7 Lessons from the Shark Tank

Pitching before the Sharks

Those who accuse television of making the world’s population dumber clearly have never watched the Shark Tank. For those who don’t know it, Shark Tank is a Reality TV series produced by Mark Burnett that features a panel of potential investors, called "sharks", who consider offers from entrepreneurs seeking investments for their business or product. When I first heard about it I was skeptical because I’ve realized that a lot of the “Reality Shows” contain more “show” than “reality” and have plot lines which are just as interesting as the weather forecast. However, when I finally sat down to watch my first episode of the program I was completely hooked. Despite all the drama that goes on in the “Tank” there are a lot of lessons to be learned by aspiring entrepreneurs. I‘ve listed 7 which made a mark:

1.  Show me the money-The Sharks always ask about the actual business done before they invest. Actual work done, actual profit, actual sales. Not fancy power point projections, verbose business plans or fictitious financial projections. That’s the best way for them to determine the level of risk they are getting themselves into. You have to present actual figures so far and yes, those figures must tally. 

2. Business requires flexibility-When the sharks saw a flaw in the strategic plan of an entrepreneur, they were quick to suggest a better plan. When better ideas are offered that are different from the original plan, adapt to them. Let go of what’s not working including bad products, non working strategies, products which aren’t being sold and embrace what’s making money. The motive of a business is profit, not sticking to a mission statement.

3. Invest in areas you have information- Invest in the business you have knowledge about and passion in. The sharks don’t touch businesses they have no knowledge in or ideas on how to scale them however lucrative they might seem. Not every good looking opportunity is the right opportunity for you.

4. Unique ideas are all around us- We don’t have to search in outer space for that special Eureka moment to be in business.  The entrepreneurs with the most impressive ideas discovered that they were just simple solutions to everyday challenges. Kids having problems with keeping toys? Make a fancy toy box for them.  You want to listen to music on the go without annoying wires connected to your headphones? Create hooded jumpers with in-built wires and detachable headphones.  Some, like the one for the fellow who came up with the idea to charge people to draw funny cats for them would have been ridiculous were they not making as much money as they did. Ideas are everywhere, those who identify and execute them well end up at the top of the food chain.

5. Protect your product- Copyright or patent whenever possible. Add new features to make sure the competition is always playing catch up.  Any idea that’s worth a lot of money will be copied; it’s your job to make sure copying it is as difficult as possible.

6. Cook the bird in hand-Entrepreneurs who were offered the deals they had asked for but continued negotiating because they thought they would get better deals ended up losing the deal or being shortchanged. Closing a sure deal is much more important than soliciting for a better offer.

7. Sell value, not features- People aren’t convinced to buy products because of the features packed in them; they buy them because of the value they get out of them. They buy hooded jumpers with in-built headphones not because they are convenient, but because they look and feel “cool” in them. They buy flavored premium tea not because it tastes good, but because its “premium”. It doesn’t have to make sense to a customer; he just has to love the idea of having it.

In life there are definitive moments. You only get a few of them…Kevin O’Leary, Entrepreneur and Shark Tank panelist.

Kings series: Twisted fortune after a lifetime of honor Part 2

King Marduk ap-la-iddin (Merodach Son of Baladan)’s woes were piling up by the day. The northern tribes of the Babylonian kingdom had earlier supported his arch-rivals the Assyrians who had deposed him from the great Babylonian throne. He had since recaptured it but wasn’t sitting comfortably on it knowing that the northern tribes weren’t ready to “accept and move on” acknowledging him as King and King Sargon II the Assyrian fancied having his head on a platter instead of in a golden crown.

It was therefore great news when he heard of King Hezekiah’s defeat of the Assyrians. He was told that apart from the Assyrian slaughter, the Jewish God also caused the shadow to go back 10 steps on the King’s staircase. The enemy of his enemy was his friend.  The Son of Baladan was drowning and he found the perfect straw to clutch. He therefore piled gifts on his horses and sent noblemen westwards to meet this King and his God.

King Hezekiah warmly welcomed the Babylonian envoys and showed them all his treasures. There was nothing in his palace or his kingdom that he did not show them.  The envoys went back to their king, having learnt that Jerusalem was a far more powerful and wealthy city than they had previously thought.  A later confrontation with the prophet Isaiah revealed the state of Hezekiah’s heart when he welcomed the envoys.

