Threeworks Snacks & Chips
Why did Threeworks Inc get an investment from the Dragons:
Micheal Petcherski is the CEO and founder of Threeworks Snacks and Chips. The company's key product that will determine its success are its apple chips. These chips are unlike traditional apple chips which come in bags and often have natural flavours added to them. Threeworks's chips have no sugar added, are gluten free, fat free, and come in canisters similar to those of potato chips. In addition to Apple Chips, the company has partnered with other companies such as Sugarpova and a breath mints company. At the end of the session, Jim Treliving offered Petcherski $300000 in exchange for 50% of the company as opposed to 15%.
There are many reasons for why Petcherski received a deal. One of these reasons being his manner of conduct. As Petcherski entered the Den, he was brimming with confidence and he was knowledgable in what he was selling. The Dragons are not only looking for great innovations but also for people who are capable of managing and growing the business. Petcherski definitely comes off as a responsible and capable entrepreneur. Another advantage to investing in Threeworks is due to the fact that the company is already established. The snack industry is competitive and is filled with well known companies that have the capital to promote and market their products. In order to be successful, a brand that can completely break through is necessary. Since the company's product is perceived well and is already sold in 450 stores across North America, it makes investing in the company less risky. Another benefit to investing in the company is that they had sales of $850000 during the first year, $460000 belonging to its flagship product, the Apple Chips alone. In addition, there is a gross margin of 65% which is a good percentage. These figures indicate that the chips are selling and they also indicate that there is enough sales dollars remaining after incurring the direct costs to pay for other expenses. At the end, it ensures that sufficient profit is generated. Lastly, because the company is already set up, it is possible to valuate the company accurately. This value will allow investors to make informed decisions and again reduce the amount of necessary risk.
Petcherski is an excellent pitcher. He knew his numbers, he is knowledgable in the grocery industry and his business is already on its way. He received an investment from the Dragons because of the possibility of a return.
Micheal Petcherski is the CEO and founder of Threeworks Snacks and Chips. The company's key product that will determine its success are its apple chips. These chips are unlike traditional apple chips which come in bags and often have natural flavours added to them. Threeworks's chips have no sugar added, are gluten free, fat free, and come in canisters similar to those of potato chips. In addition to Apple Chips, the company has partnered with other companies such as Sugarpova and a breath mints company. At the end of the session, Jim Treliving offered Petcherski $300000 in exchange for 50% of the company as opposed to 15%.
There are many reasons for why Petcherski received a deal. One of these reasons being his manner of conduct. As Petcherski entered the Den, he was brimming with confidence and he was knowledgable in what he was selling. The Dragons are not only looking for great innovations but also for people who are capable of managing and growing the business. Petcherski definitely comes off as a responsible and capable entrepreneur. Another advantage to investing in Threeworks is due to the fact that the company is already established. The snack industry is competitive and is filled with well known companies that have the capital to promote and market their products. In order to be successful, a brand that can completely break through is necessary. Since the company's product is perceived well and is already sold in 450 stores across North America, it makes investing in the company less risky. Another benefit to investing in the company is that they had sales of $850000 during the first year, $460000 belonging to its flagship product, the Apple Chips alone. In addition, there is a gross margin of 65% which is a good percentage. These figures indicate that the chips are selling and they also indicate that there is enough sales dollars remaining after incurring the direct costs to pay for other expenses. At the end, it ensures that sufficient profit is generated. Lastly, because the company is already set up, it is possible to valuate the company accurately. This value will allow investors to make informed decisions and again reduce the amount of necessary risk.
Petcherski is an excellent pitcher. He knew his numbers, he is knowledgable in the grocery industry and his business is already on its way. He received an investment from the Dragons because of the possibility of a return.