Equity Crowdfunding: Learning from the Biggest Shark Tank and Dragons' Den Success Stories (and Mistakes!)

If you've ever dreamed of becoming a "shark" on Shark Tank or a "dragon" on Dragons' Den, now you can! Thanks to equity crowdfunding, anyone can invest in businesses with high growth potential. In this article, we explore some of the most successful deals made on these shows and how the entrepreneurs turned those investments into multi-million (or billion) dollar enterprises. You'll also see just how much money the investors made—or could have made—from their deals!

1. Scrub Daddy

• What they do: Scrub Daddy produces a smiley-faced sponge that changes texture based on water temperature—soft in warm water and firm in cold water.
• Why they succeeded: Lori Greiner’s retail expertise placed Scrub Daddy in major stores across the U.S., making it a household name.
• Deal: Lori Greiner invested $200,000 for 20%.
• Episode: Shark Tank Season 4, Episode 7.
• Success: Scrub Daddy has generated over $209 million in sales, making it the most successful Shark Tank product ever.
• Investor's Profit: Lori Greiner’s stake has grown substantially, with her returns estimated to be in the tens of millions.

2. Bombas

• What they do: Bombas is a sock and apparel company with a social mission—buy one, donate one.
• Why they succeeded: The company’s high-quality products combined with its charitable model attracted loyal customers. Daymond John’s expertise helped it expand beyond socks.
• Deal: Daymond John invested $200,000 for 17.5%.
• Episode: Shark Tank Season 6, Episode 1.
• Success: Bombas has generated over $225 million in revenue.
• Investor's Profit: Daymond John’s stake is now worth millions, with significant growth in revenue since the show.

3. Tipsy Elves

• What they do: Tipsy Elves designs quirky holiday-themed apparel, especially ugly Christmas sweaters.
• Why they succeeded: Robert Herjavec saw potential in its seasonal appeal. The company’s online sales strategy also helped drive significant growth.
• Deal: Robert Herjavec invested $100,000 for 10%.
• Episode: Shark Tank Season 5, Episode 12.
• Success: Tipsy Elves is now valued at over $100 million.
• Investor's Profit: Herjavec’s return on investment is estimated to exceed $10 million.

4. The Bouqs

• What they do: The Bouqs is an online flower delivery service offering farm-sourced flowers.
• Why they succeeded: Initially rejected, The Bouqs later secured funding from Robert Herjavec and thrived through its direct-to-consumer model.
• Deal: Initially rejected, later secured an investment from Robert Herjavec.
• Episode: Shark Tank Season 5, Episode 12.
• Success: The Bouqs has raised over $55 million.

5. Squatty Potty

• What they do: Squatty Potty produces a footstool designed to improve bathroom posture and health.
• Why they succeeded: Lori Greiner’s investment helped Squatty Potty expand its marketing, including a viral video featuring a unicorn. Its mix of humor and health benefits resonated with a large audience.
• Deal: Lori Greiner invested $350,000 for 10%.
• Episode: Shark Tank Season 6, Episode 9.
• Success: Squatty Potty has made over $175 million in sales.
• Investor's Profit: Lori Greiner’s investment has reaped substantial rewards as Squatty Potty became a household staple.

6. Bala Bangles

• What they do: Bala Bangles are stylish, wearable weights used for fitness.
• Why they succeeded: Bala Bangles tapped into the growing home workout market, providing an aesthetic, practical fitness accessory. Their post-Shark Tank growth has been tremendous, bolstered by strong branding.
• Deal: Mark Cuban and Maria Sharapova invested $900,000 for 30%.
• Episode: Shark Tank Season 11, Episode 13.
• Success: Bala Bangles are now valued at over $10 million.

7. Cousins Maine Lobster

• What they do: Cousins Maine Lobster is a seafood company selling lobster rolls and related products via food trucks and franchises.
• Why they succeeded: Barbara Corcoran’s investment helped the company expand nationwide through franchising.
• Deal: Barbara Corcoran invested $55,000 for 15%.
• Episode: Shark Tank Season 4, Episode 6.
• Success: Cousins Maine Lobster has made over $65 million in sales.
• Investor's Profit: Barbara Corcoran’s stake has grown significantly as the company scaled its franchise model.

8. Ten Thirty One Productions

• What they do: Ten Thirty One Productions creates horror-themed live events.
• Why they succeeded: The company capitalized on experiential entertainment trends, and Mark Cuban’s investment helped expand its operations.
• Deal: Mark Cuban invested $2 million for 20%.
• Episode: Shark Tank Season 5, Episode 6.
• Success: The company grossed $7 million the year after the investment.

9. Levi Roots - Reggae Reggae Sauce

• What they do: Levi Roots is a musician-turned-entrepreneur who pitched his Caribbean-inspired Reggae Reggae Sauce, a jerk barbecue sauce with bold flavors.
• Why they succeeded: Levi Roots captured the dragons' attention with his charismatic pitch, even singing a song about his product. The sauce’s unique taste and Levi's personal brand contributed to its success. With the help of Peter Jones and Richard Farleigh, who invested £50,000 for a 40% stake, Levi was able to secure deals with major UK supermarkets.
• Deal: Peter Jones and Richard Farleigh invested £50,000 for 40%.
• Episode: Dragons' Den Season 4.
• Success: The sauce became a hit, with sales quickly surpassing £1 million. As of today, Reggae Reggae Sauce is stocked in major retailers across the UK, and Levi Roots’ brand has grown into a multi-million-pound enterprise.

10. BrewDog

• What they do: BrewDog is a Scottish craft beer company known for its bold flavors and innovative marketing strategies.
• Why they succeeded: BrewDog’s founders embraced crowdfunding early on, launching their “Equity for Punks” campaign to allow fans to invest. This built a strong, loyal community that has propelled their growth globally.
• Deal: Rejected on Dragons' Den but raised funds via equity crowdfunding.
• Success: BrewDog is now valued at $2 billion.

11. Ring (originally DoorBot)

• What they do: Ring is a video doorbell company that allows users to see, hear, and speak to visitors remotely using their smartphones.
• Why they succeeded: Despite being rejected on Shark Tank, Ring found success by addressing a growing demand for home security. Founder Jamie Siminoff leveraged crowdfunding and later attracted major investors like Richard Branson. The key to its success was the integration of technology with everyday home security needs, leading to an eventual buyout by Amazon.
• Deal: Rejected on Shark Tank.
• Success: Amazon acquired Ring for $1 billion in 2018. If you had invested early, you would have seen tremendous returns.

Closing Remark:

Equity crowdfunding allows everyone to become a "shark" or "dragon" by investing in businesses with high growth potential. With the possibility of seeing returns as high as 1000%, now is the time to explore these opportunities. You can find the best equity crowdfunding platforms in Europe and start investing today at Crowdinform.com. Keep in mind that direct and indirect investment in crowdfunding involves significant risks, including the potential loss of your capital.