Answering The Questions – Getting The Deal
In 2015 “….CEO JD Claridge and board member Charles Manning of xCraft stepped into the Tank seeking $500,000 for 20% equity…” What they walked out with was $1.5 million for 25% share. Even more remarkable, is what xCraft was able to accomplish in the Q and A portion of their pitch. By the end of the session, xCraft had not only had 3X the money they had asked for and a rare investor syndication of all of the Sharks.
Just as import to preparing for your Pitch – you need to spend time preparing for the Q and A session. Jan Porter – quest writer for Entrepreneur recommends that you prepare yourself to answer the following ten questions before pitching:
1. What do your customers need and how do you know for sure?
2. What evidence can you provide of prior business success?
3. Who’s on your team?
4. How well do you know your competitors?
5. What’s your competitive advantage?
6. How do you define your target market?
7. What is your business most sensitive to?
8. What’s your sales and distribution model?
9. What have you already accomplished?
10. What do you need the money for?
Check out this video and see how xCraft successfully handled their SharkTank Q and A – winning a deal of a lifetime.