:13 > 0:45:17So if they don't like your idea, best beware.
0:45:22 > 0:45:27We've seen some pretty tragic examples of some most ludicrous ideas.
0:45:27 > 0:45:33Anti-wrinkle hat, you stretch the facial muscle and it will
0:45:33 > 0:45:35not allow a new wrinkle to develop.
0:45:35 > 0:45:38The most ridiculous ideas.
0:45:38 > 0:45:41We have designed and manufactured an edible greetings card for dogs.
0:45:41 > 0:45:43It never ceases to amaze me.
0:45:43 > 0:45:45Put your glove on your right hand.
0:45:45 > 0:45:49This would remind you to stay on the right-hand side of the road.
0:45:49 > 0:45:53Something tells me this isn't going to work. I don't know why(!)
0:45:53 > 0:45:57Somebody needs to tell them it is never ever going to come to fruition.
0:45:57 > 0:46:04If I turned up to a beach with my suitcase and unwrapped that, do you know the looks I'd get?
0:46:04 > 0:46:05Envy?
0:46:05 > 0:46:06Envy!
0:46:06 > 0:46:08Stop it now.
0:46:17 > 0:46:23One man who had an unshakeable belief in his business idea was Derek Couzens.
0:46:23 > 0:46:27He entered the Den last year looking for a £50,000 investment
0:46:27 > 0:46:31for 10% of his traffic-signal safety light concept.
0:46:33 > 0:46:35This is a no-entry sign.
0:46:35 > 0:46:39Everybody knows what they mean, but some people manage to miss them.
0:46:39 > 0:46:43That's no big deal if it's just the slip road to the shops,
0:46:43 > 0:46:46but when it's the slip road to the M4, it's a whole different scenario.
0:46:46 > 0:46:51Look at them face on, they're fine, but there are very few junctions where you see them face on.
0:46:51 > 0:46:55You see the side-on view, which can be extremely limiting.
0:46:55 > 0:46:59So we fit a flow signal.
0:46:59 > 0:47:03It's red in colour, it's mimicking the traffic that's coming towards you.
0:47:03 > 0:47:08It's visible for 180 degrees. It's visible in heavy rain and fog.
0:47:08 > 0:47:12Turn away, and you'll see this in your peripheral vision.
0:47:15 > 0:47:18I still can't work out exactly what that idea was about.
0:47:18 > 0:47:22And, unfortunately for Derek,
0:47:22 > 0:47:27confusion about his idea was catching.
0:47:27 > 0:47:30I don't even know... I'm not even sure I know what it is.
0:47:30 > 0:47:35But what I do see is a flow-flashing light on a sign.
0:47:35 > 0:47:37Having gone through my repertoire,
0:47:37 > 0:47:39I couldn't understand which part Peter hadn't got.
0:47:39 > 0:47:42Does it cost you a lot of money to do?
0:47:42 > 0:47:45About £24,000, so far.
0:47:45 > 0:47:47On a flashing light on a...
0:47:47 > 0:47:49on a pole?
0:47:49 > 0:47:53- Yeah.- Could one of the other Dragons please interrupt me?
0:47:53 > 0:47:56- Oh, um, hello, Derek. - Hello, Deborah.
0:47:56 > 0:47:59SHE GIGGLES
0:47:59 > 0:48:05- Derek, have you had this approved? - No. The lady who runs the signs and signals doesn't like the idea.
0:48:05 > 0:48:07She doesn't like the idea?
0:48:07 > 0:48:09THEY LAUGH
0:48:09 > 0:48:12Will another Dragon please interrupt me?!
0:48:14 > 0:48:17If the person who is going to potentially buy this product
0:48:17 > 0:48:22has already told you they hate it, maybe you should get the hint.
0:48:24 > 0:48:26The Dragons had heard enough from Derek
0:48:26 > 0:48:30and it was time for Peter Jones to show his hand.
0:48:30 > 0:48:35Do not spend one more pound trying to push this into the marketplace.
0:48:35 > 0:48:38This is ridiculous. And, for that reason, I'm out.
