Episode 13 Dragons' Den

Tonight, be prepared...

..for some fireworks in the Den...

About 80% of your product, I actually don't like.

Your valuation is crazy.

..as the five Dragon multimillionaires...

I do know this market.

You're very investable.

..do some straight talking.

-I think that's nonsense.

-You're going to be breaking even

if you're lucky, with that sort of margin.

You want my help - what, with a magic wand?

Some entrepreneurs will hit the jackpot...

You're great, you can tell how competent you are.

..while others lose the plot.

You win. I don't make you an offer.

Do you know when you have that term when you, like, dig a hole?

Are you feeling that at the moment?

But who has what it takes to get a Dragon on board?

You are highly investable.

-This is not a barter game.

-We're getting further apart now.

That was a little bit crazy, wasn't it?

Welcome to Dragons' Den -

the place where entrepreneurs hungry for cash come face-to-face

with five multimillionaires with an appetite for investment.

But with their own money at risk,

expect the Dragons to show no mercy to those whose ideas don't promise

a lucrative return.

First to confront the Dragons is an entrepreneur

youthful in years, but big on ideas.

I'm a really young entrepreneur.

The Den started when I was ten.

I never imagined I'd be here, but look at this!

And Edward Hollins has had a

business brainwave that he's determined to make a success of.

I've got a vision, I want to make my mark on the world.

Good morning, Dragons.

I'm Edward Hollins, the young entrepreneur behind DrivenMedia,

a business that takes an overlooked space

that's been staring you in your face on your way here today.

I would have brought one of our adverts along today,

but I doubt it would have fitted into the lift,

let alone be allowed into the Den.

I'm looking to give you a 10% equity stake

in return for a £30,000 investment.

DrivenMedia turns commercial trucks travelling across the country into

mobile billboards.

I want to run through a few reasons why truck advertising is

a great media space.

Firstly, while you're driving, or being driven around,

you are incredibly receptive to advertising.

Secondly, each trailer is seen on average by 55,000 people

on a daily basis. This puts our average cost per thousand at 75p,

making truck advertising the most cost-effective advertising platform

in the UK today. I'm going to give you a model

with how you might look on our billboards. Thank you.

An enthusiastic pitch from Derby-based Edward Hollins.

-There you go.

-Thank you.

-He's seeking a £30,000 fuel injection

from a Dragon, in return

for a 10% stake in his mobile billboard business.

-There you go.

-Wow.

But Peter Jones is wondering if this is already a road well travelled.

Edward, it's not a new idea, a new concept.

Trucks have been putting this type of facias on their trailers

-for many years.

-Yeah.

-What's different about your business

-and your idea?

-In recent years, with technology, you've been able to put

GPS trackers on the trailers.

All of our hauliers have a contract where they've got to do a minimum

of five hours a day driving time, five days a week.

And it's using these GPS trackers that we can monitor them to

make sure they're not stuck in their yard for three months.

-OK, and have you set the business up?

-Yes, it's been trading

-for 20 months.

-You've been trading for 20 months?

Wow. And you've been doing this while still at school?

I graduated from the University of Derby

three months before I set this up.

-You've graduated?

-I'm 22.

You're not 22! Are you?!

I am, yes. I've got my passport if you need to see!

You're 22? Wow, you lucky devil!

OK. You've been going 20 months.

-Yes.

-And how many trucks have you signed up?

Four trucks. But we've got over 1,000 trailers we can access

within 24 hours.

OK, and what have you turned over in the last 12 months?

£18,000.

And out of that 18,000, what's the profit, how do you make money?

So an advertiser would buy a package for one lorry

for a 12-month period, for £7,800 plus VAT.

And then it costs me about £5,500 for production,

and whatever's left over is the profit for the business.

So you make £2,000 for every contract you sign?

Yes.

Really good. OK.

The baby-faced entrepreneur reveals a sophisticated business model

with the potential for some very grown-up returns.

But textiles expert Touker Suleyman

has some concerns about the costs involved.

Edward, your £7,800 for a big haulage is quite expensive.

-A Luton van is less than a trailer.

-What is it for a Luton van?

-It would be £5,000 plus VAT.

-It's still expensive.

Is that because of the cost of the printing?

-Yes, exactly.

-What does that cost you?

-Let's say for a Luton van?

-It would cost me about £1,500

-for fully wrapped.

-OK. If you focus on that, you could probably reduce

the cost dramatically.

I print fabric in Turkey, they charge me 2 a metre.

-Right?

-Yes.

-On what material is it printed on?

-Weather-resistant vinyl.

-So if you source the raw material,

if you go to a printer who's got a printer of that size...

-You just say, "Print it."

-Yeah.

-I like that idea.

-You like the idea?

-Yeah.

-Good! Good.

The entrepreneur gets some cost-cutting advice

from textile supremo Touker Suleyman.

But Jenny Campbell is wondering why the brakes still appear to be on

when it comes to the take-up of the advertising.

Edward, you talked about having 1,000 trailers within 24 hours.

-Yeah.

-But you've only been trading on four lorries.

-Yes.

-Now, what's missing?

What's getting in the way of you finding the adverts

to put on the thousand lorries you can source tomorrow?

-It's the lack of awareness.

-With the advertisers?

Yes, exactly.

