For many small businesses, getting onto the television program “Shark Tank” is a dream.
People who secure investment from the show’s “sharks” are promised not only funding, but mentorship and advice about how best to move forward with their companies.
Not only that, but getting on the show means many people are exposed to your product—which can boost sales. This is sometimes called the “Shark Tank effect.”
However, is what you see on TV really what the show is like? One woman says it’s not—and that she lost out on a major investment as a result.
What Went Wrong With This ‘Shark Tank’ Pitch?
In a video with over 75,000 views, one of the creators of How We Host (@howwehost) recounts what she says was her experience on the show “Shark Tank.” How We Host is a Virginia-based company. It specializes in “Amazon party finds, holiday DIYS, easy recipes, hosting hacks, [and] gift ideas,” according to its LinkedIn.
“When I went on Shark Tank, got $100,000 & a deal from a Shark, my episode didn’t air, they rescinded their offer, didn’t give me money, & I never heard from them again,” she writes in the text overlaying her video. The audio of the video says, “To be honest, I don’t know what happened, but we need a redo.”
In the comments section, she elaborates that her Shark was Barbara.
“We did go through a multiple-months long due diligence process and everything checked out,” she wrote in a comment. “After that process our episode didn’t air!”
Can This Happen To An Episode Of ‘Shark Tank’?
Mark Cuban has previously estimated that, of the many pitches they receive on the show, about 20% do not make it to air. Others have claimed that the number could be as high as half.
It’s unclear whether a deal making it to air is a prerequisite to the deal closing. That said, the Sharks have been open about not closing every deal they make on the show.
Cuban estimated that about 30% of deals one sees on TV do not happen. However, an investigation from Forbes found that 73% of the Shark Tank participants they polled did not get the exact deal they made on the show. Additionally, their investigation found that 43% of respondents said their deal did not come to fruition after the show ended.
However, there do not appear to be cases matching the TikToker’s exact description. This does not mean that this didn’t occur or isn’t possible. Rather, it’s simply that no one besides the TikToker has made a similar allegation.
Why Do ‘Shark Tank’ Deals Fall Through?
According to the aforementioned Forbes investigation, deals tend to fall through for a few reasons.
First, there’s always the chance that a Shark pulls out of a deal. This could be due to something the Shark’s team discovered during their due diligence process, or simply because the Shark changed their mind. The offers made on the show are not legally binding.
Next, it’s possible that the company itself backs out. A company could look over their financials and decide that a deal wouldn’t be right for them. Alternatively, the Shark could change the terms of the deal after the show ends.
The TikToker appears to say that these issues were not the case in her deal.
@howwehost I was depressed but am so back 👏🏼
Commenters Are Surprised
In the comments section, users offered their own theories as to what went wrong.
“If you misrepresent anything in the pitch they’ll do that,” wrote a user. The TikToker responded that this was not the issue.
“I have definitely heard of game shows not having to pay if the episode doesn’t air…. but Shark Tank seems like it would be different,” shared another.
“We didn’t misrepresent anything in ours and Barbara never closed our deal,” alleged a third. “They let the sharks just decide if they want to close the deal or not.”
BroBible reached out to @howwehost and Disney via email as well as to Barbara Corcoran via media contact form.