"You Can't Possibly Have A Patent For That..." | Dragons' Den

[Music] [Music] [Music] hello hello dragons my name is Stuart Archbold and I'm Andie Leslie and we're here today to try and raise two hundred fifty thousand pounds in return for 10 percent of the equity in our company shop wok systems limited I own my family owns a family transport and and haulage business and at one time we used to do home deliveries and we found the problem of meeting schedules when people had to be in incredibly difficult and very expensive and inefficient and then when the supermarket started doing the same thing with food it became apparent to me that they had even bigger problems so the concept of shop box was was born in my mind shot box is a patented concept it's a secured multi temperature drop box so it has a freezer chiller and an ambient storage area secured outside of the home although a pre-revenue we spend a lot of time and a lot of money almost a million pounds so far also spent a lot of time working with the grocery retailers which is where my background lies getting them to support us we need a million pounds in total we think of external investment over the next two years to get to the business plan numbers that we have and obviously were here today to get us started along that road thank you for listening and we can now take any questions that you might have [Music] a professional pitch from co-directors Stewart Archbold and dandy Leslie in return for a 10% stake they need investment for their innovative new storage system which allows supermarkets to deliver groceries even when you're not at home but first Duncan Bannatyne wants something clarified let me see if I've got this right how much should be spent in this business already in total it's coming it's over nine hundred thousand seventy nine hundred thousand and a million right who's nine hundred thousand poem is that it's it's the family business was put it in and it says something about risen bore money yeah we in the business plan that we've got five-year plan it says that we need to raise about a million pounds of external investment over the next two years so you're talking two million pound fill you start selling these before we start no we think the 250 that we're trying to raise today will allow us to launch successfully I mean I don't want to sound rude sure what you spent nine hundred thousand pounds and it doesn't look all that much difference Joe will have been feel quite insulted it's not like you've really been at all it looks it's kind of the size we've really been because it has to be it's to legally litres capacity because full supermarket trolley load of shopping but it's got a very special microchip that allows it to regulate itself to external temperature so if it's minus ten outside it actually has to warm the compartments up if it's plus 28 it's got to cool them down even harder so what we intend to do is rent these Oh yep what rent will appear $2.99 a week or $12.99 a month logistically you're going to be able to go onto the Internet in three to five years time guaranteed to get absolutely timed within ten minutes a specific time delivery to your door I don't think I'll ever happen well that's that's nonsense you know the guys are working through the process now I can tell you that in two regions today they can do it within 30 minutes and it's going to get better and better and better in three years time they'll be getting down to 10 minutes trust me okay well let me respond to that point as to our windows was inefficient and actually the short of that time frame gets the more inefficient why is it inefficient then because they're doing so much doubling back if you get somebody who books no you're missing the point it's only in a at the moment because they don't have scale and it's not fully adopted but then the issue you have is that most people want between 6:00 and 9:00 at night when they're at home you can't physically handle that many deliveries I think the statistic I saw was that something like 90% of households are enter during the day but yeah they don't have to have this we researched this with a pretty broad spectrum mm busy people through it through a a very well known free newspaper so it's a robust survey and we got 32% who were interested in this as a concept that's 8 million households 25 million in the UK I completely agree there is an issue here some people cannot actually take their delivery those are the people who would be interested in doing this absolutely so I have built-in areas where I could take secure sizable delivery boxes so I can pick it up when from there so I think it will happen and I think as we buy more online we will be taking into account how we can accept our food delivered to us the trouble is I don't think this is the solution I think it is very unattractive and if I was looking for a solution it would be to place that food somehow in the walls of my property in a way that was not as visually obtrusive and for that reason I'm out it's a blow for the duo and something seems to be troubling Theo Paphitis can I have a quick look at something if a mischievous child got stuck on inside this we'll open it you can't lock yourself in it you can't look that's my point that's the only way you could be locked in it is if somebody pushes the lock in from outside that's exactly what my point some kids can't get locked in it now hold on hold on to kids being mischievous yep one gets in the other goes yeah and locks it locks it yeah I can a little kid inside open it not if it's locked no I can't believe for one minute now that you've got product where a child can get locked inside and can't get themselves out when we just stop there you can't possibly put that in the public domain where a child can get caught inside we've gone through the logic you said in the end you can lock someone in the boot of your car the same prank could happen with the boot of your car kleavon something in your background that makes you more