Comment by ryanSrich
10 years ago
What type of due diligence must a shark or their team do during the show? I imagine these funding offers are just term sheets pending a legit financial review?
10 years ago
What type of due diligence must a shark or their team do during the show? I imagine these funding offers are just term sheets pending a legit financial review?
The due diligence comes after filming. The deals you see on TV are a handshake deal and in my estimation only about 30-40% of them actually end up going through because a lot of founders lie about things like being litigated against, having tax liens on their company, etc. The sharks all have people on staff who sniff these problems out and make sure everything the founders say about their numbers are true.