0:00:27 > 0:00:30'These are the dragons -
0:00:30 > 0:00:36'wealthy, well-connected, innovative and influential.
0:00:37 > 0:00:39'Each week, they make or break the dreams
0:00:39 > 0:00:42'of dozens of budding entrepreneurs.'
0:00:43 > 0:00:47I've seen some stupid investments in the Den, but this takes the biscuit.
0:00:47 > 0:00:51Unless you're willing to call whoever you work for and resign, it doesn't work.
0:00:52 > 0:00:55- You've been working on this for five years?- Yes. That's right.
0:00:55 > 0:00:57Doing what?
0:00:57 > 0:00:59This is really difficult.
0:00:59 > 0:01:04I feel like I'm in some sort of movie scene at the moment, frankly.
0:01:04 > 0:01:06I'm going to make you an offer.
0:01:06 > 0:01:08If you'll stop crying.
0:01:12 > 0:01:15'Leisure and marketing expert Deborah Meaden...
0:01:17 > 0:01:19'..telecoms giant Peter Jones...
0:01:20 > 0:01:24'..and hotel and health club owner Duncan Bannatyne
0:01:24 > 0:01:29'have between them struck deals worth more than £7 million in the Den.
0:01:31 > 0:01:34'But ready to fight for the next shrewd investment is the creator
0:01:34 > 0:01:39'of her own world-renowned interior design brand, Kelly Hoppen,
0:01:39 > 0:01:42'and cloud computing pioneer Piers Linney.
0:01:45 > 0:01:50'The multi-millionaires will give each entrepreneur three minutes to pitch their idea
0:01:50 > 0:01:54'and then interrogate them on every aspect of their business.
0:01:54 > 0:01:59'To face them takes nerve and vision. Who will leave with the dragons' money?'
0:02:06 > 0:02:08Welcome to Dragons' Den,
0:02:08 > 0:02:13where cash-hungry entrepreneurs are waiting to pitch their business idea
0:02:13 > 0:02:15to our five multi-millionaire investors.
0:02:15 > 0:02:19It's the dragons' own money at stake in the Den,
0:02:19 > 0:02:22so the entrepreneurs had better be prepared for some tough questions,
0:02:22 > 0:02:27if they're to secure the investment they so desperately need.
0:02:27 > 0:02:32First in the Den is Manchester-based product designer Waqar Hassan.
0:02:32 > 0:02:37He spotted that money can be made in a market crowded with mass-produced items
0:02:37 > 0:02:40by selling something a little more bespoke.
0:03:01 > 0:03:03Hi. My name is Waqar Hassan.
0:03:03 > 0:03:06Today, I'm looking for an investment of 75,000
0:03:06 > 0:03:09for 20% equity in my business, BUKcase.
0:03:09 > 0:03:12It's a design-led brand that specialises in hand-crafted cases
0:03:12 > 0:03:14for tablet computers and smartphones.
0:03:14 > 0:03:18Everything we make is hand-crafted in the UK by master bookbinders
0:03:18 > 0:03:20using locally sourced materials.
0:03:20 > 0:03:23I recently designed this product to be discreet
0:03:23 > 0:03:26and to have a very stylish exterior.
0:03:26 > 0:03:29It looks like a book, feels like a book,
0:03:29 > 0:03:32but when you open it up, inside is a tablet computer.
0:03:32 > 0:03:34It automatically turns on.
0:03:34 > 0:03:37The business has been trading since December 2012.
0:03:37 > 0:03:44I have sold 35 units, with no money spent on marketing or advertising.
0:03:44 > 0:03:47I recently had a meeting with a British department store
0:03:47 > 0:03:51which loved the idea of having a book bar in their stores.
0:03:51 > 0:03:54They'd have a bookbinder with a nice counter.
0:03:54 > 0:03:59The customer would come to the front and choose the material they want it to be made out of.
0:03:59 > 0:04:03Norman is making a case using the traditional bookbinding process.
0:04:03 > 0:04:06He's using traditional tools.
0:04:06 > 0:04:10It takes approximately five to ten minutes to make a case.
0:04:10 > 0:04:12I have personalised some cases for you,
0:04:12 > 0:04:16so you can have a good look at the product.
0:04:18 > 0:04:20There you go.
0:04:21 > 0:04:26'A composed pitch from Manchester-based product designer Waqar Hassan.
0:04:26 > 0:04:30'He wants £75,000 for 20% of his company
0:04:30 > 0:04:33'selling British-made hand-crafted cases
0:04:33 > 0:04:36'for tablet computers and smartphones.
0:04:36 > 0:04:41'Design guru Kelly Hoppen is first to question the creative entrepreneur.'
0:04:43 > 0:04:47- The bit about your pitch I loved most is that it's made in Britain. - Thank you.
0:04:47 > 0:04:49Which I admire and think is fantastic.
0:04:49 > 0:04:53You're going to make these all handmade and bespoke.
0:04:53 > 0:04:56How are you going to create the volume?
0:04:56 > 0:04:58It depends on how many we're required to make.
0:04:58 > 0:05:02At the moment, the bookbinder's capable of making 250 units a week.
0:05:02 > 0:05:06That's just one bookbinder. The cradles are very easy to make.
0:05:06 > 0:05:09- Is that wood, the cradle? - Yes. It's birch plywood.
0:05:09 > 0:05:12It's the best quality birch plywood you can get.
0:05:12 > 0:05:14They're manufactured by myself.
0:05:14 > 0:05:18It takes me 20 minutes to make one and I'm just using hobby equipment.
0:05:18 > 0:05:22If I used industrial-grade equipment I can make them a lot faster.
0:05:23 > 0:05:28'Waqar's passion for traditional bookbinding has impressed Kelly Hoppen,
0:05:28 > 0:05:34'despite his artisan working methods, which imply there's a limit to the quantities he can produce.
0:05:34 > 0:05:40'Now, Piers Linney wants to know more about the quality of his materials.'
0:05:40 > 0:05:42- Waqar, hi, I'm Piers.- Hi.
0:05:42 > 0:05:44I like products like this.
0:05:44 > 0:05:47You've done a great job, used your initiative.
0:05:47 > 0:05:49You've made your jig and the wooden piece.
0:05:49 > 0:05:52I've just, unfortunately, broken the end off.
0:05:52 > 0:05:56But little things like the rubber here looks a bit...
0:05:56 > 0:05:58untidy, if you don't mind me saying.
0:05:58 > 0:06:02- And it's not... It's not leather.- OK.
0:06:02 > 0:06:04The point I'm making, if I boil it down,
0:06:04 > 0:06:06- is that the finished product... - Mm-hm.
0:06:06 > 0:06:09- ..isn't quite what it could be. - OK.
0:06:09 > 0:06:11Well, these could be developed.
0:06:11 > 0:06:14The units that I've sold up to now,
0:06:14 > 0:06:17I've had no issues from any customers. Everyone's loved it.
0:06:17 > 0:06:21I must be doing something correct if people are liking the product.
0:06:23 > 0:06:27'So, no complaints from Waqar's client base,
0:06:27 > 0:06:31'but Peter Jones wants to test the product out for himself.'
0:06:39 > 0:06:42- I'm not pinching it!- That's fine.
0:06:52 > 0:06:54KELLY: What is your background?
0:06:54 > 0:06:57I'm a product designer and I'm a teacher.
0:06:57 > 0:07:01- What kind of products? - I design all sorts of products.
0:07:01 > 0:07:04I've designed medical equipment, small accessories,
0:07:04 > 0:07:07and I'm currently working on two other concepts.
0:07:07 > 0:07:11- This is one of the ideas I've got. - So how are you earning a living?
0:07:11 > 0:07:14- I'm a teacher. - Right, you're still teaching?- Yes.
0:07:17 > 0:07:21When customers receive the case, they get an insert which says how to insert the case.
0:07:21 > 0:07:24- Insert this for me.- OK.
0:07:27 > 0:07:30So, you slide it in from the top.
0:07:33 > 0:07:35And it clips in. There you go.
0:07:38 > 0:07:40OK. I understand.
