Dragons fall out over drone business in savage negotiation! | Dragons' Den

I think today what I'm doing is actually a dragons first and I hope to blow them away with my entrance. I think the Dragons faces will just be in shock. It's a really really exciting knew industry and I just hope one of the Dragons sees the potential. Hello dragons, my name's mark I'm the founder of drone safe register. We are a UK network of CAA approved drone pilots for hire and we are the UK's most visited website for drone hire. We currently have just under 400 members and we charge a subscription and we're here today to ask for 60,000 pounds for a 20% share in our business. I look forward to any questions. A concise pitch from company boss Mark Boyt who's willing to hand over 20% of his online drone pilot register in return for 60,000 pounds of the dragon's cash. Debra Medan is ready for liftoff with the questioning. You couldn't wait to get that over could you? Yes. You look much more comfortable driving the drone than you did doing the pitch. So that's fine we can ask questions. Right I actually don't particularly like drones and I particularly don't like those ones that take photographs of my property yes but that doesn't matter down to business. So you're a drone hire business. Okay C - A - A - approved pilots, yes. Right so you don't hire me a drone, if I want a drone I hire you with a drone. Yes you hire one of our members which can be found nationwide. There's a huge problem in the UK at the moment, there's lots of illegal drone operators operating. We provide legal drone operators. There's 4120 approved operators in the UK and we've probably got you know 20% of the market that there is at the moment. Great so well I'm looking for a drone operator in my region yes you're actually offering us, I think, the platform? Correct. Excellent a safe and legal platform - you should have had me doing your pitch. No I'm so sorry you know this is the most nerve-racking thing I've done in my life. Deborah Medan draws out a bit more detail about the nervous entrepreneurs business and Tej Lalvani wants to determine why a drone directory would get potential customers calling. Drones are very cool I love them. So in terms of the type of business that people use drones for what is the largest segment. The largest segment at the moment is inspection work because it's safer you know. We did a church spire inspection they were quoted 14,000 pounds to put scaffolding up after lightning strike. When we did it for eight hundred pounds. So inspections is the main requirement and then after that? Inspection, I'd then say property marketing. Right you know 700,000 homes for sale in the UK currently - but you know our members don't just rock up at a job and obviously start filming, you know. We are the best in the UK, we have some of the top top people and some of the jobs they pulled off have been amazing. What is the most expensive job you've had in your platform that you've got so far. I think one member had eighteen thousand pounds. So 18,000 what was that for? There was a Bollywood film. A Bollywood film. Mark, so how do you generate money? So we invite professional members to join for 180 pounds a year. How many of those 400 members are paying you currently 180 pounds a year? I would say probably 80%. So 320 members? Yes. Actually that's quite a lot isn't it? They're paying you 180 pounds? Yes yeah. So that's one area of income what's another? We also invite hobbyists to join which is 14 pound 95 a year. How many of those have you got? We've only got four hundred at the moment of 40 95 which is about six thousand a year. The hobbyist is more like a lost-and-found service. We had one recovered from the North Sea about three months ago. Someone sent us an email and we found a drone so it does work. And then what about your commission? Do you take Commission? No at the moment we don't take any Commission. Why wouldn't you do that? Why wouldn't you push and drive people to your site, to actually make those bookings? Which is why I'm here, you know. I've taken it so far and I've done it all on my own and that's why I'm here in Dragons Den so hopefully get some guidance from people run national companies. An appeal for help from the aerial entrepreneur who admits he's still finding his feet when it comes to maximizing profit. Touka Suleiman now wants to find out if marks idea can really take off. So today you're pitching for your platform, charges no Commission, so non-subscription. Correct. So how big can it get? Give me some numbers for next few years. We'll turn over - look at I'm not a post graduate so I can't come out with with figures you know instantly. I'm not particularly great at figures but we should have about 600 members by the end of next year. So in total next year what you turn over next year we should to know about 200,000 and your net profit? And net profit out of that should be about sixty to seventy thousand depends on how much money we spend on marketing. Okay. Look mark I'd say where I am I think it's a good little business for you, but you can only get it so big. A lot more investment and I know nothing about drones so I'm afraid I'm not going to be on that flying journey with you okay and I'm not gonna invest I'm out. Thank you very much anyway, thank you. Tuka solomon exits the drone investment opportunity, and Tej Levani is wondering if its niche appeal could be an obstacle in the flight path of this business. I think what you've