NoteHall Classroom Notes
DEAL
EPISODE SUMMARY
🕓 Air Date: October 6, 2009
Asking For:
$90,000 for 10%
Investor:
Barbara Corcoran
Deal:
$90,000 for 25%
PRODUCT SUMMARY
Notehall is a web platform where college students can buy and sell class notes and study guides, facilitating academic success and earning opportunities for students.
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Background Story
Notehall, a pioneering note-sharing platform for college students, was conceived by Sean Conway and D.J. Stephan, former University of Arizona students. Both entrepreneurs shared a passion for innovation and an entrepreneurial spirit that ignited their partnership. Sean, having been diagnosed with ADHD during his college years, encountered significant challenges with note-taking. This personal struggle inspired the duo to create a solution that would benefit students facing similar academic hurdles. Located initially at the University of Arizona, Notehall quickly gained traction among students seeking academic support.
The founders recognized a gap in the market for a centralized platform where students could exchange class notes and study guides to enhance their learning experiences. Sean and D.J. drew upon their own experiences and insights gained from navigating the demanding college environment to develop Notehall. Their combined expertise in technology and business, coupled with their firsthand understanding of the challenges students face, fueled the creation of Notehall.
They envisioned a platform that would not only facilitate academic success but also provide students with an opportunity to earn supplemental income by monetizing their notes. Driven by their shared vision and determination to make a meaningful impact in the education sector, Sean and D.J. embarked on the journey to bring Notehall to fruition. With a focus on innovation and a commitment to addressing the needs of college students, they laid the foundation for a transformative platform that would revolutionize the way students access and share educational resources.
The Product
Notehall is a user-friendly online platform designed to streamline the buying and selling of class notes and study guides for college students. The process is simple: students who excel in their classes upload their comprehensive notes and study materials to the platform, while those who may have missed lectures or need additional resources can purchase them at an affordable price.
Once uploaded, users can search for specific courses or topics and easily access relevant study materials. Notehall offers a preview feature that allows potential buyers to review a portion of the notes before making a purchase, ensuring quality and relevance. The platform also includes a money-back guarantee, providing reassurance to users that they will receive valuable content.
One of the key benefits of Notehall is its ability to level the playing field for students, providing access to high-quality study materials that may not be readily available through traditional channels. Additionally, it offers an opportunity for students to earn passive income by monetizing their class notes.
Notehall’s pricing model typically involves a nominal fee per download, with note-takers earning a percentage of each transaction. The platform’s user-friendly interface and comprehensive database make it a valuable resource for students seeking to enhance their academic performance and succeed in their coursework. Accessible via web and mobile devices, Notehall offers convenience and flexibility, catering to the diverse needs of today’s college students.
How It Went
The company’s position before Shark Tank
Notehall has demonstrated strong performance and growth since its inception, solidifying its position as a leading platform for college students seeking academic resources. With a rapidly expanding user base, Notehall has established strategic partnerships with universities and educational institutions across the United States, facilitating access to a diverse range of study materials. The company’s primary partners include universities where Notehall is actively promoted and integrated into academic programs. By collaborating with educational institutions, Notehall has been able to expand its reach and attract a broader customer base.
While Notehall primarily operates as a direct-to-consumer platform, it may also engage with wholesalers or educational publishers to distribute study materials on a larger scale. However, the company’s core focus remains on providing value directly to students. Notehall’s customer base consists predominantly of college students seeking supplementary study materials to aid in their coursework. The platform caters to students from various academic disciplines and institutions, offering a comprehensive library of notes and study guides. In terms of funding, Notehall initially relied on seed capital from its founders and may have secured additional investment from angel investors or venture capital firms to support its expansion efforts.
The company’s financial health is likely buoyed by revenue generated from transaction fees and subscriptions, with potential profits reinvested into further development and marketing initiatives. As for the company’s current structure, Notehall likely operates as a technology-driven platform with dedicated teams overseeing product development, marketing, customer support, and partnerships. The leadership team, comprising founders and key executives, is likely responsible for charting the company’s strategic direction and ensuring its continued growth and success in the competitive educational technology landscape.
The Negotiations:
During the negotiations on Shark Tank, Notehall founders D.J. Stephan and Sean Conway sought a $90,000 investment in exchange for a 10% stake in their company. The Sharks were intrigued by the potential of Notehall but raised concerns about its valuation and the competitive landscape. Kevin Harrington and Robert Herjavec expressed skepticism about the company’s valuation given its relatively modest revenue figures. Initially, Kevin Harrington and Robert Herjavec teamed up, offering $90,000 for a 51% stake in Notehall, emphasizing their ability to scale the business and generate significant revenue.
However, Barbara Corcoran intervened with a competing offer of $90,000 for a 25% stake, highlighting her experience and willingness to work closely with the founders. Amidst the negotiations, Kevin O’Leary attempted to match Barbara’s offer but was ultimately outmaneuvered. In a surprising turn of events, Barbara Corcoran introduced a unique proposal, offering $90,000 for a 25% stake with an option for the founders to buy her out after six months with a 20% interest. Despite initial hesitation, the founders ultimately accepted Barbara’s offer, citing her authenticity and confidence in their business.
The negotiation process showcased the Sharks’ contrasting approaches to investment, with Barbara’s unconventional offer ultimately winning out due to its combination of financial support and flexibility. The founders’ decision to accept Barbara’s offer reflected their confidence in her ability to add value to their company and propel it towards success in the competitive educational technology market.
