"You Have A Valuation Of £5M" | Dragons' Den

Craig Smith's financial tech business is what's next on offer in The Den. He's seeking a £100,000 investment for a 2% share of Just Lend.
Season 20, Episode 2.
An international sensation, Dragon's Den features entrepreneurs pitching for investment in the Den from our Dragons, five venture capitalists willing to invest their own money in exchange for equity.
#DragonsDen #BusinessPitch #Finance

[@Lunchladydoyle]

Holy crap. His tech guy was too scared to come and this guy was too dimwitted to at least learn the basics of how their technology works. What a mess !!

[@fanficrocks]

I wouldn't be so harsh, there are people out there that have a phobia of speaking in public / on national television or in front of a high pressure situation.

[@KINGKING10109]

You can tell this guy comes from Money. He had a great idea & invested Family money into it, But he’s never had to walk the hardships of life to earn that money so he lacks a lot of character traits.

[@demonmech]

Good lord this was a tough one to watch. I’m shocked he got an offer

[@bluceree7312]

And it had to be Stephen, of course.

[@colmwhateveryoulike3240]

​@@bluceree7312And Deborah.

[@alexmason2641]

@@bluceree7312 any idea how stephen is doing with his investments? seems like most of his decisions are based on what his heart thinks

[@BDogs10]

how on earth did he get an offer?? & besides I think the offer was very generous = what for?

[@user-bg3wt9fg7y]

Yeah I didn’t enjoy this one! He made me feel uncomfortable 👀😂 feel bad saying that but it’s true.

[@milamarshall7842]

5.1% fee to simply middle man a loan is actual insanity. You can get a bank loan where it’s the banks capital for a little more than that and he wants that to do literally nothing but provide a loan agreement that’s free on google. Actual insanity.

[@rleriche5044]

Exactly. First thing I thought.

[@athertonken]

Was surprised some of the Dragons thought it was a good idea, gone down a notch in my estimation.

[@Liberty_Freedom_Brotherhood]

Funding circle charge a 6.9% arrangement fee plus interest of over 13% per year

[@BDogs10]

@@athertonken you’re right 🤦‍♂️. Recent years the bank of Mum & Dad has become more of a thing. I’m thinking who is going to want to pay extra for this simple lend? Sure, it’s there to be a safeguard but I can’t see a mass appeal for this Service. & Of course any of the Dragons could do this themselves. & to cut in at such a low %? don’t get it🤦‍♂️

[@TheAazah]

This can pray on the vulnerable

[@rileywebster5632]

At first I was thinking “this is one of the worst pitches ever”. Then I thought “this is the worst pitch to ever get an offer”. Then I thought “this is the worst pitch to ever get two offers”. Then I thought “this is the worst pitch to ever seal a deal”. Unfuckingbelievable.

[@BDogs10]

Bro😂, spot on. Let’s all go on there & pitch some rubbish. *almost guaranteed to bag a Dragon

[@MyFoodeater]

This is bad but… le beanock is the worst product that ever got investment

[@WeeMan283]

The reason we borrow from family is to not pay you fees so... im out

[@TheManInBlueFlames]

How?

[@WeeMan283]

How what

[@peterreber7671]

"Borrow with pride from family and friends". That just doesn't exists. Without embarrassment maybe, but not with pride.

[@Theresa-lt3ki]

Well said

[@2High2bebad]

its called rhetoric

[@chcarroll5164]

@@2High2bebad there's a word for loans made to family and friends: "gift"

[@michaelcross9722]

Even though Craig didn't explicitly say it, this whole pitch felt like a "Trust me bro" moment, especially near the end when he convinced Steven to stay in.

[@dimitar4y]

"I put a lot of time in it :D" 5 years = 5 million? I love this show. Clown central.

[@webrevolution.]

He said it was 4 years, not 5.

[@dimitar4y]

@@webrevolution. oh, yes, 1 year big difference, easily makes the 5 million.

[@FLower13582]

I understand where you're coming from. However, time can be subjective. We don't know the amount of hours and effort that went into it. And even then, time itself is subjective. Because 5 years may not seem like a lot to one person but it is to another.

[@dimitar4y]

@@FLower13582 dude you even real? He doesn't know a thing about his business. He looks like a thief that somehow stole it and wants to fence it.