0:07:40 > 0:07:43- OK, you understand? - That is something we can develop.
0:07:43 > 0:07:47- What? That it fits? - It does fit, but it does slip.
0:07:47 > 0:07:52- Waqar, that's awful. You're trying to sell a premium product and it doesn't even work!- OK.
0:07:54 > 0:07:58Give me something more than just "OK". Defend your product.
0:07:58 > 0:08:03- It's...- This is awful.- I've not had any customers complain up till now.
0:08:03 > 0:08:06Oh, come on! Look. It doesn't even stay in.
0:08:08 > 0:08:11- It can be developed... - You can't sell a product like that.
0:08:11 > 0:08:16- Right. - You can't put a product on a market that says, "I need to develop it.
0:08:16 > 0:08:21"By the way, pay the premium price and in six months, when I get the product right,
0:08:21 > 0:08:25"come and buy another one at a premium and hopefully it'll work cos I'm developing it.
0:08:25 > 0:08:29"Because I make it in Britain, you should be all right with that."
0:08:29 > 0:08:33- The product is inadequate.- OK. - And not fit for purpose.
0:08:33 > 0:08:38OK. A lot of products, when they first are launched, they have teething problems.
0:08:38 > 0:08:43You've created something to fit a tablet in it and it doesn't fit.
0:08:43 > 0:08:48Is that a teething problem or is that back to ground zero?
0:08:50 > 0:08:55'A major flaw has been discovered in this otherwise intriguing product.
0:08:55 > 0:08:58'Duncan Bannatyne has heard enough.'
0:08:59 > 0:09:01Um... I'll tell you where I am.
0:09:02 > 0:09:05- I'm out.- OK. Thank you, Duncan.
0:09:07 > 0:09:09DEBORAH: Waqar, that was fatal.
0:09:09 > 0:09:13Unfortunately, your response just wasn't good enough.
0:09:13 > 0:09:18You didn't look horrified, which presumably means you've seen it before.
0:09:18 > 0:09:20- You then say, "Yes, but we can work on it."- Mm-hm.
0:09:20 > 0:09:26You can't work on something that fundamentally doesn't do the thing that you're selling it to do.
0:09:26 > 0:09:28That's... That's awful.
0:09:28 > 0:09:34This is the easiest decision not to invest I think I've ever made on Dragons' Den.
0:09:34 > 0:09:38I shut my book up the minute Peter...it fell out of there.
0:09:38 > 0:09:40I put it down and thought that's the end of it.
0:09:40 > 0:09:44So I won't be investing. I'm out.
0:09:47 > 0:09:51'Two incensed dragons have walked away from the deal.
0:09:51 > 0:09:54'It's time for Kelly Hoppen to pass her verdict.'
0:09:54 > 0:09:59I wrote down on a piece of paper "Fantastic" when you walked in.
0:09:59 > 0:10:03I saw somebody making something by hand. You tell me it's British-made.
0:10:03 > 0:10:05Fantastic! Music to my ears!
0:10:05 > 0:10:09As it went by and I picked it up, I just put "poor quality".
0:10:09 > 0:10:14And then when Peter picked it up and it fell out, that was my decision.
0:10:14 > 0:10:16It's a real shame.
0:10:16 > 0:10:19The fact that you are a product designer,
0:10:19 > 0:10:25you have to be able to go through and tick all the boxes before you put something out to sell.
0:10:25 > 0:10:29I wish you luck. I hope you can sort it out, but I'm afraid I'm out.
0:10:29 > 0:10:31OK, thank you.
0:10:33 > 0:10:35'Two dragons remain.
0:10:35 > 0:10:39'Can Piers Linney and Peter Jones see beyond the flaws
0:10:39 > 0:10:43'and spot potential in Waqar's BUKcase brand?'
0:10:43 > 0:10:46Love the traditional skills,
0:10:46 > 0:10:49but you haven't applied them in a product that's viable.
0:10:49 > 0:10:52- For that reason, I'm out. - Right. Thank you.
0:10:53 > 0:10:57It's clearly back to the drawing board because the product doesn't...
0:10:57 > 0:10:59It's not fit for purpose, basically.
0:10:59 > 0:11:04Over-engineered, but...you're on to something.
0:11:04 > 0:11:06But on that basis...
0:11:07 > 0:11:10- I'm out.- Right. Thank you.
0:11:13 > 0:11:16'Despite a promising start to his pitch,
0:11:16 > 0:11:19'Waqar leaves the Den with no cash investment,
0:11:19 > 0:11:23'but advice from the dragons to go back to the drawing board.'
0:11:27 > 0:11:29'I don't know what happened.
0:11:29 > 0:11:33'They started to find flaws in the product and started taking it...
0:11:33 > 0:11:35'picking all the negatives.'
0:11:35 > 0:11:39The tablet computer falling out will haunt me for many years!
0:11:42 > 0:11:48'Waqar was not the first entrepreneur in the Den to suffer a pitch malfunction.'
0:11:48 > 0:11:50What ARE these bits that fall out?
0:11:50 > 0:11:52- GASPS:- Have you ripped it open?
0:11:53 > 0:11:58- 'Even when the pitch goes without a hitch...' - You have presented very well.
0:11:58 > 0:12:00'..the dragons can't be hoodwinked
0:12:00 > 0:12:04'into investing into a product they see as less than flawless.'
0:12:04 > 0:12:06Don't like the product.
0:12:07 > 0:12:11'So how did Worcestershire-based inventor Malcolm Victory fare
0:12:11 > 0:12:16'when he came to the Den looking for £120,000 for 15% equity
0:12:16 > 0:12:22'in his solution to the problem of drying washing on rainy days?'
0:12:22 > 0:12:27The Dryline is a cover which goes over a rotary washing line.
0:12:27 > 0:12:32It turns it into an umbrella so you can dry your washing in the rain.
0:12:33 > 0:12:38'Designer Kelly Hoppen was less than enthused about the product's aesthetic value.'
0:12:38 > 0:12:42To have something like that in my garden is an eyesore.
0:12:42 > 0:12:44I look at it and I lose the will to live.
0:12:44 > 0:12:48- You've been working on this for five years?- Yes, that's right.
0:12:48 > 0:12:50Doing what?
0:12:51 > 0:12:52Um...
0:12:54 > 0:12:56Working out the design.
0:12:56 > 0:12:59'Deborah Meaden thought the whole concept of the product
0:12:59 > 0:13:02'was fundamentally flawed.'
0:13:02 > 0:13:04Sun dries clothes.
0:13:04 > 0:13:07Air dries clothes.
0:13:07 > 0:13:11But people hang their washing out on a sunny day
0:13:11 > 0:13:14or a dry day or a windy day.
0:13:14 > 0:13:17That's kind of what we do in this country.
0:13:19 > 0:13:23'Malcolm's product had set Piers Linney's imagination racing.'
0:13:23 > 0:13:26I had the picture of one in Kelly Hoppen's garden.
0:13:26 > 0:13:30Never. Kelly fighting through the rain to get her knickers off it!
0:13:30 > 0:13:32I can't quite see that! >
0:13:32 > 0:13:38'But he wasn't joking when it came down to whether Malcolm's invention would be a good investment.'
0:13:38 > 0:13:42- You can invent the light bulb and the chocolate teapot.- Sure.
0:13:42 > 0:13:45So, you know, good luck but I'm out.
0:13:45 > 0:13:48'In the end, Malcolm left the Den
0:13:48 > 0:13:51'with nothing but his basket of washing.'
0:13:59 > 0:14:01Have you ever woken up in the early hours,
0:14:01 > 0:14:04turned on some obscure TV channel
0:14:04 > 0:14:07and found an info-mercial for a home fitness product?
0:14:07 > 0:14:12Could that be where the product of our next entrepreneur, Donna Kerr-Foley, ends up?
0:14:12 > 0:14:16Not if she has her way. She thinks it'll fly off the shelves -
0:14:16 > 0:14:18especially with the help of a dragon.
