0:00:27 > 0:00:30These are the Dragons -
0:00:30 > 0:00:37wealthy, well-connected, innovative and influential.
0:00:37 > 0:00:43Each week, they make or break the dreams of dozens of budding entrepreneurs.
0:00:43 > 0:00:50I think it's completely unviable, unworkable, uninvestable.
0:00:50 > 0:00:55£2 million valuation is bordering on the delusional.
0:00:55 > 0:00:58The core of this business is YOU and I am struggling with it.
0:01:00 > 0:01:04I'm trying to understand whether you've come for an investment,
0:01:04 > 0:01:06or whether you've come to sell your business.
0:01:06 > 0:01:10You know what, when I ask you what your turnover is going to be,
0:01:10 > 0:01:15it's a lot better if you tell me what your turnover is going to be.
0:01:18 > 0:01:23Leisure and marketing expert Deborah Meaden,
0:01:23 > 0:01:26telecoms giant Peter Jones
0:01:26 > 0:01:30and hotel and health club owner Duncan Bannatyne
0:01:30 > 0:01:34have between them struck deals worth more than £7 million in the Den.
0:01:37 > 0:01:40But ready to fight for the next shrewd investment is the
0:01:40 > 0:01:45creator of her own world-renowned interior design brand, Kelly Hoppen
0:01:45 > 0:01:48and Cloud computing pioneer Piers Linney.
0:01:51 > 0:01:54The multimillionaires will give each entrepreneur just three
0:01:54 > 0:01:57minutes to pitch their idea and then interrogate them
0:01:57 > 0:02:03on every aspect of their business. To face them takes nerve and vision.
0:02:03 > 0:02:05So who will leave with the Dragons' money?
0:02:12 > 0:02:14Welcome to Dragons' Den.
0:02:14 > 0:02:17Once again, the doors are open to nervous entrepreneurs waiting
0:02:17 > 0:02:22to pitch their ideas to five formidable business brains.
0:02:22 > 0:02:25Each entrepreneur's convinced they're worthy of investment but
0:02:25 > 0:02:30it's the Dragons' own money on offer so they only select the very best.
0:02:30 > 0:02:32The rest leave with nothing.
0:02:32 > 0:02:36First into the Den is Yorkshireman Alastair Hanson with his take
0:02:36 > 0:02:40on a product that's been making music for hundreds of years.
0:02:40 > 0:02:42So we'll see if he is pitch perfect
0:02:42 > 0:02:44under the scrutiny of the Dragons.
0:03:05 > 0:03:11SAXOPHONE PLAYS "I GOT YOU" BY JAMES BROWN
0:03:27 > 0:03:29Thank you, Kenji.
0:03:31 > 0:03:33My name is Alastair Hanson.
0:03:33 > 0:03:35I'm a musical instrument maker and designer.
0:03:35 > 0:03:39I'm here to ask for £50,000 investment for 20% share
0:03:39 > 0:03:42in a new company, a new product called Easy-reed.
0:03:43 > 0:03:47Kenji just made the saxophone sound fantastic,
0:03:47 > 0:03:50and that's great, but it would have been nothing without one of these.
0:03:50 > 0:03:54This is what made the noise, this is what made the notes. This is a reed.
0:03:54 > 0:03:56It's quite tricky to fit the reed to the mouthpiece
0:03:56 > 0:04:00and correctly align it up and down, side to side.
0:04:00 > 0:04:04Especially for a youngster or an older player who are just beginning,
0:04:04 > 0:04:06this is a real problem.
0:04:06 > 0:04:09Let's imagine you are teaching a class of children to play
0:04:09 > 0:04:12the clarinet. 30 children in a class.
0:04:12 > 0:04:16The children are seven years old and you have to get them to fit the reeds, first of all.
0:04:16 > 0:04:19It's easy to waste at least a third of every lesson just fitting
0:04:19 > 0:04:23the reeds. With our product, we solve the problem.
0:04:23 > 0:04:27So to fit Easy-reed, there's the mouthpiece, there's the reed,
0:04:27 > 0:04:31and it just fits. Anybody can fit an Easy-reed. It's fitted in seconds.
0:04:31 > 0:04:34You can fit it in the dark. A small child can fit it.
0:04:34 > 0:04:37It saves lots of time and the reed isn't damaged.
0:04:37 > 0:04:42And I wonder if anybody would like to try playing or try fitting a reed.
0:04:42 > 0:04:44Would you like to try? Yes.
0:04:44 > 0:04:47Would you like to try fitting a reed, or try playing? Super. Wow!
0:04:47 > 0:04:50Go for it, Deborah.
0:04:52 > 0:04:54Here's the mouthpiece. Yeah. And there's a reed. Yeah.
0:04:56 > 0:05:00Oh, just literally, that's it? Hold on, no, there's two holes.
0:05:00 > 0:05:01I get it, I get it, I get it. Yeah. OK.
0:05:01 > 0:05:05I haven't got my glasses on, so that's not helping. There we are.
0:05:05 > 0:05:09So literally it's those little holes which are guiding me into the... That's exactly it.
0:05:09 > 0:05:14That's the key, isn't it? Because normally, reeds are just flat reeds. That's exactly right. OK, got it.
0:05:14 > 0:05:16So how often do I have to fit a reed?
0:05:16 > 0:05:19Every time you're going to play, you'll be fitting a reed.
0:05:19 > 0:05:23You all don't know if I'm a secret saxophone player and I'm going to come out with, really,
0:05:23 > 0:05:27a bit of Grover Washington Junior, which is going to ooze out of the end of that sax,
0:05:27 > 0:05:31or whether I'm rubbish. I know you can do it, Deborah. Do you? Which one do you think?
0:05:31 > 0:05:33I think you're good. I think you're useless.
0:05:33 > 0:05:37So if I just stand around this side, so that we can all see Deborah play
0:05:37 > 0:05:40and if you just hold this about there.
0:05:40 > 0:05:45Just put that bottom lid over your teeth.
0:05:45 > 0:05:47SHE PLAYS TUNEFULLY
0:05:51 > 0:05:54Yay! Well done. Thank you.
0:05:59 > 0:06:03A finely tuned pitch from Huddersfield music man Alastair Hanson.
0:06:04 > 0:06:08He's come up with a way to save time in music lessons by inventing
0:06:08 > 0:06:10an easy-fitting reed for instruments.
0:06:12 > 0:06:17On offer is 20% of his company in exchange for £50,000.
0:06:18 > 0:06:20Peter Jones wants to hear more.
0:06:24 > 0:06:28Can you play that, what that sounds like? Yeah.
0:06:28 > 0:06:31HE PLAYS TUNEFULLY
0:06:39 > 0:06:41What does that sound like?
0:06:43 > 0:06:46HE PLAYS 'PINK PANTHER' THEME
0:06:49 > 0:06:53Beautiful. Not as good as mine. Wow!
0:06:53 > 0:06:57You need to click us out of this, Alastair, because we're not doing those instruments, are we?
0:06:57 > 0:07:01We're just talking about instruments now, we're not talking about the reeds.
0:07:01 > 0:07:06So, Alastair, how many of these instrument manufacturers are there? Four or five.
0:07:06 > 0:07:11OK, so your plan relies on convincing manufacturers to
0:07:11 > 0:07:13change their mouthpiece.
0:07:13 > 0:07:16That's one route to market which I'd like to explore.
0:07:16 > 0:07:21So it's a Gillette model. So this is your razor, this is your blade.
0:07:21 > 0:07:25Yes. So you have to sell a huge amount of these.
0:07:25 > 0:07:29Once you've done that, you've got a recurring revenue model. Yes.
0:07:29 > 0:07:32So the question really is, what about these, to be quite frank.
0:07:32 > 0:07:35How do you get these onto all those instruments,
0:07:35 > 0:07:38and your idea was give them away. Yes.
0:07:38 > 0:07:40One box of reeds is more than paid for.
0:07:40 > 0:07:43The cost price on that is £2.
0:07:43 > 0:07:46And if you did that, you'd have a company turning over...?
0:07:46 > 0:07:49In the first year, we projected a modest turnover of £120,000,
0:07:49 > 0:07:53a profit of £2,000.
0:07:53 > 0:07:57By year five we were projecting £700,000. We're still keeping
0:07:57 > 0:08:01that quite modest, in my opinion, and a profit of £285,000.
0:08:04 > 0:08:08Alastair's business model rests on him persuading the musical
0:08:08 > 0:08:11instrument manufacturers to adopt his Easy-reed system.
0:08:14 > 0:08:16Peter Jones is keen to discover
0:08:16 > 0:08:19if Alastair has the credentials in the industry to pull this off.
0:08:21 > 0:08:26What do you do today? I manufacture clarinets and saxophones.
