A genius DIY gadget that takes the danger out of drilling and a specialist range of skincare were two of the pitches that attracted my attention this week – and they caught the eye of the Dragons, too.
Taking the wobble out of woodwork
Typically, innovation happens when someone spots a way of doing something better. This was true for the O’Donnell family when Jamie O’Donnell and his Mum were struggling to use a hand drill safely in order to input a screw.
I can just imagine what followed: a kitchen table design discussion, the planning and development of prototypes - and at the end of it all, the 'Screw Caddy' was born. Dad John O’Donnell accompanied son Jamie into the Den to demonstrate it. Their mission?
“We want to put a Screw Caddy in every DIY-ers tool box!”
Keen DIY-ers like me will be only too aware of the challenge – trying to balance the drill and focus it on the screw head as you hold it between finger and thumb while the screw wobbles about in the wood. You know that at any moment the drill could veer off course and straight into your hand. It's only when the screw bites into the wood that you know you're out of danger.
I was surprised when the Screw Caddy team asked the Dragons for £50k for a 40% stake in their business for their clever device. That's a lot of equity to give away! However, Dragon Peter Jones was impressed with the strategy: while the O’Donnells have the device set up to be manufactured in the UK and already have a patent pending, they have had a turnover of just £80 so far. Peter recognised that this invention was cleverly pitched so as to attract a Dragon... but will he be the one to bite?
What is meant by 'patent pending'?
After you apply for a patent, adding ‘UK patent pending’ or ‘UK patent applied for’ to your invention or to your packaging and marketing materials lets people know that this is your innovation.
You can either show the application number or include a web address where details of your invention and patent application number are displayed clearly.
It's good to be aware, however, that if you stop your application or it is terminated, you must remove any information that suggests your invention has a patent pending. You can learn more in our guidance.
While the Dragons were impressed by the Screw Caddy, it was generally thought to be expensive at the retail price of £4.99 in comparison with, say, a pack of screws.
Peter suggested that it could be licensed to the people who put the screw packs together - a safety giveaway - while fellow Dragon Deborah Meaden pointed out that the cost doesn’t feel at all expensive against the cost of a drill – maybe the giveaway could accompany the drill?
Ultimately, it was Deborah who saw the potential. In a very un-Dragon-like moment, to comments of “wow” from Peter and Steven Bartlett, she offered all of the money for just 30%, not the 40% asked for originally... “because it’s your business”.
Delighted, the O’Donnells accepted. It was a done deal for the DIY duo, and a family that clearly knows the drill.
Skincare with altitude
Physiologist Rachel Williams from Lancashire created her specialist, award-winning brand of skincare, Albus and Flora, high up a mountain in the French Alps – surely a new one for the Den. As a skier, walker and cyclist I know how brutal the elements can be on faces, so the pitch for the attractively-packaged products drew me in straight away.
Rachel asked for £50k for 15% equity in her business - a skincare range that provides targeted support for the lips and skin around the mouth. Rachel explained how lines and wrinkles around the mouth, thinning lips, chronic dryness and lip cancer can be linked to UV exposure.
Products in the Albus & Flora range so far include Lip Shield - an SPF lip balm and Lip Facial - an exfoliating and plumping treatment mask. Rachel already supplies an impressive number of aesthetic clinics, spas and beauty salons as well as retailing direct to consumer. She shared her plans for wanting to develop a clinic and consumer brand that could be accessed globally, and has been busy preparing the products and her business to scale up.
I can see that Rachel has trade marked her products (UK00003033710 and UK00801467521). One approach for going global with her brand could be to license them to others, and her trade marks could help her do this. You can read more about licensing in our guidance.
Touker Suleyman was intrigued and declared Rachel herself investable. He explained how he owns the trade mark 'Lipstick' and is about to launch a retail concept with it later in the year.
You can view one of Touker’s registered 'Lipstick' trade marks here: UK00003598097. It is filed in classes 3 and 26 which includes perfumery, hair treatments and hair ornaments.
Touker made it clear to Rachel that he was interested in investing in her for her knowledge – knowledge that could help him with his Lipstick brand, and in turn he could help her with her business. After a spell of negotiation the pair agreed on Touker offering 50k for 30%, but his stake will reduce to 25% if he sees a return on his investment within 12 to 18 months.
“I’m investing in her as an entrepreneur”, said Touker.
Rachel was delighted.
Disclaimer:
The purpose of the IPO's Dragons' Den IP blog is to help identify the IP in entrepreneurs’ pitches and highlight how IP works, or could work, in the real-life examples featured. IPO’s authorship of this blog does not constitute its endorsement or sponsorship of any products, individuals or businesses referenced within it.
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