If you’ve ever wondered how startups on Shark Tank work out, Mark Cuban offered an insider’s perspective on his ability to pick a winner.
“Of the 71 startups that I’ve invested in through Shark Tank, two have gone out of business, three are so stupid they don’t know they’re out of business, and then probably 50, give or take, are in growth,” he said to the WSJ audience according to BI.
One of Cuban’s latest investments is based in Seattle, You Kick Ass, the female-led company that makes 3D-printed action figures that transform the everyday person into a superhero figurine.
Cuban continued to break down the math for the audience curious about his Shark Tank investments saying that 10 or 11 are netting from at least half a million up to $20 million in revenue per year, adding that about “30 percent” have retuned his initial investments.
“To me, the more important thing is the ’80/20 Rule,’ ” Cuban told the WSJ audience. “So if I have the 20% that I think can really take off, that’s what I really care about.”
According to her stats, Cuban has made 80 deals to date, investing about $19 million — above and beyond more than any other Shark. So, if you are an entrepreneur headed for the Shark Tank, keep this in mind: Cuban is your best bet.
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