0:08:26 > 0:08:29And how big is that company? It's a very small company.
0:08:29 > 0:08:31What did it turn over last year?
0:08:31 > 0:08:34Last year, we turned over just short of £500,000.
0:08:36 > 0:08:38And what sort of profit did you make?
0:08:38 > 0:08:41We made a finished profit of only £40,000.
0:08:41 > 0:08:44Why would you not pitch your existing business to
0:08:44 > 0:08:47incorporate this, rather than set up a new business?
0:08:47 > 0:08:50Our business has diminished a lot.
0:08:50 > 0:08:55I don't think that this business is a good investment.
0:08:55 > 0:08:58If I was in a position to be putting risk capital in,
0:08:58 > 0:09:01I wouldn't want to be putting it into this business.
0:09:01 > 0:09:05It's a very small and contracting market and this is a new
0:09:05 > 0:09:08concept that I think you could get into, make some money
0:09:08 > 0:09:10and then sell and get out of.
0:09:13 > 0:09:16High-risk tactics in the Den as Alastair tries to steer
0:09:16 > 0:09:20the Dragons away from investing in his musical instrument business.
0:09:21 > 0:09:23Now, Duncan Bannatyne wants to know
0:09:23 > 0:09:26whether there could be a better alternative to Easy-reed.
0:09:29 > 0:09:33Alastair, if people really wanted to have a reed that didn't
0:09:33 > 0:09:36slip about, there's probably other ways they could do it.
0:09:36 > 0:09:39Isn't there?
0:09:41 > 0:09:47Such as? A lip at the end, so it can't go past the lip?
0:09:47 > 0:09:50You could put a lip at the end of the instrument, of the mouthpiece
0:09:50 > 0:09:52and reed, but then it wouldn't fit onto the instrument.
0:09:52 > 0:09:56What if you put two rails and an end piece so it just
0:09:56 > 0:09:59slotted in in a rectangular shape and just had to fit in?
0:09:59 > 0:10:03You'd have to make a specific mouthpiece that was very different and no ligature, no clip,
0:10:03 > 0:10:05to fit over the top of it.
0:10:05 > 0:10:08You could easily have a little plastic pocket.
0:10:08 > 0:10:12If I could show you another manufacturer's mouthpiece...
0:10:12 > 0:10:13Please don't. This is madness.
0:10:13 > 0:10:17Who is going to spend their life reinventing the blinking reed?
0:10:17 > 0:10:21Well, I might. It's been the same reed for how many, how many, how many years?
0:10:21 > 0:10:24It's been the same reed for certainly 130, 140 years.
0:10:24 > 0:10:28It's the reed. It's the point of... Yes, but it's doesn't matter.
0:10:28 > 0:10:31It's the point of the reed... But if you use a shoe, you don't need to...
0:10:31 > 0:10:34No, Deborah, as it happens, Alastair has reinvented the reed.
0:10:34 > 0:10:36In how many years? Wait a minute.
0:10:36 > 0:10:40Alastair has reinvented the reed and I've showed him a way to do this WITHOUT reinventing the reed.
0:10:40 > 0:10:42Ten minutes ago we didn't care whether reeds could be fitted
0:10:42 > 0:10:46or changed or anything and suddenly we're all redesigning them.
0:10:48 > 0:10:50Sidetracked again,
0:10:50 > 0:10:54this time by an attempt to reinvent Alastair's Easy-reed system.
0:10:55 > 0:10:59Alastair, if you change this to get these out in the market
0:10:59 > 0:11:04so that people have to buy your reed, what's to stop any reed
0:11:04 > 0:11:07manufacturer making two small holes in his reed?
0:11:07 > 0:11:12We have a patent pending on the application of two small
0:11:12 > 0:11:15holes on the reed. I'd like to see that. Yeah.
0:11:15 > 0:11:19There's the drawings and description. Thank you.
0:11:23 > 0:11:25Shall I tell you what I really like about you?
0:11:25 > 0:11:29You know exactly where you are and I think you are bang on with your
0:11:29 > 0:11:34existing business and you've come up with something very inventive. Um...
0:11:34 > 0:11:38I fitted reeds on my saxophone and I've only played it, you know...
0:11:38 > 0:11:43it's sitting there staring at me every day and reminding me, "You haven't played me for ten years."
0:11:43 > 0:11:46But it's not that hard.
0:11:46 > 0:11:49It didn't stop me playing the saxophone. It's just, you know...
0:11:49 > 0:11:53And actually, the longer you play, the easier it gets.
0:11:53 > 0:11:55So I think you've invented a solution to a problem that
0:11:55 > 0:12:01I'm afraid I don't think is big enough. So I won't be investing you, Alastair, so I'm afraid I'm out.
0:12:05 > 0:12:10It's a blow for Alastair as his first Dragon bows out of the deal.
0:12:10 > 0:12:14Has the patent application convinced Duncan Bannatyne, where the
0:12:14 > 0:12:16entrepreneur himself could not?
0:12:17 > 0:12:19Honestly, I've never seen a patent like it.
0:12:19 > 0:12:23I mean, it's so much gobbledygook. I don't think you'll get the patent.
0:12:23 > 0:12:26And even if it does, there's ways around a patent because you could
0:12:26 > 0:12:29have different methods of stopping the reed from moving.
0:12:29 > 0:12:31I do believe this product is protected.
0:12:31 > 0:12:34And I do believe that the product is a good design
0:12:34 > 0:12:38and if it was to be rejigged, it would be more extensive.
0:12:38 > 0:12:42I hope one of my fellow Dragons agrees with you and they can look at the patent if they want.
0:12:42 > 0:12:45I hope that they invest in you because you're a nice guy,
0:12:45 > 0:12:51but I think it's completely unviable, unworkable,
0:12:51 > 0:12:54uninvestable, and I'm out. Thank you very much for your time anyway.
0:12:54 > 0:12:57Alastair, although I love this business, it's a shame
0:12:57 > 0:12:59this business isn't going to make it, as you say.
0:12:59 > 0:13:01It's virtually extinct.
0:13:01 > 0:13:04That's a shame, but I'm not investing in that one,
0:13:04 > 0:13:07so the one we are supposed to be investing in, I'm afraid I'm out.
0:13:07 > 0:13:08OK.
0:13:08 > 0:13:13Alastair, I think it's very clever what you've done, because you've
0:13:13 > 0:13:18created something that is used, but a much easier way to do it.
0:13:18 > 0:13:22It's not something that I'd want to invest in
0:13:22 > 0:13:26but I want to wish you well, but I'm out. Thank you very much indeed.
0:13:28 > 0:13:33Four Dragons have turned down the deal and only Peter Jones remains.
0:13:35 > 0:13:39Can he see a potential to make a profit from Alastair's product?
0:13:41 > 0:13:43I think you could have something.
0:13:56 > 0:14:01And I'm really... I've got two balls in the air. It's really strange.
0:14:01 > 0:14:04One is saying out, one's saying in.
0:14:19 > 0:14:22I think your quality, your products and what you've created is fantastic.
0:14:22 > 0:14:26It's a shame that that business... That's why I was asking questions about it.
0:14:26 > 0:14:27It's a shame it's a diminishing business,
0:14:27 > 0:14:30but thank you for your honesty, but I'm not going to
0:14:30 > 0:14:34invest on the basis of the fact that I do think that it's something that
0:14:34 > 0:14:40I know not a lot about and it's a very small return on an investment. All right.
0:14:40 > 0:14:44So I'm going to pass on the opportunity and say I'm out, but good luck to you.
0:14:44 > 0:14:47Thank you very much indeed. Thank you for your time.
0:14:52 > 0:14:54Honesty pays in the Den,
0:14:54 > 0:14:57but it doesn't always guarantee an investment.
0:14:57 > 0:15:02Alastair may have entertained the Dragons, but he leaves with nothing.
0:15:02 > 0:15:05I loved his integrity as a pitcher. So did I.
0:15:10 > 0:15:14When Deborah got up to play the saxophone, that was great.
0:15:14 > 0:15:17There are not many people who have been in the Den who have put
0:15:17 > 0:15:23an instrument in Deborah's mouth and then played the Pink Panther.
0:15:23 > 0:15:24Hah!
0:15:32 > 0:15:34SHE IMITATES A PHONE RINGING
0:15:34 > 0:15:36Hello. Busy Bits. Can I help you?
0:15:36 > 0:15:38Alastair wasn't the first entrepreneur to enter
0:15:38 > 0:15:42the Den feeling the best way to sell a product is to perform with it.
0:15:42 > 0:15:46You reminded me, finally sat down there, of Mr Tumble.
0:15:46 > 0:15:49It was definitely a Mr Tumble sketch, that.
