A children’s book venture has become the highest ever valued company to receive an investment on Dragons’ Den.
Technology entrepreneur Piers Linney invested £100,000 in personalised storybook venture Lost My Name on the BBC2 show in return for 4% of the business – setting the value of the company at a record-breaking £2.5 million.
Lost My Name is an internet venture which allows parents to design and purchase a storybook based around their child’s name.
This evening’s show saw Linney locked in tough negotiations with writer David Cadji-Newby and his business partner Asi Sharabi in a bid to try to persuade them to relinquish more equity.
The other Dragons – Peter Jones, Deborah Meaden, Kelly Hoppen and Duncan Bannatyne – were all put off by the small amount of shares on offer.
The investors baulked further when Cadji-Newby and Sharabi revealed that due to them sharing the company with two other investors who were not present in the Den, the equity was non-negotiable.
But Linney eventually offered the full £100,000 for 4%, with an option to buy another 1% at a nominal price for coming on board as adviser.
Cadji-Newby and Sharabi agreed and Linney is now a partner in Lost My Name.
He said: “While other Dragons thought the valuation was unpalatable, this is my sector and I could see the potential of Lost My Name. There is an opportunity to re-invent this enormous market and build a business worth many times its current valuation.”
Website Lost My Name takes the letters of any name entered and creates an illustrated book involving words beginning with each of the letters, so the child finds their own name at the end of the story.
Their first product, entitled The Little Girl Who Lost Her Name or The Little Boy Who Lost His Name, has already sold more than 50,000 copies since its launch last year.
Sharabi said: ” We’re thrilled that Piers has invested in our business and can’t wait to see what the future holds for Lost My Name.”
Suitable for children aged two to seven years old, the book costs £18.99 and shipping is free from www.lostmy.name.
Source Article from https://uk.news.yahoo.com/book-secures-top-dragons-den-deal-200444135.html
Book secures top Dragons' Den deal
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