What adverts would you see, are the ones you'd really like to go for?

So insurance, where there's not a physical product. So, especially

car insurance. They'll be right in front of their potential audience.

-OK. Have you ever got in front of an insurance company?

-I have, yes.

-And? Who was it?

-Be Wiser and CarFinance 247.

OK. And what did they say?

CarFinance are considering it for next year

and Be Wiser have said, "Come back to me in September

"because we're very open to this idea."

OK. I like that, and you'll always find with finance companies,

insurance companies, all those in that industry, which I come from,

that they're in budget cycles, OK?

So there's a timing thing going on here with that industry.

Interest from a lucrative market that she knows inside-out

has got Jenny Campbell's wheels turning.

Deborah Meaden now wants to find out if anyone else is helping to drive

Edward's company forward.

So, who's in the business at the moment, is it you?

-There is just me at the minute.

-Yeah.

-But we've got two investors

about a similar age to myself who are investing £5,000 each

-for a 10% stake each.

-OK. But other than that, it's you?

-Just me.

-OK.

Going forward as the business grows,

can you just talk about your projections?

So, this year we're aiming to turn over £250,000.

OK, so your turnover, you're expecting 250,000.

Gross profit would be...

..120,000.

OK.

So what does the net profit look like in year one?

-Of the...?

-Of the 250,000.

Er...

Er...

I'm just trying to get that row of numbers that starts with 250,000

at the top, goes to 120,000 gross profit.

Net profit?

Sorry. £80,000.

When you're in business, you don't need to know a lot of numbers.

But you do need to know the three numbers

that are really going to make your business tick.

-Yes.

-You need to know your turnover, your margins, your net profit.

That's what you need to know.

Edward's inability to give Deborah Meaden some basic business figures

is threatening to stall his pitch.

And now Peter Jones wants to take issue

with the valuation he's placed on his company.

Edward...

..you are asking for 30,000 for 10%.

-Yes.

-So you're valuing your business at 300,000.

And yet you're valuing the company to your friends at 50,000, cos

you've just said they invest 5,000 and they get 10% of the company.

Is that just because you think I've got more money than them?

No, it's because of their experience,

they've actually come through your programme.

-Have they?

-Yes, both of them.

So they're from the Peter Jones Enterprise Academy?

-Yes.

-OK, well, then I understand

why they're worth a lot more than any Dragon!

THEY CHUCKLE

But whilst it's lovely to hear that,

and I think that's really great, why would you value your business

with me at 300,000, and 50,000 to them?

I thought they'd be able to contribute to the business

for a lot longer, you know, because obviously they're sort of my age,

so they're going to be working... 50, 60 years, worst case.

Towards the eventual goal.

Are you suggesting it's because I'm old

that you don't want to give me too much of your company?

No, I think it was at the stage of the business...

Do you know when you have that term where it's, like, dig a hole?

-Yeah, I've got to stop digging!

-Are you feeling that at the moment?

Yeah.

I'd better stop.

Edward, I think you're very investable.

I think you are confident, you listen to advice.

As a business in terms of size, I think it's very small.

I think you need to build it, prove it a bit more, the model,

and make it work.

But unfortunately the business for me today...

..I won't be investing. But all the best. I'm out.

Tej Lalvani decides not to climb aboard the lorry billboard business.

Has Peter Jones heard anything to encourage him to reunite

with his Academy alumni and invest in the young entrepreneur?

I like this concept, I think that this is a concept for the future.

I think if you'd got really on top of your numbers and come in here

with a really concise plan...

..it could have gone really well for you.

But it's too early a stage at the moment

for me to take you on that journey and invest in you.

So I'm going to say that I'm out.

But I wish you every best of luck cos I think

you are an entrepreneur-in-waiting and you're going to make it happen.

Thank you.

Edward, my job, I feel, as an investor, is to take the seed

of this idea and to really make that business work.

Not to become a mentor, a daily mentor, running a business.

And I think you're still in that phase.

So I'm really sorry, Edward, but I won't be investing. I'm out.

Deborah Meaden is unconvinced

and steers clear of the advertising offering.

Touker Suleyman has already dished out some business advice.

Will he now go one step further and dish out some dosh?

-Edward, where do you live?

-I live in Derby.

Derby. Ah.

-That's north.

-I know where it is!

I am excited for you. And I think you will succeed.

But you need intense mentoring.

And it's disappointing you live in Derby

because I would've liked you in my office every day,

working with us, you know? I would've liked to be your mentor.

But it's not going to be possible today.

I'm not going to invest, and I'm out.

Touker Suleyman keeps his pounds in his pocket and becomes

the fourth Dragon to walk away from a deal.

Jenny Campbell is the youthful entrepreneur's last chance

of investment. Will she take his business to the next level

or send him away with nothing?

Edward, how are you feeling?

-Still a bit nervous!

-Presumably you're nervous about walking out

without an investment, because that's what you came for today.

Yes.

So, look, this is where I am.

I sold my business last year, having built it from a very poorly business

to a very successful business.

And I had a fleet of 4,000 ATMs in the UK and a thousand in Europe.

They're metal boxes. I know how to wrap metal boxes.

You are highly investable.

I am going to make you an offer.

I'm going to offer you all of the money...

..but for my investment in you, I would want 20% of your business.