0:15:49 > 0:15:53Putting on a show doesn't guarantee investment.
0:15:53 > 0:15:58But it has been known to pave the way to some big cash rewards.
0:15:58 > 0:16:00Yeee-haaa!
0:16:02 > 0:16:06Our next wannabe to tread the boards of the Den was passionate Scot
0:16:06 > 0:16:09Alistair Taylor.
0:16:09 > 0:16:12Sugar.
0:16:12 > 0:16:14What you've just witnessed was an accident that happened to me
0:16:14 > 0:16:17two years ago.
0:16:17 > 0:16:21Alistair had stars in his eyes for £110,000 of the Dragons' cash
0:16:21 > 0:16:25for his useful invention which attaches tools to ladders.
0:16:27 > 0:16:33Ladderlimb is a simple device that will fit any ladder with a hole.
0:16:33 > 0:16:38You sit the clicker in the bucket. Push in. Secure.
0:16:39 > 0:16:41Now, entrepreneurs take note.
0:16:41 > 0:16:44Performing to five Dragons can be a nerve-racking business
0:16:44 > 0:16:49and interior design expert Kelly Hoppen was the first with
0:16:49 > 0:16:51a poor review of Alastair's theatrics.
0:16:51 > 0:16:55If I'm painting, I'll probably do it out of a paint pot,
0:16:55 > 0:16:58but most professional decorators and painters actually mix
0:16:58 > 0:17:01and pour the paint into a flat tray.
0:17:01 > 0:17:06One painter, a retired painter, said to me he wouldn't buy one.
0:17:06 > 0:17:09That was the first, I thought, negative reaction.
0:17:09 > 0:17:13And he said, "No, I would buy two." The ladder provided
0:17:13 > 0:17:17the perfect prop for some audience participation, but when the scene
0:17:17 > 0:17:22changed to focus on the numbers, Alastair began to fluff his lines.
0:17:22 > 0:17:25Just go through exactly what you've sold in terms of revenue.
0:17:25 > 0:17:29Right, we've sold in the region of 5,000 in the last six months.
0:17:29 > 0:17:32What's that in revenue, numbers? Revenue?
0:17:32 > 0:17:35Origin...we're selling online... Revenue.
0:17:37 > 0:17:40Well, my figure one could not be here for different reasons,
0:17:40 > 0:17:42and I will apologise for it.
0:17:42 > 0:17:45Nothing irritates the Dragons more than
0:17:45 > 0:17:48a lack of clarity on those classic Den figures.
0:17:48 > 0:17:52Do you know what, when I ask you what your turnover is going to be,
0:17:52 > 0:17:57it's a lot better if you tell me what your turnover is going to be.
0:17:57 > 0:17:59Sorry, I should've said, but the figures we've come up with...
0:17:59 > 0:18:02This is only half of the turnover? This is only half the turnover.
0:18:02 > 0:18:06Tell you what, let me ask you a question. What's your turnover going to be?
0:18:06 > 0:18:10Peter Jones was baffled by the news that Alastair had already turned
0:18:10 > 0:18:14down a more lucrative offer than the one he was asking for in the Den.
0:18:14 > 0:18:20I could walk out of here and get £150,000 for 10% of the company but I want Dragon power.
0:18:20 > 0:18:23I think you need more than just Dragon power. Right.
0:18:23 > 0:18:27I think you need Lady Luck on your side as well.
0:18:27 > 0:18:29In the end, it was girl power that brought
0:18:29 > 0:18:34the curtain down on Alastair's pitch at the hands of Kelly Hoppen.
0:18:34 > 0:18:37Your figures are all over the place and it's not something that
0:18:37 > 0:18:40I would invest in, so I'm afraid that I'm out. Right. Thank you.
0:18:49 > 0:18:50Some great businesses in Britain have
0:18:50 > 0:18:53had their gestation in one of our universities.
0:18:53 > 0:18:56Where better to develop and refine an idea?
0:18:56 > 0:19:00Well, next out of the lift is Cheshire-based Tim Morgan,
0:19:00 > 0:19:04whose invention started out as a final year project at uni.
0:19:40 > 0:19:42Hello, Dragons. My name is Tim Morgan
0:19:42 > 0:19:46and I'm managing director of the Mountain Trike Company.
0:19:46 > 0:19:51I'm here today to pitch for £100,000 in return for a 5% share in the business.
0:19:52 > 0:19:55Our product is the revolutionary Mountain Trike,
0:19:55 > 0:19:57all-terrain wheelchair.
0:19:57 > 0:20:00It uniquely gives wheelchair users the freedom
0:20:00 > 0:20:04and independence to access and enjoy the countryside.
0:20:04 > 0:20:05The patented lever drive,
0:20:05 > 0:20:10steering and suspension systems enable the user to ride over
0:20:10 > 0:20:16a wide variety of terrain, such as deep mud, snow, sandy beaches,
0:20:16 > 0:20:20in comfort and safety and the whole time with clean hands.
0:20:20 > 0:20:25It's this versatility that has really appealed to our target market,
0:20:25 > 0:20:27as in the same chair, they can go for a country ride
0:20:27 > 0:20:32and pop into a pub for lunch, or go for a family cycle ride, or if they're
0:20:32 > 0:20:37feeling even more adventurous, go and summit Mount Snowdon or Ben Nevis.
0:20:37 > 0:20:41No other manual wheelchair on the market offers this level
0:20:41 > 0:20:45of off-road performance, combined with practicality and comfort.
0:20:47 > 0:20:50The Mountain Trike has been very well received by our target market
0:20:50 > 0:20:53since we started trading in August 2011
0:20:53 > 0:20:58and we've generated a turnover of £360,000 and are now at break even.
0:21:00 > 0:21:05In addition to a wide variety of individual customers worldwide,
0:21:05 > 0:21:07we have also sold direct to the British Army, who have a
0:21:07 > 0:21:11fleet of five trikes at their main rehab unit, Headley Court,
0:21:11 > 0:21:16where the injured soldiers use them to aid in their recovery.
0:21:16 > 0:21:19I feel this is an attractive proposition for an investor as there
0:21:19 > 0:21:23is the opportunity to double your money in the next two to three years.
0:21:23 > 0:21:27I also feel there are considerable social and ethical benefits to being
0:21:27 > 0:21:31involved with this UK-made product that is having a fantastic
0:21:31 > 0:21:35difference to the lives of wheelchair users worldwide.
0:21:35 > 0:21:38And if you'd like to speak to one of our very first customers,
0:21:38 > 0:21:40we have someone here today who can give you his first-hand
0:21:40 > 0:21:44experience of how the trike has benefited his life.
0:21:46 > 0:21:49A robust pitch from Crewe-based Tim Morgan.
0:21:51 > 0:21:56His mountain-bike-wheelchair hybrid needs a sizeable £100,000
0:21:56 > 0:22:00cash injection in return for just a 5% stake.
0:22:01 > 0:22:05Peter Jones wants to put the wheels of interrogation into motion.
0:22:08 > 0:22:10I will come back to something in a minute,
0:22:10 > 0:22:12and it's the £2 million valuation.
0:22:12 > 0:22:16But before I do, can we see your advocate in action? OK, sure.
0:22:26 > 0:22:29Good afternoon, Dragons. Hi, there. What's your name?
0:22:29 > 0:22:31My name is Richard. Richard, hi.
0:22:31 > 0:22:34Could you give us a quick demonstration? Yes.
0:22:42 > 0:22:44Have you got any rough terrain I could go over?
0:22:46 > 0:22:52How fast can it go, Richard? Is this about the speed?
0:22:52 > 0:22:56About four to five miles an hour.
0:22:56 > 0:22:57Wow.
0:23:00 > 0:23:04Do you feel safer in it than a normal wheelchair? Is that one of the...
0:23:04 > 0:23:08Yes. I haven't fallen out of this one yet.
0:23:08 > 0:23:12I've fallen out of my regular wheelchair several times.
0:23:12 > 0:23:15There isn't anything that I don't like about it.
0:23:15 > 0:23:20I mean, it helps me to live my life in the way that I want to live it.
0:23:20 > 0:23:24Richard, thank you very much. You're welcome. Thank you, Richard.
0:23:26 > 0:23:29Richard's seal of approval has made a good first
0:23:29 > 0:23:33impression on the Dragons but Peter Jones wants to get
0:23:33 > 0:23:37back to the thorny issue of how much Tim thinks his company is worth.
0:23:39 > 0:23:44What is in your mind about valuing this at this stage,
0:23:44 > 0:23:46your business at £2 million?
0:23:46 > 0:23:49First of all, I'm kind of recognising that we are no longer a start-up,
0:23:49 > 0:23:54we're an early-stage company. We've been trading for a year and a half.
