50 % of Dragons’ Den investments fall via soon after the show
Several entrepreneurs earn investment decision on Dragons’ Den only to stroll away empty-handed months later on 
Photograph: Andrew Farrington
Much less than 50 % the effective pitches on BBC hit demonstrate Dragons’ Den at any time saw a penny of investment decision, new study has found.
In an analysis of all 143 organizations that productively gained income on the demonstrate in between sequence 1 and eleven, just £5.8m of the £13m pledged was at any time invested.
The review was conduced by Tiger Mobiles, a smartphone comparison website, which unsuccessfully utilized to look on the display in 2008.
The deals tumble aside soon after the present thanks to a number of factors, Dragons’ Den investor Deborah Meaden advised the Information Company. “I’ve had business people with incredibly unlucky well being problems, patent troubles, and two or a few silences where I never ever hear from them yet again.”
Troubles frequently crop up for the duration of owing diligence, she added. “I expended £5,000 to £10,000 on each and every firm and sometime factors are not what they seem.”
Many entrepreneurs seem on the present mostly to obtain publicity for their organization. When revenue surge pursuing the airing of their episode, they pull out due to the fact investment is no lengthier needed.
“The planet explodes for them after Dragons’ Den,” Ms Meaden said. “They get offered far better deals in some circumstances, or feel they do not need to have the Dragons. But what they locate when the publicity dies down is that they nevertheless need support running the enterprise.”
In accordance to the info, Peter Jones is the the show’s most prolific trader, giving funding to 54 of the 143 firms.
The regular amount pitched for is £100,000 and the common amount of equity presented up by applicants is 40pc. The greatest volume of fairness at any time offered absent on the display was 79pc by RK Documents , which has because rebranded as Bannatyne Music.
Ryan Ashmore (still left) and his business companion Liam Webb, each 18 at the time, marketed 79pc of their company in return for £50,000 in funds
The greatest amount ever pitched for productively in the Den is £250,000. However, on equally events the bargains fell through after filming.
Collection 12 was not provided due to the fact there was not enough to perform full because of diliigence. However, this series could skew the knowledge, introducing a report quantity of investments.
“I’ve carried out nine and obtained seven away,” said Ms Meaden. At the conclude of this series, Piers Linney, who recently still left the demonstrate, could emerge as the Dragon with the maximum investment decision for each offer.
Kelly Hoppen, who appeared on the display for two series, added: “I was fortunate ample to make some extremely productive investments in the Den which I am nevertheless working with and will proceed to do so.”
If Dragons do commit in a organization, they are included long-term. Some 38 of the 67 invested companies nevertheless have a Dragon on board. Some of the other folks have efficiently exited or purchased again the stake, while other have ceased buying and selling.
Tiger Mobiles employed information from Companies Residence, Duedil, the Dragons’ Den website and inidividual interviews with founders to compile the report.
An interactive examination of every successful pitch on the Den is accessible to see listed here .