0:48:38 > 0:48:43- Has anybody told you they think this is a good idea? - Any chief constables?
0:48:43 > 0:48:47- Anybody who can actually have any influence at all...- No.
0:48:47 > 0:48:50..on their ever, ever being used or sold?
0:48:50 > 0:48:54- Can I explain a little bit more? - Yes or no. Give me some names.
0:48:54 > 0:48:57- No, I haven't got any names. - So the answer is nobody.
0:48:57 > 0:49:02- The answer is nobody.- So, I am pleading with you not to do it.
0:49:02 > 0:49:06I was bemused when Deborah said give up, don't waste your life on it.
0:49:06 > 0:49:07I was trying to save lives!
0:49:07 > 0:49:12- Can I finish telling you about the traffic light incident? - No, no, you can't.
0:49:12 > 0:49:18You can them, but you can't tell me because I'm not at all interested. I'm out.
0:49:20 > 0:49:24Sadly for Derek, James Caan and Theo Paphitis soon followed suit
0:49:24 > 0:49:28but the intrepid entrepreneur remained undeterred.
0:49:28 > 0:49:33- OK. Would you listen to me, Duncan, for five minutes? - I'll listen to you.- Thank you.
0:49:33 > 0:49:37When Duncan threw me a lifeline, I thought he would take me seriously.
0:49:37 > 0:49:42I thought he was actually going to listen. That I was going to find someone I could take on who would
0:49:42 > 0:49:44find the capital to make this thing happen.
0:49:44 > 0:49:47When you're in a car park, looking for the exit sign,
0:49:47 > 0:49:54the one thing you've got is that your eyes, you're looking for that arrow sign.
0:49:54 > 0:49:58And, if you have it going red... What happens is when the arrows are covered in snow...
0:49:59 > 0:50:01Derek, I said I'd listen to you because
0:50:01 > 0:50:05I didn't want to be impolite. Is there much more?
0:50:05 > 0:50:07I haven't really finished explaining about
0:50:07 > 0:50:09the traffic light problem.
0:50:12 > 0:50:17You win the worst invention ever to be brought to Dragons' Den
0:50:17 > 0:50:19and Derrick, I'm out.
0:50:21 > 0:50:25Although all five Dragons declared themselves out,
0:50:25 > 0:50:27Derrick just wouldn't give up.
0:50:27 > 0:50:30Going from the left-hand side, you look at the no-entry signs
0:50:30 > 0:50:32and see how easy it is to miss them.
0:50:32 > 0:50:35- Derrick, thank you. - Derrick, that way. Down there.
0:50:35 > 0:50:38There's a sign there - that way.
0:50:50 > 0:50:54A year on and Derrick's belief in his idea
0:50:54 > 0:50:58is still so strong that he's spent another £6,000 on development.
0:50:58 > 0:51:02He's also proposed new road safety legislation to the government
0:51:02 > 0:51:06although, to date, he's not received a response.
0:51:06 > 0:51:09After I left the Den I was more determined than ever to carry on.
0:51:09 > 0:51:13I'm a bit of a lone ranger, here, trying to bring about change,
0:51:13 > 0:51:17promoting this cause but I'm not giving up.
0:51:19 > 0:51:22Today, Derrick is meeting with
0:51:22 > 0:51:25Director of the RAC Professor Stephen Glaister
0:51:25 > 0:51:28to see whether he can persuade him to back his road safety idea.
0:51:30 > 0:51:32To demonstrate to you how it operates,
0:51:32 > 0:51:35you'll see that when the person coming the other way's got a green,
0:51:35 > 0:51:38you have this pattern of light flowing from top to bottom.
0:51:38 > 0:51:41It's effectively mimicking the traffic coming towards you.
0:51:41 > 0:51:44As soon as it finishes, it goes red, you'll see the stop,
0:51:44 > 0:51:47so you know you can complete the turn safely.
0:51:47 > 0:51:50What's your opinion? Do you think a product of this type could be viable
0:51:50 > 0:51:53for adoption on the United Kingdom roads?
0:51:53 > 0:51:57I think there's great potential in projects like this.
