Buyout

Next to IP, full buyouts of companies who come to pitch are among the most rare of deals. In a buyout, the entrepreneur walks away with a pocket full of cash and the shark keeps the company that they've built.

There are obvious upsides and downsides to buyouts. On one hand, the entrepreneur no longer has to deal with the challenges of running a company and receives a payment for all of their hard work, hopefully at above the true value of the business to factor in some future earnings and growth potential. However, they also miss out on any expansion of the business and the profits that continued success could bring.

Any entrepreneur must weigh these factors when considering a buyout.