Go Go Gear Goes and Gives Away 65 Percent of Equity
It was funny to watch this past Friday's, 03/23/2012 Shark Tank episode with Go Go Gear girls. Two nice ladies drive into the Shark Tank with motorcycles and then rip off their biker jackets to unveil beautiful Go Go Gear. It seems that at this point the fun stopped. Two girls told sharks they've burnt through $400K of their own money and now they are turning into investors for help. They were asking for $300,000 in exchange for 15% of the equity. Mark Cuban and Kevin O'Leary exploded about this crazy valuation. Robert and Daymond were tempted to go in together but later on Robert backed off. Robert was obviously scared by how naive the two ladies were and the fact about how fast they have lost $400K didn't help either. Daymond on the other hand like a master shark managed to snag 65% equity stake in Go Go Gear and made the investment. I think Daymond is the perfect strategic investor but he should recommend the name change into GoFu GoBu Gear.