My Therapy Journal – Good or Bad Business Move?

If any of you watched last nights episode of “Shark Tank” then you most likely saw the section where 2 guys present an internet therapy site and wanted 80k with a 20% stake in the company (you can view their presentation here just fast forward to minute 30). First off I want to say that I thought these guys gave one hell of a presentation for their My Therapy Journal website. I also think that their idea and site is pretty darn good too. Although I have to say that their service is most likely not for everyone, but it is unique.  Their site allows you to create a private diary to store your personal daily thoughts and feelings in a secure environment. The site also features a Progress Graphâ„¢ which tracks the way you have been feeling over time. Again, not a bad idea if you like to write alot and keep a daily dairy.

But on to the deal that they made in the show. It is really tough to say whether or not if they got a good or bad deal, I can some what understand both sides. The bad side of the deal is that they gave up 51% of the company, I don’t think I could have made this move, it is the #1 sin when creating a company. Never give up full ownership of your business, unless the only goal is to get what you can and move on to something else. The possible good side to this is that even though they gave up the 51% they still own a large portion, and the company is more likely to be successful now that they have a few big names backing them. So again, tough call.

But how good will this company do online, they currently only have about 120 paying users, will the exposure from the show be enough to boost sales? I’ll be watching this site over the next few months to see how things change. Personally I think they are going to do pretty well, I see alot of people buying into this site, mostly writers and college students, either way I think it is going to work out fine for them.

As always, thanks for reading.