0:14:46 > 0:14:50My name's Donna and I'm here today to ask for a £50,000 investment
0:14:50 > 0:14:54for a 25% stake in my company, The Running Mat Ltd.
0:14:54 > 0:14:57I've been in the fitness industry for over 18 years
0:14:57 > 0:15:00and seen many products come and go.
0:15:00 > 0:15:02My target market is the outdoor fitness industry,
0:15:02 > 0:15:06which has over nine million participants in the UK alone
0:15:06 > 0:15:11doing boot camps, personal training, running and outdoor fitness classes.
0:15:11 > 0:15:14For three and a half years, I've been running a successful business
0:15:14 > 0:15:18called No Lippy Boot Camp, a ladies-only boot camp business.
0:15:18 > 0:15:22It was whilst training my clients that I needed a particular product.
0:15:22 > 0:15:27I've got a personal trainer and her client coming in to show you an example.
0:15:29 > 0:15:35As you can see, it's nearly impossible for a personal trainer or boot camp instructor
0:15:35 > 0:15:39to carry an exercise mat and exercise and run at the same time.
0:15:39 > 0:15:42I needed a particular product that was light, easy to carry
0:15:42 > 0:15:45and where my participant could run and exercise, too.
0:15:46 > 0:15:53After trying to purchase this type of product for over a year, I realised I had invented a product.
0:15:53 > 0:15:56My product is the Running Mat.
0:15:56 > 0:15:59The Running Mat is a portable outdoor exercise mat.
0:15:59 > 0:16:02You can run and exercise whilst wearing it.
0:16:02 > 0:16:07The compact unit opens up into a cushioned exercise mat.
0:16:08 > 0:16:11It's waterproof. It's easy to clean.
0:16:13 > 0:16:18It protects the hands, the knees, the back and the bum.
0:16:20 > 0:16:23No more dirty clothes. No more hands on wet grass.
0:16:23 > 0:16:27No more lying in snow and no more putting your hands in dog mess.
0:16:27 > 0:16:32This is a brand-new product. There is nothing like this on the marketplace at the moment.
0:16:32 > 0:16:36I have four designs registered with patent pending and trademark.
0:16:36 > 0:16:40I thank you for your time today and welcome any questions you may have.
0:16:42 > 0:16:47'A confident pitch from fitness instructor Donna Kerr-Foley from Newcastle.
0:16:47 > 0:16:50'To get her Running Mat business off the starting block,
0:16:50 > 0:16:54'the entrepreneur needs a £50,000 investment.
0:16:54 > 0:16:58'On offer in return is a 25% stake.
0:16:58 > 0:17:03'First to jump in is health club tycoon Duncan Bannatyne.'
0:17:04 > 0:17:06- Donna.- Duncan.
0:17:06 > 0:17:08Is this a joke? SHE LAUGHS
0:17:08 > 0:17:12- No.- Come on! You cannot be serious.
0:17:12 > 0:17:14- You're taking the Mick.- No.
0:17:14 > 0:17:18- Look, you said you've identified a problem.- Yes.
0:17:18 > 0:17:21I don't see a problem you've identified and solved.
0:17:21 > 0:17:26You had two trainers, one carrying a big rolled-up mat under his shoulder.
0:17:26 > 0:17:30Two issues. First of all, that mat was very thick.
0:17:30 > 0:17:34You could put that on the ground, lie down and stop stones hurting your back.
0:17:34 > 0:17:37This is too thin. It's not going to solve that problem.
0:17:37 > 0:17:42You're creating in your own head a problem that doesn't exist.
0:17:42 > 0:17:46I think that the amount of people who train like that is minuscule.
0:17:46 > 0:17:49No. Well, definitely not in the North East.
0:17:49 > 0:17:55My office is in the North East. I've got five health clubs in the North East. I can't see it.
0:17:55 > 0:17:58- I think you're having a joke. - Not at all, Duncan.
0:18:01 > 0:18:05'Fitness expert Duncan Bannatyne's damning verdict on Donna's product
0:18:05 > 0:18:09'could spell disaster for her hopes for investment.
0:18:09 > 0:18:13'But will Peter Jones see potential in her running mat?'
0:18:14 > 0:18:21I must admit, I don't understand why you wouldn't...put a rucksack on when you go to these boot camps.
0:18:21 > 0:18:26Tara does one twice a week and when she goes out of the door,
0:18:26 > 0:18:30- she's got her little sports rucksack...- Yes.- ..bottle of water,
0:18:30 > 0:18:32towel and a mat.
0:18:32 > 0:18:37How does she run or sprint and do any type of exercise whilst carrying it?
0:18:37 > 0:18:41- Carrying what?- Exercise mat. - She takes it off, you numpty!
0:18:41 > 0:18:44Why...? That's the whole point of the exercise mat.
0:18:44 > 0:18:48She doesn't go with a rucksack and then do the whole hour and a half...
0:18:48 > 0:18:52- That doesn't work.- She puts it down. - Why would you put it down?
0:18:52 > 0:18:54She doesn't want to wear a rucksack.
0:18:54 > 0:18:58How this works so well is when my clients are doing boot camp,
0:18:58 > 0:19:04I say, "We can run from A to B," and we don't need to carry the stuff.
0:19:04 > 0:19:08We can use different areas, do all our exercises, put it back on,
0:19:08 > 0:19:14- run up and down the hill five times...- Donna.- Do a bit of exercise...- Donna.- Then off we go!
0:19:14 > 0:19:18You have created a boot camp exercise regime
0:19:18 > 0:19:21- that requires one of these. - No, not at all.
0:19:21 > 0:19:25You invented this to be used in your boot camp exercise regime.
0:19:27 > 0:19:32'Donna's fighting back to defend her product from some harsh criticism.
0:19:32 > 0:19:38'Will Kelly Hoppen hold a more favourable perspective than her male rivals?'
0:19:38 > 0:19:40- Hello, Donna. I'm Kelly.- Hi.
0:19:40 > 0:19:46I actually think it's very clever cos I do train every day.
0:19:46 > 0:19:50I know that if I'm in a park and it's beautiful weather,
0:19:50 > 0:19:56forget the mud, you want something and it's a problem cos you're taking water and everything.
0:19:56 > 0:20:00- I don't think it's only for personal trainers.- No, definitely not.
0:20:00 > 0:20:02- Anyone in fitness. - Who want to exercise outside.
0:20:02 > 0:20:04Yoga is also a massive market.
0:20:04 > 0:20:09Someone that does yoga has bought one cos she likes doing yoga in the park.
0:20:09 > 0:20:13The problem is that your patent hasn't gone through.
0:20:13 > 0:20:16It hasn't, no. It's early days.
0:20:17 > 0:20:19- It's not going to go through. - Sorry?
0:20:19 > 0:20:22It's not going to go through.
0:20:23 > 0:20:27You're spending money on a patent that isn't going to happen.
0:20:27 > 0:20:31Over the next three years, I'm going to sell as many of these products as I can.
0:20:31 > 0:20:34If it doesn't go through, it doesn't go through.
0:20:37 > 0:20:41'The dragons may be out to get Donna on her patent,
0:20:41 > 0:20:44'but will they go any easier on the subject of her sales?
0:20:44 > 0:20:47'Peter Jones has some questions.'
0:20:48 > 0:20:52- Donna.- Yes, hi.- How many do you think you can sell?
0:20:52 > 0:20:55There's two different routes I can go down.
0:20:55 > 0:21:00The first route is to sell to personal trainers and boot camp trainers,
0:21:00 > 0:21:04and also contact stores to sell it in shops myself.
0:21:04 > 0:21:08I'm looking to sell 8,500, just under 8,500 over the year.
0:21:08 > 0:21:12What will you sell them for if you sell them at a wholesale price?
0:21:12 > 0:21:15- £25.- £25 for that?- Yeah.
0:21:15 > 0:21:19- You're kidding me? - 35 people bought them last week.
0:21:19 > 0:21:23I've sold them to a chain of stores for £12.50 each.
0:21:23 > 0:21:26They were very excited about the product.
0:21:26 > 0:21:30I asked about what you're going to sell wholesale and you said £25.
