Sometimes an entrepreneur has a lucky Break and stumbles across a successful Product overseas that's unknown to the UK our next entrepreneur Karina old Dale From Yorkshire has done exactly that and Now she wants a dragon to come on board Hello I'm Karina Roald Dahl from Envirothorpe I'm here today for 115 000 for 17 We're a family-run business we Specialize in granular and fluid de-icer It's an alternative to rock salt This product will work down to -55 it's 90 less corrosive than rock salt you can Spread it with your hands I have end my Hand in there Day in day out and I've still got a Thumb on four fingers It's pet friendly child friendly it Doesn't damage any surface at all Our existing customers are airports Councils retail outlets stud farms I'd like to invite you all up now to Come and have a look how it works and I Look forward to any questions you've got A pitch to tackle a national gripe Rotherham-based Carina olddale believes Her product helps Planes Trains and Automobiles combat the effects of our Icy British weather She needs 115 000 pounds in return for a Precise 17 share what's he doing just Absorbing it it's absorbing it and watch Now it's gone darker what it'll start to
Do is start to penetrate down into the Ice her product seems to have struck a Chord with one Dragon at least Now rock salt is a mess of my drive yes What happens to this blue thing they'll Put down doesn't stain doesn't leave a Residue does it dissolve yeah So do you manufacture it we ship it in From China and does anybody own any Particular intellectual rights on this Problem the manufacturers How did you come across them oh on the Internet I started talking to them and Eventually went out to see him So you found it yourself where no one Else had you have the only distribution Rights But don't go [Laughter] I need to know more than What have you got Sole exclusive distribution for UK and Europe I've got to hit a Target within Five years what's your target you've got To hit forty thousand tons is that forty Thousand tons over the term of the five Years or is it any one year just to save Me a lot of time and headache trying to Work it out what would that make your Turnover about 10 or 11 million Rides It's not often that an entrepreneur Renders the dragon speechless but Karina Seems to have done just that Deborah
Meaden who's first to recover So what's what shape is the business in At the moment right first year the Turnover was 27 000 and it made a loss Of 64 000 okay year two 192 000 break even Year three 923 000 with a profit of two hundred and Three thousand I can explain why there's Such a big jump Year four Well I think you're talking about Projections so yeah they're the Projections oh okay okay so why do you Think you're you're suddenly going to go From 192 000 to 923 000 right so I've Got a customer that I've been working With for two years Who we've got to modify it slightly And once it's modified their order is a Hundred and thirty thousand tons Karina what's the modification it was What they do is they do a lot of freeze Saw freeze Thor with rock Soul their Product deteriorates they want something That deteriorates less who's working on The modification China Okay you say it's a family run business Yes so who's in the family that's Running it my husband and my son But I'm the majority shareholder okay so One more question Um I forgot what it is but it's going to
Come back to me It's so nice because it makes me makes You seems It's a senior moment you know What I mean you want me to ask some Questions because my question will be Gone then if you do that piano I'll come Back when you're in mid floor so but I'm Starting to give up now I'm not going to Come back that's a very good question So I asked Duncan go on might cover it Oh that the questions came back I've got It Karina yes How much money are you in the rest of Your family fit into this 240 000. 200 140 000 pounds It's a revelation that shocks the Dragons however the South Yorkshire Business woman remained calm and Composed now Peter Jones wants to delve Deeper into the detail Karina what would your husband say that The fact that you've spent 240 000 of The family money well he actually said To me I'm very proud of you for what You've done and for what you've achieved Are you very rich Karina then no we just Graphed we're grafters This will happen Because I can easily see it doing the Projective figures Well if it doesn't I've had a meeting this week with an International supermarket and it's 90 Certain that we're actually they're
Actually going to go with it Who's the supermarketer This goes And they're going to sell these Pots And how much stock have you got in value Uh 265 000. So you've got you haven't spent 240 000 Developing this business you've got Stock yes you just need to sell the Stock yeah that stock at cost or retail No that's at cost What would you sell it for About 6 50. There seems to be a game of cat and Mouse in the den as The Confident Entrepreneur drip feeds information but That's a risky strategy What will Deborah meaden make of it all Can you give me an idea then of the Price of this compared to what they Currently use If you put it side by side this is a lot Dearer but when you start working out The benefits it actually then becomes More commercially viable how much more Expensive it might be double Can we go back to the supermarket you've Had a meeting with them what what when You say 90 certain why do you think that When I first started talking they
Actually said it would be for season 2014. I've spoke to her quite a few Times and in the end I started ringing Her up every Fortnight and we started Laughing about it and she's actually Seen us this week for this next season And she just said there's about 2 000 Forms to fill in What's happened now if you had a letter Of intent have you had any no it's Um it was just some of the stuff that She said to us it was just they were all The buy-in signals So okay Um From where I sit you are the eternal Optimist no I I don't feel as optimistic about it as You do I think you've got a tough slog To try in these times to sell somebody Something that's twice as expensive as The thing that they're currently buying And they know works so that's your Challenge okay so I I won't be investing Thank you for your time so much thank You Strategy backfires as the genial Businesswoman fails to convince Deborah Meaden and Duncan bannatyne looked to Have made up his mind too Karina yeah you know I think I think the Tesco women said oh she's lovely lady That can't get rid of it 2 000 forms Because she was your liver office
No you know they're putting stemstones I Don't think there's a big market for This I don't think there's any big Customers out there no I don't agree Because we've actually got B and Q in Ireland And many have been ordered There was disappointed that they didn't Sell more but they had no snow but they Sold about 2 000 tubs You know I think it is Kidding yourself You've lost three hundred thousand Pounds It's gone No I'll sell it next winter Okay well you do that I will And I wish I was wrong and you were Right that's like a red rag to a ball I can't invest in this Okay I am out okay Karina Yes I think that you'd be able to sell the Ice that's to your left to Eskimos Thank you But I'm not sure you could sell the Product that you've got to them I wish you the very best of luck and I Am pleased at least you have An amount of stock that at worst if you Were to sell You would get the money you've invested
Personally in this venture But if you don't get the bites this year Don't be optimistic that next year is Going to come the lucky order So I'm going to say that I'm out okay Thank you for your time Intrigued they may be but Karina is Unable to close the deal with two more Dragons and she has just one last chance Of success Karina any way we can find to melt ice And snow quickly and safely will be a Massive advantage to Industry business Householders everybody But To actually maintain your license you've Got to turn over 11 million pounds yep 40 000 tons in one year it's a huge Target Isn't if you get one of the airports They use anything up to 500 000 tons in a bad winter How many airports would you have to get Only one And I know you think I'm very optimistic Like I've been working on Europe and Europe gets a lot more snow Right One of us is barking mad I'm gonna make you an offer Long enough for you your full 115 000 Pounds But I believe it's going to take so much
Work I'm going to want 50 of the business I can't I can't I've been given a figure by my husband And my son And I just can't Unless we can negotiate What about if I hit the figures Would you then give me a percentage back This is a high risk strategy for me yep So I will want 50 of the business I can't I really can't I'd love to but I Can't Karina I expect that But I'm afraid I'm gonna have to say I'm out And I wish you luck and I wish you Proved Duncan wrong Watch this space It's a disappointing end plenty of Dragon plaudits but the risk reward Ratio was just too high to negotiate a Better deal Karina leaves with nothing [Music]
