5 Crucial Lessons To Learn From The Shark Tank Show

The Shark Tank Show has for the past 3 years changed the way many people view entrepreneurship and this has resulted in more people educating themselves on how to set up and run a business so as to be a successful entrepreneur. The show has truly inspired many would be entrepreneurs to take action and act upon their ideas and we’ll be looking at some of the core business lessons that we can all learn from both the Shark Tank investors otherwise known as the sharks and the entrepreneurs who are seeking business partnerships.

1. You need to be a social human being-There’s no form of business that can exist on its own since there needs to be interaction with customers who are the lifeblood of the business and investors or financiers who help to provide financial muscle. One therefore needs to work on improving their people skills and EQ or risk losing customers and investors due to lack of a social bond. You will note than in every episode of the Shark Tank show, entrepreneurs who were more people friendly often got the deals they wanted but those who were “androids“ usually come out empty handed and heart broken.
2. You need to trust your guts and act upon the ideas you have-I remember Tiffany Krumins, Founder of Emmy The Elephant who appeared in the Shark Tank Show in season 1 episode 1 (23:50 minutes into the show) with a medicine dispenser idea inspired from when she was a nanny for a little boy named Gibby who had down syndrome and because of his condition, Gibby used to frequently get ear infections. Tiffany narrates that when time came for Gibby to take his medicine via a dropper, he would go “from an angel to a pro-wrestler” so she came up with a better way to administer the medicine to Gibby and that’s how Emmy The Elephant was born. Emmy The Elephant, now Ava The Elephant administers medicine to children by hiding the dropper in the elephants trunk and by the push of a button Ava says “One two three open wide….Good job”. Although Tiffany’s initial offer of $50,000 for a 15% equity stake in her company was rejected, she still managed to get a deal with Shark Tank Investor Barbara Corcoran for $50,000 for a 55% equity stake. A year after appearing on the Shark Tank Show, Tiffany Krumins founder of Ava The Elephant was able to generate over 2.5 Million in sales within the first year and it all begun by a young lady who lived in a very small town in Auburn trusting her guts and taking action.
3. You need to seek new business partnerships with entrepreneurs who understand your niche-This is probably one of the most important lessons that we can learn from the Shark Tank Show since partnering with entrepreneurs or investors who don’t really understand what your business is about might in the beginning seem promising but in the end it only leads to disagreements and confusion since they don’t understand how your business operates despite them pumping money into it. The best example I can give here is that of billionaire Mark Cuban whom whenever an entrepreneur comes in with a business proposal that isn’t in his niche, Mark politely say “I don’t understand this market so I’m out” e.g. in season 4 episode 4 (8:30 minutes into the show) Mark says “To be a great entrepreneur you have to know what you’re good at and know what you’re not so good at, and I’m not so good at food distribution of this sort so as much as I love what you guys are doing, because it’s not a fit and it doesn’t play to my strengths I have to say I’m out”
4. Be clear and calm when seeking partnerships with investors even when you feel the pressure is high (especially for the hyperactive guys)-At times you may feel as if the pressure is too much but always remember to stay cool no matter how things might seem at first or else you might lose getting the business partner or investor you wanted and here I’ll give the example of Jonathan Boos, owner of the men’s brand Wurkin Stiffs (clothing apparels) who appeared in the Shark Tank Show in season 2 episode 1 (1:43 minutes into the show ) seeking $85,000 for a 10% stake in his company but because of his mouth, he at one point pissed off Daymond who said he was out saying “I can’t stand partners that I can’t even speak to” ,but thanks to Barbara, he ended up striking a deal of $100,000 for a 40% equity stake in his company with both Barbara Corcoran and Daymond John but let’s remember he almost lost the deal with Daymond who’s a guru in the clothing industry because of letting the pressure get to him.
5. Have a workable business idea-It’s important as much as possible to execute business ideas that can actually be implemented and accepted by customers rather than having complex ideas which make implementation and acceptance by the market difficult and here I’ll give the example of a certain entrepreneur who appeared on the Shark Tank Show in season 1 episode 1 (13:05 minutes into the show) with an idea on an Ionic Ear; an alternative to the Bluetooth headset mobile device and he was seeking $1 Million for a $15% equity stake in his business. The Ionic Ear is a Bluetooth technology which is implanted in an individual’s ear and charging would require sticking an AC charging port into the ear but what’s more disturbing was that an upgrade would require going for another surgery since the device is implanted in the ear. Here’s what the Shark Tank investors had to say concerning his Ionic Ear:

• Daymond John–“This is pretty disturbing and it freaks me out, I’m already out”
• Kevin Harrington–“I’m out”
• Barbara Corcoran–“I’m out, this is the weirdest dumb thing I’ve ever heard”
• Kevin O’Leary–“You’re still walking around free I see, don’t call me I’ll call you, I’m out”
• Robert Herjavec–“Here’s insanity, here’s genius, you’re somewhere, nevertheless I’m out”