Megan Reilly of Tippi Toes: 5 Important Business Lessons I Learned While Being On Shark Tank

As a part of our series about the ‘5 Important Business Lessons I Learned While Being On Shark Tank’ I had the pleasure of interviewing Megan Reilly.

Megan Reilly is the COO and Co-Owner Tippi Toes®, an international franchisor of children’s dance. For more than a decade, Megan has helped franchise owners build and grow their own businesses around the world. Megan is the creator and host of the Who Is Your Momma Podcast, where she speaks to the mothers of some of the world’s most successful, CEOs, athletes, and entertainers. Learn more about Megan’s public speaking on her page https://goleeward.com/megan-reilly/

Thank you so much for doing this with us. Our readers would love to get to know you a bit more. Can you tell us a bit of the backstory about how you grew up?

I grew up in Oklahoma. I am the youngest of three girls and we had a really close-knit family. My sisters and I are very close and I work with both of them to this day. My parents are happily married for 45 years now and they were heavily involved in our lives growing up. My dad was a salesman and was very charismatic. My mom was a leader who actively participated in our school activities. My whole life, I had constant examples of love, care, leadership, and kindness. Growing up in such a supportive environment, I had a really happy childhood. It’s why I find it important to be a good leader today. I felt like I was given every advantage growing up, and I want to pay it forward to those that maybe didn’t have the same experience as I did.

Can you share with us the story of the “Aha!” moment that gave you the idea to start your company?

It’s interesting how our company started. It was actually my sister who came up with the idea. When she was a college sophomore, she was fired from her part-time waitressing job and needed to make ends meet, especially with a car payment to cover at the time. When she reached out to our parents for financial help, they challenged her to find a solution on her own. That’s when my mom suggested teaching dance at the local daycare. It started as a part-time gig to pay off her car, but it evolved over time. By the time I joined her in college, I realized that teaching dance to kids didn’t feel like a regular job — it was enjoyable. So, instead of pursuing a traditional job, I decided to join her. It wasn’t until later that we realized the potential for the business to be more than just a fun part-time endeavor. Several years later, as we poured our efforts into it, we realized it had the potential to grow and expand beyond our initial expectations. That’s how Tippy Toes started.

Can you share the most interesting story that happened to you since you began leading your company?

It’s tough to beat the experience of being on Shark Tank. It was a pretty interesting situation because it wasn’t just a one-time thing. The whole lead-up and the entire experience were completely different from running a business. So, I would say being on Shark Tank is definitely the most interesting thing that has happened since I’ve been running a company.

It has been said that our mistakes can be our greatest teachers. Can you share a story about the funniest mistake you made when you were first starting? Can you tell us what lesson you learned from that?

When we started the business, I was really young, still in college, and didn’t have much knowledge about business. We were good at teaching dance, and people were paying us, so I thought things were going well. But there was this term that kept coming up: “P&L.” People would talk about reviewing our P&L, and I had no idea what they meant. I thought they were saying “PNL” and didn’t know it stood for profit and loss statement.

For years, I didn’t ask what it meant because I thought someday I’ll figure it out. Eventually, I realized it was a profit and loss statement that showed our earnings and expenses. It was a moment of realization. I had been faking it for a long time! Looking back, I wish I had asked questions earlier. As a young and inexperienced entrepreneur, I always wanted to appear knowledgeable, so I didn’t want to ask and risk looking foolish. But if I had just asked, it would have saved me from years of pretending. I now encourage my kids and newcomers in business to always ask questions and not be afraid to admit when they don’t know something. It’s better to ask and learn than to fake knowledge. So now, I embrace the willingness to ask questions, even if it means momentarily looking foolish. It was a funny mistake, but it taught me the value of seeking knowledge and not being afraid to ask for help.

Are you working on any exciting new projects now? And how do you think that will help people?

Currently, at Tippy Toes, we’ve started a new initiative where we’re committing to building a house in Guatemala for every 12 branches we sell. It’s something we haven’t done before, and I’m really excited about it. Building these houses makes a tremendous difference for the families involved. Giving back has always been important to me, and as our business grows and becomes more successful, we want to incorporate that into our process. So, this new project of building houses for every 12 franchises sold allows us to make a positive impact and help those in need. It’s a really exciting endeavor for us.

Now, let’s move on to the main part of our interview. Many of us have no idea about the back-end process of how to apply and get accepted to be on Shark Tank. Can you tell us a story of how you applied and got accepted? What hoops did you have to go through to get there? How did it feel to be accepted?

My experience was quite different than most people who appear on the show because neither I nor my business partner actually applied. After watching the first season and enjoying it, we moved on and focused on running our business. Then, several months later, my sister received a call from a producer. They informed her that they wanted us to be on the next season of Shark Tank. We were completely surprised since we had no idea about the application process. It turns out that my sister’s husband had applied on our behalf without telling either of us. So, it was an unexpected turn of events for us. Back then, Shark Tank was not the household name that it is today, although there were still thousands of applicants. But still, as entrepreneurs, we love the show. It was so cool seeing entrepreneurs in action. Our experience was not typical at all.