0:21:30 > 0:21:33No, sorry. I misunderstood there.
0:21:33 > 0:21:37- You're going to sell them at £12 into retail.- At the moment, £12.50.
0:21:37 > 0:21:42If I go wholesale, I'm expecting to sell more like 100,000 products over the year.
0:21:42 > 0:21:45- Which way are you going to bloody go?- That's... Exactly.
0:21:45 > 0:21:50- That's exactly my dilemma. - You want advice from me?- No. - You're running the pitch.
0:21:50 > 0:21:53"If I go wholesale." "If I go international."
0:21:53 > 0:21:56"If I only sell in Newcastle."
0:21:56 > 0:21:58It's your problem. You're pitching to me.
0:22:00 > 0:22:03'Harsh words from Peter Jones.
0:22:03 > 0:22:07'But Deborah Meaden wants to know whether Donna's got a better grasp
0:22:07 > 0:22:10'of the finances of her boot camp business.'
0:22:11 > 0:22:16Donna, hi. I'm Deborah. Your existing business, that's making money?
0:22:16 > 0:22:19- It is.- How much profit are you producing a year?
0:22:19 > 0:22:23The first year was £30,000 turnover, which is a £7,000 profit.
0:22:23 > 0:22:27Year two was £54,000 with a £17,000 profit.
0:22:27 > 0:22:34And the last year was a £66,000 turnover with £11,000 profit.
0:22:34 > 0:22:40- So, theoretically, you would have no issue with those businesses coming together?- No.
0:22:40 > 0:22:42OK, Donna. >
0:22:42 > 0:22:45I think YOU'RE very good.
0:22:45 > 0:22:49Sometimes, you know, I just invest in somebody because I think,
0:22:49 > 0:22:55"I'm not so sure about the product, but I actually think that if there is a product in there,
0:22:55 > 0:22:59"this person is going to be able to do it."
0:22:59 > 0:23:03- And I think you come across really very well.- Thank you.
0:23:03 > 0:23:06- What's all this? - I don't know. I can't control it!
0:23:06 > 0:23:11LAUGHING: This is supposed to be good news!
0:23:11 > 0:23:15- You're as shocked as I am. - This is supposed to be good news.
0:23:15 > 0:23:18I don't know why I'm doing that. I can't help it.
0:23:18 > 0:23:21I'm going to offer you... all of the money.
0:23:26 > 0:23:29It would be for the businesses combined.
0:23:29 > 0:23:35- So I would want the combination of the boot camp.- OK.- With this one.
0:23:35 > 0:23:39And I would want 40% of the business.
0:23:43 > 0:23:48We must be a bit psychic cos I'd written down exactly the same offer.
0:23:48 > 0:23:50< I think you're fantastic.
0:23:50 > 0:23:52I would also offer you the full amount,
0:23:52 > 0:23:57but I would want 40% of both the businesses.
0:23:58 > 0:23:59OK.
0:24:03 > 0:24:07'Two identical offers from highly experienced businesswomen,
0:24:07 > 0:24:10'Deborah Meaden and Kelly Hoppen.
0:24:10 > 0:24:13'But has Donna's enthusiasm about her product
0:24:13 > 0:24:17'been enough to win round their male counterparts?'
0:24:17 > 0:24:22I think you should very, very, VERY quickly
0:24:22 > 0:24:29tell Deborah you want to go into business with her, take her money and run cos she won't catch you.
0:24:29 > 0:24:31< Kelly might.
0:24:32 > 0:24:36I've seen some stupid investments in the Den, but this takes the biscuit.
0:24:36 > 0:24:38Honestly. I'm out.
0:24:41 > 0:24:46'An incredulous Duncan Bannatyne is the first dragon to walk away from the deal.
0:24:46 > 0:24:49'Which way will Piers Linney go?'
0:24:49 > 0:24:54Donna, I'll tell you what I think. The mat, I think you will sell some.
0:24:54 > 0:25:01I just don't see there's a market big enough to get a return on an investment in the mat.
0:25:01 > 0:25:04- So I'm afraid I'm out. - OK. Thanks, Piers.
0:25:05 > 0:25:07HE MOUTHS SILENTLY
0:25:07 > 0:25:09SHE LAUGHS
0:25:09 > 0:25:13I don't know what to say. I need the mat to lie down, I think.
0:25:13 > 0:25:14I'm, um...
0:25:14 > 0:25:18It's one of those moments in the Den that very rarely happens,
0:25:18 > 0:25:24but when you get them, you have to take 30 seconds out to see if you've missed the point.
0:25:24 > 0:25:27Because you've ended up getting an offer from clearly...
0:25:27 > 0:25:31I mean, I used to regard them as quite sensible people.
0:25:31 > 0:25:36So there's obviously something in it that I'm not seeing, but I'm with Duncan.
0:25:36 > 0:25:41I'm... I'm really shocked that you have nothing. You have no patent.
0:25:41 > 0:25:45Anybody can replicate this. I don't think it's going to sell.
0:25:47 > 0:25:51- Do you know what I'm going to say? - That you want to invest?
0:25:51 > 0:25:55You are very, very investable, but your idea is ridiculous.
0:25:55 > 0:25:58That's the only reason why I'm going to say I'm out.
0:26:01 > 0:26:03'Compliments, but no cash.
0:26:03 > 0:26:07'Now, Donna has two offers but for more equity in her company
0:26:07 > 0:26:09'than she wanted to give away.
0:26:09 > 0:26:12'Can she secure a better deal?'
0:26:13 > 0:26:15Oh... Um...
0:26:18 > 0:26:21Would you two like to work together?
0:26:21 > 0:26:24Is that something that is a possibility?
0:26:24 > 0:26:26I would LOVE to have, um...
0:26:28 > 0:26:31..yous come on board at 30%
0:26:31 > 0:26:32between yous.
0:26:32 > 0:26:38I'd be VERY happy to share this with Kelly, but it would have to be 40%,
0:26:38 > 0:26:40particularly, if there were two dragons.
0:26:40 > 0:26:44You want me focused on making this work.
0:26:44 > 0:26:50At 20% I'll do that. Less, it runs the risk of it just becoming, you know...something.
0:26:51 > 0:26:55I would be delighted to work with Deborah, but I also would want 40%.
0:26:55 > 0:27:00It's very early on and it's going to need a lot of attention.
0:27:00 > 0:27:01OK.
0:27:01 > 0:27:05I came in here and I said I wouldn't leave without a dragon.
0:27:05 > 0:27:09The fact that I've got a possibility of leaving with two is fantastic.
0:27:09 > 0:27:13And I would give 40% away to work with both of yous.
0:27:13 > 0:27:15So, I would love to accept.
0:27:15 > 0:27:17< Great! Excellent!
0:27:17 > 0:27:19Brilliant! Fantastic!
0:27:21 > 0:27:26'Donna has done it! She's agreed to part with a bigger stake in her business than she wanted,
0:27:26 > 0:27:30'but with two multi-millionaire dragons on board,
0:27:30 > 0:27:32'she can barely contain her delight.'
0:27:33 > 0:27:36- I'm dead excited! - DEBORAH LAUGHS
0:27:44 > 0:27:48Peter, remember when this used to be a serious business show?
0:27:48 > 0:27:51DEBORAH: Stop it, Duncan! KELLY: You watch!
0:27:51 > 0:27:55PETER: Belt mat(!)
0:27:58 > 0:28:04'The sharp end of Duncan Bannatyne's tongue has been felt by many an entrepreneur.'
0:28:04 > 0:28:08- Do you want an investment?- Yes. - OK, show me your orders.
0:28:08 > 0:28:11- I can get you the e-mails. - I don't want e-mail communication.
0:28:11 > 0:28:15- You said you'd had orders.- I-I-I... - Show me the orders.
0:28:17 > 0:28:21It doesn't matter what the business is, it's my return that matters.
0:28:21 > 0:28:25- You've got £80,000 of stock.- Yes. - Why aren't you selling it?
0:28:25 > 0:28:26Fast.