[@top.secret000]

You don’t value a business based on how much time was spent founding it. By that logic, if I spent 100 years founding a company then it should be valued in the billions right? Obviously not. Businesses are valued based on their profitability potential.

[@rachmadsuhartono]

An entitled spoiled private school CEO that made existing problems worse. My favourite kind of pitch

[@jcasstudio]

do you know him? do you know what he has gone through?

[@NunezNunezNunezNunezNuneNunez]

@@jcasstudiohis pitch was beyond trash

[@KnightsofComputation]

Can't beat a private school CEO of a one man company!

[@CMW__]

Entitled? Jealousy much

[@Marais-cu3vo]

Better than Indonesia.

[@karjuntsang6365]

People need to understand that you need to know every single detail of your business before pitching to money lenders and need to know how to pitch confidently

[@fanficrocks]

While it is true that you need to know your business inside and out 101 ways from Sunday. What you might be unintended is the overlooking of the human factor in the pitch.

[@Veeooom]

You say that like he just didn't walk away with a deal 😂

[@penguthepenguinj]

Typical ceo he doesn't know anything about even his code and why it's built well

[@Ziggykitty666]

Sounds like Elon musk

[@hennersss]

​@@Ziggykitty666Elon has incredible knowledge about his companies, what a strange comment.

[@Ziggykitty666]

@@hennersss nah, he just used daddy’s money to buy successful companies with people who know the business or has always hired people to do those things for him. Every time he speaks about coding, he sounds ridiculous.

[@arronchiplin1446]

​@@Ziggykitty666bitter

[@sigma_z]

No, that's not a typical CEO at all. This was NOT in any way or form any characteristics of any successful CEO I know.

[@earlofcumbrae-Ground_Zero]

I can't believe he got offers !! Crazy valuation & he seems clueless

[@paulct91]

Very sad, explains why tech bro, was rushing to his defense!

[@declantill8864]

I'm sick of SB, drips with insincerity

[@colmwhateveryoulike3240]

​@@paulct91Deborah was first.

[@roryfitzpatrick3571]

This is what they do with a lot of ideas that they see potential in. They tear apart the CEO, pick holes in it non-stop and then lowball with an offer.

[@lus]

Patent attorney here. Never getting a patent in the US.

[@mrpoohead2654]

You’ll know then that they’ll patent absolutely any idea in the US. Companies do this for things they don’t ever intend to make, just to stop other US companies from being able to compete

[@padc1]

His patent has been granted 😂

[@GuessTheSongMS]

Not sure what he patented, US already has AAVE and Compound Finance.

[@ryanfletcher1899]

Then go find a new profession cos it’s been granted 😂

[@khandadonb111]

​@@ryanfletcher1899😂😂😂

[@Fillmuty]

The "thank you but no thank you" part in the end just goes to show he really has no clue on how lucky he was by getting 2 offers. He was completely destroyed through the who pitch and yet threw a little arrogant comment in the end.

[@irishjay9485]

I know imagine doing one of the worst pitches in a while and saying that. Doomed to fail anyway

[@fitnessboy2024]

So great pitches gets declined and worst pitch gets investors🤔 "Venture Capitalists Don’t Invest In Startups. They Invest in Founders" makes no sense anymore 😂

[@TheManInBlueFlames]

They invest in an idea.

[@dirtytourist777]

Absolute melt this guy

[@FloorDoughnut]

lmao bro really said "people are struggling and having to borrow money from their families who are also struggling... but how do *I* make money from this? of course to help people struggle together" CEO brainrot is so real

[@FloorDoughnut]

i watch this show to feel something (varying levels of disgust lmao)

[@JoeWilson738]

You should always be looking at ways to capitalise, sometimes you need to play on some peoples issues to get there.

[@FloorDoughnut]

@@JoeWilson738 no you dont lmao

[@goodbot8526]

By your logic everything that helps struggling people must be free.

[@JoeWilson738]

@@FloorDoughnut This is why your going to become nothing, and in a multi-millionaire at 21

[@nks99999]

Bro did no homework before coming in. Just going off of pure vibes

[@ianlister7333]

I suspect Stephen knows a dozen people, who could take this idea, and actually make it work.

[@dazediss6629]

Yep. And one of them is called Peter Jones.

[@ianlister7333]

@@dazediss6629 fair

[@KnightsofComputation]

😂@@dazediss6629

[@Mohonnova]

I've seen hundreds of DD episodes, and this was the most difficult to watch...

