One of the Best Negotiations in Den History! | Dragons' Den

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Dragons' Den
Alex Buzaianu and Peter Jones go back and forth in this nail-biting negotiation exchange for a luxur...
Transcripción del Video:
first into the den is bucharest born alex boozy our new an entrepreneur primed to defend his enterprises price tag he's stuffing gonna be exciting I hope they're not gonna beach itself with me on the evaluation and there are two dragons in particular he wants to impress I haven't decided yet which one would be the best of c2 crystalline has the experience in my field but Peter is definitely a very influential person he would help my presence tremendously influential yes but notoriously fiery when it comes to a company's valuation hello dragons my name is Alec Spaziano
and I'm here to offer you the opportunity to invest 90 thousand pounds in exchange for seven percent of my business the brand's temporary forevers we design and create leather goods for today's on the move professionals that wish to carry the essential gadgets and photography gear in a bag that is flexible and reflects their style and character we bring an added versatility that is not found among other products on the market the bag that I have with me is the first bag designed with two different faces one that we carried as a backpack and the other
as a messenger or briefcase this makes ideal for the commuters that want to cycle to work carrying a backpack picking out a messenger and then they can take the straps off and walk to their meeting in a professional looking briefcase we first made our goods available in December 2015 through a Kickstarter project and we successfully raised 136 thousand pounds since then we've had another successful Kickstarter project bringing in a total revenue of 230,000 pounds in the last 15 months our objective this year is to make a grid available online and to release retail stores across
Europe Asia and the States thank you for your time and I'd like to show you some of the bags possible luxury travel laptop and camera bags of the proposition from Alex Busey Arne yeah he's offering just seven percent equity in return for a 90 thousand pound investment which values his business at nearly 1.3 million pounds is Peter Peter Jones revived the fortunes of ailing photography brand Jessup's will he think this business opportunity is picture-perfect wife temporary forevers that's a really odd name the reason that is because it comes from the moments that you cherish and
you remember they're temporary but they last forever so is this a temporary forever moment for you of course it is enough for you as well I don't I don't know what have been the sales in the last 12 months 140,000 coming from the Kickstarter project plus approximately 25,000 from online sales okay so you basically sold a hundred and sixty-five thousand pounds worth of product yes and you're very specific about ninety thousand for seven percent yes why considering that we have had approximately 65,000 in profit I think it's a fair price would you agree no I
know thinking through my bags you do here and this one here for instance retails for how much it retails at 2:45 to prefer it's quite expensive yes you're not at the low end no there are some very very good imitation levers that you put next to each other you won't even know it it's limitation lever okay say something sure it's like having a Lamborghini with a Renault engine so although on the outside it may look great it's not the same thing yeah but it's a different price point you know what I'm trying to say to
you is you're at that mid price point which is a very difficult price point I actually I think a price point is probably okay depending on the quality of the product you know be prepared to pay you know for the leather I love leather goods satchels backpacks in class I don't want to wear a bag that's a nylon material I like leather it looks looks good the quality and I think it's a massively growing market for men for men exactly absolutely so that's all good Alex I know this area very well your products over price
or what it is I think the quality's mediocre this price range you're gonna struggle and struggle big and I'm not gonna invest in you for that reason and I'm out thank you a skeptical Tuco Suleiman makes his exit has the retail tycoons criticism torpedoed the entrepreneurs chances with the rest of the den Alex the fact that toukas in this market and knows it well and has told you that basically doesn't think it's gonna amount to much it was interesting because you have to take that on board it's a tough business and coming in at 90
K for 7% I think you make it harder but you're a very very very investable individual thank you I can see a big opportunity if I was to help you put this into Jess its overnight not only would we prove to Quran we proved terror on as well because you said you wouldn't get into retail in fact you could get into retail in the next two minutes Alex I am going to make you an offer [Music] but I want a decent-size return so I'm gonna offer you all of the money but I want 35% of
the company would you agree with me that valuing the company at approximately 250,000 pounds is too low no because I've it for about 200,000 I introduced a brand that's doing just over a million pounds worth of sales in this type of market we are pretty much experts in that field thank you thanks for the offer a bullish offer from Peter Jones one of Alex's preferred dragons but he's demanding a hefty 28% more equity than the entrepreneur wanted to give away slashing the value of his company by over a million pounds is Jenny Campbell poised to
up the ante the valuation over a million yeah where's that derived from I I believe that everybody likes to negotiate a bid so if I came with the most reasonable offer I think you're very very persuasive so I will make you an offer for all of the money for 25% of your business thank you I'd like to ask Peter I think my business is worth about 10 times the profit if I evaluate it so that would bring it to about 600,000 which would be 15% is that a fair way to evaluate it no no because
you're a start-up and I wouldn't even value it potentially at half that but because it's a start-up he has the growth potential it does but you're asking me would I value this at six hundred thousand I clearly wouldn't I did come here thinking that my max would be 15% but I would really hope and appreciate if you took into account and accept is 20% I think it's a large enough sum to be interested would I get my money back absolutely I tell you what I will do I would offer you all of the money for
35% and I would drop down to 25% when I receive my money back would you consider accepting 20% when you get your money back I think that's more than fair [Music] Alex I wouldn't know it's got to be 25 Alex let me just tell you where I am because clearly the negotiation is going on with OJ it's clear that you're targeting pizza for this investment and for that reason and which withdraw my offer and say that's a mouth sorry I'm sorry freeze trying to be do too much thank you thank you one deal summarily taken
off the table leaving the entrepreneur at stalemate with Peter Jones Alex why don't you go to the back of the room and think about it will he accept the Dragons offer of all the money for a 35% stake [Music] dropping to 25% when he gets his cash back my worry is because Jessup's is only in one country we wouldn't have enough sales to have the impact that I would want if we have a Kickstarter project that does reach above two hundred thousand pounds would you be willing to go down to 20 percent don't know is
it the five percent I don't understand Alex why you would go for a Kickstarter project when next week you get an order for two hundred thousand pounds you don't need Kickstarter if you've got a fire starter if you do place an order of two hundred thousand would you be able to guarantee that and now accept 25% do you know what I like the way you're negotiating but I won't if we do a deal I want us to realize that that's a partnership I wouldn't want to go through a relationship where we end up negotiating anything
one last question would I have a salary including this a reasonable one what's your reasonable salary with a 30 B okay you won't 75 percent at this company well my money's repaid so you could be earning a lot more than that you would in fact guarantee that you would place that order I'll guarantee that we have a deal please for your patience great welcome to negotiation you guys finally after a hard-fought battle on both sides Alex exits the den where the deal I would have preferred if it was 20% but it feels amazing to have
Peter Jones on board right now I really like him I'm generous thank you I'm really excited you you
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