0:28:28 > 0:28:33'The straight-talking brutal tycoon has slayed many a dragon, too.'
0:28:33 > 0:28:37What you need to do is make an offer. 25% or 2%.
0:28:37 > 0:28:39Make an offer and they can decide!
0:28:40 > 0:28:43Why are disputing it, Deborah, I don't understand.
0:28:43 > 0:28:48I wish what you were talking about was remotely interesting. It IS interesting, Duncan.
0:28:50 > 0:28:54Are you glad the clever dragon's here to help you out? Be quiet, Grandad!
0:28:55 > 0:28:58'When Duncan Bannatyne's in the Den, one thing's for sure -
0:28:58 > 0:29:02'if he's not making money, he's making mischief.'
0:29:03 > 0:29:07We're not going to know until... until Kelly eats some
0:29:07 > 0:29:10and we see if she chokes to death!
0:29:10 > 0:29:12Blows up like a balloon!
0:29:13 > 0:29:16KELLY: That's quite scary. Duncan, we're over here.
0:29:16 > 0:29:19PETER: There's definitely a design problem.
0:29:23 > 0:29:25See ya, guys. LAUGHTER
0:29:29 > 0:29:31PETER: Good riddance!
0:29:35 > 0:29:40'So far tonight, one entrepreneur has managed to secure an investment in the Den.'
0:29:40 > 0:29:42I would give 40% away to work with both of yous,
0:29:42 > 0:29:44so I'd love to accept.
0:29:44 > 0:29:46< Great! Excellent!
0:29:46 > 0:29:48Brilliant!
0:29:48 > 0:29:51'Can any of these budding businesspeople follow suit,
0:29:51 > 0:29:54'and walk away with more of the dragons' cash?'
0:30:02 > 0:30:08Every year, a staggering eight million disposable nappies are sent to landfill.
0:30:08 > 0:30:11Our next entrepreneurs want to do something about that.
0:30:11 > 0:30:16Parents Clare and Matthew Naunton are hoping their nappy recycling service
0:30:16 > 0:30:19will get the green light from a dragon with a green conscience.
0:30:47 > 0:30:51Hello. My name is Clare Naunton. I'm here with my husband, Matthew.
0:30:51 > 0:30:53Together, we founded Nappies2Go,
0:30:53 > 0:30:58a disposable nappy recycling and supply business for parents and nurseries.
0:30:58 > 0:31:02We're here today to ask for £70,000 for a 9% share in our business.
0:31:02 > 0:31:06In the UK, 700,000 babies are born each year
0:31:06 > 0:31:11and 90% of their parents choose the ease and convenience of disposable nappies,
0:31:11 > 0:31:15despite the guilt that eight million nappies a day are sent to landfill.
0:31:15 > 0:31:20This is a small sample of one baby's nappy waste over a six-week period.
0:31:20 > 0:31:27If you imagine 40,000 times this amount is sent to landfill each and every day.
0:31:27 > 0:31:29Nappies2Go can collect the nappy waste,
0:31:29 > 0:31:33take it to a plant where it's turned into paper and plastic fibres
0:31:33 > 0:31:38and reprocessed back into decking, garden furniture, park benches.
0:31:38 > 0:31:43So we provide an environmentally friendly and guilt-free way of using disposable nappies,
0:31:43 > 0:31:46but it's more than just green benefits that we provide.
0:31:46 > 0:31:51We deliver leading brand nappies and wipes to customers' doors at everyday low prices,
0:31:51 > 0:31:54competitive with the very best offer from a supermarket,
0:31:54 > 0:31:59but without the hassle of squeezing it into the boot of your car or the bottom of your pushchair.
0:31:59 > 0:32:03We believe this offers an exciting and different opportunity for the dragons to get involved in,
0:32:03 > 0:32:06that not only has an environmental feel-good factor,
0:32:06 > 0:32:09but makes fantastic business sense.
0:32:09 > 0:32:11Thank you.
0:32:14 > 0:32:18'A pitch with green credentials from Clare and Matthew Naunton.
0:32:18 > 0:32:21'Their nappy delivery and recycling service
0:32:21 > 0:32:26'needs a cash injection of £70,000 for a 9% stake.
0:32:26 > 0:32:31'Deborah Meaden wants to know how eco-friendly the concept really is.'
0:32:31 > 0:32:37So, what is the carbon cost of converting from that,
0:32:37 > 0:32:41driving a vehicle round, delivering and picking up nappies
0:32:41 > 0:32:45and then turning it into that decking?
0:32:45 > 0:32:50It's actually a 70% lower footprint than landfill and incineration.
0:32:50 > 0:32:52And it will take the equivalent...
0:32:52 > 0:32:56The one process plant that's in operation takes the equivalent
0:32:56 > 0:33:01of 7,500 cars off the road, in terms of the CO2 footprint.
0:33:02 > 0:33:06That's impressive, but there are a lot of people who, at the moment,
0:33:06 > 0:33:10- are feeling pretty... Their purse is feeling pretty pinched.- Yeah.
0:33:10 > 0:33:16So... Why do you think now people are going to be prepared to pay a premium?
0:33:16 > 0:33:19I think we have a number of possible different target markets.
0:33:19 > 0:33:23We've had very much those eco-parents that...
0:33:23 > 0:33:29We don't even need to sell the idea to them. They're sold as soon as they're told that they can recycle.
0:33:29 > 0:33:33And our customers are from quite a diverse background.
0:33:33 > 0:33:40Some are actually making some sacrifices, but I think they view it as the equivalent of a latte a week,
0:33:40 > 0:33:44the cost to them to have their nappies recycled.
0:33:44 > 0:33:47But those people who need to dispose of nappies don't drink lattes.
0:33:47 > 0:33:51- Especially not at £5 each. - DUNCAN: What's your background?
0:33:51 > 0:33:57- What did you do before this?- I've worked in IT for a number of years, selling managed services.
0:33:57 > 0:34:01- Clare, what's your background? - Currently, I work part-time as a climate change manager.
0:34:01 > 0:34:06The rest of my time is spent devoted to this and driving it forward.
0:34:10 > 0:34:15'Impressive CVs, but the revelation they're still holding down day jobs
0:34:15 > 0:34:18'has set alarm bells ringing for Peter Jones.'
0:34:18 > 0:34:21- If I gave you £70,000 now...- Yes.
0:34:21 > 0:34:24..which one of you is leaving their job today?
0:34:26 > 0:34:30Um... I think I'd have to answer that question.
0:34:30 > 0:34:33Today? Neither of us would leave our jobs.
0:34:33 > 0:34:36But absolutely, there is a conversation to be had
0:34:36 > 0:34:42about at which point in the future does it make sense for either one of us to leave our jobs.
0:34:42 > 0:34:46You're saying, "When the business can afford me and it's making profit,
0:34:46 > 0:34:50"I can leave my salary, job, and come into the business
0:34:50 > 0:34:54"and take the profit that the business is making because it's sustainable then."
0:34:54 > 0:35:01What that doesn't help me with is that is that I'm just sitting there to finance you.
0:35:01 > 0:35:03Rather than finance the business.
0:35:03 > 0:35:07DUNCAN: Peter, that's rubbish. PIERS: That's what I hear.
0:35:07 > 0:35:09When the business can afford it, they'll come in.
0:35:09 > 0:35:12They'll take the profit because it's generating enough to pay them.
0:35:12 > 0:35:15The business is getting bigger and can afford to pay them.
0:35:15 > 0:35:19What we've done is recognise that our skill set
0:35:19 > 0:35:24- is not in driving round the country to collect nappies. - I'm not saying it is.
0:35:24 > 0:35:28Your skill set should be to run the business that I'm investing in.
0:35:28 > 0:35:32There must be a date in your model where you say, "We're in."
0:35:32 > 0:35:36- We've recruited some really good people.- They're not here.
0:35:36 > 0:35:42But we would... I think the next stage is for us to recruit more of an operational manager.
0:35:42 > 0:35:46How much would you need to raise today for you both to say,
0:35:46 > 0:35:50"We're going to leave our jobs and step into the business"?