Hezekiah felt great pride in knowing that kings from distant lands heard of his great success. He was quick to show the king’s representatives how much he owned and controlled. When Isaiah later prophesied that the Babylonians will raid Israel’s treasures, he selfishly said that it was all good because that wouldn’t happen during his reign. It didn’t matter to him that he had given a fast rising kingdom a reason to attack Jerusalem later.

Is it then a wonder that Hezekiah’s son who was born in the years God had added him rebelled against the God of his father?  Could the reason that Manasseh his son was so wicked because he saw his father paying lip service to God but revering his own success and wealth? Hezekiah had started well and God was always by his side but in the height of his power, he allowed his own success to replace the primary position that God held in his heart. Hezekiah started well, but his ending was so bad it led to the reign of one of Judah’s most wicked kings and set the stage for a raid from the Babylonian kingdom.

Start strong, but by all means finish strong!
Adapted from 2nd Kings 19,20 and Isaiah 38

THE PROSTITUTE: PART 2

In total disregard of protocol, the guard zoomed into the gates of the King’s castle. “I have a message for the King”, he said. One look on his furrowed face revealed the urgency of his message. With speed he was ushered into the royal courts. Other proceedings could be halted, this meant life or death.

“I hear you have an important message, “bellowed the King of Jericho. Everything, from his deep baritone voice to his rich regal robes revealed his authority. The guard, in recognition of this, respectfully bowed down before delivering his message. “Israeli spies are in the city”, the guard said. He described the two inquisitive men he met who claimed to be Moabite merchants. Everything from their obviously made up accents to their gait, which was more apt to soldiers instead of merchants confirmed his suspicions. “They did not even bother to put on Moabite merchant robes. Those were farmers’ robes they had!” he added.

The inquisitive expression the king had quickly  morphed into one of terror. He knew what the Israelites were capable of. News had reached him of how they decimated entire tribes in the Middle Eastern desert. Legend had it that their God once caused the Red Sea to part for them to walk across it, and then killed the entire Egyptian army, the most powerful army ever known on earth. Action had to be taken, and taken quickly. The king sent out the guard with strict instructions to shut the city gates and thoroughly vet anyone who wanted to come in. He sent the elite palace guards to search for the spies, giving them the description the guard gave him.

The Israelites settled in Rahab’s house rather quickly. They didn’t need to move around the city, Rahab provided them with all the information they knew. Besides, it was too dangerous. If it hadn’t taken more than a minute for Rahab to recognize them, what of the well trained guards? Rahab looked outside and saw the palace guards in the city. She was positive she saw one of them pointing at her house from a distance. She was fully aware of the danger she had placed herself in. “ You can’t stay in my living room for long, soon guards will come to search for you, someone must have spotted you coming to my house. Let me show you where you have to hide until things cool down.” She took them to a section of the roof where she was positive no one would look for them, and then covered them with flax which she had used to line her ceiling. “Perfect!” she thought. Now it was time to execute the second part of her plan, but first she had to throw the guards off the trail of the spies.

A minute later, Rahab couldn’t tell which was louder, the pounding on her door or the throbbing of her heart when she heard it. She went and opened the door for four heavily built palace guards in full uniform, with arms resting on their swords. “How can I help you?” she asked. She knew full well what they needed, and it wasn’t her “services” this time. “We have come to look for some men who were told came here. They are dangerous Israeli spies. ” They then proceeded to give her their description. “Oh those men! Yes, they came in. In fact I thought they were rather strange. They were just asking questions and didn’t want anything else from me. Unfortunately they left less than an hour ago. They shouldn’t be very far; if you hasten your steps you might catch up with them.” “All right,” one of the guards said, “let’s assemble more troops and pursue them. Our city is in grave danger”. The guards then hurriedly left.

When Rahab was sure the coast was clear, she called out the spies. Now it was the time to lay down her plan. Jericho was perishing and she didn’t want to be a part of it. Her soul had perished a long time ago, what was the worst that could happen?

....Stay tuned for Part 3