I'd be very happy with that.

Well, that was a quick response! I need to teach you

some of that stuff. But anyway, for now...

-I was going to say!

-In one of the quickest deliberations ever seen

in the Den, the entrepreneur accepts Jenny Campbell's terms...

-Thank you, all.

-Congratulations.

..and drives off into a lucrative future with a Dragon on board.

And, I LOVE the fact that you live in Derby.

-I'm a northern girl.

-Thank you very much.

20% is absolutely perfect, so that's why I went, "Yeah!"

I'm taking that now before you take it away!

I love the fact that he accepted your offer before you finished.

-Bless him.

-He knows a good offer when he sees one.

I think me and Jenny could be the northern powerhouse.

The potential's there. I'm just really excited

and I can't wait to get going.

Next to face the Dragons is Manchester-based Rimi Dabhia...

..who is hoping a much-practised pitch will stand her in good stead

for the white heat of the Den.

Preparing to go into the Den,

I've pitched to family and friends. However,

I think the Dragons will be a little bit more intense.

I am in awe of Deborah Meaden,

and I would love for her to invest, so bring it on, Dragons.

Hello, Dragons. My name's Rimi,

and I am founder and head hustler at LoveRaw.

We make innovative, healthy food and drink products

which are dairy-, gluten-, and refined-sugar-free.

Today, I am asking for £50,000 investment for 5% of my company.

When I started making snack bars in 2013,

there was nothing good quality on the market,

so there was the eureka moment.

I started making the bars in my tiny kitchen at home.

I started the business with £600.

Six months later, I was hand-making 3,000 bars a week.

A year later, we launched our organic superfood boosters,

which are a nutritionally dense powder added to your everyday meals.

And, two months ago,

we launched our flavoured on-the-go almond drinks,

which come in three eclectic flavours.

Some of our stockists include Whole Foods, Planet Organic

and, of this week, Sainsbury's.

The potential is huge, so I welcome any questions, but first,

would you like to try some products?

-Please.

-We'd love to, thanks.

A confident pitch from entrepreneur Rimi Dabhia...

It's quite a large pack.

..who's hoping her range of powdered food supplements, natural drinks

-and snack bars...

-Thank you.

-Oh, wow!

..will be a tasty proposition for a Dragon.

She's asking for £50,000 in return for a 5% stake in her business.

Shake them before you open the drinks, please.

Jenny Campbell is first to grill the healthy head honcho.

-Hi, Rimi.

-Hi.

-You've done fantastically well.

You know, you're trading with all the right people,

so just tell me last year's numbers, then.

Turnover, gross profit, net profit.

In year one, the revenue was 170,000, with net profit of 11.

Year two

was 129 net profit.

Year three was 86,000 net.

Last year's figures, the revenue's been 274,000,

but we made a net loss of 58,000.

-What happened?

-It's, erm...

-Cos that was going swimmingly well.

In 2015, I experienced major complications in my pregnancy...

-OK, sorry to hear that.

-..and I couldn't work.

I was told, bed rest, no stress...

So the business had to take a step back because family life

-was important.

-For six months. And that lag, you know,

in '15-'16, has shown up in '16-'17.

-OK.

-However, the last three months of sales have been improving,

and the drinks have been launched with Sainsbury's today.

-Today?

-Yeah.

-OK, congratulations!

-Thank you.

The entrepreneur reveals a big supermarket contract

and a determination to succeed -

two big ticks on any shrewd investor's check list.

And Tej Lalvani is thirsty for information

on whether Rimi's margins are just as impressive.

-Hi, Rimi.

-Hi.

-So, you mentioned the drinks.

Tell me your cost of manufacture, wholesale and retail price.

They're £2.29. We make them for 80p and we sell them at £1.25.

Wow, I really am surprised.

That leaves you no margin at all.

You are going to be breaking even if you're lucky,

with that sort of margin.

Can you just tell me about the other products?

The blends are £3...

£3 cost?

-£3 cost.

-Wow, that's a lot.

Yes. We sell them on at £8.21.

And then they retail for £14.99.

Is someone going to spend £15 on a powder which they are not sure

how it's going to taste when they put it on food?

We've sold, erm...

..63,000 units so far.

Well, the last year, how much have you sold?

Sorry, I can't tell you that.

-Erm...

-Sorry to interrupt you, but I think that's really quite important.

-You can't answer it?

-In the last 12 months,

how many have we sold with the...

Yeah, that tells us where the business is now, cos you've had

a bit of a freefall in the business at one point.

You've given us a good reason why, I appreciate that.

But, actually, it sounds like that could...

It was in my head, sorry, but, erm...

I just can't remember the...

..the amount.

The entrepreneur forgets her figures and suffers a setback in the Den.

Deborah Meaden has been sampling the products.

But it's the packaging that has caught her attention.

Rimi, I don't like your branding.

I don't think that product looks like it's got

-anything to do with that product on the right.

-Yeah.

They look incredibly different.

We were trying to be a little bit different on the blends.

Well, the one thing about branding is you want to be able to look at

a product and know that it is part of an instantly recognisable set.

And I didn't get that at all, and I think

if you carry on with those three products

you really need to look like a set, but thereby hangs MY issue.

I think that's your product.

It tastes lovely, but it's also really good for you.