[@roses2361]

Agreed. Biggest disaster to date.

[@TyBrocklehurst]

​@@roses2361how about you do it he's nerves got to him I don't see you pitch or business enywhere

[@waqasalikhanrajput]

I'm a developer and I can create something like this in a week. It's nothing unique or amazing. Most of thr payment management is done by the payment gateways, so they don't even have to do that. What is unique here.. I don't know..

[@jamiebee1231]

Purple sliders

[@dombo813]

I'm not a developer and I could create something like this in two weeks.

[@TheManInBlueFlames]

The database is unique.

[@XzeroNetwork]

@@TheManInBlueFlames Probably using Firebase 😂

[@abreathingcoffin8089]

actually wisest thing Touker has ever caught

[@TravelChimp]

Dragons den is so so much better than Shark tank. I wish this was on TV in AUS

[@watson2288]

“Ever so sorry your family member has missed a payment, shall we send the bailiffs around for you?”

[@athertonken]

Just doesn't feel right to commercialise / digitise personal relationships in that way. And if someone does want to formalise a loan they can just get a agreement from a solicitor for a fixed fee oo a few hundred. Here we have a situation where a loan of say £50000 is actually £47500 because £2500 will go immediately to a third party. Imho anyway.

[@Toa_AU]

How can someone have spent soo much time working on the company yet cant answer questions on it 🤔

[@TheManInBlueFlames]

Because he didnt write the code, someone else did.

[@BenjaminGoose]

Can or can't?

[@Toa_AU]

@@BenjaminGoose sorry I meant can’t

[@bartoszstarszobracki8675]

Harry Potter is enterpreneur now?

[@Healingmusicformindandsoul]

Its sort of like a car. It dont matter how many hours you been working on it, that wont increase its value unless it runs.

[@Alex_9652]

How tf did he get 2 offers with really low equity? I would of wanted at least 80%

[@JoeWilson738]

An investor is never going to ask for 80% 💀

[@saintjimmy456]

80%? Probably why they are millionaires and on the show getting deals and you are just in the comments.

[@ianrae1546]

And I wouldn’t want to give 80% of my business to someone that says ‘of’ instead of ‘have’.

[@sambaker7792]

Surely the main problem is people enter into this sort of agreement on the good faith that it will be paid back. Most people id have thought wouldn't want to use this because the borrowers usually have the initial intention of paying it back, and the lenders would trust that they will. I also don't really see how it makes it less embarassing. Just dont see it taking off really

[@catman2484]

I couldn't agree more... I think it's MORE embarrassing to feel the need to go through tech formalities with your own family and friends, rather than pledging trust that comes with the close bond of these people.

[@TheDandonian]

We have all very different versions of family and friends. Those with proper money, lending 4-8 figure sums to their cousins, for business purposes or to help secure deposits on a house, etc... are usually not afraid to ask for formalities and interest, etc. This isn't like when you borrow £100 until payday.

[@tetri90]

@@TheDandonian Yes but then what is the platform providing ? Exemples of lending contracts can easily be found for free online an the actual payement isn't difficult to make through your banks, so what is the app adding ?

[@ManyMannyMan]

With that crazy valuation and not able to able to explain how your platform is unique, starting to suspect this is just a way to get publicity without actually being serious about investment

[@kaliou6645]

8:14 When the entrepreneur said those words "I tried my best" 🙅 He should've told the Dragons "I'm OUT!'

[@cliverobertson6277]

The odd occasion where the product SPOKE for itself 😂😂

[@mauharley]

I don't get it. There's no security underpinning the loan, so if the borrower defaults on the repayments, what happens next?

[@monsterfurby]

Well they won't be invited to brunch at Aunt Martha's anymore, of course.

[@TheJBronson]

lol@@monsterfurby

[@JoelSam]

@@monsterfurby😂😂😂

[@jezzdude107]

It’s probably similar to any other form of unsecured lending like a credit card. In the event of default it would put a mark on their credit file.

[@thomasdalton1508]

They get an automated email from the platform reminding them to make the payment. Nothing else happens. This is just a payment tracking system. It doesn't change the basic facts of the loan. It really doesn't add anything to justify the 5% fee...

