Welcome to another Shark Tank recap!  These week’s show had some big winners and some big losers……  And we saw Barbara Corcoran’s soft side.  Final count of “You are dead to me!” outbursts this episode, 4 – and 1 “then I kill you!”

The first contestant was immigrant from Ghana, Kwame Kuadey who started Gift Card Rescue.  He is a great example of low risk entrepreneurship and how starting a business can help you escape the uncertainty of the job marketplace.  He started this business while working for the man, but was fired recently.  He buys unwanted gift cards and then sells them at a discount.  He knew his numbers, was well prepared, and was very articulate.  His request for funding was very reasonable.  Three sharks were out quickly, saying the business was not right for them.  Kevin, the bald guy, offers $150k for 50%, unusual that he is willing to be equal partners.  Robert ups the offer to $200k for 50%, a really good offer.  Kwame accepts, a really good deal for him.  This is one of the very, very rare times when the entrepreneur is treated fairly and everyone wins.  Why did it happen this way?  Because he is very prepared, very effective, and had a great, solid idea.

Next is Gina Cotroneo who sells generic products with happy messages on them.  She hugs each product, draws a smiley face on each package, and clearly is trying to spread good vibes with her company, Soul’s Calling.  Her goal, to achieve “world happiness domination.”  After several years, she only has $18k in sales.  She has some cute products, but as the sharks point out, the marketplace is clearly not buying.  They tell her to shut it down.  Clearly, something is wrong with her company, probably her, but I disagree with the sharks, I think there is a market for these goods, but Gina needs to get out of the way and let someone else run the business for her.  She asks for $600k, a ridiculous amount.  Kevin tells her the business is really worth zero and tells her to quit!   Robert tells her something very interesting, “the business is telling you something.”  A powerful line.  Businesses do tell us things, as does the marketplace. 

Third is Dan Claffy who sells coffee branded items.  Stupid idea.  Who wants a bear what says “coffee” on it?  He does have a trademark that protects him from anyone else doing this, but who cares?  Someone else will want a java bear?  Also, Dan tells the sharks he has tons of “commitments” for sales, for which they rightful pillar him.  Don’t get commitments, get sales!!  At The Entrepreneur School, we stress selling as the FIRST activity of a new business.  Dan failed to do this, and he walks home empty-handed.

The next opportunity is a graffiti removal business owned by Paul Watts.  Paul hopes to raise capital to franchise his business, cleaning graffiti off public spaces.  He does not know how he will get communities to pay him for graffiti removal and, even more importantly, he does not known the product that removes the graffiti!  He buys the chemicals off the shelf, just like anyone else can.  Also, he asks for a $2 million valuation, with zero franchise sales so far!  He is crazy.  Horrible idea, horrible presentation.  Kevin and Robert throw him a bone and offer $375 for 75% of the business.  I have no idea why.  There is no profit stream, so what are they seeing?  Paul should take this gift and run happily.  But he declines and he “is dead to me!” 

Finally, Amy and Allison want $350k for 15% for a company that offers a protective slipcover for baby pack-and-play play-yards.  Great idea.  Being a parent, I love the idea.  The two ladies try to sell the business without selling the patent, get caught, and it almost kills the deal.   They have $250k sales in Target and sales to many hotel chains.  Barbara offers $350k for 40%, a great deal for the ladies.   Rightfully, they take the deal, a win-win for everyone.

Two successful entrepreneurs, both with good solid products, pre-existing sales, and good presentations.  And some bozos……