Are there many more out there?

Are you actually the first on-the-go cold-pressed...?

No, there's no other on the market with the almond drinks

at the moment, they are the...

That's your interest, and that's why people are...

I can see why those would... I can absolutely see why they would sell.

Rimi, how you've created this is really good.

But I can't change one thing.

About 80% of your product, I actually don't like.

And, I have to personally believe it, taste it, feel it...

..and you haven't given me that Levi Roots moment.

So, for that reason, I'm out.

Peter Jones decides the health food company isn't to his taste,

and becomes the first Dragon to leave the negotiations.

And now, Touker Suleyman is wondering if the business has

a long-term future in such a congested market.

It's amazing how, from £600, you've created a brand,

you've created a business, but I'm just trying to get my head round...

..where the business is going to go beyond this year and next year.

Do you think that you've got enough innovation to sustain the growth and

-be ahead of the game?

-I do believe that, yes.

Erm... We are launching in 320 Waitrose stores in July,

we are in deep negotiation with Ocado

and I have a meeting with Marks & Spencer next month.

I'm going to make you an offer.

I think, in this case, two Dragons might be better than one...

..so I'm willing to put up -

I don't know if Tej wants to come in with me -

half the money, which is £25,000,

but I want 15%. If Tej agrees, then you will have two Dragons.

Touker Suleyman makes a half offer for the business,

but chooses to invite only one other Dragon to join him.

Will Tej Lalvani who, on paper, is Rimi's ideal investor,

accept the invitation to partner up,

or will he even make a competing bid?

Rimi, I think the bar business is very competitive,

it's going to be struggling. I'm not really keen on the taste of them.

-OK.

-The powders,

I'm not sure what sort of market you are going to get with that,

and it's a bit confusing.

And your logo does not stand out.

But that obviously can be sorted out.

And what I do every day is branding, basically, and I think,

what you developed in terms of formulation and natural press

is unique.

But my main issue is your margin.

Yeah.

At 45p per product, you've got all your overheads to cover,

you've got your marketing budget.

So...

..I think, on that reason alone...

..I'm going to have to say...

..I'm out.

Tej Lalvani decides the health food business is a risk too far.

With his hopes of a partnership dashed,

Touker Suleyman must decide whether to go it alone.

Rimi, if Tej is out, I'm very disappointed.

Erm...

I thought two Dragons would be better than one.

And for that reason, I'm out.

With just two Dragons remaining,

the entrepreneur is running out of options.

Does Jenny Campbell think

there's a business opportunity in the health food enterprise?

When you came into the Den, and announced yourself,

you said you were the head hustler.

-Yeah.

-And I love that phrase and I began to think, you know,

I can help that girl hustle cos she's definitely hustled so far.

But, I really wanted to hear the, erm...

..the Dragon leading the healthy lifestyle revolution say

that he can do something with this and take it somewhere,

and I've not heard that.

-So, I wish you all the best, and I'm out.

-Thank you.

Rimi...

..this, I think, is your big one.

I do think you've got something in this.

And I think you're really good.

I'm going to make you an offer.

But your valuation is crazy.

OK.

I did work with somebody in finance to work out valuation.

You hold on to your valuation, I will hold on to my valuation.

And we will see whether there is a way of meeting in the middle.

I thought you were going to talk me out of making you an offer, then.

No, I would never do that!

However, we did also...

This is a first in the Den,

I've never actually been talked out of making an offer.

We have had - we have been approached by Angel Investors, also.

-And they have valued at 1.5, which is, yeah...

-OK.

You win. I don't make you an offer.

No, but I wouldn't want that. I-I-I-I'm here today...

No, but that was a little bit crazy, wasn't it?

-We're getting further apart, now.

-No.

I don't really care what other investors out there think.

Of course.

But I'm going to offer you all of the money...

..and I want...

I want 30% of the business.

Thank you very much for your offer.

-Can I, erm...

-Talk to the wall?

-Yeah.

-Go and talk to the wall.

There's just a single offer to consider,

but Deborah Meaden is asking for six times the equity

that the entrepreneur was originally offering.

Will she make the extra sacrifice to get a Dragon on board?

Deborah, would you be willing to do 10%?

-10%?

-10%?

No.

When I sit here, I don't just throw a number out and think I'm going

to get away with it. I sit here and I think,

"Actually, what do I think this business is worth?"

-So, I'm really sorry, but that was my fair offer.

-OK.

I-I just can't stretch to 30.

The most I can maybe do is 15.

-I think we are too far apart.

-Yeah.

I'm afraid I'm out.

-Thank you.

-Good luck.

-Thank you.

-Deborah Meaden stands her ground

and ends her interest in the health food offering.

And the entrepreneur makes her exit with her equity intact,

but minus the £50,000 she was seeking.

She should have taken that offer. I think it's good in a way, because

those margins... It would be difficult to get away with.

-I think you got away with it.

-You were lucky not to get into that.

-Yeah, I think so.

-Well, I wanted to.

I let the Dragon get away, so, yeah, I've got to live with that.

However, I am still a hustler, and I'll continue to hustle,

and I will take it to the next level.

So far, the Dragons have been firm...

-It's quite expensive.

-..but also more than fair...

I am going to make you an offer, you are highly investable.

