What "Shark Tank" Star Barbara Corcoran Looks for in an Entrepreneur

What "Shark Tank" Star Barbara Corcoran Looks for in an Entrepreneur
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The businesswoman and investor discusses Season 8 and why kids with bad grades in school shouldn't be written off.
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You're one of the toughest ones, I have to say.
You think I'm tough?
I think you're tough.
Oh, come on. You know, I'm watching the show. I do. I watch every episode. I've seen every episode. I'm opinionated, but I'm not tough. I just need to I'm definite. I know if I want to or I don't want to and why. But that doesn't mean tough. Tough is when you work somebody over like Kevin does.
No, I'm a good way tough, though.
Oh. Yeah, I believe in uh, in saying it like it is because people invest their whole lives in these businesses, right. So, it's important that they get feedback. That's half the reason they're here. And if they're not getting the cash, you might as well give them the feedback.
True. Um, and then season 8. So much has happened over the years. How would you say that your, you know, style of investing, your standards for the entrepreneurs coming into the Tank. Has it evolved over the years?
You know, I've lowered my standards on which businesses I like. Truly lowered them because I find the businesses have very little to do with the success. But I have upped the ante on which entrepreneurs I'll give my money to, because I've found that the entrepreneur is a God-given talent and whether they're meant to be entrepreneurs determines their success. And so I've kind of shifted my focus. But so far as from season one to season 8, I've found my confidence somewhere along the way because I spent the first two seasons too scared to speak up. And then by season three, I started finding my voice and getting my feet under me. Not an easy thing for me to do. One of the hardest things I've done in my life.
Interesting. And I mean, do you is it different, you know, when you see the entrepreneurs coming in, is there something that's exciting you right now? Like you said, you're interested in all different businesses now. Is there something that you were most interested in the beginning, and now you're kind of open to?
No, actually, I'm finding that a lot of the entrepreneurs that are coming in now are better educated. They have much higher IQs. Uh, they're coming from wealthier families. They're a lot more savvy. They've got publicity. And those are exactly the entrepreneurs I don't invest in. What I'm always hunting for are the people who are really poor, really hungry, really insecure, have something to prove. Uh, somebody like me. So that I can relate to them and really help them along the way. And then you get the satisfaction of seeing the ugly duckling become the swan, and that's really what I'm always looking for.
Well, speaking of which, is it true? Because I read that you got like D's in school, which
Don't. I begged for half those D's. Don't knock it.
But it's just so crazy because you would never, I mean, most people probably would never know that, but you took, you know, this small sum of money. You turned it into your business empire, you know, this huge real estate empire. How did you, you know, keep that motivation? Like what was what would be your advice to someone like that?
Well, let me tell you, my advice to anyone, including the parents of the any ones, is don't judge a kid so early. You know, we live in a world where kids are judged by how well they can read or write, and I couldn't do that till I was in seventh grade. Think about that. So I was written off. But let me tell you what happens when you're the dunce in school. You have eight hours a day, or six hours, whatever your school length is, to sit around and daydream. And if you don't think daydreaming and fantasizing and uh, having like crazy thoughts have a lot to do with building a business, it's everything. So if you get overeducated, you know what? You know how to do it. But you don't have the gumption to do it because you're not a loser who has to prove something to the world. The best thing that ever happened to me is not being a good student because I've been studying my whole life proving I'm not stupid. And so I'm always looking for that same entrepreneur. And you know what? The great majority of my most successful entrepreneurs, except for one, were all terrible at school. So don't write people off so quick, and certainly don't spend a lot of money on that Harvard MBA, thinking that means you're going to be successful.
Well, a lot of the big entrepreneurs that have gone somewhere, you know, they didn't go to college or they started in their garage. Like it's
I mean, education is so important because it widens your perimeter. But if it's not your gig and you can't do it, why not hop off that horse and find something you could do well. And what's great about building your business is you tap into so many colors of your paints, not just one narrow thing. Like if you want to be an attorney or something. So, my gosh, uh why waste time working for the next guy? If you're an oddball, why not create something odd that mimics yourself? And find out that you're a hit with some other sucker out there who really likes what he sees, you know?
Right. Yeah. And you always talk about entrepreneurs versus wannapreneurs. Do you know right away, like when they come in the Tank, can you tell who's really a genuine entrepreneur versus a wannapreneur?
You know, that's actually more Cuban's line, wannapreneurs. He obviously gets it. I don't get that so fast. Uh so you're going to have to ask Mark on that one. But do I know who I want the minute they walk into the Tank? I always know who I don't want. And you know what happens? You're meant to stand there for a good three minutes with the cameras on you before you're spoken to, and I can actually watch entrepreneurs falling apart before they say their first word. And that's never who I want as a business partner because if they can't handle that pressure, what are they going to do when the real pressure is?
Exactly. And then, you know, everybody on the everybody on the panel, they all have their own methodologies, they have their own style of investing. Other than your own, is there someone that you really believe in that you think is the most successful?
Well, clearly, the smartest entrepreneur in the set, including me, is Mark Cuban. Because he has a talent pool that is not one-dimensional. He's very good at sizing up people. Can they in any business investment, a kid got to make it or not? You got to make that judgment. And he's great at finance, which I'm not. He's also great at the computer and technology age, which I'm not. And so Mark has a huge advantage. And by the way, the biggest advantage of all, he's sitting on that big red chair, sitting on what is it, $4 billion now? Do you know how much easier it is for him to lose $500,000 than me, who's only a millionaire? Yeah. No, come on. Mark, he's the man.
That's interesting. And then lastly, is there a favorite quote that you have that you live by?
Yeah, Babe Ruth, it ain't over till it's over.
That's the truth. It ain't over till it's over. I wish this interview didn't have to be over cuz I would I would want to talk to you all day long. So, well, thank you. So excited for season 8. Any last like sneak peeks we can get?
The sneak peek is on season 8, everybody changes up their game. You're going to be surprised at some of the left and right-hand turns that the Sharks are going to make in this season because we're all getting meaner. And so if you're looking for meanness and you like people chewed up and spit out, you should be tuned into season 8. You're going to get a lot more of it.
Yikes. I'm a little nervous about that.
Timestamps are approximate — click one to jump the player.
PEOPLE MENTIONED
- Barbara Corcoran
The interviewee, discussing her investment strategies and experiences on 'Shark Tank'.
- Kevin (O'Leary)
Mentioned as an example of a 'tough' investor on 'Shark Tank'.
- Mark Cuban
Praised by Barbara Corcoran as the smartest investor on 'Shark Tank' and creator of the term 'wannapreneur'.
- Babe Ruth
Cited for his quote, 'It ain't over till it's over'.
FAQ
What does Barbara Corcoran look for in an entrepreneur now?+
How has Barbara Corcoran's investment style changed since Season 1 of Shark Tank?+
What is Barbara Corcoran's advice regarding kids with bad grades?+
Who does Barbara Corcoran consider the smartest entrepreneur on Shark Tank?+
What is Barbara Corcoran's favorite quote?+
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