As their Dragons’ Den pitch approached the founders of the Great British Porridge Co. rehearsed their financials rigorously – and their dancing bears.
In a traditional instance of a daring start-up pitch, Jacqueline Barleycorn and Matt Hunt employed the performers dressed up as bears sporting Union Jacks and gave every decide a taster of their pure on the spot porridge.
Luckily for them, the pitch turned out to not blow too scorching, or too chilly, however proved good, with every dragon providing to make investments and eventually Tej Lalvani backing them to the tune of £60,000 for a 22 per cent stake of their enterprise.
Nervous Jacqueline Barleycorn and enterprise accomplice Matt Hunt endured a grilling on Dragons’ Den, which aired final month. But their pitch, which they made in March this 12 months, proved profitable
The efficiency and pitch to win over the panel on BBC Two’s Dragons’ Den in the end proved profitable, however they had been nonetheless topic to an hour-and-a-half lengthy grilling on their figures – highlighting the due diligence that you do not see in full in a TV episode.
Matt informed This is Money: ‘We revised the traces and percentages, turnover and all our figures however when you’re on stress with the lights on you do discover you crack underneath stress.
‘It was anxious. We did in addition to we might’ve finished and proud and pleased with the result. Even the dancing bears – they had been nice!
The founders initially wished a £50,000 funding however this was ramped up by CEO of vitamin firm Vitabiotics, Lalvani, to £60,000 for a 22 per cent stake, even after Jacqueline and Matt mentioned they didn’t need to half with greater than 20 per cent.
Rival dragon Peter Jones wished the best stake at 33 per cent of the enterprise however was solely providing £50,000.
Why begin a porridge model?
Instant porridge manufacturers in Jacqueline’s view are usually bland and tasteless. So she went about experimenting with her personal recipe and flavours, including coconut cream, nuts and seeds, till she produced one thing she thought customers could be pleased with.
Jacqueline, who was retired on the time, teamed up with Matt and the enterprise launched in 2018.
Matt mentioned: ‘Jacqueline couldn’t discover something available on the market that was vegan however nonetheless had style. These mixes are fruity, nutty flavour as opposed to simply oats. Others are 80 to 90 per cent oats.
‘You simply add scorching water stir it and 60 seconds it’s prepared to go, so it’s handy.’
The Great British Porridge Co. is just not an natural product nevertheless it now produces 100 per cent pure, no added sugar, gluten and dairy free on the spot porridge constituted of what they declare to be ‘the best high quality components’.
Founders Jacqueline Barleycorn and Matt Hunt roped in three bears impressed by the Goldilocks story to assist them pitch to the Dragons
Matt provides that producing one thing wholesome and attractive makes the product stand out.
‘The essential driving elements of breakfast is comfort, style and well being and we tried to cowl this all’, he says.
‘Health is an enormous half. They need one thing wholesome and nutritious as opposed to conventional cereals.’
Jacqueline Barleycorn launched the product in 2018 alongside with enterprise companions Matt Hunt and his spouse Hayley, who additionally co-founded The Protein Ball Co.
Jacqueline did not function her enterprise alone for lengthy, selecting as an alternative to work with Matt and spouse Hayley Hunt six months after launching it.
Matt and Hayley’s monitor file was a significant draw card. They introduced with them years of enterprise expertise within the well being meals trade, as co-founders of The Protein Ball Co., which produces protein ball snacks with varied flavours and launched in 2015.
Meanwhile, the porridge merchandise, which are available three flavours – strawberry and peanut butter, blueberry and banana and goji berry and pumpkin seed – are offered in Sainsbury’s, Whole Foods Market, Selfridges and Harrods.
The Great British Porridge Co. additionally has a devoted website the place the 385 gram packs are offered individually for £three.99 or in a taster pack, which comprises all three flavours for £11. Delivery is charged at £5.45, except customers make a purchase order over the worth of at the least £24.
The product is available in three flavours – strawberry and peanut butter, blueberry and banana and goji berry and pumpkin seed – and is offered in Sainsbury’s, Whole Foods, Selfridges and Harrods
How will the Dragons’ Den funding assist?
The founders will probably be utilizing the Dragons’ Den funding to develop new merchandise, maximise advertising alternatives and improve gross sales abroad.
They have already got export offers in 5 nations.
Matt says: ‘We just launched in Sainsbury’s. We need to actually transfer it off the cabinets so trying promotions gondola ends (finish of the aisle) and varied different methods to get it within the customers’ arms.
‘We’ve gone into 500 shops. We additionally signed up with German grocery store chain Netto and hope to go nationwide throughout Germany in November this 12 months. That will want funding and promotion assist as effectively.
Business companions Jacqueline Barleycorn and Matt Hunt provided a tasting of their product ion Dragons’ Den.
Matt says the enterprise has been given a large enhance since being featured on Dragons’ Den and that includes on Sainsbury’s’ cabinets in 500 shops.
We’re hoping it’s a comfortable Brexit and never too many taxes on importation and exportation on merchandise. – Matt Hunt, The Great British Porridge Co.
He says: ‘Sales for this month alone will reach £100,000 for August and we normally average £4,000-£5,000 a month. Dragons’ Den and Sainsbury’s has actually amplified the enterprise.
‘So we’ll put a few of this a refund into advertising and money move as we’re experiencing such excessive development in turnover to make it work. We are feeling fairly fortunate after beginning the enterprise a 12 months in the past and count on £1.5million for 2020 in estimated turnover.’
However, Matt forecasts the necessity for extra funding within the close to future. He says: ‘We will want to tackle extra funding within the subsequent three months. We will want to put money into a second line and improve money and can want to take a look at methods to increase extra money.
Relief after profitable £60ok in Dragons’ Den which options on BBC TWO.
‘We have completely different choices, we have now spoken to crowdfunding platform Seedrs and Tej for extra funding however all are in early discuss phases.’
While some companies have used the Dragons’ Den alternative to get some publicity, Matt says their actual ambition was to get a Dragon on board.
‘Because it’s watched by so many there’s a PR side to it however for us it was about funding and work with the best Dragon.
‘The sales have been phenomenal so can see why people do it for PR. But we wanted a Dragon to help with finance, export market, connections in the UK and open doors.’
In spite of his success, Matt says entering into the start-up enterprise world is just not for the faint-hearted and requires dedication.
He warns that it’s not a get wealthy fast scheme as a result of within the first years you won’t generate income as you set it again in to the enterprise. For some this will imply giving up the consolation of a wholesome wage in return for the hope enterprise will ship returns sooner or later.
He provides that arduous work is that they key: ‘If you research your home country and international market and believe that your product is better than the competition then go with your heart and go with it. There are ways to get the money and the right staff – a good entrepreneurs will always go for it.’
Are they anxious about Brexit?
The solely factor that would probably put a halt to a few of the momentum gained may very well be Brexit, admits Matt, notably as the corporate imports components and exports merchandise.
He says: ‘We don’t know what the ultimate final result will probably be however we’re anxious about it and that it’ll cease the expansion of the export enterprise.’
Matt says the founders have ambitions to increase into 10 different nations however will solely make strikes on this as soon as there’s certainty about Brexit.
He says: ‘We’re hoping it’s a comfortable Brexit and never too many taxes on importation and exportation on merchandise.
Brexit might also scupper plans to hold the enterprise native.
‘We produce in Worthing in West Sussex. However, if the prices of all components will increase and it turns into laborious to conduct paperwork then we’ll have to rethink about the place it’s produced.
‘But it goes towards our identify. We’re hoping, fingers crossed, that we are able to hold the enterprise within the UK.’
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