..and as the remaining entrepreneurs try their luck in the Den...

-Lee, listen, focus.

-..they'll need to bring their A-game.

I don't know what that means.

I don't see what's even slightly unique about this.

And, for those who succeed...

You're great, you can tell how competent you are.

..the Dragons are prepared to put up a fight.

Is there one Dragon which you really want,

or is it just playing games between us?

Walking into the Den can be

a nerve-racking experience, but next up

is a teacher from London,

who has a novel approach to taking on the Dragons.

I work with children every day of the week.

So, when I go into the Den,

I am going to treat the Dragons as if they're children in my classroom.

And the no-nonsense entrepreneur is hoping to get top marks for what she

believes is a pioneering concept.

I have created something so unique and so innovative,

and I know that my business changes children's lives.

Hello, Dragons.

My name is Lee Dein.

And I'm looking for £60,000 in exchange for 10% of my business.

There are over 2 million children who struggle with their handwriting.

The fundamental problem is that many teachers are not taught

how to teach handwriting,

and there are too many complicated alphabet curls and letter strokes.

So, that's why I created the simple Magic Link font

and Handwriting Programme. And this teaches neat, cursive,

joined-up handwriting in 30 simple steps,

and is perfect for primary and secondary schoolchildren.

Since I started my company, 2½ years ago,

over 2,000 children have benefited from my programme.

I have some examples of my Magic Link workbooks,

which I'm going to hand out.

Hoping the Dragons will soon be writing their names

on an investment cheque is language teacher Lee Dein.

If any of you Dragons would like to write this sentence down

and copy what's on top, I will give you some Magic Link tips.

Oh, thank you, Peter.

She's asking for £60,000 in return for a 10% share of her programme,

which uses a unique font to improve handwriting.

Oh, sorry, Peter, could you copy the sentence on top?

-Oh, OK.

-But if you want to carry that sentence on,

-that's completely fine.

-He's not very good at doing as he's told.

Oh, OK. Quite neat writing, I am quite impressed.

I do think there is a mistake on there, though, Peter.

-Oh, Deborah?

-Let me just correct it for you.

That's not exactly a P - that a D, look.

E, that's OK.

B-O-R...

A-H.

There you go.

Now that we know who is top of the class,

Touker Suleyman wants to move from the blackboard to business.

And he has some personal experience to draw on.

-Right, Lee.

-Yes.

-I am very fortunate to have two daughters

whose writing is impeccable. They were taught correctly.

So, I think, it's a good cause, but is it a good business?

-How does it work?

-Yeah, so,

if you are a parent with a child with bad writing,

you can either choose to go to one of my licensees,

who will give you lessons, or you could buy it online.

I have three licensees.

Last year, I only had one licensee who brought in a revenue of £1,000.

This year, my licensees brought in a revenue of £6,000.

So, the licensee model is small.

Very small, yes. Small, compared to the rest.

So, I'm assuming that the other part is massive to get a valuation

of 600,000?

It will be massive.

WILL be massive?

Yeah, because, my online sales last year...

There were 60 sales, there's half...

-600,000, sorry?

-No, 60...

-Oh, 60!

-60. And this year, there have been 200.

Sounds like this is a niche business for you.

Oh, it's more than a niche business for me.

-Can I tell you why?

-Tell me.

-Because, Apple,

the richest company in the world, have just spent millions of pounds

investing in their Apple pencil.

Samsung has just followed suit,

so they also feel that handwriting

is a very important skill which they would like to revive.

Lee bats away Touker Suleyman's worries

that her business is small-scale,

by aligning herself with some handwriting-friendly mega brands.

But, tech giant Peter Jones doesn't appear to be convinced.

Lee, you are relating your business model to two technology Goliaths,

who, you are suggesting, are only doing this to improve handwriting.

I think that's nonsense.

The stylus pen does a lot of different things.

It's used for design, it's not just about handwriting.

I think they are recognising that adults would like to take notes

by hand on a tablet, which has never been done before.

Yeah, but I don't get why that relates to your business,

and I don't see what's even slightly unique about this.

-But that's the programme. That's the... Your...

-That's...just lines.

You just write in between the lines.

I'm trying to work out why you think this is a business.

I think it's a fantastic business, because last year,

when I started my company, I had three schools that were interested,

and this year, I've had 14 schools who are interested.

No, I can see your skill...

So, why is that not a good business,

if children can achieve neat writing?

You've had 2,000 children over 2½ years go through your programme.

-How much income has that generated?

-£146,000.

OK.

And how much net profit?

Erm, £104,000.

-Over two years.

-Yeah.

It's 50,000 a year.

And the people that you've employed via your licensing,

they've done it for free?

They pay me £100 royalty per child, and I send them the pack...

And they charge per child...?

They are self-employed, and they charge £40 a session.

OK, then I slightly take it back.

I think I could have been wrong in saying

that you haven't got a business for yourself at the moment.

Oh, thank you.

A rare event,

as the entrepreneur's spirited defence of her business

elicits a reappraisal from Peter Jones.

But Tej Lalvani is wondering whether the teacher's work could be cribbed.

Lee, well, you definitely have me as a customer for your book,

cos I need to improve my handwriting.

But, this book that you've got here,

what's stopping a big educational book company from copying

-the same thing?

