Sustainability is still very important – but not for all founders this is enough to get a deal.
In the sixth episode of the 14th season of “Lion’s Den” (also on RTL+) it becomes very familiar. Two sons move the jurors with their ideas and enthusiasm. A “tea bag for the bathtub” in particular causes great emotions.
But the first thing father and son do is step onto the pitch stage. Or should we actually say: son and father? Paul, who was only 16 years old, saved the family from financial ruin with his cold-pressed, regionally produced rapeseed and camelina oils, which he mixed with spices and herbs and sold.
In the meantime, not only his parents and little brother, but also two uncles and other employees work for his company “Oil Friends”, which the smart business high school student from Beuron-Thiergarten on Lake Constance founded in 2019 when he was just twelve years old.
The family business made around 240,000 euros in the first year after the family, which had previously run a small hotel with a canoe and restaurant, got into financial trouble due to the Corona-related closure. The pure annual profit is now almost this amount. Ascending trend!
Now the company is to be taken to the next level of sales, because so far the oils are only sold in regional areas at a final price starting at 7.99 euros. Lioness juror Dagmar Wöhrl, 69, is very enthusiastic about the family business: “For me, the decision-making moment was when you both came in and Paul spoke so euphorically.” And later adds: “I’m fascinated by the enthusiasm the boy has.” Tillman Schulz is also enthusiastic about the overall concept, which is fundamentally convincing in terms of sustainability thanks to the consistent utilization of all remaining stocks, as well as the astonishing profit figures that the young company can show: “I can hardly stay on my chair!” he shouts enthusiastically to the group.
The two lions team up for the deal, and after a short negotiation they both get in for 20 percent and 200,000 euros. The “mom” is immediately called and she shouts enthusiastically through the phone: “That’s so cool!”.
On the student website, Carsten Maschmeyer shares a personal anecdote
The former student trio Evelyn, Paula and Nino have set out with their two-year-old start-up “Compounder” to “free Germany of some of the bureaucracy” and simplify university registrations.
Instead of many individual applications, applications will be bundled on their online platform using digital filters and profiling for both students and universities. They are demanding 400,000 euros for a 10 percent stake and value their company at four million euros.
But the lions are skeptical. When Carsten Maschmeyer, 64, asked about the current turnover, the three founders gave a rather modest number: 25,000 euros, which they currently made at 15 universities. For each successful application, the founders charge 1,200 euros from the currently exclusively private universities that they offer. Maschmeyer does the math quickly and seems a little disappointed: “That’s 21 students!” However, he is enthusiastic about the idea and, in explaining his reasons, gives insights into the personal family life of his daughter, who recently went through the application process at several universities: “It was chaos!”, admits Maschmeyer.
But the valuation is a thorn in his side: “The valuation is rubbish!” he thunders openly and offers 25 percent for 400,000 euros. But the founders don’t want to give more than 20 percent and the deal falls through.
The founder’s eldest daughter helps mom pitch
The next founders can inspire again, but the investors are missing several essential building blocks. The founders Annette and Benjamin from Ludwigsburg have already invested 120,000 euros in their radio play box “Lookas”, which is intended to regulate media consumption by children.
Annette’s eldest daughter Maja is therefore allowed to present the prototypes at the pitch and appears confident: When Benjamin says the demand – 250,000 euros for 10 percent – Maja increases the offer to 30 percent and receives a tongue-in-cheek praise from Carsten Maschmeyer: “Thank you for that you negotiated better!”
He is less enthusiastic about the product. Using “coins” that are inserted into the box, content can be activated on the box’s small screen – for a limited time and limited to certain topics. Annette explains that although the parents decide on the number of coins, the children decide whether they insert all the coins at once or throughout the day. The lions nod, praise the look and idea – but when the founders have to admit that they have neither market readiness, production nor licensing agreements, all the lions are out.
A son realizes his late father’s idea
Best friends Daniel Schreier and Thomas Wiederer, on the other hand, thought it through to the end, taking up an idea from Thomas’ late father and developing it further. The two hiking friends from Bavaria appear at the pitch with a bathtub and practically show what their “Herbal Spa” product can do: Using the home-grown herbs from Grandma’s garden, the two have created a relaxing bath additive for the price of 8.99 euros, which also serves as a sponge , bath pillows and herbal wraps work.
A “tea bag for the tub,” enthuses Thomas, which consists of 100 percent natural herbs and is biodegradable. The two are asking for a modest 30,000 euros for 25 percent in order to successfully enter the market. The two have already had two market-ready products certified, including their packaging. This convincing performance triggers a competition for the contract between the lions Tillman Schulz and Ralf Dümmel, 56. Dümmel calls out to the group ready to fight: “So, the poker is starting!” Schulz plays his youthfulness as a trump card: “I think you’re hot!” he says frankly. But after a short consultation with an IT colleague, the two men decide on Dümmel.
Thomas doesn’t want to ignore his father either: “I’m sure someone is watching from above and keeping their fingers crossed for us.” And Dagmar Wöhrl almost moves to tears with the statement.
Max and Moritz’s cool but expensive prank
Next, technician Max and business economist Moritz pitch and jokingly call their product a “prank”. They allude to Wilhelm Busch’s couple of the same name, the lions smile.
They called their product “Beezer,” a rapid cooling device that cools both cans and bottles to 9 degrees in three to six minutes. The two are asking for half a million euros for 10 percent in order to get started with an annual production of 25,000 euros in Southeast Asia.
Your presentation with cooling air wafting around the bottle of non-alcoholic sparkling wine rotating in the machine works perfectly. Their argument that their rapid cooling system could replace the energy-consuming and environmentally harmful refrigerated shelves in retail and catering and save up to 90 percent in energy costs also seems convincing at first.
But Dagmar Wöhrl is bothered by the two’s high ratings: “You haven’t produced anything yet, but you’re worth five million?” she asks skeptically and announces her rejection. Nils Glagau, 47, doesn’t agree either: “For me, it’s not a product that I see as having mass.” For Ralf Dümmel, the individual price of 600 euros is too high: “I’m out!” Janna Ensthaler, 39, appreciates electricity efficiency for the catering industry and sees it as a “relevant case”, but misses the personal connection. No deal for Max and Moritz.