0:23:54 > 0:23:58We're also just breaking even now and starting to enter into profitability.
0:23:58 > 0:24:01So we've just got American approval, so this is it.
0:24:01 > 0:24:03A very large market for us.
0:24:03 > 0:24:07We feel that the overall addressable market is around half a million,
0:24:07 > 0:24:11so the actual unit figures we've sold so far
0:24:11 > 0:24:13and that we've projected in our plans are
0:24:13 > 0:24:16a very modest percentage of that.
0:24:16 > 0:24:22For this year, we've projected 70 units and a turnover of £282,000.
0:24:22 > 0:24:28For next year, we're forecasting a turnover of £406,000 and 100 units.
0:24:28 > 0:24:30And how much to make on each unit?
0:24:30 > 0:24:36At present, the manufacturer cost is £2,500, and retail is £3995.
0:24:38 > 0:24:41Tim's impressive sales projections have revealed a potential
0:24:41 > 0:24:43moneymaking opportunity
0:24:43 > 0:24:48but Duncan Bannatyne suspects he's priced himself out of the market.
0:24:50 > 0:24:54I was pushing a wheelchair last weekend. OK.
0:24:54 > 0:24:58And it's got two wheels, a bit of cloth between them.
0:24:58 > 0:25:01I don't believe for one minute it costs that sort of money.
0:25:01 > 0:25:04OK, a very basic wheelchair would be a couple of hundred pounds
0:25:04 > 0:25:06but that would last not very long.
0:25:06 > 0:25:09You couldn't really go out and about very far in it.
0:25:09 > 0:25:13What I'm trying to do is to see what you're comparing your pricing with.
0:25:13 > 0:25:17So what's the next one above that? So really, then you're probably...
0:25:17 > 0:25:19There is a more entry-level type things
0:25:19 > 0:25:22which are sort of reasonably lightweight
0:25:22 > 0:25:26but if someone is paralysed from the waist down, for example,
0:25:26 > 0:25:28they will need something like that for that
0:25:28 > 0:25:32kind of getting about the house, to going around the office.
0:25:32 > 0:25:37It's small, it's lightweight, but it's limited to smooth ground.
0:25:37 > 0:25:42This really is offering a whole different range of capabilities.
0:25:42 > 0:25:45How big is this market, do you think?
0:25:45 > 0:25:48In the UK, there are 1.4 million wheelchair users.
0:25:48 > 0:25:51What is their buying pattern, a wheelchair user?
0:25:51 > 0:25:56Traditionally, they may buy from a local dealer or what we're seeing
0:25:56 > 0:26:00increasingly now is that with the increase in web sales
0:26:00 > 0:26:05and things like that, people are wanting to source more directly.
0:26:05 > 0:26:08It sounds... To be honest, if I was buying a bike, if I was buying, certainly,
0:26:08 > 0:26:11if I was buying a wheelchair, I would want to sit in it.
0:26:11 > 0:26:13Is that not an issue when you're trying to sell online?
0:26:13 > 0:26:16Basically, we still have a lot of first-hand contact with
0:26:16 > 0:26:20the customer, so we go out on personal home demos,
0:26:20 > 0:26:24we have a hiring scheme where people can hire for a week or a weekend,
0:26:24 > 0:26:28try it at home for longer period, and a lot of the time that's
0:26:28 > 0:26:31a nice sort of try-before-you-buy method as well.
0:26:31 > 0:26:33Right.
0:26:36 > 0:26:40The entrepreneur seems to have thought of everything.
0:26:40 > 0:26:41Piers Linney wants to know
0:26:41 > 0:26:44whether that includes protecting the design of his product.
0:26:47 > 0:26:51It seems to me that somebody else, not easily, but COULD come up
0:26:51 > 0:26:56with a wheelchair with levers and brakes and steering that's probably
0:26:56 > 0:26:59as effective as yours but maybe not designed in quite the same way.
0:26:59 > 0:27:02The patents I wrote were very broad for a start,
0:27:02 > 0:27:05so they covered lots of different options, so someone couldn't,
0:27:05 > 0:27:08for example, just put the steering wheel at the front and get around it.
0:27:08 > 0:27:11So nobody else can copy that in any way? No.
0:27:11 > 0:27:16I should point out, they are UK patents. Right.
0:27:16 > 0:27:19So I filed them when I was still a student.
0:27:19 > 0:27:23At that stage I was only able to afford the UK patent coverage
0:27:23 > 0:27:26and since then, it's been through the various stages
0:27:26 > 0:27:29so we couldn't extend it to be international. It's just a shame,
0:27:29 > 0:27:33but it's a case in point of how not to protect intellectual property.
0:27:36 > 0:27:38Criticism of Tim's patent.
0:27:38 > 0:27:42Could the wheels be starting to come off his otherwise perfect pitch?
0:27:45 > 0:27:49Kelly Hoppen wants to drill down into the structure of Tim's business.
0:27:51 > 0:27:55When you say "we" all the time, how many people is in the company?
0:27:55 > 0:27:58Myself, I have a 47% share in the business.
0:27:58 > 0:28:01I have two good friends from university who
0:28:01 > 0:28:04helped in the development and commercialisation.
0:28:04 > 0:28:08They have 10% and 3% respectively.
0:28:08 > 0:28:12And then the two other people who kind of help me get to market
0:28:12 > 0:28:15and get to where we are now are our manufacturing director,
0:28:15 > 0:28:20and he has 20%, and also our chairman, who also has 20%.
0:28:23 > 0:28:26Kelly Hoppen has unearthed some crucial
0:28:26 > 0:28:31information about the complicated share structure of Tim's company.
0:28:31 > 0:28:35Deborah Meaden wants to know how the revelation affects a potential deal.
0:28:37 > 0:28:41Have you come in here today with the other directors agreeing to
0:28:41 > 0:28:44any form of dilution? Yes.
0:28:44 > 0:28:48We've agreed the 5% share is the most that we can offer between us
0:28:48 > 0:28:51and we've also agreed how that would break down.
0:28:51 > 0:28:53Myself I would lose 3%, and...
0:28:53 > 0:29:00So there would be no point in me making you any offer above 5%? I'm afraid not, no.
0:29:00 > 0:29:02Really, for the stage we are at and the amount we've all
0:29:02 > 0:29:06put into it already, we can't go any higher than that.
0:29:06 > 0:29:06Well, I'm going to.
0:29:10 > 0:29:11OK.
0:29:15 > 0:29:19And the reason I'm going to make you an offer, I...
0:29:19 > 0:29:23I want to force that out and for you to think that through.
0:29:23 > 0:29:27Or are you saying that they haven't given you the... Are you telling me that they
0:29:27 > 0:29:29haven't given you any rights to go above 5%?
0:29:29 > 0:29:31It's between all of us.
0:29:31 > 0:29:36We've agreed that that's the most we can offer today. Gosh!
0:29:36 > 0:29:39I wish I'd known that at the beginning.
0:29:39 > 0:29:43Because I think YOU'RE great, I think IT'S great,
0:29:43 > 0:29:46and I think the valuation is crazy.
0:29:49 > 0:29:52And if you're honestly saying that 5% is it,
0:29:52 > 0:29:56I just could not reach that valuation. And is that right?
0:29:57 > 0:30:03So if I offered you now all of the money for 15%
0:30:03 > 0:30:06of the business, take it?
0:30:08 > 0:30:11I'm really sorry, but I'd have to say no to that.
0:30:11 > 0:30:15I am SO sorry about that, because I would have loved to get on board
0:30:15 > 0:30:21with this, but I've got to tell you, at 5%, I can't do it.
0:30:21 > 0:30:22So I'm sorry, I'm out.
0:30:27 > 0:30:31The last-minute disclosure of his company shareholder breakdown
0:30:31 > 0:30:36has lost him his first Dragon. Which way will the others go?
0:30:38 > 0:30:40I feel stupid not asking the question earlier.
0:30:40 > 0:30:45£2 million valuation is bordering on the delusional.
0:30:47 > 0:30:49So, Tim, you've made it uninvestable
0:30:49 > 0:30:52because you're unwilling to move on the percentage,
0:30:52 > 0:30:55unfortunately, so I'm going to have to say that I'm out. OK. Thanks, Peter.
0:30:58 > 0:31:01Tim, there's not an awful lot I can add to that other than
0:31:01 > 0:31:03I do think you're incredibly inspiring
0:31:03 > 0:31:06and I think it's an incredible product, but I want to wish you
0:31:06 > 0:31:10luck and I'm sure you'll do really well with it, but I'm afraid I'm out.
0:31:10 > 0:31:11OK. Thank you.
0:31:13 > 0:31:17I think what you've done is fantastic, but I'm sorry,
0:31:17 > 0:31:18Timothy, I'm out.