-Because, there is a patent on the font,

both here and in the US.

Right, so, if you had a different font, you could bypass the patent.

But the programme wouldn't work, because the font is so clear

that children understand how to write letters

in a very clear format.

Lee, sorry, can I just pick up on that?

I am amazed you can get a patent on a font.

Well, I did.

A patent?!

Yeah, with the patent office, I've got my patent.

-A patent?!

-Yeah.

-You've got it here?

-I can show you.

Er...

I might need some help finding this.

OK, oh, can I show you... Oh, here we go.

Yeah, this is the UK.

Oh, no, hang on, er...

Yeah, I think this is it. Is that right?

No. That's a registration design - that is what I think you've got.

Here we go. Oh, yeah, but look it's the design on the font,

-so there's the font that's been approved...

-No, hold on a minute.

-Patent, look, the word "patent".

-Well, no.

-And there's the America one. Magic Link...

-Lee, listen, focus.

You have got a registered design.

It is very, very different to a patent. Do you understand that?

Erm...

The difference between the two is patent is much stronger.

Lee, you've done a very nice thing here,

you are doing something that's really important.

But, I'm looking for investments.

-So, I won't be investing. I'm out.

-OK.

The teacher gets a ticking off, as her lack of a proper patent

sees Deborah Meaden make an early exit from the negotiation.

Now Touker Suleyman wants to steer the discussion to Lee's projections.

Let's look at your business.

-The run rate.

-OK.

So, this financial year, which has just finished,

I've turned over £77,000,

with a £74,000 gross profit

and a £64,000 net profit.

What do you predict next year?

So I'm predicting it would, with your help,

-it would double to 150,000.

-With my help? What, with a magic wand?

Well, I think if you were to tell your fellow businesspeople,

who are in education, about my product,

and you spread the word for me, I'd get a lot more sales.

But you could do that yourself, on Facebook.

Oh, but it's great to have you behind me!

CHUCKLING

You're making money. You've got to use some of that money to employ

somebody to be your sales person.

You don't have to give up the equity. Keep it all to yourself.

I'm really sorry, I've not got the time that I could dedicate to you

for what you want.

And I'm out.

Touker Suleyman drops out of proceedings,

becoming the second Dragon to decline the deal.

Does Jenny Campbell think the handwriting business has legs?

Lee, I think what you are doing is really, really laudable.

I love neat handwriting, but I've got two boys and, you know,

to help them hand-write better, I'd go to a high street stationer's

and buy a book that looked similar to this,

and it's probably got tracing paper in or something,

and you are copying it.

So I think there are lots of other ways to do it.

-But they don't...

-But they're not as good as yours.

They don't work. That's why there are so many children

-with bad handwriting, that's the evidence.

-Yes.

But I don't get that it's a business at all, and I think the Magic Link -

that sounds like a board game or something.

Well, it's actually the link in the font that causes the magic,

-so there's a reason.

-I know, but I don't know what that means.

I don't think it's a Dragon investment.

But good luck. Thank you, I'm out.

Lee, I think, if a leading educational book publisher wanted

to do it, they could bypass the font

and create something with similar content.

I think it can be copied, so the business potential is a risk.

And for that reason, I'm out.

Tej Lalvani decides to write off the opportunity

to invest in the business.

Now only Peter Jones remains.

Having already had a change of opinion about the company,

could he be about to come full circle and make an offer?

Lee, I'm not completely convinced you have a business here

and I think you've got something for yourself...

Is this not a business because it is scalable and it's sellable

and there's interest and there's a problem?

I'm not convinced it is scalable.

I think you should carry on doing what you are doing, this is great,

but I'm not going to invest because I don't see it

as a big business opportunity, or even a medium-sized one,

so I'm going to say that I'm out.

Thank you very much.

Lee is out of investment options,

and she leaves the Den without the £60,000 she was asking for.

At the beginning, Peter Jones said I didn't have a business,

and then he did agree that I DID have a business,

and then he didn't want to invest in me.

It's his loss. I will show him that Magic Link will go worldwide,

and he's going to regret it.

I think that's a good idea, hiring a salesperson.

-Yeah.

-It was either that or me get a day job with her.

Yeah. I'll tell you what, she got out of that one!

Over the years, there have been some rather interesting approaches in

making an entrance into the Den...

Goal!

Arggh!

..from sending in the heavies...

..to laying on the glitz and glamour.

There have been some entertaining introductions...

-This is Pepper.

-..and innovative ways to catch a Dragon's eye.

Did that just happen?!

And last up tonight is a thrill-seeker from Bristol

who's determined to rev things up a bit.

Motorsport's very much been a part of my life.

I mean, there's nothing better than the feeling of speed.

But will the Dragons want to kick-start his company or be saying,

"On your bike"?

It's great to be able to do something that I love

as a day-to-day job and design a business around it.

Hello, Dragons. Did you know there are over 200 million motorcycles

in the world? Of those 200 million,

over 90% are either chain driven or belt driven.

Adjusting and chaining a motorcycle is a very time-consuming,

tedious and frustrating task. It has to be conducted every 200-300 miles.

It currently requires the rider to get on their hands and knees,

put a tape measure up against the machine, pressing up and down

on the chain to try and determine the chain tension.

My name is Chris Frappell, and I found the solution.