likely to do that nobody I didn't lead a privileged upbringing that's not something to apologize yeah but what it did do it didn't make me walk around with my head up in the air not thinking that's what life's all about no I look at all the situations and appreciate what could happen because I've lived there sorry and that's something you've got to take on board you obviously not by actually have to I that's a real word either I might thank you thank you for you can I can I ask you for a favor Stewart George I love you can you please not risk another million pounds in this to commit to two million pounds before you make any money is not a smart business strategy I see lots of ideas lots of businesses and you know this is not a viable business proposition I'm out sure the end of the day is your money and I just see a moment like a little hamster om a little want anything around and round and round because you have spent nine hundred thousand pound you don't know how to go off it's gonna take a lot of courage but sure you've got to admit you've wasted that money it's not gonna work all right I don't agree with that at all if I know you're doing I know you do I I mean even if form consumer wanted something like this it doesn't mean they would buy your box because old people would design in our box that people can put crosses into with multi temperature we have a concept paint paint you can't possibly have a patent I absolutely have a page yes let me finish please you said some people are going to copy it something else does this same job but no they won't the patent is for the concept whereby you can deliver to the home food keep it at temperature and secure until the householder requires it that's the patient no it isn't it is no it isn't it is good it's in much you don't like to see it [Music] this is a patent for an invention entitled container for goods nor where does it say you have a patent through the only person with a container that you can put frozen food into out say the house sorry Duncan it is not true that concept is patented can have a look Duncan of it well you're doing it let me tell you something sure I hope you can go on the rest your life and forget this because you have nothing expect 900 thousand pound and then they dare you have a piece of Pierre part which is completely not a little hostile this and for that reason how about a steadfast Duncan Bannatyne refuses to believe the idea can't be copied only Peter Jones now remains will he share his rivals judgment [Music] ah Peter it has got what he said he has got a patent for a container of goods to be held outside in a domestic environment for chilled product designed like that no no no it's concept concept basically Peter invention concept he has been granted now just changed my complete look of this I think also you've missed the biggest point of this pitch this is what you should have focused on when you came in here you're asking for 250,000 pounds yeah so tell me what percentage of equity would you give away today for a million pounds investment it would absolutely solve the business plan issue for the next five years can we have a few words you have a few words yeah it's an unprecedented move denne rule state entrepreneurs can't walk away with less money than they've asked for but they can negotiate for more will the duo now be prepared to give away a high enough equity stake to secure a 1 million pound investment [Music] protecting us a little bit by surprise there we would offer 45% of the business for a million pounds I have another issue if I could just add that there are other seriously interested investors if they put money in yet they they are committing how much two hundred thousand pounds and it and it's pretty firm and what equity do they want for the 22 hundred thousand well that is something I'm negotiating with them how much is it that got to at the moment I'm not prepared to say at this stage why because the private the private negotiations with them well no but they I'm trying to do so it with me yeah and it wouldn't be in our interest to embarrass you but exactly so I need to know what you've agreed with them they're broadly on the terms they're broadly on the terms that we've now talked about with you I can't say at this at this stage so Andy and Stuart I'm you've made it quite unattractive however seems to me what you're saying make sense with the paperwork you've protected your idea yeah yeah okay so that's a good thing that doesn't make it intrinsically valuable that just makes it the fact that you've got some prior art but is this gonna be something I go back to my original thought process is it something that I can invest in the answer unfortunately is going to be no but I hope that maybe someday we see something or some form of it out there in the UK and I'm gonna say I'm out thank you thank you very much it's an agonizing end for the duo who couldn't quite close the deal with Peter Jones they leave with nothing well guys Peter I think probably slightly raised your hopes we weren't actually prepared for someone to say that they might put a million pounds in and laughing when you said you've got other investors killed oh no no no we have we have and that's the point we're trying to make about not revealing private conversations when we're trying to keep the both of those things going or we wish you all the very best [Music]

Channel: Dragons' Den

Views: 1,740,277

Rating: 4.8306227 out of 5

Keywords: bbc iplayer, united kingdom, british tv, british tv shows, watch uk tv online, watch british tv online, dragons, den, best, new, series, worst, pitches, funniest, moments, most, shocking, ideas, products, businesses, peter jones, deborah meaden, dragons den worst pitches, dragons den funny, dragons den series 17, dragons den 2019, shark tank, shark tank 2019, new dragons den, new shark tank, sara davies, tej lalvani, touker suleyman, Shopbox Systems

Id: EUVXwMTXs1E

Length: 13min 43sec (823 seconds)

Published: Sat Oct 12 2019