Excerpts of Richard’s new book were printed every Monday in City AM newspaper and can now be found here as blog posts.
Posted on April 5, 2012 | in Confessions of a Serial Entrepreneur | by Richard
When Levi Roots sang his way onto the set of Dragons’ Den in 2007 with “Put some music in your food for me, I’ve got some Reggae Reggae Sauce, Reggae Reggae Sauce, It’s so good I named it twice” I didn’t think he was an entrepreneur. Along with the other dragons, I tasted his spicy “jerk” sauce, and didn’t have a clue if it could sell. Sure, he’d been “marketing” it for 15 years at the Notting Hill carnival, but he’d never really sold any. Besides, to give the sauce a real test, you’d need 20 similar sauces in front of you and to do a blind tasting like they do with wine.
Levi was fun though, and his serenading was a nice break from the tedium of long, drawn-out, boring presentations on the Den, only a tenth of which gets inflicted onto the viewer via the telly. However, his nonchalance when asked how he got such a cool name, with the response that it’s really “Keith Graham” was soon put to the test when I challenged him about his numbers. He thought the “order” he had was for two and a half million litres, but I spotted he was out by a factor of a thousand to one! Rather than making the business a no-brainer, the order was insignificant, and Levi, can’t you even count? So the usual reality TV moment arrived: okay you’re a cool Rasta Jamaican with dreadlocks Levi, but now perspire, mumble, and shake for the cameras, and get off our set! But Levi didn’t do the normal thing. Instead, his response was like, “Fair enough. Any other questions?” I was amazed.
Theo, “there’s no business in this” and Deborah, “not big enough scale for me” joined Duncan in going out. Peter stayed in with me, but had doubts too. “This is a hugely complex, difficult business to get into major super markets”. As I found out later, before filming Levi’s string had broken on his guitar, so the BBC had wanted him to go on set without singing. Like his string, Levi too was broke, financially. But he had the nerve to hold out till the Beeb found a new string and his song could be part of his presentation. Now he felt his “spirit hovered over [his] own body on the BBC floor” as we two remaining Dragons pondered.
Then it finally dawned on me: the sauce was not the product, Levi was the product. Invest.
The rest is jerk sauce history. Peter and I gave £50k for 40% of Levi’s company (double the 20% first offered). With our help the sauce was Sainsbury’s fastest ever product launch and became one of the biggest sellers in the UK. Levi has become a celebrity and speaks at business conferences. He found his strengths and wasn’t embarrassed about his weaknesses. That’s what investors want to back.
Would love to discuss patentability issues with you. Can be contacted through my email. Looking forward to a chat and guidance I have a degree in applied science from Monash and I am an electrical engineer which means I have done my due diligence on these inventions and I am wanting to harness the ideas for my own edification and somewhere I know that these inventions (using solar energy)will be dealt with appropriately
By Gerald Thomas
By Are Terjesen