I am here to present my product Chain Monkey,

the patented motorcycle chain tensioning tool.

I'm looking for £75,000 investment for 10% equity in my company.

The Chain Monkey is applied to the chain, and adjusted upwards

until the circular stop touches the orange base.

This induces an arc into the chain,

which is effectively a predetermined tension, based on the specification

of the motorcycle. So if there's any slack left in the chain,

as there is now, you can then adjust the wheel backwards until the slack

has just been removed. From there, they can remove the Chain Monkey...

..and they are left with the precise chain tension,

set first time, every time.

In the first year, I turned over £169,000.

Since then, I've extended the range to include lubricants,

cleaning products, and also a range of other complementary tools

to the Chain Monkey.

I thank you for your time and I look forward to any questions.

And I'm going to hand out some samples.

Hoping to gain a Dragon pillion passenger

for his motorcycle chain-tightening business

is motorsport engineer Chris Frappell.

That's a lot of walking you're doing there, thank you very much.

He's willing to hand over 10% of his company in return

for a £75,000 investment.

Thanks.

Deborah Meaden is first to gear up with some questions.

Chris, I'm not a motorcyclist,

so I'm going to have to ask you some pretty basic questions.

I understand the whole tension thing,

so what's the nearest product to this?

You know, what else is out there?

There's been absolutely nothing out there, in all honesty.

There is nothing that fills this niche in the market at all.

It's perfect for the everyday rider, the mechanic,

someone who has a professional career

and all the way down to someone who is new to motorcycles.

And is this a patented product?

It is, yes. I have a granted UK patent.

I also have a separate European patent pending,

and then I also have an international patent pending

for the USA, China, India and Japan as well.

An entrepreneur with a patent in hand

is always a welcome visitor to the Den.

But Tej Lalvani is wondering

if Chris's biking gizmo is even needed in the first place.

Chris, most people who own a motorcycle,

if they've got a loose chain, don't they just go to the...

..get it serviced and fixed?

Some do. Erm, whereas, the majority of the market actually prefer

to carry on any maintenance, themselves.

Erm, if they do go to have it serviced

and have the chain adjusted, it costs at least £30 a time.

And, on average, a rider will get their chain adjusted at least four or five times a year.

-Which takes about, what? Half an hour, an hour?

-Before, yes, it would have taken a long time.

But, now with the Chain Monkey, no,

it's literally a 10-15-minute job, maximum.

And how much does it retail for?

It's £24.99.

Chris. I might be the only qualified motorcyclist in the line-up, here.

So, my last cycle was a Suzuki 650, bright yellow.

-Oh, really?

-So,

I know that bikers don't take their bikes to the garage to get it fixed,

they get on their hands and knees and fix it themselves,

so I know that. So, tell me about the manufacture of these.

Where do you get supply from? Your manufacturer?

They are assembled in the UK, currently.

Erm, however, the orange part is sourced from China.

A Chinese injection moulding company there.

OK, so it starts... Some bits start in China, come into the UK,

and then it's finished off and packaged up and so on.

Yes, yes. My mother has actually been helping me assemble these

up until now, and has done extremely well at it, to be honest.

However, I am now looking to move now to a company

who will assemble the whole lot for 46p.

A move to factory production for his product

will no doubt be welcome news for Mrs Frappell Snr.

Peter Jones now wants to find out if Chris' motorcycle gadget has given

rise to a high-performance company.

How long has this been going -

-the business?

-Erm, I launched the business in August of 2015.

So, we have done just over a year and a half, now.

OK, and the last year's turnover was £169,000?

-It was, yes.

-And what is the forecast for this year,

-currently?

-The forecast is roughly the same for this year.

But, the expansion for next year, with investment,

is looking to be at 640,000 turnover.

We are looking for, then, a gross of 480, and a net of 220.

I've also got a meeting with Halfords,

to get into 400 shops in one go.

-And where are you with that?

-Erm, it's the second pitch to them,

actually, in two days' time. They are now interested in the whole

range of lubricants, cleaning products, and all the other tools.

We are also looking to extend the brand into the USA,

and get into a much larger market.

Chris. You want to go to the States?

-Yes.

-However, you haven't really conquered the UK?

We were actually approached by the

second-largest distributor in the USA.

-Right.

-So, they came to us and said,

"We'd be very interested in putting your product into stores, here."

So, I didn't want to turn down the opportunity of being able to put it

into the USA when we had it put forward to us.

-When did they approach you?

-That was about six months ago, now.

I mean, I would've thought that within six months,

-you would have sent them samples...

-They do have samples, yes.

Thing is, six months is quite a long time. I'm just a bit concerned

that you haven't had a real bite within six months.

The UK market,

you're there, but not in what I'd call a roll-out basis.

You've not proven to me that it's a product that's going to grow.

The entrepreneur's apparent failure to really set the market alight with

his product is a concern for Touker Suleyman.

Has Chris' motorcycle business got enough gas in the tank to encourage

Peter Jones to make an offer?

Chris, I have to say, I think the product seems pretty neat,

and you've clearly done a really good job and it definitely does

what it says on the tin. But, as an investor,

you've got to have a feeling where you've got a really

invested interest in motorsport,

or you see a really big business opportunity that can take off.

I'm struggling with both.

