Barbara Corcoran shares the best advice she gave 'Shark Tank' entrepreneurs who made $2 million in 3 months
"Shark Tank"/ABC
PiperWai cofounders Jess Edelstein and Sarah Ribner were underdogs when they pitched their all-natural deodorant to the investors on "Shark Tank" last summer.
They could claim $100,000 in sales - not bad for a company just under a year old - but it was far from enough to convince most of the Sharks that PiperWai could compete in such a crowded field.
Barbara Corcoran admired Edelstein and Ribner and decided to make a deal for $50,000 in exchange for 25% of the company. When the episode aired in December, the tiny company made a big splash. In the past three months, PiperWai has brought in more than $2 million in sales.
The sudden explosive success known as "the 'Shark Tank' effect" can actually be a curse to a business whose owners aren't prepared for it, and so Corcoran stepped in to guide them. Her advice to Edelstein and Ribner, she told Business Insider at a Zebit event on Tuesday: "Don't spend the money. Lock it up. Pretend you're poor."
PiperWai wasn't built on a major investment. "What got them from Point A to Point B is not money, but creativity, intelligence, and chutzpah," Corcoran said. "And that's exactly what's going to build them a huge empire in the future."
"Shark Tank"/ABC
Corcoran has also taught them the value of moving quickly and boldly. When the original PiperWai manufacturer couldn't keep up with the spike in demand following the "Shark Tank" episode premiere, resulting in weeks of back orders, Corcoran encouraged the cofounders to fire their unreliable partner and find a new supplier.
"And fortunately for me, they're women that listen," Corcoran said. "I can't say that about all my entrepreneurs."
She said that many "Shark Tank" entrepreneurs become reckless with their money during the sales spike following their episode premiere, as if the "Shark Tank" buzz is everlasting. It's why she's telling them to remain disciplined and focused, and to not let the flow of income distract them from building a foundation that can be scaled.
"They'll have a huge business - you wait and watch," Corcoran said.
- 2 states where home prices are falling because there are too many houses and not enough buyers
- US buys 81 Soviet-era combat aircraft from Russia's ally costing on average less than $20,000 each, report says
- A couple accidentally shipped their cat in an Amazon return package. It arrived safely 6 days later, hundreds of miles away.
- 9 health benefits of drinking sugarcane juice in summer
- 10 benefits of incorporating almond oil into your daily diet
- From heart health to detoxification: 10 reasons to eat beetroot
- Why did a NASA spacecraft suddenly start talking gibberish after more than 45 years of operation? What fixed it?
- ICICI Bank shares climb nearly 5% after Q4 earnings; mcap soars by ₹36,555.4 crore
- Nothing Phone (2a) blue edition launched
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market