0:31:18 > 0:31:19OK. Thanks, Duncan.
0:31:22 > 0:31:28Four Dragons bow out of the deal. Only Piers Linney remains.
0:31:30 > 0:31:33If I was going to make you an offer, I thought when you were talking
0:31:33 > 0:31:37about "we've all agreed about a percentage", that was a negotiation.
0:31:37 > 0:31:40But given Deborah's made you a reasonable offer
0:31:40 > 0:31:44and you've rejected it, I wouldn't be able to make an offer any
0:31:44 > 0:31:49better than that, so I think you're fantastic, love the product,
0:31:49 > 0:31:51amazing what you've done on your own, literally,
0:31:51 > 0:31:55but I'm afraid your valuation's killed it, so I'm out.
0:31:55 > 0:31:59OK. Thanks. What we should've said, really, with that evaluation,
0:31:59 > 0:32:02was "on your bike", but we didn't. On your trike! On your trike! OK.
0:32:04 > 0:32:08A frustrating conclusion to a pitch that had such promise.
0:32:08 > 0:32:11In the end, it was Tim's inability to negotiate that
0:32:11 > 0:32:15dashed his investment dreams and he leaves the Den with nothing.
0:32:15 > 0:32:19That's it. How disappointing. £2 million for that. Wow.
0:32:21 > 0:32:23But good guy, good product. Good luck to him.
0:32:34 > 0:32:39So far tonight, no-one has persuaded the Dragons to invest.
0:32:39 > 0:32:44This is madness. Who is going to spend their life reinventing the blinking reed?
0:32:44 > 0:32:48Will any of these brave business hopefuls secure the cash they
0:32:48 > 0:32:50so desperately need?
0:32:50 > 0:32:52So when you get a wave of offers in a minute,
0:32:52 > 0:32:56what is it you're really looking for? I want to create a superbrand.
0:32:56 > 0:33:01I think we've sold on average five a day. Yeah.
0:33:01 > 0:33:03That's not what I would call hot cakes.
0:33:13 > 0:33:17Next into the Den is Wendy Newby, a postmistress from Hull.
0:33:19 > 0:33:22She's devised a new twist for some existing products
0:33:22 > 0:33:23aimed at the motorist.
0:33:25 > 0:33:28Can she convince the Dragons that she will
0:33:28 > 0:33:31find a niche within a highly competitive market with her
0:33:31 > 0:33:33range of car accessories?
0:33:39 > 0:33:40Hi, everyone.
0:33:40 > 0:33:44I'm Wendy and I'm here today to ask for £50,000
0:33:44 > 0:33:50in return for 20% of my business, She-icer and the supporting She range.
0:33:50 > 0:33:53Around seven years ago, I went for a meal with some girls.
0:33:53 > 0:33:57It was the middle of winter and when we left the restaurant, the locks on my car doors had frozen.
0:33:57 > 0:34:02It's quite frightening when you're a woman and you're out in the dark and you can't get into your car and it
0:34:02 > 0:34:04was also very annoying because I had bought de-icer.
0:34:04 > 0:34:07It was just too big and too bulky to carry around with me
0:34:07 > 0:34:11and I remember thinking, "I wish that would fit in a handbag,"
0:34:11 > 0:34:14pointing at it through the car windscreen.
0:34:14 > 0:34:17I tried to buy a de-icer that was easier to carry around,
0:34:17 > 0:34:20a more portable version, but I couldn't find anything
0:34:20 > 0:34:24and in the process, I was stunned to discover the huge void in the
0:34:24 > 0:34:28marketplace for auto-care products designed specifically for females.
0:34:28 > 0:34:30Each winter that followed, I encountered similar
0:34:30 > 0:34:34problems in the ice but even though I had the idea, getting my boys
0:34:34 > 0:34:38through university and college was more important at the time.
0:34:38 > 0:34:40However, I saved up and when they left home,
0:34:40 > 0:34:42I approached a chemical company.
0:34:42 > 0:34:46Over the next eight months, I studied in my lunch hours and evenings
0:34:46 > 0:34:48and in January 2012, She-icer arrived.
0:34:51 > 0:34:54I have masked that awful chemical de-icer smell with a pleasant cherry
0:34:54 > 0:34:58scent and I've coloured it pink to make it appealing to the female eye.
0:34:58 > 0:35:05I had 500 manufactured, and it's only retailed in small local outlets, yet 400 have sold already.
0:35:06 > 0:35:08I work full-time, and my days are just too busy
0:35:08 > 0:35:11to be battling with frozen locks on garden gates,
0:35:11 > 0:35:15trying to get the garage undone and heavy breathing on car doors —
0:35:15 > 0:35:19and, trust me, that is so unattractive if it gets on YouTube!
0:35:19 > 0:35:22I've come here today, not just to ask for your investment,
0:35:22 > 0:35:26but to seek your help and expertise to help me market She-icer
0:35:26 > 0:35:28and the She range successfully.
0:35:28 > 0:35:31Thank you for listening. Does anybody have any questions?
0:35:35 > 0:35:39A confident and warm-hearted pitch from Wendy Newby.
0:35:39 > 0:35:43She's looking for £50,000 in exchange for a 20% share
0:35:43 > 0:35:45in her range of pink products.
0:35:47 > 0:35:50Peter Jones is first to break the ice.
0:35:53 > 0:35:55Wendy. Yes. Hi.
0:35:55 > 0:35:58Erm... I think you're trying to solve an issue that,
0:35:58 > 0:36:00frankly, doesn't exist.
0:36:04 > 0:36:07I personally just took a thought that how I have so many times
0:36:07 > 0:36:09left my de-icer in the car
0:36:09 > 0:36:12and the car's locked in the garage
0:36:12 > 0:36:14and then I walk out and I find the lock is frozen
0:36:14 > 0:36:16and I find the garage frozen
0:36:16 > 0:36:18and exactly that night when I went for the meal
0:36:18 > 0:36:21and I came out and saw the de-icer in the car.
0:36:21 > 0:36:22That happens so many times.
0:36:22 > 0:36:25When you see people battling to get into their cars.
0:36:25 > 0:36:28And so it is just a more portable version, really. And also...
0:36:28 > 0:36:31But how many cars do you know today...
0:36:31 > 0:36:36You know, my mum and dad had a car with a key lock.
0:36:36 > 0:36:38How many cars today, in reality, do you actually
0:36:38 > 0:36:40put your key into the lock and turn it?
0:36:44 > 0:36:48I appreciate that, but also, even on the windscreens and things like that.
0:36:48 > 0:36:50I never have de-icer to hand.
0:36:50 > 0:36:52Just get in the car, turn your car up and...
0:36:52 > 0:36:55You know, it's quite nice to sit in the car when it's freezing cold
0:36:55 > 0:36:57waiting for it to get warm.
0:36:57 > 0:37:00I don't have time to do that because I need to be at work, so...
0:37:00 > 0:37:02I just kept getting held up with this.
0:37:06 > 0:37:10Not the best of starts for Wendy as Peter Jones finds fault
0:37:10 > 0:37:14with the whole idea behind one of her products.
0:37:14 > 0:37:17Will the entrepreneur find a warmer reception from Piers Linney?
0:37:19 > 0:37:21Hi, I'm Piers. Hi, Piers.
0:37:21 > 0:37:24So, are you saying that you'd go on a night out -
0:37:24 > 0:37:28you've got your lipstick, your car keys and a handy...
0:37:28 > 0:37:31I do take my de-icer now and all of my friends have the de-icer, yes.
0:37:31 > 0:37:35So are you going to branch out into a pink portable car jack,
0:37:35 > 0:37:37foot pump... No, I won't be doing that.
0:37:37 > 0:37:41I've just gone for products that I feel are essential products
0:37:41 > 0:37:44for car maintenance, and also I feel it is quite a man's world out there.
0:37:44 > 0:37:47And I just felt there was a gap there for the female
0:37:47 > 0:37:49that nothing is marketed for the female.
0:37:49 > 0:37:52I mean the de-icer is already on the market.
0:37:52 > 0:37:54Why is yours different? Is it purely the size?
0:37:54 > 0:37:56The smell of it's lovely.
0:37:56 > 0:37:58And I dislike the smell immensely of de-icer.
0:37:58 > 0:38:01Do you really care how your de-icer smells?
0:38:01 > 0:38:04That was just an added feature.
0:38:04 > 0:38:07The portability was the main thing for me.
0:38:10 > 0:38:14Still not a whiff of praise for Wendy's cherry-scented range.
0:38:14 > 0:38:17Will Deborah Meaden and Kelly Hoppen see a market
0:38:17 > 0:38:19for female-friendly car products?