0:35:51 > 0:35:55Can we have two seconds to answer that...? To discuss it, sorry.
0:35:55 > 0:35:57Yeah. Fine.
0:36:03 > 0:36:08- WHISPERING:- We need to be careful we don't get caught in answering that.
0:36:08 > 0:36:10I think the question we ask is... >
0:36:10 > 0:36:14DUNCAN: Let's get out of this!
0:36:14 > 0:36:16THEY CONTINUE WHISPERING
0:36:18 > 0:36:20- Double the investment.- Yeah.
0:36:23 > 0:36:26OK, I think if we've understood your question correctly,
0:36:26 > 0:36:30then we think it would be double the investment.
0:36:30 > 0:36:32PETER: You've not understood the question at all.
0:36:32 > 0:36:40What amount of money do you need to live on and what are you prepared to live on to leave your job today?
0:36:40 > 0:36:41Today.
0:36:41 > 0:36:45OK, so...to be fair, around £4,000 a month
0:36:45 > 0:36:49- is what we need to live on. - PETER: What you're being paid now,
0:36:49 > 0:36:55you will only leave that to get 50,000 and get 70,000 investment?
0:36:58 > 0:37:01PETER: You seem to me to want your cake and eat it.
0:37:01 > 0:37:04Matthew, Clare, unless you're willing to get into that lift
0:37:04 > 0:37:08and call whoever you work for and resign, it doesn't work.
0:37:08 > 0:37:10So I'm afraid I'm out.
0:37:15 > 0:37:19'The entrepreneurs' failure to convince Piers Linney of their commitment
0:37:19 > 0:37:23'has resulted in him walking away from a deal.
0:37:23 > 0:37:26'Will Kelly Hoppen show any more sympathy?'
0:37:28 > 0:37:30KELLY: I'll tell you where I am.
0:37:30 > 0:37:34If you're coming to investors to invest and give you OUR money,
0:37:34 > 0:37:37then you have to give up your job
0:37:37 > 0:37:41to be able to really put 100% into it, to grow it.
0:37:41 > 0:37:46Clearly, there's something here, but I am definitely not investing my money.
0:37:46 > 0:37:47I'm sorry. I'm out.
0:37:47 > 0:37:50'Kelly Hoppen drops out of the deal.
0:37:50 > 0:37:52'Will Peter Jones follow suit?'
0:37:52 > 0:37:55I was going to make you an offer.
0:37:56 > 0:37:58And...
0:37:58 > 0:38:02it's incredibly disappointing to have a situation
0:38:02 > 0:38:09where I don't see the same level of feeling and commitment to a business...
0:38:10 > 0:38:13..and it's not reciprocated.
0:38:13 > 0:38:17So, it's with great sadness that I'm going to say I'm out.
0:38:17 > 0:38:22So, if one of us was to leave, would you reconsider?
0:38:26 > 0:38:29'A last-minute change of heart from the entrepreneur,
0:38:29 > 0:38:31'but too little too late.
0:38:31 > 0:38:35'Den rules state that when a dragon's out, they're out for good.
0:38:35 > 0:38:39'Will Deborah Meaden's enthusiasm for the concept
0:38:39 > 0:38:41'count for anything now?'
0:38:41 > 0:38:44DEBORAH: I'm going to tell you where I am.
0:38:44 > 0:38:47I think... I think you're great.
0:38:47 > 0:38:53And who wouldn't love taking nappies and turning them into something you can use again?
0:38:53 > 0:38:56Provided the carbon footprint is better
0:38:56 > 0:38:59than putting them in a landfill, and you're telling me it is.
0:38:59 > 0:39:01That story is fantastic!
0:39:01 > 0:39:03- Are you feeling a "but"?- Yes!
0:39:06 > 0:39:08This is a tough industry.
0:39:08 > 0:39:11It is incredibly vulnerable.
0:39:11 > 0:39:13For a period of time, you can make a bit of money
0:39:13 > 0:39:18and then somebody will squeeze you out of that marketplace.
0:39:18 > 0:39:23So, I am genuinely really sorry to be saying the next two words.
0:39:23 > 0:39:26- I'm out.- Thank you.
0:39:26 > 0:39:32I want to make sure you know that I think that Peter and Piers,
0:39:32 > 0:39:34the terrible twins,
0:39:34 > 0:39:37interrogated you about when you would join the company.
0:39:37 > 0:39:40I think your answers were correct.
0:39:40 > 0:39:46I think it's right to stay in your jobs until at such time that the company can afford to pay you.
0:39:46 > 0:39:48The problem is, as Deborah said...
0:39:48 > 0:39:51Deborah and I invested in a waste business
0:39:51 > 0:39:54and it is very, very difficult.
0:39:54 > 0:39:59Although I think you're both great and I wish you the best of success,
0:39:59 > 0:40:02I'm very sorry, but I have to say I'm out.
0:40:03 > 0:40:05- Thank you.- Good luck.
0:40:05 > 0:40:08'The couple's business plan may have impressed the dragons,
0:40:08 > 0:40:11'but not enough to get investment.
0:40:11 > 0:40:13'They leave the Den with nothing.'
0:40:19 > 0:40:23- That was annoying.- Sorry? - That was annoying.
0:40:23 > 0:40:27We should have seen that coming, though. Aargh!
0:40:36 > 0:40:41'Food and drink represents the largest manufacturing sector in the UK.
0:40:44 > 0:40:47'So nothing gets the dragons salivating more
0:40:47 > 0:40:51'than the opportunity to invest in the next big taste sensation.
0:40:53 > 0:40:57'Two foodie entrepreneurs were hoping a Latino dance troupe
0:40:57 > 0:41:00'would be just the thing to help choreograph an investment
0:41:00 > 0:41:03'in their range of Brazilian cooking sauces.'
0:41:05 > 0:41:08DRUMS PLAY SAMBA RHYTHMS
0:41:17 > 0:41:20DRUMMING STOPS
0:41:20 > 0:41:25'Alba McConnell and Colin Pearson came looking for £50,000
0:41:25 > 0:41:28'for 20% of their Taste Of Brazil food range.'
0:41:29 > 0:41:31That is lovely!
0:41:31 > 0:41:34'With the World Cup in Brazil in 2014
0:41:34 > 0:41:36'and the Olympic Games in 2016,
0:41:36 > 0:41:41'they hoped the dragons would see the marketing potential around these global events.'
0:41:42 > 0:41:46Brazil's going to be focus of lots of media attention
0:41:46 > 0:41:50and this can benefit our brand and the product.
0:41:51 > 0:41:54'But Peter Jones was in no mood for a carnival
0:41:54 > 0:41:57'when he got to the bottom of their brand name.'
0:41:58 > 0:42:00You don't have a trademark for Rio.
0:42:00 > 0:42:05We have for "Rio - A Taste Of Brazil". Not only Rio, no.
0:42:05 > 0:42:08So your brand will have to be, "Rio - A Taste Of Brazil."
0:42:08 > 0:42:11That's not going to work.
0:42:11 > 0:42:14'Finally, the dragons dished out a reality check
0:42:14 > 0:42:16'on how much the couple would need
0:42:16 > 0:42:19'to get the product on the supermarket shelves.'
0:42:19 > 0:42:23If I was to invest £50,000 in this, it will last five minutes.
0:42:23 > 0:42:27£50,000 is not going to touch it.
0:42:27 > 0:42:30You're going to need about £1 million. That's why I'm out.
0:42:32 > 0:42:35'The culinary entrepreneurs left the Den with no dragon on the menu,
0:42:35 > 0:42:38'but plenty of food for thought.'
0:42:46 > 0:42:50So, Alba and Colin failed to convince the dragons
0:42:50 > 0:42:53that their carnival-inspired cooking sauces
0:42:53 > 0:42:57had a strong enough brand identity to cut it in a competitive market.
0:42:57 > 0:43:01But our next entrepreneur hopes the dragons will see potential in him -
0:43:01 > 0:43:03his very own one-man-brand.
0:43:03 > 0:43:09Can feisty Texan cowboy Joe Walters serve a tasty investment in the Den?
