Power Decal on Shark Tank Show
Wireless Light Up Power Decals - Season 1 - Episode 15 - Update
The Power Decal is one of those inventions that you just know will succeed if marketed and licensed properly. A peel off sticker that lights up from a solar power source, ya that's a cool invention alright. George Podd and Rolf Schwartz went into the Shark Tank very confident with their product they called Light Film that has since been renamed and re-branded as Power Decal. The Power Decal has a motion sensor built into the light up decal which brightly displays the sticker.
George Podd and Rolf Schwartz was asking $100k for a 5% stake in their patented Power Decals which put the valuation at $2 million. They demonstrated a generation 1 Power Decal that was hooked up to a wired power source (a battery) to light up the peel and stick sticker. They quickly pointed out that the generation 2 Power Decals would be wireless and solar powered which got a lot more interest from the Sharks. Podd, the inventor of the Power Decal, had zero in sales and has already sank $750k into this invention. They can make the generation 2 Power Decals for $5 or less and retail's for $19.99 which is a decent profit margin in any ones book. Everything is ready to go and all they need is the licensing deals to make the Power Decal a huge success.
The $100k they are asking for will be put towards a few licensing deals with the understanding a much larger round of funding will still be needed in the future. Kevin Harrington puts the amount of funding they need to raise closer to a million dollars and goes out.
|Easily sticks on to any window|
Daymond John Goes To Work
There is no question that the Power Decals are super cool and the possibilities are endless if it could only be licensed and distributed on a major scale. +Daymond John confidently knows he is the only Shark that has the connections and experience to make this a successful deal for all parties involved.
John's offer is one of the more complex offers ever made on the Shark Tank Show which almost comes out effortlessly as he lays down the details.
Daymond first starts out by saying he is not interested in the generation 1 Power decals with the wire's, he's only interested in the wireless powered decals. They need the $100k for licensing agreement's and he will issue his Brands immediately. Daymond says he will manufacture and ship the products on all large scale wholesale orders and give them unlimited financing. This offer completely steps up the company's growth projections and eliminates the first round and immediately into the second round. For this, Daymond John wants 75% of the Power Decal Business. George looks a little bewildered by how fast John just laid out the details to his offer when it goes to a commercial.
Daymond says they will never have to look for another investor because he will finance the business going forward. This alone has tremendous value all by itself, but 75% of the company? Realising that they are also under contract with ABC for 5% of the business for being featured on the Shark Tank, Podd asks if they can counter John's offer.
George Podd ups the ante by saying they would like to recoup their initial investment of $750k and have money to live on. It appears they may of sank a little too much into the Power Decal Business but it might not of been the best card to play at the time. John immediately picks up on this as Podd counters with 51%. He almost looks stunned, but the knock out was yet to come. George then says the 51% is not for the $100k they came in asking for, but for $750k so they can recoup their entire investment. If I didn't know any better Daymond just bit down on a sour piece of candy with a look of pure amazement. If this would of been a questionable product, the answer would of been an easy one at that point, but John already could see huge possibilities if he could control the outcome of the company.
Kevin Harrington steps in to add a creative solution to bring this deal together. How about 51% of the business with an accelerated share of the profits until the $750k initial investment was recovered? Good Idea, Daymond likes it. Herjevic wants to know how much money it will take to buy a 51% controlling interest in the business right now. Schwartz still wants all of the $750k for a controlling interest. Herjevic asks them to step out of the Shark Tank while he tries to make a deal with John. Robert's convinced they can get 75% for only $100k and give them an accelerated amount on the future profit's until they recoup the $750k already invested in the power decals.
Daymond Johns new deal with Herjevic is $100k for 70% of the business (what just happened to the other 5%?, oops, to late) and Podd & Schwartz would receive 75% of the profit's until the $750k was paid back. Podd still asks for more money upfront but Daymond refuses to budge any further. They finally accept the deal.
Power Decal Update after the Shark Tank
|Hundreds of Power Decal's Now Available|
In fact, the line of different markets the Power Decal now covers is already very impressive. Light up Flags, signs and even one for each Branch of the Military.
|Now THAT would make a Cool Power Decal!|
How does the Power Decal Work?
Below is an excellent short video that explains how easy it is to install the Power Decal. It should also be mentioned that the new design allows you to easily change decals using the same window sticker. Represent one team in the summer and another in the winter. Each Power Decal sticker is only $24.95 which includes 3 AA Alkaline Batteries. You simply peel and stick the Power Decal wherever you want it.
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