Once they expressed their interest in working with us, we had to go through numerous hoops. There were multiple application processes, paperwork to fill out, and even a video application. The most challenging part of the Shark Tank experience, at least during my time, was the uncertainty. They didn’t guarantee anything. Since it’s a TV show, they have their own priorities, and they don’t owe you anything. So, while you’re diligently preparing for this potentially life-changing opportunity, you’re also aware that it might not happen at all. You invest a significant amount of money, time, and energy, knowing there’s no guaranteed payoff. Fortunately, we didn’t face that disappointment. We had every possible good option come our way. But the application process itself was challenging due to the uncertainty and the extensive work involved.

I’m sure the actual presentation was pretty nerve-wracking. What did you do to calm and still yourself to do such a great job on the show?

It was all about the preparation and focus we had leading up to the pitch. We were incredibly ready for that moment in front of the Sharks, and it felt almost instinctual when we were in that position. We had thoroughly studied and practiced our pitch. One of the top lessons I learned from Shark Tank was the importance of focus. We entered the experience with laser-like focus, not allowing ourselves to worry about things beyond our control or unrelated to our goal of securing a deal. As you take the long walk towards the Sharks, I found that the hallway is where all the butterflies on the planet reside. Your stomach flips, and the intensity is overwhelming. Even talking about it now, I still get goosebumps because the actual experience is a million times more intense than what you see on the show. However, as soon as I began speaking and delivering my pitch, I felt confident and realized, “I’ve got this!” It was all thanks to the diligent preparation beforehand. This holds true in all aspects of life — when you commit, prepare, and focus on the right things, you’ll be ready for the big moments when they arrive.

Awesome. So what was the outcome of your Shark Tank pitch? Were you pleased with the outcome?

We were very pleased with the outcome, although it wasn’t what we initially expected. Our intention was to discuss a specific aspect of our business, but the Sharks quickly shifted the conversation towards a different area, which we did not expect. However, we understood the importance of being adaptable in such situations, so we rolled with it. Surprisingly, three Sharks expressed interest in making an offer. Mr. Wonderful presented us with a deal but it wasn’t favorable so we respectfully declined. Both Barbara Corcoran and Mark Cuban also made attempts to strike a deal, but ultimately, we sealed a partnership with Mark. It was an incredible feeling to walk out of the Shark Tank hallway after sharing hugs and high-fives with Mark Cuban. Overall, it was a wonderful experience for us.

What are the five important business lessons that you learned while being on Shark Tank and please share an example for each?

The five important business lessons I learned from my experience on Shark Tank are focus, priorities, mindset, adaptability, and taking risks. These lessons extend beyond the show and apply to all aspects of my life, both personal and professional. I truly value these lessons because they have had a significant impact on my journey. Let me explain each lesson with examples.

1. Focus. Focus is crucial. It means concentrating on what we can control and what moves us closer to our goals. We often face numerous distractions and demands, whether it’s social media, family responsibilities, job expectations, or personal ambitions. From my time on Shark Tank, I realized the power of focus. By prioritizing the things within my control and those that aligned with my objectives, I achieved remarkable results. For example, we perfected our pitch by practicing it repeatedly. We did not miss a step when we delivered to the Sharks, because we practiced our pitch over and over again. We focused on three key areas: our pitch, our business, and understanding the Sharks. This unwavering focus allowed us to flawlessly deliver our pitch, leading to a positive experience on Shark Tank. I believe that if there’s anything you want in your life, if you are focused on the right things that you can control, we can accomplish anything we set our minds to.

2. Priorities. The second lesson I learned is about knowing your priorities in life. This lesson became evident after the show when we faced tough decisions regarding the deal with Mark Cuban. While the financial benefits and celebrity partnership seemed enticing, we also had to consider the loss of autonomy and authenticity. We were no longer going to be the sole owner of our company so we had to evaluate whether we wanted to sacrifice our control over the business and compromise our values. The option of money was great but I didn’t want it to be my motivation. I believe money is an outcome, it comes when you do really great work. Ultimately, we chose to prioritize flexibility, autonomy, and running our company on our terms. We didn’t sign the deal. Making a hard decision becomes very easy when you know your priorities. Our decision to walk away from the deal was aligned with our values and what we truly wanted in life. We never regretted it. Understanding our priorities empowers us to make decisions that are aligned with our goals, leading to greater happiness and fulfillment.

3. Mindset. This lesson revolves around the power of mindset. Shark Tank was a remarkable experience for me, as we secured a deal and received great exposure. However, I learned that such wins or losses do not define who I am. They are just part of my journey. The show’s success did not instantly transform my life, and similarly, failures did not diminish my worth. Recognizing that there are no silver bullets in business and that we are not defined by a single moment was a great lesson for me. It allowed me to appreciate wins as well as failures as integral parts of my overall journey. That was a wonderful lesson that I carry on in every aspect of my life.

