Confident they'll have better fortune in
the den are hairdressers turned
entrepreneurs, Russian Denis Kovalyov and
Australian Rob Forgione.
We're very passionate, it's 24/7.
I don't think we would have got this far
and come today if we didn't think we could
do it.
Hello dragons my name is Dennis and this
is Rob. We're pitching here for you today
for 80 thousand pounds investment in return for 8% equity.
We would like to introduce you
today a multi award-winning PETA
certified infusing color shampoo infused
my colour. We noted a gap in the market of
coloring shampoos we created a quality
product that's free from and vegan. The
product comes in five shades colors hair
from dark brown right through to blonde.
Just wash the hair rinse it through and
adds color instantly. Since launched in
February 2017 we have sold just under
forty five thousand bottles. Generating
two hundred and forty eight thousand
pounds in revenue with gross profit of
hundred and seventeen thousand pounds.
Infused my colour hit the niche market
by storm with retailers like boots
Amazon and was selected retailers
across the globe. Our main plans for
brand development is expansion is the
USA market. We would like to welcome you
to try some samples and any questions is
really welcomed
A colorful pitch - "Have you got my shade
correctly?" - from hair care entrepreneurs
Dennis Kovalyov and Rob Forgione II a
"Vibrant reds and candy pink"
They want a zingy 80,000 pounds in return
for 8% of their vegan, free from, coloring
shampoo range. Peter Jones is first to
probe the product. So basically in
essence it's a range of color wash shampoo.
Yes correct, it is shampoo
which infuses hair color with a pigment.
Is there an issue with it with regards
to daily usage. It's a vegetable dye a
molecule that dissolves biodegradable.
It doesn't stain skin or scalp so it's not
bad for the hair, no. Guys what's your
target customer. With actually any hair
type - for instance on your hair you could use
the copper tone and would give a nice
gloss to but who is buying your
product who's your target also our
target audience the person who is
younger audience hears up to 25 years
old this is the customer who wants this
results it's extremely bright this die
isn't it it is yeah and your hand is
very bright but it's very price I think
some consumers out there buying four or
five colors and creating it this galaxy
hair look at home sending me videos of
what they did I'm like do you want a job
as a hairdresser you're 15 I've never
done hair before and you're creating
unicorn hair that's incredible
unicorns may well be a first in the den
but now the dragon behind a
multi-million pound health and beauty
empire wants to know if the business
opportunity is too good to be true can
you tell me who your competitors are we
have a lot of competitors in terms of
the color enhancing products however we
have a unique offering of the quality of
the ingredients and the color delivery
you the only guys doing the vegetable
dye we are the only PETA certified vegan
and cruelty-free brand and apart from
boots which other stores do you think
this would work well we're talking to
Superdrug we are creating for them a
special edition pride artisan you know
in terms of your distributions exactly
where my products are so I've got a
beauty supplement for skin hair and
nails the number one in the country we
sell it to foods and then of course
super drug do you have any idea of the
market size in the UK for color dyes
this is where the high for the bright
color started and it's only growing and
the biggest in the world at the moment
is the USA market and we have waken now
really hard on go to market plan with
the USA guys are you talking to
distributors in the US or you at very
early stages where you're thinking which
way do we go
we're shortlisted to just one at the
moment and have you done some research
into the US market what's the closest
product to this on the consumer side is
a very similar to the selection that's
available here from the multinationals
at the same sort of price point so yeah
but they haven't got the veganism at
them no none of that not yes and it's a
big do us a love organic they live vegan
certainly California does yeah a
standout ethos and an untapped market
give the hair care entrepreneurs an
impressive edge but will their numbers
wash with touka Suleiman
what's your forecast for the next 12
months because we're expanding into the
USA we're talking about 900,000 pounds
turnover gross profit gross profit would
be about 350 350 yeah and what do you
expect net on the 350 net profit yeah
because it's we're allocating 25 percent
of our turnover into the marketing so
the net profit mean you'll lose money
probably yeah how much will you lose
approximately fifteen thousand fifteen
