• About
  • Mortgage Basics
  • $40K Challenge
  • Aunt Doris
  • Grandfather Says
  • Privacy
  • Archives

Len Penzo dot Com

The offbeat personal finance blog for responsible people.

The Shark Tank Formula For Startup Success

By Ivan Serrano

shark tankOver the course of ABC’s reality TV show Shark Tank, business dreams have turned into a reality for many entrepreneurs.

Shark Tank highlights the ups and downs the process entrepreneurs must go through in order to obtain funding from sharks (otherwise known as a group of investors). Entrepreneurs are required to pitch their idea and hope that a shark will become interested in their product or service, and give them the funding they need to launch their business.

Making a deal on Shark Tank is a challenge for many entrepreneurs. According to the infographic below, there have been 377 pitches and only 187 deals. However, only a third of the deals featured on Shark Tank actually close! This is because many of the startups can’t guarantee success within a year of launching.

While there are many challenges of obtaining funding from the sharks of Shark Tank, there are a few lessons aspiring entrepreneurs can take away from the TV show:

Always be prepared. As a startup founder, you must know your product or service inside and out. Investors want to know why your business is valuable to your target customers and how you’ll guarantee success in the upcoming years. When you’re ready to pitch to investors, make sure you can provide numbers and a strong business plan.

Be passionate about your business. Not only do you need to be passionate about your product or service, but you also have to be passionate about turning your business into a successful venture. There will be a number of obstacles you’ll have to overcome when launching your startup, so it’s important to keep your passion alive and show investors why you love your idea.

Build a network of investors. Your investor network is critical to your success as a startup. Not only do investors have funding to give your business, but they also have valuable insight that can help you create more success. It’s also important to remember that investors genuinely care about the startups they give money to; therefore you should focus on building relationships with people who can take your business to the next level.

Launching a startup is a huge jump to take, but it can be a very rewarding journey for entrepreneurs. To learn more valuable lessons from Shark Tank, check out the infographic below:

SharkTankD2

Photo Credit: phallin; Infographic: Ivan Serrano

2 Comments December 20, 2016

Comments

  1. 1

    Emily @ Simple Cheap Mom says

    Great tips for any entrepreneur!

    Reply
  2. 2

    julie says

    Great info graphic that really explains the way Shark Tank works. I didn’t know only 20% of deals close or the number of them that never show a profit. We only see the ones that make money on the success stories.

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.

The Question of the Week:

Do you think the US will eventually return to some form of gold standard?

View Results

Loading ... Loading ...

Recent Posts

  • Merger & Acquisition Strategy: The Importance of Staying United
  • A Guide on the Implications of Slip-and-Fall Accidents
  • How to Save For an Emergency Fund
  • 12 Ways to Save Money on Your Sushi Order
  • 5 Tips to Help You Start Investing Online
  • Personal Finance For Dummies: It’s as Easy as A-B-C
  • Black Coffee: Red Ink and Green Confetti
  • Money Issues Ruining Your Relationship? Here Are 5 Ways To Fix Them
  • Filling Out the 1040 Form: Key Points to Know
  • How to Use Line Shopping as a Financial Tool When Betting on Sports

Disclaimer

This site is for informational and entertainment purposes only, and the content herein should not be mistaken for professional financial advice. In fact, making investment decisions based on information published here, or any other website for that matter, is more than unwise; it is folly. This website accepts advertising in the form of monetary and other compensation; as such, topics of discussion are occasionally influenced by these advertisers. Sometimes, an article may also include affiliate links, meaning, at no additional cost to you, this blog earns a commission if you click through and make a purchase (for example, as an Amazon Associate I earn from qualifying purchases). Remember, you and you alone are responsible for the decisions you make in life, so please contact an independent financial professional for advice regarding your unique personal situation.

Sign up for the weekly Len Penzo dot Com newsletter
Len Penzo dot Com Delivered Weekly
Join more than 30,000 readers and fans who enjoy personal finance and macroeconomics with an offbeat twist!
Invalid email address
Thanks for subscribing!

Popular Now:

  1. 1. The 7 Most Popular Ways to Commit Financial Suicide
  2. 2. 25 Examples of Shrinkflation That No Longer Fool Consumers
  3. 3. The 10 Worst Things I Ever Bought
  4. 4. 7 Perplexing Money Questions Without a Good Answer
  5. 5. My Cola Taste Test: Is Coke Really Better Than Pepsi?
  6. 6. Planning a Wedding? Here Are 9 Ways to Ensure You’ll Pay Too Much
  7. 7. Economic Collapse 101: How to Prepare for Water Supply Disruptions
  8. 8. A Simple Test to Know If It’s Better to Rent or Buy a Home
  9. 9. The Big Secret the Banking Industry Doesn’t Want You to Know
  10. 10. 4 Good Reasons Why Some Quarters Are Painted Red

All-Time Most Popular:

  1. 1. 19 Things Your Suburban Millionaire Neighbor Won’t Tell You
  2. 2. Dear Friend: Here Are 41 Reasons Why I’m NOT Lending You the Money
  3. 3. Why Your Expensive Luxury Car Doesn’t Impress Smart People
  4. 4. If You Can’t Live on $40,000 Annually It’s Your Own Fault
  5. 5. 21 Reasons Why Corner Lots Are for Suckers
  6. 6. 4 Smart Reasons Why College Isn’t for Everyone
  7. 7. 18 Fast Facts About Social Security Numbers
  8. 8. My Ketchup Taste Test: Upset! Guess Which Brand Topped Heinz
  9. 9. Why I Prefer a Spreadsheet to Track Expenses and Manage My Finances
  10. 10. Here’s a Simple Trick for Getting Credit Card Interest Charges Waived

Copyright © 2021 Len Penzo dot Com · All Rights Reserved · Designed by Nuts and Bolts Media

© Len Penzo dot Com 2008–2021