So, I'm seeing the opportunity quite as a small, very niche product.

I don't think you're going to make a lot of money from it.

So, I'm going to say that I'm out.

Chris, I'm also concerned about the size of the market.

And I'm not sure how much value I could add for you.

So, unfortunately, I won't be investing,

but I wish you all the best.

-I'm out.

-Thank you very much.

Two Dragons depart in quick succession.

Will resident petrol head Jenny Campbell

break this adverse chain of events?

Chris, I do know the motorcycling scene,

and I do resonate with this market.

So, I can see that this business will do well.

You're great, you can tell how competent you are.

So, I buy you, as well.

I am going to make you an offer.

My offer to you would be all of the money

for 20% of the business.

Jenny Campbell offers to link up with the chain-tightening business,

and tables a bid.

But, environmentalist Deborah Meaden

appears to have spotted something in the entrepreneur's cleaning products

that threatens to stall her interest.

The thing I found mildly alarming...

It's aerosol, and it's quite chemical.

You look at this list here, and think, "Euuugh"...

Yes, now, one thing we are looking to do is obviously reduce that.

We are also looking to having potentially a squeezy can

and reduce the aerosol completely.

I would love to be the people who worked on getting it

-more environmentally friendly.

-Yeah, yeah.

So, I'm going to offer you all of the money.

I want 25% of the business.

OK, thank you for your... thank you for your offer.

With her environmental concerns satisfied,

Deborah Meaden makes a play for the company.

Will Touker Suleyman join the Dragon chain gang?

Chris, could that be used for bicycles?

It can be, yes.

The cycle business, I believe, today,

is probably the biggest sport in the world.

And, I am involved in the bicycle world through Bikesoup.

It could well be that we can convince the brands to sell

one of these along with their bicycles.

I'm going to make you an offer.

But, my offer, really, is based upon that I can open more doors for you

in the cycle world.

I'll give you all the money, but

I want 30%.

Touker Suleyman spots a possible tie-in

with one of his other businesses and ups the ante in the Den.

-Do you mind if I take two minutes to have a...

-And talk to the wall.

With three offers in for the chain-tightening tool,

it's the Dragons who are feeling the tension.

Jenny Campbell is hoping her passion for bikes will lead to her 20% offer

being accepted. Deborah Meaden wants more equity at 25%...

..and Touker Suleyman believes his connection with the bike world

will justify his more audacious 30% demand.

Deborah, would there be any movement on your offer of 25%?

Honestly, Chris, erm...

Probably not.

I think I would honestly add that value,

-so, I'm sorry, Chris, but probably not.

-No, that's fair enough.

Touker, I really do appreciate your offer and I think

it would be a very good in to the bicycle industry, as well.

Now, I wondered if there would be any movement from your side at all

-on that perspective?

-This is not a barter game.

-OK.

-I think it's time for you to decide, you know, erm...

Cos you are going from Deborah to me, and I think the question is,

is there one Dragon which you really want that can add value,

or is it just playing games between us?

I think you've got to decide, Chris, what you really want.

Well, to be fair, he's got three.

He's got a 10% spread, I think it's...

-Ask what questions you need to, Chris.

-OK.

I think, at this moment in time where the business is,

I don't think I can go to 30% on it.

Erm... I think, in all honesty, 25% is my absolute limit.

And, I have to stick to my guns on that respect.

But, based on that, and based on what each of you can offer...

Are you... Are you asking me whether I would reduce my offer to 25%?

He asked you that already, and you said no, Touker.

That is the question, yeah.

I would reduce to 25%.

Touker, I think we've got a deal. I think that would be great.

-Thank you.

-Great.

-Wow.

-Thank you very much.

-Well done.

-Thank you very much for your time.

A last-minute climb-down from Touker Suleyman gets him the deal.

I'm sure we'll conquer this market and the cycle market.

-That's great. Thank you very much. I appreciate your time.

-Great.

And, the entrepreneur leaves the Den with the £75,000 he was seeking,

but without his transportation.

You do know you've left your bike, here, don't you?!

Oh, I'll get it later. You can have a go, if you want, Peter.

When Touker decided to reduce his offer,

I felt it was a bit of a no-brainer, really.

Are you feeling that it was stolen from you?

-Yeah.

-Sorry, Deborah.

-No, that...

-We win some, we lose some, Touker.

-Exactly. I've said the same myself.

I think I could see you in leathers, as well, Touker.

I don't think I'm going to be in leathers, no.

Business is often about compromise.

Earlier, we saw Rimi stick to her guns but fail to get an investment,

while Chris did negotiate and secured a deal.

Touker Suleyman, too, had to shift his position,

proving that even Dragons have to have a bit of give and take

to get what they want.

I looked at you all, and I thought, you all look perfectly sane.

-Coming up next time...

-You can't do that, guys.

You are in here for investment. You are not here for advice.

I am not going to help you propel a product that's not proven.

It's a small business.

-Tiny.

-Really?

You've made a mistake.

When were you going to raise the extra money to build all this?

I've no idea. Don't know.

Before you make a decision,

I'm thinking of revising my offer.

-I really like it.

-You are very bubbly and engaging.

You are a very investable entrepreneur.

-1%.

-Yes.

-1%.

Yes, 1%.

I don't get out of bed for 1%.