0:51:57 > 0:52:00I can't say whether this would be adopted on a large scale.
0:52:00 > 0:52:03I think it's a possibility, but more research would have to be
0:52:03 > 0:52:08done to see how it actually works in practice because you can't predict,
0:52:08 > 0:52:12without doing experimental work, how people will behave.
0:52:12 > 0:52:15But it is the simple inventions which get through
0:52:15 > 0:52:16which make a lot of money.
0:52:16 > 0:52:19After all, when the traffic light was invented I'm sure
0:52:19 > 0:52:22there were people saying, "Well, it's just a light on a stick."
0:52:22 > 0:52:26I'm pleased that you can see the benefit of what I'm trying to achieve
0:52:26 > 0:52:31and you realise that there is a problem out there that does need to be solved.
0:52:33 > 0:52:36Derrick may not have achieved a sale but his persistence
0:52:36 > 0:52:40is admirable and at least someone now understands his idea.
0:52:40 > 0:52:44What Derrick has done is to identify something that's happening
0:52:44 > 0:52:46over and over again.
0:52:46 > 0:52:51Whether his particular solution will prove to work in the field
0:52:51 > 0:52:55remains to be seen, but I think it deserves to be taken seriously.
0:52:55 > 0:52:57I think today went really well. Who knows?
0:52:57 > 0:52:59Flow signals may well have a bright future
0:52:59 > 0:53:02and I will prove Duncan Bannatyne wrong.
0:53:10 > 0:53:14We've learned that money-making ideas come from keeping them comic.
0:53:14 > 0:53:18The first of the products is a school bag that makes school chairs more comfortable.
0:53:20 > 0:53:22Dreaming.
0:53:22 > 0:53:23Protecting your idea.
0:53:23 > 0:53:28Probably the tidiest patent that I've ever seen in the Den.
0:53:29 > 0:53:34Thinking outside or inside the box and being your own worst critic.
0:53:34 > 0:53:36Have you had this approved?
0:53:36 > 0:53:38No.
0:53:38 > 0:53:41But which one could claim to be the best Den idea?
0:53:42 > 0:53:45Well, some of the ideas have gone on to make millions,
0:53:45 > 0:53:48there's one that stands out as really ticking all the boxes
0:53:48 > 0:53:52and what's even more surprising, is that the Dragons didn't spot it.
0:53:57 > 0:54:02My name is Shaun P and I'm here with my business Tangle Teezer Limited.
0:54:02 > 0:54:07Shaun's pitch was not the most successful
0:54:07 > 0:54:11but through it all you could see a product that did actually work.
0:54:11 > 0:54:16Tangled, knotted hair drives hairdressers insane
0:54:16 > 0:54:20and children reduced to tears.
0:54:20 > 0:54:24When Shaun came in front of us he made a really bad pitch
0:54:24 > 0:54:28but it was actually a really good idea and we should have seen that.
0:54:30 > 0:54:34But it was hard for the Dragons to see any merit in Shaun's idea
0:54:34 > 0:54:38after one of the scariest demonstrations the Den has ever seen.
0:54:38 > 0:54:43Any hairdresser will tell you if you can detangle that doll hair
0:54:43 > 0:54:46you can detangle anything.
0:54:46 > 0:54:52He was there with that comb and it was so graceful like he was
0:54:52 > 0:54:55perhaps doing Kate Middleton's hair
0:54:55 > 0:54:57on the morning she was getting married
0:54:57 > 0:55:02and then it was "Here comes Norman Bates - Psycho."
0:55:04 > 0:55:05HE MIMICS "PSYCHO" THEME
0:55:09 > 0:55:13I wouldn't have allowed him to try that on my dreadlocks.
0:55:13 > 0:55:17And the chances of Shaun's ideas shining through his bad pitch
0:55:17 > 0:55:19went from bad to worse.
0:55:19 > 0:55:22- You're obviously a hairdresser. - Hair colourist.
0:55:22 > 0:55:27- I don't blow-dry, cut or style, I just colour.- You just colour?
