Qubits Entrepreneur, Mark Burginger contacted me through my blog and offered to share his experiences from the Shark Tank and what’s happened since.
According to Burginger, Daymond John enlisted the help of fellow Angel Investor and Entrepreneur, Kevin O’Leary, to approach toy companies Hasbro, MGA, Mattel and others.
The Sharks had Burginger supply samples of Qubits toy to each company.
Unfortunately,Daymond John and Kevin O’Leary were unable to score a satisfactory Qubits Toy deal and John informed Burginger that the deal was off.
With most deals, you would expect it would end there, but that’s not the case. John and Burginger continue to communicate and are looking for new opportunities. They connect regularly via phone and email, with an occasional visit when they cross paths.
Burginger still had a deal in the works that he was able to fall back on, and has proven to be quite beneficial. He has an exclusive that he completed himself with MLM Toy Company, Discovery Toys.
The company is similar to Avon’s concept, having previously been owned by Avon and sells toys through in home toy parties.
Burginger completed an exclusive with Discovery Toys, which lasts for another year and a half covering territories inside the United States.
While, I’m sure he was disappointed he was unable to reach a deal with the bigger companies, the deal with Discovery Toys may be a perfect opportunity to get his product in the market. People who buy through Toy Parties are first to market buyers. As more people own the toy, others may develop interest creating the opportunity for a future deal with one of the big toy companies.
Burginger praised Discovery Toys for patiently waiting while he chased the “Brass Ring.”
Burginger has actively been pursuing deals outside the United States and Shark Tank Investor, Daymond John, has been assisting him in the process.
Burginger won an inventors contest put on by British Airways and he has used the prize to pursue relationships outside the United States.
Burginger said that his sales are now into the hundreds of thousands with only steady growth ahead.
As of this date, Mark and his wife Lisa still own 100% of the company.
The airing of the show left many viewers believing that Mark had made a deal with the Sharks, but he states correctly so, that it was only an option to make a deal. The other Sharks loved the potential and complimented John on the negotiations.
That’s a signal to entrepreneurs seeking investment. You will find many times that investors will make what appears to be a commitment in your mind, often even inking deal only to back out of the deal.
When you seek investors, you need to keep working and keep searching until you have the money in the bank without restrictions on using the funds in your company.
A special thanks to Mark Burginger for sharing his experiences and to Daymond John for continuing to assist Burginger through mentorship.
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