May 19, 2015--Shark Tank Losers

Thus far there are seven officially declared candidates for the 2016 Republican presidential nomination, including Marco Rubio, Rand Paul, and Ted Cruz. Another three or four have expressed interest--former Texas governor Rick Perry, former New York governor George Pataki, former senator Rick Santorum. Five or six more are formally exploring the nomination--Jeb Bush, Scott Walker, Chris Christie. Among the latter two groups all will soon become declared candidates.

Another three have expressed interest, including Congressman Peter King of Long Island and Maryland governor Bob Ehrlich. Hovering is a group of 30 or more who at one time or another ran or thought about running and may surprise by jumping into the race. Among them are my favorites Michele Bachmann, Ted Nugent, Sarah Palin, and Herman Cain.

Realistically of these 50 or so candidates and potentials only four or five have a real chance of winning the nomination--Scott Walker, Jeb Bush, Marco Rubio, and perhaps Rand Paul. They are the only ones with big bucks behind them.

Perhaps another two or three could emerge from the pack because they appeal to the Republican base which ultimately can nominate even someone unelectable in the general election--a Mike Huckabee, Ted Cruz, or Rick Santorum.

Why then are former congressman Allen West, neurosurgeon Ben Carson, Indiana governor Mike Pence, and Ohio governor John Kasich either running like Carly Fiorina or posturing and thus signaling that they might like Bobby Jindal?

I call them the Shark Tank candidates--they are in the race knowing they will lose, but in losing wind up winning.

You know Shark Tank? One of my favorite TV programs, it is a reality show where small business owners present their products or services to a panel of very wealthy investors that includes Mark Cuban, among other things the owner of the Dallas Mavericks basketball team; Barbara Corcoran, real estate mogul; and software billionaire Kevin (Mr. Wonderful) O'Leary. Usually for a few hundred thousand dollars that the aspiring entrepreneurs seek to grow their businesses, they give up 10 to 50 percent ownership in their companies. The sharks who make the deal--investing their own money--then serve as mentors for their new partners.

In almost every instance the deals work out to be very profitable with sales typically doubling, tripling, or quadrupling over a year or two.

AirBedz was a winner. The owner received $250,000 for a share of ownership in a small company that makes air beds that inflate quickly because of their internal pumps. Kisstixx, a sexy lip balm was offered $200,000 and saw its sales skyrocket. AVA the Elephant, a plastic elephant that helps kids take their meds, secured a $50,000 investment and in turn saw its sales soar.

But the losers also tend to do very well. Scan, a mobile smartphone app that enables users to read bar codes, did not receive backing but as the result of being showcased on Shark Tank began to gross millions. As did Chef Big Shake, a seafood operation that calls itself the "home of the original shrimp burger."

Studies show that it is more the very fact of appearing on ABC TV and than being repeatedly rerun on CNBC than the money that supplies the lifting power. It is calculated that appearing on Shark Tank is worth $4-5 million in free advertising.

So, in this context, how much will it be worth, personally worth to, losers all, Newt Gingrich (yes, him) or Ben Carson or Rick Santorum to appear in televised presidential debates? Millions, some calculate in speaking fees, book contracts, and the biggest prize of all (chime in Sarah Palin and Mike Huckabee), a show of their own on Fox News.