sharktanks_generationoutcast

GENERATION OUTCAST CLOTHING

These two were very impressive on a business level and just bloody nice people.
Despite the personal challenges that they faced; Paris suffering from depression and her challenges at school.  She has risen above the challenges and channelled the energy and passion into the business. Lawrence having to leave school in year 8 to nurse his father with Parkinson’s disease was also a really dark time for him when he was younger.  However, neither of these setbacks has stopped them from getting ahead.

No one in this world comes through life unscathed, there are always challenges and hurdles that people need to overcome, and that is what creates this tapestry of life.  Some people fall into victim mode and get paralysed, unable to do anything due to the challenges that they have endured, other people decide not to be victims no matter what has happened and they use all the challenges to create strength and success in life.  These two are no victims and they are and will be a huge success.

You would have noticed that we were all surprised about the margins, the reason for this is that fashion traditionally does not have great margins, so getting the margins to where they are was a real credit to them. The business is in fact not that different to millions of fashion and retail businesses out there which shows again that Paris knows her customer.

The problem for an investor is that we look for scalability, and what is the ‘secret sauce’? And there is none, other than two very determined, smart people who will make a nice businesses out of their hard work.

These guys will be fine and in fact, they are better off not taking an investor who is going to push for growth and return, instead that can grow the business organically.

CHAIRSKI

This is a product but not a business.  Super uncomfortable. But good on the guys for having a crack.

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SNAG TONG

A sausage flipper, this was a great idea.

Steve was so excited, and having done many sausage sizzles you can see how this could be very exciting.  However this guy was an inventor, not a business man and had in the past created many inventions.   Not an investment for me.

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WEEDER SCOOPER

This was a terrible idea, it was basically BBQ tongs, not sure about your dogs, but mine have sloppy poos every now and then and this would not work.

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THE HAMMBAG

Who would not want to hang out with Tom and Dylan? And whatever these guys are on, I want some. They just had a great idea and their mum did an even better job sewing it. They had actually thought of everything with this product; it was colourful, practical etc.

There was no business yet. The customers speak loudly and with their Kickstarter program the customers did not want it. At the end of the day business is really simple, find out what the customer wants and give it to them. And they have spoken – they do not want this product yet.

The business is too early to invest as they need to create a proof of concept.  I hope to see them back in the tank in a years’ time with some learnings and some sales. Then I am ‘in’.

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CATCH AND RELEASE

Margaret did a great job with the presentation and Peter is very clever in creating the product.  I worked two years on a boat and I know firsthand how much damage anchors can cause.

All was going well with the pitch: 150 products are sold, the price is good, it was all looking good.   Then she mentioned that she has only three years on the patent. A patent last 20 years, so it has taken 17 years to get to market.

The patent for this type of product is really important as a large manufacturer can come in and basically create the exact same product for a mass market, with low margins and would destroy the business..

My concerns were; the patent time, the margins are not right and they have taken too long to get to market.

CAPITAL M

What a delight to have Capital M.  Even though it was just $20, it would cost a lot to get it to the next level.

Where things are going I did not believe that this product will exist in the future.  Everything is wireless.

 

What a great bunch of business people, I love my job.