done is great but the market size is my concern. You said there are about 4,000 CA approved pilots so even if you were to get half of those that still only makes your business four hundred thousand pounds a year so what happens from there. We can increase the hobbyists of registrations which we haven't sort of marketed yet at the moment. It is a very small niche market I agree, but it's only gonna get bigger - it's only a bigger we're you know we're at the very very start of it and we're two and a half years ahead of anyone. Look I really like what you've done with the business but I think right now it is limited in terms of where you can get to. But I'm excited by this industry so I am gonna make you an offer. Wow. I believe in terms of creating a brand and awareness is gonna require time so I'll give you all of the money, okay but I want 35% of your business. Wow. I'm as surprised as you. Please don't say that. Despite his reservations about the market tej Levani feels a buzz from the business and tables a bid. Debra Medan might not be a member of the drone appreciation society but does she think Marc's idea can fly. What I love about this is that you've taken your passion and had this instinct I suspect that there was a business in this thing that I do and you found it but I am NOT an enthusiast. No I therefore don't think I'm a good match for the business. I mean you've got to do things you enjoy you know yeah. So I'm really sorry but I won't be investing I'm out. Thank you very much anyway. Mark I like it. Thank you. I heard you say earlier I'm not a postgraduate well I'm not either I left school at 16 so don't put yourself down. You've launched a great business here it is a niche but it's got potential. I can add a lot of value to this. So I'm gonna make you an offer. Wow, okay thank you. I'm going to offer you all of the money for 25% of your business. Thank you very much. Jenny Campbell swoops in with a killer offer massively undercutting her fellow dragon. Only Peter Jones remains will it be fight or flight for the tech tycoon. I could talk to you for hours about this yeah I live this world almost every day. What drone do you use? It's quite new it's called a DJI inspire - the reason why DJI came to this country and the biggest supplier of drones actually in Europe is a company I own so that drone probably originated from us. So I know this market yeah really well. So when you came in I can't tell you how excited I was. Excellent. Brilliant. - because I absolutely loved it and there is no ceiling to this business if you join forces with me. If I was to make an offer. What I'm gonna do is I make it really difficult for you. That's not true I don't think I'm gonna make it difficult for you - I'm gonna offer you all of the money but I want 50% of the business. - and I'm not embarrassed to say that because I actually think that 50% of where this business could go in the next three months is immeasurably different to anything any other dragons apart from me can do. All bluster - and they're the facts because these guys don't know what they're talking about when it comes to drones. Well I do know that I can build a brand quicker. Of course you can't. You haven't got any access to do that. Alright guys stop arguing.You've got no chance. I can't let 50% help works you know. That's why you've got a choice you. You can go and have your sealing and accept that and that's what's right for you. There's no ceiling mark. After some intra dragon squabbling mark now has three offers to consider. Tej Lalvani wants 35 percent of his company, 25 percent Jenny Campbell is asking for a much smaller piece of the pie. Whilst Peter Jones is demanding a hefty half of the business. Mark came into the den offering to give away just 20 percent of his company is he prepared to compromise to secure a deal. Would you look at 40 percent Peter. Would I look at 40%? Yeah. I'd look at 45 so you still keep control and it's your business but you'll become quite a wealthy man. 35 percent and I'll help build your website, I'll help build your brand nationally so that you can get all that traction. I'll Shake your hand at 40 today. Sorry to to the both of you - I'll shake your hand at forty today. You're in danger of alienating the other dragons. I'll accept your offer Okay super, thank you very much yeah. Thank you very much fantastic I'm gonna show you this. After a three-way dragon dogfight Peter Jones dramatically reduces his demands to ensure he secures the deal. The entrepreneur exits with the 60,000 pounds he was seeking - and a tech Titan as a co-pilot. The most nerve-wracking thing I've ever done in my life walking in there, but actually got the dragon I wanted so absolutely chuffed to bits. That was greedy. Drones that's my baby. I do love you but you have no chance Well I'm not speaking to you for the rest of the day.

Channel: BBC

Views: 3,171,247

Keywords: BBC iPlayer, dragons, den, top, ten, 10, toughest, best, biggest, worst, negotiations, deals, pitches, business, companys, drone, tech, technology, company, investment, investments, Peter Jones, Deborah Meaden, Touker Suleyman, Jenny Campbell, Tej Lalvani, new, series, episode, full, brutal, savage, negotiation, technique, rental, hire, flying, operator, dji inspire 2, DJI, inspie, two, quadcopter, online drone pilot register, business ideas uk 2018, business ideas, dragons den argument, funny, 2018

Id: U4TSC8ioFNU

Length: 14min 21sec (861 seconds)

Published: Sun Sep 09 2018