0:38:21 > 0:38:23It's an odd situation.
0:38:23 > 0:38:25You have actually presented very well,
0:38:25 > 0:38:28so please do not go home and kick yourself
0:38:28 > 0:38:30and think, "I could have presented better."
0:38:30 > 0:38:33Thank you. Don't like the product.
0:38:33 > 0:38:35I just don't think there's a big enough market for it.
0:38:35 > 0:38:38So, I'm afraid, that's it.
0:38:38 > 0:38:41That says it all. So I don't want to waste your time. OK. Thank you.
0:38:41 > 0:38:45I won't be investing, so I'm afraid I'm out. OK.
0:38:45 > 0:38:47Most cars today you click and you get in,
0:38:47 > 0:38:50and yes, you have to put the engine on for a while to make it heat up.
0:38:50 > 0:38:54I have my de-icer in the car if I need it for the windscreen.
0:38:54 > 0:38:58It's not a viable proposition to invest in, so I'm afraid I'm out.
0:39:01 > 0:39:04A blow for Wendy as Deborah Meaden
0:39:04 > 0:39:09and Kelly Hoppen declare themselves out of the deal in quick succession.
0:39:09 > 0:39:13Now Piers Linney is ready to have his say.
0:39:16 > 0:39:20I don't think there's a market for your product, unfortunately.
0:39:20 > 0:39:25I think you've just reinvented something that already exists and coloured it pink, so...
0:39:25 > 0:39:30Great pitch, but it's not something you can invest in, so I'm out. OK.
0:39:30 > 0:39:31Thank you.
0:39:33 > 0:39:36Wendy, I am going to be short, sharp and to the point.
0:39:36 > 0:39:40I think that this is not a product that we actually need.
0:39:41 > 0:39:43And if it is a product that we don't need,
0:39:43 > 0:39:45it would be a waste of my money to invest.
0:39:45 > 0:39:49So, Wendy, I'm really sorry, I'm going to say I'm out. OK, thank you.
0:39:52 > 0:39:55So far, Wendy has failed to convince four Dragons
0:39:55 > 0:39:58that her product can find a market.
0:39:59 > 0:40:04Her last hope of securing the £50,000 investment that she needs
0:40:04 > 0:40:06rests with Duncan Bannatyne.
0:40:07 > 0:40:11Wendy, you know, you said it can be quite frightening
0:40:11 > 0:40:14to be alone in the dark when you can't get your car open. Yes.
0:40:14 > 0:40:17For a woman. Yes. If you're frozen out.
0:40:17 > 0:40:21Well, it can be quite frightening for a man. It can, absolutely. I totally agree.
0:40:21 > 0:40:23So I don't understand why you've sexualised this.
0:40:23 > 0:40:26No, I just... This is about getting into your car and de-icing it.
0:40:26 > 0:40:30Why should that be sexualised with, "Let's make a pink one for ladies."
0:40:30 > 0:40:32No, I didn't mean to do it like that.
0:40:32 > 0:40:34It was just for me to carry around in a bag.
0:40:34 > 0:40:37What you've done is sexualised it by making it pink
0:40:37 > 0:40:39and making it smell nice.
0:40:39 > 0:40:41Well, an awful lo... Most of them on the market are blue.
0:40:41 > 0:40:45If you're making it for women, half the population can't buy it cos they're men.
0:40:45 > 0:40:48And that is completely and utterly pointless.
0:40:48 > 0:40:51I didn't mean that comment for it to come out that way.
0:40:51 > 0:40:53When you're selling something like these -
0:40:53 > 0:40:56something that goes in a car, all different things for a car,
0:40:56 > 0:40:59you don't ever say, "I'll sell this product to women, this to men.
0:40:59 > 0:41:02"Men will buy the blue ones, women will buy the pink ones."
0:41:02 > 0:41:04It's completely and utterly terrible.
0:41:04 > 0:41:06Erm...so, Wendy, it's not for me, I'm out.
0:41:07 > 0:41:09OK.
0:41:09 > 0:41:10Thank you.
0:41:11 > 0:41:13It's all over for Wendy,
0:41:13 > 0:41:16as the Dragons failed to warm to her products.
0:41:16 > 0:41:17She leaves the Den with nothing.
0:41:25 > 0:41:28I'm just shocked by Duncan's comments, because, yes,
0:41:28 > 0:41:30I felt there was a void in the marketplace for products,
0:41:30 > 0:41:33and so I went out there and tried to fill that gap.
0:41:33 > 0:41:37But, to be fair, that's the same as happens with aftershave,
0:41:37 > 0:41:38and the same happens with perfume.
0:41:38 > 0:41:40But none of it is sexist.
0:41:40 > 0:41:44I don't have any idea where Duncan was coming from with those comments.
0:41:44 > 0:41:47But if they'd been constructive, and if they'd been helpful,
0:41:47 > 0:41:50then I would've taken those comments on board
0:41:50 > 0:41:51and learnt from them.
0:41:56 > 0:42:00Wendy is just one in a long line of entrepreneurs
0:42:00 > 0:42:05who've entered the Den convinced their idea is going to be
0:42:05 > 0:42:06the next big thing.
0:42:06 > 0:42:10I don't think it's a good product. I don't think it will sell.
0:42:10 > 0:42:13Anglo-American couple Robin and Kate Vincent
0:42:13 > 0:42:18were seeking a £60,000 to launch their tablet computer handle business.
0:42:19 > 0:42:23For two months, Robin and I rented a booth in a mall
0:42:23 > 0:42:27and we sold our iPad handles to the customers there,
0:42:27 > 0:42:30and they bought them like hot cakes.
0:42:30 > 0:42:34Do you say "hot cakes" here? Yep.
0:42:34 > 0:42:39Duncan Bannatyne had his suspicions about those impressive-sounding sales.
0:42:39 > 0:42:42You sold 375 of these in the mall?
0:42:42 > 0:42:43Yes, sir.
0:42:43 > 0:42:45So, on average, how many is that per day?
0:42:45 > 0:42:50I think we sold on average five a day. Yeah.
0:42:50 > 0:42:52That's not what I would call "hot cakes".
0:42:53 > 0:42:58The usefulness of the product caused some disagreement in the Den.
0:42:58 > 0:42:59It's a great design, I have to say.
0:42:59 > 0:43:01It really is. But, erm...
0:43:01 > 0:43:02THE OTHERS LAUGH
0:43:02 > 0:43:05It's functional, it works.
0:43:05 > 0:43:07A great design?! Two slits in the back of a cover.
0:43:07 > 0:43:09That's why it's a great design!
0:43:09 > 0:43:11It's a tennis bat for a tablet.
0:43:11 > 0:43:17Also a tennis bat...that ensures your tablet is not going to fall.
0:43:17 > 0:43:22On offer was the Den's largest-ever equity stake of 90%,
0:43:22 > 0:43:25which had Piers Linney intrigued about the couple's intentions.
0:43:25 > 0:43:28So I'm trying to understand whether you've come for an investment,
0:43:28 > 0:43:31or whether you have come to sell your business.
0:43:31 > 0:43:35Which is not really what the Den's about. I think you're right.
0:43:35 > 0:43:38Robin and I are really too...old to do this.
0:43:39 > 0:43:43The couple certainly endeared themselves to the Dragons.
0:43:43 > 0:43:47Did you appear on Little House on the Prairie?
0:43:47 > 0:43:50Because that voice feels like it should be telling me "Goodnight".
0:43:50 > 0:43:53But it was "Goodnight" for the likeable entrepreneurs,
0:43:53 > 0:43:55as the Dragons failed to get a handle
0:43:55 > 0:43:57on the potential of their product.
0:43:57 > 0:44:00You are so delightful - it's a breath of fresh air -
0:44:00 > 0:44:02but it's not an investable business.
0:44:02 > 0:44:04So I'm afraid I'm out.
0:44:10 > 0:44:13I wonder if our multimillionaires are into multivitamins.
0:44:13 > 0:44:15We are about to find out.
0:44:15 > 0:44:18Our next entrepreneur, Nikki Cooper, is hoping to supplement
0:44:18 > 0:44:23her nutritional business with a hearty investment from a Dragon.
0:44:23 > 0:44:27Wish Nikki well, as it is the last chance for an investment today.
0:44:57 > 0:45:00Hi, my name is Nikki Cooper and my company is called Inner Me.
0:45:00 > 0:45:06I'm looking for a £100,000 investment for a 20% equity stake.
0:45:06 > 0:45:08Inner Me is a new supplements brand
0:45:08 > 0:45:11aiming to transform the appeal of the vitamin market,
0:45:11 > 0:45:14to health-conscious women in the UK.
