Taming the Dragons
BBC’s Dragons’ Den has perhaps been one of the more useful ‘reality shows’ to have hit our screens over the past few years. Short of sending half the country on a week-long course at business school, nothing else could have given so many people such a good idea of what it takes to start a business. This series has seen another business with electrical connections receive funding, so I gave the successful contestant, Andrew Harsley, a call to find out more...
Andrew’s cable tie business, Rapstrap, won £150,000 of investment from the two ‘dragons’, Duncan Bannatyne and James Caan, who last year invested in the much-publicised Chocbox. It was this connection that prompted Andrew to release 50% of his equity when he had intended to sacrifice only 15%. His product aims to reduce the wastage that is inherent in the standard cable tie design, by allowing the cut-off pieces to be used as secondary and tertiary ties.
I asked Andrew what the last few weeks have been like since the show was broadcast on 11th August: “Sales have shot up and it’s been hard keeping up with demand. The show was recorded in April, and since then we have established a preferred manufacturer, Maxell, who have the ability to produce 1 million units a week which then gives us the opportunity to go global.”
Andrew, 35, has been in the cable tie industry since the late 90s when he worked for a company developing similarly innovative designs. But after he left that company he spent two years working on R&D in a rented factory in Grantham to produce what he calls the ‘next generation’ tie, the Rapstrap.
While speaking to him it was very clear the importance he puts on the process of R&D and how he feels that some older, more established companies fall short in this area: “There seems to be culture of risk aversion when companies are run on other people’s money.”
Andrew’s commitment to developing the idea looks set to reward him well as he targets sales of “a billion units worldwide in the next year or two.” He certainly appears to have the determination necessary to achieve the goal, and now with the added marketing boost from a successful appearance on Dragons’ Den his journey should be made even easier.
It would be reassuring to think that a good idea will always flourish if pursued with enough commitment, even without the backing of some wealthy dragons. But I’m sure the archives of the Patent Office are full of fantastic ideas (as well as some hilariously ludicrous ones) that never got off the ground due to funding, apathy or legal problems. Creativity and invention has always been a strength in this country so it would be sad if a 'culture of risk aversion' was able to dilute inventiveness, especially now when we are being told that new ideas and new approaches are the key to weathering the potentially turbulent times ahead.
I would be interested to hear what you think. Will the Rapstrap do well? Are companies too cautious when it comes to developing new ideas? Email richard.scott@imlgroup.co.uk
Enjoy the newsletter,
Richard Scott
Editor
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