Business Plan Advice From "Sharks"

This month I am taking a Business Plan Development course, which is designed to help put together my business plan. Before I decided to complete this program, I thought that I knew everything that I needed to know about starting and running my own business. I was terribly wrong. When it comes to developing a business plan, there are many things to consider, such as when it comes to investors investing money into your company. In this blog post, I will talk about two recognized entrepreneur’s who have written and reviewed many business plans. Lori Greiner and Daymond John, who are both “Sharks” on ABC’s hit television show, Shark Tank.

·      Lori Greiner has created over 400 products and 115 U.S. and international patents. She is a well -known personality on QVC, and has hosted her own show “Clever and Unique Creations by Lori Greiner” for over 14 years.   On the show Shark Tank, she is known as the “warm blooded shark” and has a reputation of being highly invested in helping the careers of others. (Williams, 2012)

·      Daymond John along with four of his friends in Hollis Queens, NY “created one of the most iconic fashion brands” FUBU, which he formed in his home. In an interview with Donny Deutsh on MSBNC’s Big Idea, Daymond John makes mention that his mother could not afford to buy him clothes, so she made his clothes on a sewing machine. By watching his mother, he learned how to sew and began by sewing tie up hats. He then began the FUBU fashion line right in his mother’s home. John has “evolved from being one of the most successful fashion icons, to one of the most sought after branding experts, business and motivational speakers in the country.” John has also created Daymond John’s Shark Branding which was formed to provide companies with the marketing insights that has made his company’s successful over the years.” (Haire, 2012) He has also written several books such as, The Brand Within and Display of Power.

Lori Greiner gives some critical and key components of what investors look for in business plans. In an interview with Soledad O’Brien on CNN Live, Lori Greiner gives some advice as to what she looks for as an investor on Shark Tank. She says that she looks for two things. The first key component that she looks for is the product and if she believes that it will be successful. The second key component is if she thinks that the product will sell to a mass market. Is the product that is being presented before her, going to be something that a majority of the people are going to want? What will the product cost to make, and what will people pay for the product?

Daymond John also gives some critical and key components of what he looks for in a business plan.  The first thing that he looks for when a product is presented before him is, “what is the value of the product?” Secondly, “how will the world find out about the product?” Thirdly, is “what is the pricing of the product, and what will people pay for the product?” These key components are important because helps to make sound business decisions, instead of making a decision based off of your excitement about a product. 

References:

Haire, T. (2012, July 1). Cover story: Swimming with sharks. Response Magazine, Retrieved from http://www.responsemagazine.com/direct-response-marketing/cover-story-swimming-sharks-4619

Williams, D. K. (2012, September 22). Lori greiner shark tank star and qvc queen on a great asset: A partner in her spouse. Forbes, Retrieved from http://www.forbes.com/sites/davidkwilliams/2012/09/22/lori-greiner-shark-tank-star-and-queen-of-qvc-on-a-great-asset-a-partner-in-her-spouse/