[@imrank9282]

Yeah, Steven's definitely losing his money on this one. Why tf would someone desperate for money want to pay 5% extra to his platform when asking from family is free, what more to make it look even more like begging with this GoFundMe-lite platform? That 5% would make them get over the embarrassment fast

[@TheManInBlueFlames]

Looks like he didn't.

[@KINGKING10109]

You just know when someone comes from Money

[@alancawfield6549]

I don't get out of bed for 2%

[@alexcalhoun1382]

Peter’s last line😂😂😂

[@dombo813]

Targeting the most desperate people in society, to skim 5% off the goodwill of their relatives.

[@richardkwaning933]

8:08 - The dragons got him sweating!!

[@edd9632]

What an awful idea. Nothing splits families and friends apart like lending them money!

[@planeguy95]

This was painful. Feel bad for him though. But this was SO unprepared

[@AH-te5gs]

8:52 is the worst of it. You're just not backable if you haven't even checked if your brandname is already in use.

[@AlanM1966]

Well if nothing else, this episode has shown that you can walk into the den with a crazy valuation, know nothing about how your business works and still leave having had two offers!...... there's hope for us all 😏

[@swgohhillsy928]

Shocking pitch

[@aftabmohammedify]

Even shocking he got not one but two offers.

[@S66G]

This is such a grim idea lol

[@shibbymiyah6614]

Wow i cant believe he got offers

[@iranicus3393]

Call the press, we found Wally o.o

[@esseven]

i could have walked in with no product and done a better pitch than that

[@michaellynn9763]

Absolutely shambolic!

[@TheManInBlueFlames]

I suppose the value is in the database - data is normally exciting to a Dragon. Only problem is he didn't have the coder and the person who created the tech - who could have explained the interesting part!

[@vishk123]

Tomorrows lunchtime sorted!

[@user-ck7ny8ek2o]

I think these dragons are puffing the magic dragon.

[@jay-dubdubb2292]

Ferris Bueller and Harry Potter hybrid!! 😂🤣😅

[@Ami-ec3tr]

Harry Potter's come a long way, so proud of him

[@1jackal1]

This guy reminds me of elijiah wood in sim city.

[@thokozanisibisi4586]

They is a saying which says if you believe it,you will see it and that is what is happening on this episode,thumbs up for your guts Craig

[@wzz399]

How is this guy CEO! Guarantee he is bankrolled by wealthy parents.

[@MarkL-we8uk]

Someone's useless nephew

[@65v]

Anyone can be a ceo you can start a business with about 10 dollars

[@randomchannel5686]

I’m really surprised he got offers

[@MJ-YT-USR]

I've just visited their site. The problem I see is that it transforms a favour loan into an investment loan. And once you do that lenders will start to compare returns vs other options. One tax or another will also apply to lenders I suspect, if an interest rate is applied to the loan. I think the platform will work better for lending to people you don't personally know, but the interest rate applied to such a loan would have to beat that available in savings accounts. But in the end I don't think the platform solves the problem at all, which is people (particularly young people) having to borrow like never before.

[@apad000]

What watch is Steven wearing?

[@MatthewJones-cl1sb]

Well done Harry

[@moogleking]

Why does he remind me of a budget harry potter lol

[@walangbacarita]

Program yang luar biasa.... Sangat terinspirasi. Salam dari Indonesia

[@dplj4428]

8:55 always own all the url cousins. Always.

[@donpepsi]

This is a very good idea

[@roozbehbey]

This was a tough watch...

[@johnchapmonkey8933]

Funny Stephen saying tech valuations arent over, he would say that with his History.

[@wzz399]

How on earth did this guy get an offer. Programme is becoming a joke.

[@craig9911]

He needed his own platform to raise the money

[@MayorSom]

He is an embodiment of our politicans

[@JL-gf3yc]

When are you going to start showing proper episodes from like season 7 below and slightly over when it was dragons den? Theres plenty that aren’t on here I’m talking before Touker and Jenny time

[@mikemurphy4362]

holy crap his website has so many spelling mistakes

[@hamza361]

Half of every dragons den episode is the dragons crying about valuation

[@paulct91]

6:30 - Valuation

[@allessandro2969]

It’s a negotiating tactic, pretty common in any business deal. Elon: I wanna buy Twitter. Jack: That’ll be 64… Billion Elon : kswkjksw Jack: We can do a deal at 44. Elon: Dollars?! Jack: Billion. Elon: Where do I sign?!