guys how much we spent so far in yes in
we've put together about eighty thousand
pounds and what's the shareholding is it
just 50/50 you've not had to give any
away any energy anywhere yeah it's very
good totally self-funded and what was
your motivation to take this step we
actually married recently a year I think
the whole story why we started because
we had a huge experience working for big
brands and we both wanted to create
something unique but you have got a
pretty hefty valuation on this business
fifty thousand for eight percent that's
a million pound business isn't it yeah
on something that's only turned over a
quarter of a million and made very
little money so far so how do you
justify that large valuation based on
the probe of what the retailer would
like to acquire based upon its future
potential structure because I really
like it I like the product
it's fun it's funky so you guys
you know your stuff as well I can tell
you really really know your stuff I'm
not so keen away your numbers are up to
at the moment you're not really making
any money was some way to go to making
this into a profitable business so I'm
going to politely decline because it
doesn't quite fit with what I'm doing
and where I'm going at the moment so I
wish you all the best I'm out thank you
a major setback for the entrepreneurs as
Jenny Campbell offers plenty of
compliments but no cash his Peter Jones
primed to show them the color of his
money
I'm extremely conflicted I'm involved in
another brand we have four different
variants of colorways on shampoo and
conditioner I feel that it would be
disingenuous of me to even consider
investing in a business like this when
I've got a conflict elsewhere so I'm
gonna declare myself out thank you
well I like it
what's not to like about it you know
look it's great what color are you going
to go for I might scare you all and come
in here wow they're the stumbling blocks
your valuation there's a long way to go
and a lot of opportunities to make
mistakes but I'm going to make you an
offer
and I going to offer you all of the
money but I want 25% of the business
what everybody else think of excuse my
color the boys would be very shy about
it aren't they hmm I like it what do you
want the dragon expertise because we
expanding into their foreign market yep
we do not have that experience so we
need guidance and we need support
I'm gonna make you an offer and I
believe I can offer you the mentorship
the markets how to approach the u.s.
you've got the product right the product
speaks for itself but I think it's a bit
more that you're gonna need along the
way so I'll give you all of the money
eighty thousand by also want twenty five
percent two offers on the table is
health tycoon pays Levani about to up
the ante okay I guess it's just me left
Dennis and Rob I think you guys have
done everything right so far and
congratulations
I think you know I actually think this
can be a very big brand 50 million
pounds or more and I feel this is my
area of expertise
I deal with all the major supermarkets
and pharmacies stores
I'm regards to international I sell in
about a hundred countries so I've got
distributors in every country so I am
gonna give you an offer
and that's all of the money for 25%
can I have a minute please go to the
wall an impressive three dragons vying
for the entrepreneurs business but they
are all demanding 17% more equity than
the 8% the entrepreneurs wanted to give
away have Dennis and Rob got the nerve
to negotiate is it any of you to devaron
Taj will be willing to refuse the stake
you haven't asked me so I'm assuming you
interested me
you know I hear what among Korea where
I'm not discipline anyone know where I
can take a rejection so on that basis
guys I'm out
thank you no joy for a jilted to Co
Suleiman can't age Levani or Deborah
Medan seal a deal look I mean the thing
is I know I can add value that's
directly beneficial to your business
if I got my money back in two years I'd
drop it to 20% but that's the best I
could do
kevrah you're in a very very tender
stage of the business now you're not as
far along as I think you possibly think
you are it's very easy to say we can go
into the u.s. you know always takes
longer it always costs more money you
know yeah so I'm going to stick with
what I think is a fair offer
we're gonna accept ours yourself or
please wait he's a great dragon you're
done guys thank you thank you thank you
so more than just a good hair day for
Dennis and Rob who exit the den with the
backing of an expert in the business of
beauty we've got what we came for and
we've got amazing dragon on board we are
really really thrilled I look forward to
having pink and gold and blue hair
of the week what color are you gonna go
me I'm gonna go with gold gopher go
you
