I mean you have to believe in the future, but you can't love the future so much that it changes your metrics of today," Herjavec says. "I really wish there was a more reasonable value that you had on this business. It's like any great love affair. You've got to have some sense of reality to it." Herjavec says no …[read more] deal. Investor Mark Cuban asks the founders outright how high an equity percentage they'd be willing to give for $300,000, and O'Leary chimes in: "The right answer is 20%." "Captain" Daymond John negotiated the entrepreneurs up from a 5% equity stake to 20%. "Shark Tank"/ABC O'Leary explains that if the founders went to a typical venture capital firm, they'd be looking for 15%, but there's a 5% premium for a Shark, since "Shark Tank" investors are unusually involved in developing the businesses they're invested in. The Sun-Staches founders say they'd give 12.5%, and Cuban says he's out because he just doesn't see it. By this point, John shows that he wants to invest, and he makes it clear to the guys that if they weren't on the show, he'd probably ask for 30% for the same offer. "I'll save you a lot of time and money," John says, offering his extensive network of licensors and retailers.
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