0:43:36 > 0:43:39GUITAR PLAYS CHORD
0:43:40 > 0:43:43CAJUN INTRO
0:43:44 > 0:43:47- # When you're sitting - When you're sitting
0:43:47 > 0:43:49- # In a bar room - In a bar room
0:43:49 > 0:43:52# And you feel that hunger pain
0:43:52 > 0:43:54- # There is one thing - There is one thing
0:43:54 > 0:43:56- # That can save you - That can save you
0:43:56 > 0:44:00# Original Jerky is its name
0:44:00 > 0:44:02# Well, put that jerky
0:44:02 > 0:44:04# In your mouth, mouth, mouth
0:44:04 > 0:44:08# Put that jerky in your mouth
0:44:08 > 0:44:10- # Well, take a lesson - Take a lesson
0:44:10 > 0:44:12- # From the cowboy - From the cowboy
0:44:12 > 0:44:16# Take a lesson from the south
0:44:16 > 0:44:20# Well, put that jerky in your mouth, mouth, mouth
0:44:20 > 0:44:23# Put that jerky in your mouth. #
0:44:25 > 0:44:28Kitty, Daisy and Lewis, ladies and gentlemen.
0:44:28 > 0:44:29Howdy.
0:44:31 > 0:44:34- TEXAS ACCENT:- My name's Joe Walters.
0:44:34 > 0:44:41I'm seeking a £37,500 investment for a 16% stake in my company, Original Jerky.
0:44:41 > 0:44:46If you don't know anything about beef jerky, it's a healthy and natural snack
0:44:46 > 0:44:51that's a good alternative to the mainstream snacks on the market.
0:44:51 > 0:44:54The meat snack market in the UK is vastly underdeveloped.
0:44:54 > 0:45:00One company controls 90% of the beef jerky market,
0:45:00 > 0:45:04which is estimated to be approximately £12 million in value.
0:45:04 > 0:45:08Where I'm from in Texas, beef jerky is kind of a way of life.
0:45:08 > 0:45:12So, for the last nine months, I've been developing a product
0:45:12 > 0:45:14and testing out a marketplace.
0:45:14 > 0:45:19I launched a website and was shocked at how quickly orders started rolling in.
0:45:19 > 0:45:24Soon thereafter, we had a physical location in a local craft beer bar,
0:45:24 > 0:45:28where they wanted to stock our jerky as the only bar snack in it.
0:45:28 > 0:45:33Shortly after that, a major craft beer brewer based in Scotland,
0:45:33 > 0:45:36who has a chain of ten bars across the UK,
0:45:36 > 0:45:40tried out my product and decided that he wanted it in all his bars.
0:45:40 > 0:45:46So, basically, where I'm at right now is that I just can't keep up with demand.
0:45:46 > 0:45:49So I need an investment from a dragon
0:45:49 > 0:45:51in order to grow my production
0:45:51 > 0:45:55and show England the taste of proper authentic jerky,
0:45:55 > 0:45:59and I believe Original Jerky is that product.
0:46:01 > 0:46:03You can have your choice of flavours.
0:46:03 > 0:46:06We make a couple that are deadly hot.
0:46:06 > 0:46:10'By bringing a flavour of Texas into the Den,
0:46:10 > 0:46:16'Joe Walters is hoping his beef jerky will whet the dragons' appetites to invest.'
0:46:16 > 0:46:19Cajun? I reckon you might like that. It matches your dress as well.
0:46:20 > 0:46:27'He's asking for £37,500 for a 16% stake in his business.
0:46:27 > 0:46:32'Kelly Hoppen is first to question the singing cowboy entrepreneur.'
0:46:32 > 0:46:34Hi.
0:46:34 > 0:46:37I think it's great, actually, and I love the taste of it.
0:46:37 > 0:46:41I was born in South Africa, so I used to eat biltong.
0:46:41 > 0:46:44- Is it the same kind of thing? - It's essentially the same.
0:46:44 > 0:46:49Biltong's a different process. You dry a whole piece of meat then slice it afterwards.
0:46:49 > 0:46:52Where I'm slicing before.
0:46:52 > 0:46:55You're very theatrical. It was a great entrance.
0:46:55 > 0:46:58HE LAUGHS Great sound.
0:46:58 > 0:47:02I love the packaging and everything else, but what is your vision?
0:47:02 > 0:47:06- Are you really focused on what it is that you want?- Yeah.
0:47:06 > 0:47:13Right now, my market sector - and what I want to market myself as - is a premium bar snack.
0:47:13 > 0:47:15Eventually, I want to get into the retail market.
0:47:15 > 0:47:19- You don't dress like this, do you, normally?- This is a special suit.
0:47:19 > 0:47:21KELLY AND DEBORAH LAUGH
0:47:21 > 0:47:23You're right! You're not wrong!
0:47:23 > 0:47:26It's made by a fella named Nudie, the Rodeo Tailor.
0:47:26 > 0:47:30He used to make Elvis's clothes and Hank Williams' clothes.
0:47:30 > 0:47:31All the rhinestone cowboys.
0:47:31 > 0:47:35This is for the Den? You don't walk down Camden High Street wearing it?
0:47:35 > 0:47:38I have walked down Kentish Town High Street!
0:47:38 > 0:47:41KELLY: I think it's great.
0:47:43 > 0:47:47'Joe's unique sense of style has impressed the dragons,
0:47:47 > 0:47:49'but Piers Linney wants to know
0:47:49 > 0:47:53'whether his knowledge of the competition is as sharp as his suits.'
0:47:53 > 0:47:58I live equidistant between Camden High Street and Kentish Town.
0:47:58 > 0:48:01- So I can make deliveries to your house.- That's handy! Very handy!
0:48:01 > 0:48:04So...
0:48:04 > 0:48:07- The market.- Mm-hm.- You're saying the market's 12 million.
0:48:07 > 0:48:09Uh, yeah, it's estimated to be.
0:48:09 > 0:48:13- You've got a competitor that's got 90% of the market.- Correct.
0:48:13 > 0:48:18Leaving you with 1.2 million, in terms of a market to go after.
0:48:18 > 0:48:21So it's not a particularly exciting proposition for an investor.
0:48:21 > 0:48:27Yeah. And I'm definitely by no means content with letting one company
0:48:27 > 0:48:30control 90% of it.
0:48:30 > 0:48:33This pitch I was trying to keep concise
0:48:33 > 0:48:36and say, "I've identified THIS market sector."
0:48:36 > 0:48:38But, yeah, I, of course, have plans.
0:48:38 > 0:48:41I don't want one company earning 90%.
0:48:41 > 0:48:44I don't want 'em having 70%.
0:48:46 > 0:48:51'Joe's cool, calm and holding his own under the scrutiny of the dragons.
0:48:51 > 0:48:58'Now, Duncan Bannatyne wants to find out more about the background to this all-American boy.'
0:48:58 > 0:49:00What did you do in Texas?
0:49:00 > 0:49:02I've been in a million things.
0:49:02 > 0:49:04I was a drama major in college.
0:49:04 > 0:49:09So I've been an actor. I went to the University of Texas.
0:49:09 > 0:49:13Then I moved to Los Angeles and was an actor and musician for a number of years.
0:49:13 > 0:49:18- Have you appeared in any... - In Los Angeles...- ..cowboy movies?
0:49:18 > 0:49:21- HE LAUGHS:- I would have loved to have been in a cowboy movie.
0:49:21 > 0:49:25In the States, I was mainly doing big brand commercials.
0:49:25 > 0:49:31Then you end up in Dragons' Den pitching beef jerky looking like somebody out of Toy Story?
0:49:31 > 0:49:36- HE LAUGHS:- I get that quite a lot! I wear a cowboy hat all the time.
0:49:36 > 0:49:40What do you want to do with the £37,500 you want today?
0:49:40 > 0:49:46Well, it's sort of an interesting thing which was sprung on us today.
0:49:46 > 0:49:49I was actually seeking 75,000,
0:49:49 > 0:49:53but James Watt, who's the owner of BrewDog,
0:49:53 > 0:49:59made an offer saying that he would match any investment of a dragon.