[@simplechronology2605]

And why not? If you are going to invest in *anything* , from the stock market to shark chum, valuation is your primary concern. Paying $5 million for a company worth $200K is not how the sharks became rich,

[@3Mizormac]

Lad did you watch the video he wanted £100,000 for 2% and didn’t even know his patent 😂😂

[@David-lm2tl]

they want discount haha

[@mikemurphy4362]

looks like he runs a crypto site now, not sure tbh theres a simular name and url that goes to a crypto lending site

[@adz754]

That’s a harry pothead valuation 🤣

[@albertwinston5730]

bro is like big head from the series silicon valley

[@RevanParker]

This is Sparta!

[@qbantz]

Honestly thought he wouldn’t get an offer

[@tonysanderson7741]

I think he will do okay - it's actually a great idea if executed correctly, the passion is there and he believes in his product, He just needs some guidance along the way and to fully know their product and competition inside out. Marketing and product awareness will certainly be one of the bigger challenges.

[@michelemariotti8198]

I cannot believe this guy got an offer. There must be something there I cannot see. Unprepared, clueless, asking for ludicrous amounts of money.

[@DetroitTyler]

Kickstarter with 5% strings attached and loan agreements. Interesting.

[@hardingtutors7934]

Legends 🎉🎉🎉

[@Cypher791]

I don’t get how this helps… you still have to approach your family and ask for money… and if they say yes you can tell them to make a justlend account… which is beneficial for the lender because it might include a contract and an automatic repayment scheme… but it doesn’t help the borrower… because not only can they be forced to repay this loan…. But now a middleman is charging a fee too… so when you ask your family for money… If you have any sense… you better not tell them about justlend…. 🤨💵

[@keithwhittington1322]

Eyes down doesn't show confidence.

[@chrissilvester5663]

What an embarrassing watch this was. That guy didn't have a clue whatsoever yet had a valuation of 5 million. Absolute bonkers

[@user-bh4tg9vu5u]

Almost certain that the investment will not go through.

[@johnfinnerty4243]

How he got an offer is beyond belief. No information on the patent. 5m valuation. No clear path forward!

[@outdoorsy01]

How and why did he get the money. Wow. Dragons are slacking.

[@dplj4428]

3:32 is this automated gofundme?

[@seranaplayz]

"Hey mom i need to borrow 50 pounds to buy a game" "sorry sweety you know the rules its through this app or nothing" "but then i don't have enough money to buy it they take a fee"

[@mcnamaraky]

This guy wants to get in on loan sharking without putting up a dime lol. Take a cut off of a friend lending money to a friend (the entire point usually of borrowing money this way). Imagine if you went to a loan shark and also had to pay a 5% fee to the bus driver who brought you to the sketchy pizza place where Tony Soprano is sitting in the back asking you for 5% vig. Dude doesn't even know what his code does either.

[@techwiz81]

Love that the founder and CEO has no idea how the company actually operates, no idea of the financials, no idea about the damn URL. Definitely a model for success

[@goodcat1982]

Tuca said tech stocks were crashing. They literally bottomed the week he said this and have only gone up to new highs since. Great time to have bought into tech stocks. How can you be so rich and so clueless about the stock market? You buy when it goes down and sell when it goes up.....

[@ondank]

Usually Steven is the friendly dragon. But he absolutely was out for blood on this one

[@rleriche5044]

He made an offer

[@johnbruce4417]

When Where’s Wally went casual

[@39zack]

Should I give this episode an 1 or an 10? I dont know

[@jackking9271]

What a mong, annoying how he got a deal out of that

[@ramalama9650]

I did notice dribble out of the side of his mouth at times. Filling quotas I suppose.

[@ramalama9650]

Mabumba says: Siyn me de up. me be on da wayz stayt a arrwayz! me have interherontanze to share from me kingz. 90% you, 45% mee wee -neeego tee te ate- -knee go too ate- Erm we bargin deal?

[@user-rw8rc3yp9d]

hes a clueless twonk, insane that he got offers for this nonsense

[@jvillebil13]

When he gets stressed he looks off in space while talking instead of look at the sharks in the eye.

[@Chillobserver]

Dragon's

[@hardingtutors7934]

Valuation is a sticking point 😂😂😂