0:45:14 > 0:45:16My first products arrived in stock last May
0:45:16 > 0:45:19and I approached retailers over the summer.
0:45:19 > 0:45:22By the end of October we were stocked in Boots, Selfridge's,
0:45:22 > 0:45:26Wholefoods and a number of other retailers,
0:45:26 > 0:45:31and have recently been approached by Superdrug and...
0:45:31 > 0:45:34North American distributors.
0:45:34 > 0:45:35The vitamins and minerals market
0:45:35 > 0:45:38is one that suffers from a lack of brand differentiation.
0:45:38 > 0:45:42I believe I've proved that there is market opportunity for Inner Me
0:45:42 > 0:45:44with our cute on-the-go packs,
0:45:44 > 0:45:46quantity formulas and ingredients,
0:45:46 > 0:45:49and we even tell you the day of the week.
0:45:49 > 0:45:52We want to launch a wider range of products
0:45:52 > 0:45:53and to educate the masses
0:45:53 > 0:45:58on the benefits of taking supplements for health, beauty and vitality,
0:45:58 > 0:46:00and to build brand recognition.
0:46:00 > 0:46:03In short, I want to create a superbrand -
0:46:03 > 0:46:06one that would rival a fashion house or cosmetics house,
0:46:06 > 0:46:08in terms of branding,
0:46:08 > 0:46:11where Inner Me is a name widely associated with health and beauty.
0:46:11 > 0:46:15I'm very proud of what I've achieved so far on my own,
0:46:15 > 0:46:18but with the right partner, there is so much more I can do.
0:46:18 > 0:46:20Thank you for listening and I welcome your questions.
0:46:26 > 0:46:29A wholesome pitch from Guildford-based Nikki Cooper,
0:46:29 > 0:46:32who wants to transform the health supplements market
0:46:32 > 0:46:36with her bespoke range of vitamin pills.
0:46:36 > 0:46:39Her company needs a healthy investment of £100,000,
0:46:39 > 0:46:41in return for a 20% stake.
0:46:43 > 0:46:47Deborah Meaden is first to question the fresh-faced entrepreneur.
0:46:49 > 0:46:50Thank you, Nikki.
0:46:50 > 0:46:53So have you got any background in nutrition
0:46:53 > 0:46:57or in supplements or anything that underpins... Yes, I do.
0:46:57 > 0:46:59So, my background is I'm a lawyer,
0:46:59 > 0:47:02but in 2009 I was diagnosed with multiple sclerosis.
0:47:02 > 0:47:07So, I started looking at ways to optimise my health through exercise,
0:47:07 > 0:47:09nutrition and supplements.
0:47:09 > 0:47:12And when I started looking at supplements, I saw the benefits.
0:47:12 > 0:47:14Obviously, it helped with my nerve pains,
0:47:14 > 0:47:17but my hair was better, my skin was better, my digestion,
0:47:17 > 0:47:19my energy levels increased...
0:47:19 > 0:47:22And, for me, I just found that the market was very flat,
0:47:22 > 0:47:25so I started speaking to nutritionists
0:47:25 > 0:47:26and other manufacturers.
0:47:26 > 0:47:29So, you're suffering from MS... Yes.
0:47:29 > 0:47:33So you're achieving all of this with all of that going on in your life?
0:47:33 > 0:47:37OK, whatever else happens in this pitch,
0:47:37 > 0:47:39that's blinkin' marvellous!
0:47:39 > 0:47:42So, how did you go from being a lawyer...
0:47:42 > 0:47:45What kind of lawyer were you? Corporate finance.
0:47:45 > 0:47:48And, like you, I went into banking.
0:47:48 > 0:47:51I worked for a hedge fund first and that's when I got diagnosed
0:47:51 > 0:47:54and that's when I started looking into the market.
0:47:54 > 0:47:57But I didn't have time - I was working 14, 16 hours a day.
0:47:57 > 0:48:00And in 2011 I went on maternity leave.
0:48:00 > 0:48:03So, sorry, you've got a family as well? You're bringing up... Yes.
0:48:03 > 0:48:06So I did it in my maternity leave.
0:48:10 > 0:48:14Nikki's inspirational back-story has impressed the Dragons.
0:48:14 > 0:48:16Now Peter Jones wants to know
0:48:16 > 0:48:21whether the entrepreneur's product is as investable as she is.
0:48:21 > 0:48:23Nikki, erm... Hi. Hi.
0:48:23 > 0:48:27Give me a feeling of what the potential is. Realistic potential.
0:48:27 > 0:48:31Realistic - so, I did a test advert in Zest
0:48:31 > 0:48:34and our sales went up five times.
0:48:34 > 0:48:37When I've been speaking with Boots about forecasts,
0:48:37 > 0:48:40we all agreed I needed to get a mid-tier gondola
0:48:40 > 0:48:42and get the brand recognised and out there.
0:48:42 > 0:48:45And get the awareness there.
0:48:45 > 0:48:49And we've forecasted for next year for a £400,000 turnover.
0:48:49 > 0:48:52With the expansion of the range,
0:48:52 > 0:48:56we'll be looking at 1.2 million turnover in three years.
0:48:56 > 0:48:57And what's your plan?
0:48:57 > 0:49:00So, you mention revenues in three years of 1.2 million,
0:49:00 > 0:49:03which is fantastic - wouldn't take that away from you -
0:49:03 > 0:49:05but it is not a massive number, is it?
0:49:05 > 0:49:07No, actually I've been told that it will be a lot higher than that,
0:49:07 > 0:49:11but I believe you've got to be conservative and manage expectations -
0:49:11 > 0:49:13my own, as well as everybody else's.
0:49:13 > 0:49:15So when you get a wave of offers coming in,
0:49:15 > 0:49:19what is it you're really looking for? I'm looking for a mentor.
0:49:19 > 0:49:21Obviously, I need the money.
0:49:21 > 0:49:25But, for me, I want somebody who can help me get to where I want to be.
0:49:25 > 0:49:26I need that advice.
0:49:26 > 0:49:28Very impressed. Thank you.
0:49:32 > 0:49:35Nikki's ambitious vision is ticking all the right boxes
0:49:35 > 0:49:37with the Dragons.
0:49:37 > 0:49:41But design expert Kelly Hoppen has been casting her professional eye
0:49:41 > 0:49:44over the product itself.
0:49:45 > 0:49:47Hi, Nikki. I'm Kelly. Hi, Kelly.
0:49:47 > 0:49:51This is great. I mean, I'm very into nutrition and health.
0:49:51 > 0:49:54Can I just say, I do love the packaging,
0:49:54 > 0:49:58but I think it's slightly weak on the shelf. Yes.
0:49:58 > 0:50:02I can barely see it from here.
0:50:02 > 0:50:05And when you're busy and you're going into a store
0:50:05 > 0:50:08and you want to buy something, you are drawn to colour.
0:50:08 > 0:50:12And, believe me, I'm not a colour person - I love neutrals - but...
0:50:12 > 0:50:14I love it when it's close up
0:50:14 > 0:50:17and I think it's really clever and sweet,
0:50:17 > 0:50:20but I'm not sure it's what's going to pull people.
0:50:20 > 0:50:22But, I mean, how...
0:50:22 > 0:50:24Are you set in stone as to what you...
0:50:24 > 0:50:26No, we'll do whatever works.
0:50:26 > 0:50:30So I'd always welcome, you know, any tips or opinions
0:50:30 > 0:50:32on how we can get the brand.
0:50:32 > 0:50:34Because it is a vitamin.
0:50:35 > 0:50:40And I think this looks to me like I'm going to buy some false eyelashes.
0:50:40 > 0:50:41OK.
0:50:41 > 0:50:45My biggest fear is that you're not a qualified nutritionist.
0:50:45 > 0:50:49And I know... But I know the market out there,
0:50:49 > 0:50:51and people follow the brands,
0:50:51 > 0:50:54people that have written the books...
0:50:54 > 0:50:56We'll have a qualified nutritionist on the website.
0:50:56 > 0:50:58We're going to do monthly blogs.
0:50:58 > 0:51:02That helps. But the core of this business is YOU.
0:51:04 > 0:51:07But I am struggling with it. OK.
0:51:10 > 0:51:13Kelly Hoppen's questioning of the brand's credibility
0:51:13 > 0:51:16has raised some doubts about the product's potential.
0:51:16 > 0:51:19But what of the market opportunity?
0:51:19 > 0:51:23Deborah Meaden wanted to know more about those big-name stockists.
0:51:25 > 0:51:28So, you delivered some very interesting news,
0:51:28 > 0:51:31which is you're in Boots, Selfridge's, erm...
0:51:31 > 0:51:33just signed up Superdrug.
0:51:33 > 0:51:35Erm, Boots is our biggest retailer.
