1 Dr John Case Thursday 15 th April 2010 Stephen Spring

2 John Osher

3 John Osher - Background Earring store Used clothing store Taxi driver/Commune/Carpenter/plumber Energy conservation products Toys –Crawlspace Rainbow Toy bar –Stretch Armstrong, Giant Bubble Gum, Lazer Pop –Spin Pop Bill Salman 2005

4 The SpinPop The single least socially responsible product ever made

5 Post-Harvest Search Golf is frustrating.... Charitable activities only take so much time. What do we know? –Battery-driven, small electric motor for rotating head device that meets high health standards –Chinese partner relationship –Distribution relationships What should we do? Bill Salman 2005

6 Design Criteria for New Oral Care Product (and Company) Similar to manual but much better Battery runs 3 months Try Me! Feature retail for < $6.00 Good margins for everyone in the chain Build a company with <12 people, all over qualified Bill Salman 2005

7 SpinBrush

8 SpinBrush - Options Grow the Business Partner with P & G Sell to P & G

9 SpinBrush - Exit Overview of Business –Investment $ 1.5 million –Sales $44 million –Profit $20 million –Employees 9 Sale of Business –Down Payment$165 million –Earn out$310 million –Total$475 million

10 SpinBrush - Learnings Framing the Problem –Cheaper version of $70 product –More expensive version of $0.80 product Scanning process - finding non-consumers, over-served consumers Low price, low costs, low breakeven Hiring 101 Chinese manufacturing Making it work for everyone Built to flip vs. built to last Bill Salman 2005

11 Post-Harvest Search Golf is frustrating.... Charitable activities only take so much time. What do we know? –Battery-driven, small electric motor for rotating head device that meets high health standards –Chinese partner relationship –Distribution relationships What should we do? Bill Salman 2005

12 Play it again, Sam (1)

13 Play it again, Sam (2) Father’s Day 2004: The ShaveMan disposable electric Razor $4.95 in 1,500 WalMarts

14 Osher’s mistakes that Entrepreneurs don’t have to make (1) Wrong Expectations 1.Not enough research to confirm viability 2.Miscalculate market size, timing, barriers, share 3.Underestimate $ required 4.Over-project sales 5.Under-project costs 6.Too many people and overheads 7.No contingency plans

15 Osher’s mistakes that Entrepreneurs don’t have to make (2) General Mistakes 1.Too many unnecessary partners 2.Hire for convenience not skill 3.Lack continuous overview, manage in parts 4.Focus on scale as opposed to profits 5.Seeking confirmation rather than truth 6.Complexity 7.Lack of clarity as to aims 8.Lack of focus 9.Lack of exit plan and strategy