Dragons’ Den success stories: Razzamataz
Now an international franchise brand, Razzamataz’s singing troupe won over Duncan Bannatyne in the Den back in 2007…
Company name: Razzamataz
Description: Children’s theatre and dance company
Investment received: £50,000 for 25%
Dragon investor: Duncan Bannatyne
Still in business? Yes – founder Hutton-Gosney has since bought back the equity and now owns 90%
Having already invested in Stagecoach and having “done very well” when he sold up, Dragon investor Bannatyne decided to back a similar business in February 2007; children’s dance, drama and singing franchise Razzamataz.
Razzamataz founder Denise Hutton-Gosney had entered the Den with the goal to launch her theatre schools – “fun and funky” classes for kids aged two to 18 –throughout the country. This aim has been achieved and then some.
By August 2010, Hutton-Gosney had used Bannatyne’s backing to open schools in 40 new outlets and had won contracts with major leisure brands including Thomson and First Choice; supporting expansion into 14 different countries.
Now a certified member of the British Franchise Association (bfa), Razzamataz continues to trade successfully and had hit revenues of over £318,000 in 2013.
In 2014 Hutton-Gosney bought back Bannatyne’s stake in the company for £70,000 – giving him a £20,000 return.
Watch the original pitch here.