Two Dragons with the right pedigree
As the clouds darken over the economy, 'Dragons' Den' is needed more than ever before, says Donall O'Connor
Sunday February 22 2009
WE HAD prepared for weeks for our appearance on Dragons' Den. My business partner Michael O'Donnell, who has played for Limerick in Munster and All-Ireland hurling finals, and I were grilled by Donnacha Hughes and Graham Royce at the Limerick Enterprise Acceleration Centre, where our new business venture is supported and based. But nothing prepares you for that climb up those stairs, the glaring television lights, the staring Dragons and the interrogation.
Our big chance came last Thursday night. My knees were wobbling throughout.
Our business idea is a simple one. Michael and I, on our families' farms in Garryspillane, Co Limerick and Doora, Co Clare, respectively, started breeding our own pedigree herds when we were about 15. Michael bred Limousins and I bred Charolais. Years later I studied agri-business at Mountbellew Agricultural College. That's where I met Michael. Our mutual interest in pedigree cattle and women, maybe not always in that order, meant we became close friends.
The sales from our respective herds were paying for our college fees. We both graduated with business degrees from GMIT in Galway in 2005. Over pints, we discussed the idea of a website that catered for all pedigree herds in the country where you could go online and check their current stock and establish if their breeding lines suited your requirements. We could not believe no-one had thought of this idea before now. When we established that over 900,000 cattle were sold that year from farm to farm and that the majority of farmers were already online, we saw huge potential for such a website.
And so www.pedigreecattle.ie was born and launched very successfully at last September's ploughing championships. The reaction was massive. In the euphoria of our initial business success, we decided to enter Dragons' Den. We needed investors, and the national TV exposure was a bonus.
Looking at last week's show, Gavin Duffy's knowledge of the sector was impressive. Also, he was very decisive
and was the first to make an offer, and clearly wanted Sean as his co-investor. Sean Gallagher was a farmer, had graduated from an ag college and had set up businesses. The two made a formidable team.
Niall O'Farrell made a very generous offer for the full €50,000 we were looking for in return for 20 per cent in the company, 10 per cent less than what Gavin and Sean were offering. Sarah Newman, who has been so successful with her own needahotel.com web site, also wanted to invest, but it appeared to us as if she wasn't as keen to part with her money, saying she would only invest the €50,000 in phases.
The decision was an easy one. Gavin and Sean knew the sector, Niall admitted he had never bought cattle in his life, and Sarah confessed she knew nothing about farming.
I tried to negotiate Sean and Gavin down, but Sean was having none of it. The two men had the right pedigree. Michael said: "It's a no-brainer, let's go with the two boys." We accepted their offer.
Now, people are asking me, what happens after the Den? Well, the first thing you learn is you can get a phone call at any time from Sean Gallagher or Gavin Duffy. Sean is frequently in another time zone, usually the US, and Gavin doesn't seem ever to sleep. You very quickly get used to getting phone calls from him at any time.Two weeks after the recording in the Den, Gavin arranged a business development workshop. There he had lined up the country's top web designers, marketing professionals, advertising agents, PR consultants and business strategists, with input also from accountants and lawyers, to work with us. He also had Tom Kelly in attendance. Tom is the man behind the famous Monamore Holstein herd, and is also one of the world's top pedigree show judges.
The result of all this was a new business plan and improved direction and impetus. Contacts were made and doors were opened. With our new confidence, we were able to approach all the top herds. We even signed up the famous Castlemartin Charolais herd of Sir Anthony O'Reilly for our website.
But since that programme was recorded in November 2008, the clouds have turned darker over our economy. Michael and I feel we owe a big debt to RTE for giving us the opportunity to appear on Dragons' Den. Never has such a programme been needed so badly to give new businesses an opportunity in a now very negative world.
Within two years we plan to be the market leader in the pedigree cattle sector not only in Ireland, but also in the UK and on continental Europe. Our story has just begun.
