Dragons LOVE pet portrait business

Dragons LOVE pet portrait business Hi, Dragons. My name is Lucy and this is Lola, [Barks] and we are the founders of Lucy & Lola. We're here today to ask for £100,000, in exchange for a 10% equity stake in our business. We create high quality, hand-drawn, embroidered pet portraits on our range of clothing and accessories, allowing pet lovers to wear- [Barks] allowing pet lovers to wear their furry best friends in a way that's stylish, sentimental and truly personal. It all started in late 2021, when I rescued Lola, here. We are now a multi-million pound business, with over 400,000 social media followers, and over 45,000 customers. Since launching, we have generated over £3 million in revenue, and this year we're forecasting to turn over 3 million, this year alone. We are a direct-to-consumer brand, selling exclusively online through our website, and powered by our in-house team of pet portrait artists and embroiderers. But what makes us really special is our design process. We give our customers unlimited edits to their pet portraits, ensuring that each order is a true collaboration between our in-house team and the customer. Creating a truly unique and personal experience. But we are now at a crucial growth stage. Up until now, we've been embroidering only on third-party blank garments. But with your investment, we will seek to manufacture our own range of pet parent apparel and of course, expand our production capacity. Now the only question is, who wants to join us on our journey? And now it's time for Lola to have a quick break. So, thank you, Lola. Hopefully you recognise which one's yours, Peter. Oh, wow. Yeah. Skylar! Beautiful. Here you go, Touker. I like it that your dog's called Lucy. Touker, what sound does that dog make? Woof woof! Oh, you love Lucy, don't you? I could cry. I'm actually welling up. Wow. You've done an incredible job. Thank you. So, what's your professional background? How did you come to to be in this business? So, I have no experience with this at all. I left school at 18 and I started working in finance, and then, obviously, got the dog. I've always been into drawing. But we kind of... It didn't happen intentionally. I never thought this is what I would be doing. I saw a gap for this kind of product, because there's a lot of products out there where people can have their cat on a pair of socks, but it doesn't feel like a truly personal service. And that's what I wanted to provide. And so how long ago did you start this business? So, we started at the end of 2021. So 2022 is your first, sort of, full trading year? And how did the business do in 2022? So, in 2022 we turned over over £200,000. We made a net profit of £25,000. And then the year after that, we scaled that to £800,000 with a net profit of £99,000. And last year, we did just under £1.5 million, with a net profit of £92,000. What is the forecast for this year? Is it 3 million? Three- Yeah, just under 3 million, so it's 2.8 million. So the gross profit we're expecting is about 2.1 million, and a net profit of just under £500,000. I mean, that is outstanding, I've got to say. I love the fact of how quickly you've grown this business. I think that I could bring a lot to the party here, in terms of making this a global business. I'm going to make you an offer. You came in asking for 100,000 for 10%. I'm going to offer you all of the money, 100,000, but for a very small 20%. Okay. Thank you very much. Can you embroider 'vampire'? Is that possible? We could do anything you like. Do you think you could? Okay. I know what I could do for this business. I think you know that as well, right? I can definitely, as... She didn't agree. I could definitely add margin to the bottom line. I've got people on the ground where this is being made, now. So, I'm also going to make you an offer. Okay. I'm going to offer you all of the money, £100,000. Also for 20%. Okay. Thank you very much, Touker. Lucy, I'm gonna tell you where I am. I have such a strange feeling right now, because it's a feeling that I've almost never had before, in the sense that, I love you. I think this is cool. I love that my dog is on this. But then I'm also thinking, I just don't think you need a Dragon. Strange thing to say, but I've not seen any- It was like the first question I asked you, which is, like, why is it you need a Dragon in this business? What is the big unlock? Versus hiring more people or some kind of board? And I still don't know what the answer to that is. I think I've benefited in my career massively from mentorship, and I think that's something that shouldn't be dismissed as a Dragon being able to provide. And I know- So, specifically, what would you want from me? I think you could definitely help us with the social side of things. The content that we've made has performed well, but I'm no content expert. I think there's big efficiencies that could be made with the marketing. I think it's a massive opportunity. And I think- Jenna, what're you thinking? So much to say. First, I just want to say, you are incredible. Thank you! I love brands that create emotional connections. And it's how you build a brand bigger than even the product. It's how you make customers and your community talk about your brand, and that word of mouth. So, it's so important. You've got something really, really special. And I see myself in you so much. Like, only five years ago, I was doing the exact same numbers. And I just really don't think you need a Dragon. I just think- I know - I really appreciate you saying that. But I think that we do need a Dragon to get to the next level, and we want the investment, and we want the mentorship, and we want that relationship. We don't have experience in this, and we really would benefit from somebody to come in and help us optimise things. Open doors for us that we're not going to be able to get elsewhere. I agree, Lucy, and I actually, I'd say something else. I would say, you're smart. If you're in here, looking for investment from a Dragon, I trust you. So, I am going to make you an offer then. I will offer you the full 100,000, but also'd want 20%. Okay. Thank you very much. Okay. Yeah, you're- You're just, like, stunningly impressive. And I really did, like Jenna said, I really liked your answer to the question, which is, there's a big psychological component to this business, which is having an experienced sounding board to help make some of these critical decisions. Cor! Quickest U-turn I've ever seen in history! It's a great, it's a great response. And as you scale, you encounter a new set of problems, but also just generally, like, being a young founder and building a business, something that I can help you, sort of, navigate, because you're going to go on one hell of a journey with this business. So, I would love to go on that journey with you. I own a PR company, I own a paid performance company. Most of my investments, we support them in that regard. Are you okay? It's like a boomerang. Yeah, it's- Yeah. And I'm going to say- Just let me finish, Touker. These guys are so threatened, it's unbelievable. Won't even let me get a word out without interrupting. But I'm going to make a slightly different offer, because everything I've seen today, there's a growing feeling in me that there is another Dragon here that's right for you. And I think that's Jenna. Look, I'm throwing it out there. But I'd love to work with Jenna and you on this business, if Jenna would be open to that. So, I am going to make you an offer, and that is, I'll offer you half the money - - for 10% of the business. And you called me a vampire going for 20%?! Wow! Can you embroider 'snake'? I just wanted to say, thank you everyone for your offers. You know, really appreciate it. I really liked how passionate Jenna and Steven were about the business, and about the mentorship side of things, and being a founder and going on that journey. My only negotiation would be that once your money is repaid, would you consider dropping down so that you cumulatively own 15% of the business, rather than 20? So, having a 7.5% stake each? I definitely would. I would as well, for sure. Then I would love to accept your offer. Well done. Thank you very much! Congratulations! You're amazing. Well done!