0:51:35 > 0:51:37We're currently in 130 stores.
0:51:37 > 0:51:41And what shelf space? What's your merchandising actually in-store?
0:51:41 > 0:51:44Yeah, in-store, we literally... We don't have our own shelves.
0:51:44 > 0:51:48We just have the three products sat like that.
0:51:48 > 0:51:50So we could improve on that, hugely.
0:51:50 > 0:51:53And where are they sitting? Are they amongst supplements?
0:51:53 > 0:51:55They're all sitting at the moment in the Beauty section.
0:51:55 > 0:51:59So, once we build the range, we'll have a product in each section.
0:51:59 > 0:52:03So as you walk to the vitamins area, you will see us better.
0:52:03 > 0:52:06At the moment, if you're going to buy beauty products you will see us,
0:52:06 > 0:52:09if you're going to buy a heart product, you're not going to see us.
0:52:09 > 0:52:11I think you might well end up
0:52:11 > 0:52:15sitting in the beauty end... OK. ..of the market.
0:52:15 > 0:52:17That looks like a beauty product.
0:52:17 > 0:52:19Kelly's absolutely right - it looks like mascara.
0:52:19 > 0:52:21You haven't moved it to the main area.
0:52:21 > 0:52:23And if you move it to the main area,
0:52:23 > 0:52:25I think you kind of lose a bit of your raison d'etre.
0:52:25 > 0:52:29As an investor, I don't think the market's the size you think it is.
0:52:29 > 0:52:33OK. And that' the only reason I won't be investing.
0:52:33 > 0:52:36And it's a huge shame. For me, not for you,
0:52:36 > 0:52:40because I think you will go on and make a success.
0:52:40 > 0:52:43But I wish you all the best of luck. Huge respect to you.
0:52:43 > 0:52:45Thank you very much. I'm out.
0:52:46 > 0:52:50Despite liking the charismatic entrepreneur,
0:52:50 > 0:52:54a reluctant Deborah Meaden decides not to invest.
0:52:56 > 0:52:59Which way will Peter Jones go?
0:52:59 > 0:53:03I think that you'll start to hit challenges
0:53:03 > 0:53:06as you start to build scale.
0:53:06 > 0:53:09And I believe also, then, as a result,
0:53:09 > 0:53:13I think your margin will drop substantially, very quickly,
0:53:13 > 0:53:16to compensate for the marketing activity that you need.
0:53:16 > 0:53:19So I actually think that what you'll end up with
0:53:19 > 0:53:24is having to spend basically all of your margin in-store
0:53:24 > 0:53:27to keep the movement going.
0:53:27 > 0:53:29And that's the risk.
0:53:29 > 0:53:32If you win that game, it's going to be successful,
0:53:32 > 0:53:35and you are going to be a very wealthy young lady.
0:53:35 > 0:53:39If you don't, you'll lose all the money that's been invested.
0:53:39 > 0:53:41And that's the reason why, sadly, I'm not going to invest,
0:53:41 > 0:53:43and say I'm out. OK. Thank you.
0:53:43 > 0:53:46But I wish you all the luck in the world. Thank you very much.
0:53:49 > 0:53:52I'm really worried, Nikki. Can I tell you why I am worried? Why?
0:53:52 > 0:53:55Because Duncan Bannatyne hasn't spoken yet.
0:53:55 > 0:53:57I know!
0:53:57 > 0:53:59Is he awake? THEY CHUCKLE
0:53:59 > 0:54:01Have you got any supplements for him?
0:54:01 > 0:54:05Yeah, I've got some Energize Me that might make you perky.
0:54:07 > 0:54:08Nikki, I don't know what to say,
0:54:08 > 0:54:13except what you've done's absolutely fantastic, it's excellent.
0:54:13 > 0:54:17But I don't like this industry.
0:54:17 > 0:54:21I mean, I try to get into nutrition and pills...
0:54:21 > 0:54:23I just find it so complicated.
0:54:24 > 0:54:29Erm... Kelly now tells me what to eat and what to drink, so I'm OK.
0:54:29 > 0:54:31Erm...
0:54:31 > 0:54:35I just... I really don't see how I could add anything to your business.
0:54:35 > 0:54:37OK, thank you.
0:54:37 > 0:54:39So I'm going to say, I wish you the best of luck, but I'm out.
0:54:39 > 0:54:41Thank you.
0:54:44 > 0:54:47After an almost perfect pitch,
0:54:47 > 0:54:50three Dragons have declared themselves out.
0:54:50 > 0:54:52Will health and fitness fanatic Kelly Hoppen
0:54:52 > 0:54:55see more potential in Nikki's product?
0:55:00 > 0:55:02Nikki, I... I'm really, really torn.
0:55:02 > 0:55:07I love you, and I do love the idea of the product.
0:55:15 > 0:55:17Sadly, I'm not going to invest.
0:55:17 > 0:55:20And I'm not going to invest, not because of you
0:55:20 > 0:55:23and what you have achieved... I will buy your product.
0:55:23 > 0:55:29But it's not something that I feel comfortable with investing in.
0:55:29 > 0:55:34The main issue for me is the credibility of the brand,
0:55:34 > 0:55:36and that's not about you personally,
0:55:36 > 0:55:39it's just in terms of nutrition and where it's going today.
0:55:39 > 0:55:41And that's what's holding me back.
0:55:41 > 0:55:44But I wish you all the best.
0:55:44 > 0:55:46I also think you're going to do phenomenally well.
0:55:46 > 0:55:50And, as I said, I'll support you and buy some of the vitamins,
0:55:50 > 0:55:53but I'm afraid I'm out. OK.
0:55:56 > 0:56:00Kelly Hoppen's exit from the deal leaves only one Dragon left.
0:56:00 > 0:56:05Has Piers Linney retained any of his initial enthusiasm?
0:56:12 > 0:56:14You had me at that...
0:56:14 > 0:56:15To be quite frank.
0:56:20 > 0:56:22I'm not convinced, when you were in your office -
0:56:22 > 0:56:25if you have an office, probably at home... No, at home.
0:56:25 > 0:56:28..thinking about your mentor, you imagined me.
0:56:28 > 0:56:31So that's... Yes! I did!
0:56:31 > 0:56:33I think we would get on very well.
0:56:33 > 0:56:36I'm not convinced. THEY ALL LAUGH
0:56:36 > 0:56:40So, it's so hard, this one, because you've done such an amazing job.
0:56:40 > 0:56:43And I think you will do well.
0:56:48 > 0:56:51I just don't think I'm the person for you.
0:56:51 > 0:56:54I'm afraid I'm also out. Right. Well, thank you very much.
0:56:54 > 0:56:56And thank you all for your time.
0:56:56 > 0:56:58Well done. Well done.
0:56:58 > 0:56:59Fantastic!
0:56:59 > 0:57:00Thank you!
0:57:01 > 0:57:04Nikki may have won the Dragons' hearts,
0:57:04 > 0:57:06but she couldn't quite get their cash.
0:57:06 > 0:57:10Despite a flying start, she leaves the Den empty-handed.
0:57:15 > 0:57:18It's a positive experience in that they think
0:57:18 > 0:57:20I've got a very good business.
0:57:20 > 0:57:21And I know I've got a good business.
0:57:21 > 0:57:25They gave me some very good points and advice on what I need to do
0:57:25 > 0:57:27to make that business go from here to here
0:57:27 > 0:57:30and so now I'm going to go away and make it happen.
0:57:41 > 0:57:44It's been another unpredictable day in the Den.
0:57:44 > 0:57:49At times it seemed like the Dragons were poised to part with their cash,
0:57:49 > 0:57:52but in the end they failed to make a single investment.
0:57:52 > 0:57:55It's disappointing for the likeable entrepreneurs
0:57:55 > 0:57:56who dared to pitch,
0:57:56 > 0:57:59but heads always rule hearts in the Den.
0:57:59 > 0:58:02You can join in the conversation about any of tonight's pitches
0:58:02 > 0:58:04on Twitter.
0:58:07 > 0:58:10Next week in the Den...
0:58:10 > 0:58:13I think it's probably one of the saddest sights I've ever seen.
0:58:13 > 0:58:15We're selling three dolls a week.
0:58:15 > 0:58:19Three dolls a week? Three dolls a week?!
0:58:19 > 0:58:23You are the Dragon that I wished because of your expertise in the law.
0:58:23 > 0:58:25Don't tell me somebody is suing you.
0:58:25 > 0:58:27It's completely and absolutely bonkers.
0:58:27 > 0:58:30I don't know why you spend so much time on it.
0:58:30 > 0:58:33I think I'd rather do community service than invest in this.
0:58:33 > 0:58:36Subtitles by Red Bee Media Ltd