Many would turn down Dragon offer
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Most small business owners would reject the offers made on TV’s Dragons’ Den, according to a poll by accounting software firm Kashflow. Almost two-thirds of the firms participating felt they could get a better deal elsewhere. The Dragons typically offer cash in return for taking a hefty equity stake.
The research revealed that business owners do not believe that the deals offered by the five Dragons represent good value for money. Instead they would turn to a bank in the expectation of getting a more reasonable rate on a loan, or private backers in the hope of retaining a larger percentage of their own business in an equity deal.
Of those who would take the offer, the most popular reason was to benefit from the experience of the Dragons, followed by the opportunity to grow fast and the PR benefits.
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