0:55:27 > 0:55:30- Sorry, sorry - could we just get back on that?- I'm sorry.
0:55:30 > 0:55:33And obviously Deborah was very au natural,
0:55:33 > 0:55:36that didn't do him a favour.
0:55:36 > 0:55:39I colour, yes, like Deborah's highlights.
0:55:39 > 0:55:42You clearly don't because this doesn't have any colour on this.
0:55:42 > 0:55:45Well, I beg your pardon.
0:55:45 > 0:55:49You do not accuse a Dragon of colouring their hair on national TV.
0:55:49 > 0:55:53I think after that, I think it was a little downhill.
0:55:56 > 0:55:59How many of these have you put into the market for testing?
0:55:59 > 0:56:01There must be 300, 350 floating around.
0:56:01 > 0:56:03What's the stats and the feedback?
0:56:03 > 0:56:05The feedback that I've had from that, 20.
0:56:07 > 0:56:10Shaun's lack of market research meant there was no proof
0:56:10 > 0:56:13his idea would make any money and none of the Dragons chose to invest.
0:56:13 > 0:56:17If you'd come here and said, "I've spoken to three distributors,
0:56:17 > 0:56:21"they'll all take it, they know the industry, they know the salons,"
0:56:21 > 0:56:22done, done deal.
0:56:22 > 0:56:26You didn't do it and for those reasons I, too, am out.
0:56:26 > 0:56:29Well, Theo, I thank you and that's exactly what I'm going to do
0:56:29 > 0:56:32when I leave here.
0:56:32 > 0:56:36Had I been in the Den then I would have invested
0:56:36 > 0:56:40cos I could see a market cos I've got hair that tangles.
0:56:41 > 0:56:45Even though his Den pitch wasn't successful,
0:56:45 > 0:56:48Shaun still believed strongly in his idea.
0:56:48 > 0:56:50I took Theo's advice, I did the trade show
0:56:50 > 0:56:53and then after that it just all went ballistic.
0:56:53 > 0:56:56Beauty editors coming on board.
0:56:56 > 0:56:58- Good to see you.- It's been ages.
0:56:59 > 0:57:02Major high-street retailers approaching me,
0:57:02 > 0:57:05major distributors coming at me, everything started coming.
0:57:07 > 0:57:11Four years on, his range of products continues to grow.
0:57:12 > 0:57:15And business is absolutely booming.
0:57:17 > 0:57:24Today we have sold over 1.6 million Tangle Teezers.
0:57:26 > 0:57:29If the Dragons had've invested that investment would have been
0:57:29 > 0:57:31returned in the second year and in the fourth year,
0:57:31 > 0:57:34they'd have been making some money.
0:57:35 > 0:57:39In fact, the company has reportedly turned over £2.3 million
0:57:39 > 0:57:42making a profit of over 500,000 this year
0:57:42 > 0:57:46and Shaun says his UK Patent has now been granted and his business
0:57:46 > 0:57:51has gone global with 61% of sales coming from the worldwide market.
0:57:53 > 0:57:55Business is as much an art as a science.
0:57:55 > 0:57:58The Dragons are not fortune tellers, they're not going to get them all.
0:58:00 > 0:58:04My children have Tangle Teezer brushes in their bathrooms and they show them to me.
0:58:04 > 0:58:09All of my daughters have now got his product, so boy, did we get that wrong.
0:58:10 > 0:58:16It's not unrealistic in five years' time for this business to be
0:58:16 > 0:58:18turning over 20 million.
0:58:18 > 0:58:21If there's one that got away, maybe it's that one.
0:58:23 > 0:58:28Next time - the Dragons examine the key elements needed for a successful business plan.
0:58:28 > 0:58:31Investors expect your figures to be right.
0:58:31 > 0:58:34And catch up with some of the entrepreneurs whose business plans
0:58:34 > 0:58:39were the make-or-break ingredient of their Den experience.
0:58:39 > 0:58:42I've put in...1,300,000.
0:58:50 > 0:58:53Subtitles by Red Bee Media Ltd
0:58:53 > 0:58:56E-mail subtitling@bbc.co.uk