0:50:01 > 0:50:06'The news of a second investor has raised interest levels in the Den.
0:50:06 > 0:50:13'Deborah Meaden wants to drill down into the detail of how any arrangement would work.'
0:50:13 > 0:50:16I want to understand what the other partner brings.
0:50:16 > 0:50:23Yeah, I have a letter of intent with me for 157,000 units over a year.
0:50:23 > 0:50:26- OK. I might want to see that letter of intent.- OK.
0:50:26 > 0:50:30- In fact, I would like to see that letter of intent.- Yeah.
0:50:35 > 0:50:36Thank you.
0:50:39 > 0:50:42This is exactly what it says it is. It's very clear.
0:50:42 > 0:50:47"Product to be supplied to us at the price agreed, £1.75.
0:50:47 > 0:50:50"Orders to be billed." That's a letter of intent.
0:50:50 > 0:50:52That's exactly what it says.
0:50:54 > 0:50:57'Joe has shown the dragons that he's not all talk.
0:50:57 > 0:51:00'He has the paperwork to prove his claims.
0:51:00 > 0:51:03'Kelly Hoppen is the first to show her hand.'
0:51:05 > 0:51:11You're great. I love everything about the way you've come in here.
0:51:11 > 0:51:18And I think it's a very easy product to get into bars, restaurants.
0:51:18 > 0:51:21You SHOULD be the face of the brand.
0:51:22 > 0:51:28And I'd like to offer you the £37,500 for the 16%.
0:51:28 > 0:51:29OK.
0:51:29 > 0:51:32That's a very, very good offer.
0:51:34 > 0:51:38'Kelly Hoppen has thrown down the gauntlet to the other dragons,
0:51:38 > 0:51:43'opting not to negotiate and offering Joe exactly the deal he wanted.
0:51:43 > 0:51:48'Duncan Bannatyne is the first to respond to this tactical move.'
0:51:48 > 0:51:51- I'll tell you where I am, Joe. - Yes, sir.
0:51:52 > 0:51:59I think Kelly's offer was good. She offered you exactly what you wanted.
0:51:59 > 0:52:03I don't see any reason to try and compete with that offer.
0:52:03 > 0:52:06If she'd offered you the money for 50% or 40%,
0:52:06 > 0:52:10I would have definitely come in and tried to negotiate a better deal.
0:52:10 > 0:52:13But with her offer being exactly what you asked,
0:52:13 > 0:52:16I think you should snap her arm off and take it!
0:52:16 > 0:52:19- KELLY LAUGHS - Thank you very much.
0:52:19 > 0:52:23- But I have to say I'm out. HE LAUGHS:- I knew that was coming.
0:52:26 > 0:52:29'Joe has one offer and one rejection,
0:52:29 > 0:52:32'but there are three dragons left.
0:52:32 > 0:52:37'It's time for Deborah Meaden to decide whether this is a meaty enough investment for her.'
0:52:38 > 0:52:43So, Joe... I AM going to make you an offer.
0:52:43 > 0:52:46On equity terms, it's not as good as Kelly's.
0:52:46 > 0:52:52- Mm-hm.- The reason being I think you do need a LOT of work.
0:52:52 > 0:52:56I think that what we've got is a good product, a good you,
0:52:56 > 0:53:00- but actually, a lot of structure to put in there.- Right.
0:53:00 > 0:53:05So I'm going to make you an offer for the 37,500,
0:53:05 > 0:53:07but I want 22%...
0:53:09 > 0:53:11- ..of the equity.- OK.
0:53:13 > 0:53:16I'm open to, uh...that.
0:53:16 > 0:53:18See what else happens.
0:53:25 > 0:53:30Joe, I'd like to work with you. It's just the question of...
0:53:34 > 0:53:36..whether I could better those offers.
0:53:36 > 0:53:42If you're looking for someone who's going to add something to it, you've got to understand more about me.
0:53:42 > 0:53:46You know other dragons better than you know me. But I'm local.
0:53:46 > 0:53:50I can pop down and we can "shoot the breeze", whatever you do.
0:53:50 > 0:53:54I'll get a suit, if I have to. KELLY: That I'd want to see!
0:53:54 > 0:54:00We can both stroll up and down Kentish Town High Street, increasing brand awareness.
0:54:00 > 0:54:02So I'm going to make you an offer.
0:54:03 > 0:54:07I'd offer you the full 37,500...
0:54:07 > 0:54:10also for 22%.
0:54:14 > 0:54:18'There's clearly an appetite to invest in the Den,
0:54:18 > 0:54:23'as the dragons compete against each other for a stake in Joe's company.
0:54:23 > 0:54:26'Will Peter Jones enter the race?'
0:54:29 > 0:54:32Oh, dear. I tell you what, this is really difficult.
0:54:35 > 0:54:37Sorry, Joe. This is one of those moments
0:54:37 > 0:54:42where I normally would let the person pitching go to the back of the room and think about it,
0:54:42 > 0:54:45but I want to go to the back of the room myself.
0:54:58 > 0:55:00HE SIGHS
0:55:10 > 0:55:13PETER: I'm going to make you an offer.
0:55:16 > 0:55:18I'm going to be really creative.
0:55:20 > 0:55:23Because I want the other party...
0:55:23 > 0:55:27to join in some way, because I haven't met Captain...
0:55:27 > 0:55:30- whatever his name is. What's his name?- James Watt.
0:55:30 > 0:55:34I feel like I'm in some movie scene at the moment, frankly.
0:55:34 > 0:55:37LAUGHTER I've got Captain James Watt.
0:55:37 > 0:55:39I've got Texan Joe in a suit.
0:55:39 > 0:55:42This is the most surreal moment of my life.
0:55:42 > 0:55:47But I'm going to want 25% of the business.
0:55:47 > 0:55:48Mm-hm?
0:55:55 > 0:55:57But I'm going to offer you £50,000,
0:55:57 > 0:56:04which is £12,500 more than you're asking for today.
0:56:08 > 0:56:14'It's a rare moment in the Den for a dragon to offer more cash than an entrepreneur requests.
0:56:14 > 0:56:17'But for Joe to give away 25% of his equity
0:56:17 > 0:56:22'would mean losing half his company, once the other investor's on board.'
0:56:24 > 0:56:28Would you be willing to come down, um...
0:56:28 > 0:56:31to, say, 23%,
0:56:31 > 0:56:36so that I could maintain a controlling interest in the company?
0:56:45 > 0:56:50I'd come down to 24, which gives you what you're trying to do. I see what you're trying to do.
0:56:50 > 0:56:54I'd offer you £50,000 for 24% of the business.
0:56:55 > 0:56:58- I'll accept your offer.- Absolutely. It's the best offer you got.
0:56:58 > 0:57:01Yeah. Thank you very much, pard'ner!
0:57:01 > 0:57:04JOE LAUGHS Well done, cowboy.
0:57:04 > 0:57:06- Thank you.- Good man.
0:57:06 > 0:57:08'Joe's done it.
0:57:08 > 0:57:13'It was a tense finale, which resulted in him getting an experienced dragon on board
0:57:13 > 0:57:17'AND a bigger investment than he went in for.'
0:57:22 > 0:57:25And this is for you. Yeeeeee!
0:57:25 > 0:57:27Hawwww!
0:57:27 > 0:57:33'I knew what Peter can do for a brand,'
0:57:33 > 0:57:36so I ended up giving away a higher equity,
0:57:36 > 0:57:39but I think I have two great rock 'n' roll partners
0:57:39 > 0:57:44and I look forward to having a beer with the both of them.
0:57:50 > 0:57:54So, another dramatic day in the Den draws to a close.
0:57:54 > 0:57:59Once the dragons had cottoned on to the marketing potential of Joe's product,
0:57:59 > 0:58:02they ended up pitching against each other to invest
0:58:02 > 0:58:05and he leaves the Den today as one happy cowboy.
0:58:05 > 0:58:09You can join the conversation about any of tonight's pitches on Twitter.