4. Adaptability. We went into Shark Tank to pitch the idea of creating and producing dance DVDs for children so they could dance at home. During our pitch, the Sharks unexpectedly shifted the conversation away from our DVD idea to focus on our franchising business. We had to quickly adapt and decide whether to go along with the change or resist it. Being adaptable and open to change was essential in that moment. By shifting the conversation seamlessly and demonstrating our understanding of the franchise business, we impressed the Sharks and secured the deal. This experience taught me the importance of adaptability in business and in life. Being willing to adapt allows us to navigate unforeseen circumstances and find success even in challenging situations.

5. Taking risks. Lastly, I learned the significance of taking risks. When I presented the contract to my late father-in-law, he had concerns and doubts about the decision to proceed. It was a daunting prospect. Considering the size and influence of the network and the potential investment, saying no and continuing on alone was a huge risk. However, I chose to take the risk, knowing that life is about seizing opportunities and putting oneself out there. By taking risks, we open ourselves up to incredible possibilities, learn from failures, and enjoy the rewards of success. I firmly believe that by taking risks, we create the potential for something exceptional to happen.

In conclusion, my journey on Shark Tank taught me invaluable lessons about focus, priorities, mindset, adaptability, and taking risks. These lessons transcend the show and are applicable to all aspects of life. By staying focused on what truly matters, understanding our priorities, maintaining a positive mindset, being adaptable to change, and embracing calculated risks, we can navigate challenges, achieve our goals, and lead fulfilling lives. These lessons have shaped my approach to business and continue to guide me on my journey of growth and success.

What advice would you give to other leaders to help their teams to thrive and avoid burnout?

I believe it’s crucial to maintain a sense of humanity in the workplace. As a leader, it’s important to recognize that employees have lives beyond their jobs. By understanding this, we can appreciate them as whole individuals. Sometimes, employers feel the need to fulfill every aspect of their employees’ lives, but I don’t think that’s necessary. However, leaders should create a workspace where employees can bring their whole selves and feel accepted. Allowing people to be who they are brings out the best in them. It requires understanding that individuals have different skills and personalities. A leader who genuinely appreciates their team members for who they are can maximize their potential, greatly benefiting the business. Therefore, it’s crucial for leaders to remember that employees are human beings with lives outside of work — moms, dads, siblings, kids, pets — and that understanding and appreciation create a culture of warmth, positivity, and encouragement. I think most people prefer to stay in environments that are welcoming, encouraging, and nurturing.

You are a person of great influence. If you could inspire a movement that would bring the most amount of good to the most amount of people, what would it be? You never know what your idea could trigger.

In my opinion, a movement centered around health and wellness would be the most impactful. Recognizing that our well-being encompasses both mental and physical aspects is crucial, as it permeates into every facet of our lives. Cultivating a healthy culture that encourages regular physical activity, nourishing whole foods, and responsible lifestyle choices can truly change lives. There is still much work to be done in this area, and I find great fulfillment in our business’s mission of getting children engaged in enjoyable physical activities from a young age. Witnessing their success while being physically active is something I’m passionate about. By helping more individuals adopt healthy habits and embrace wellness, I believe we can bring about global change, positively addressing the mental health challenges in our society today. So, without a doubt, my choice would be to champion health and wellness.

Could you please give us your favorite “life lesson quote”? Can you share how that was relevant in your life?

One of my favorite life lesson quotes comes from Maya Angelou: “People will forget what you said, people will forget what you did, but people will never forget how you made them feel.” This quote resonates deeply with me because I believe in the power of bringing joy and serving others. Leading with kindness and warmth, making people feel cared for, appreciated, loved, and celebrated is something I genuinely enjoy. Maya Angelou’s words capture this sentiment perfectly. What I appreciate most about this quote is that it emphasizes how we all have the ability to make a positive impact. It can be as simple as sharing a smile, holding a door for someone, or reaching out to check on someone’s well-being. It’s about being present and attentive to the experiences of those around us. Personally, I find great meaning in living out this quote in my own life.

We are very blessed that some of our biggest names in business, VC funding, sports and entertainment, read this column. If there’s a person in the world or in the US with whom you’d love to have a private breakfast or lunch with, who would it be and why? He or she might just see this if we tag them. :)

I would say Oprah. You can’t go wrong with Oprah! She’s an incredible inspiration and has made a profound impact on so many lives. I admire her authenticity, resilience, and her ability to connect with people from all walks of life. Sitting down with her would be an extraordinary opportunity to learn from her wisdom and gain insights into her journey. I would be absolutely thrilled to have a private meal with her and engage in an inspiring conversation.

Thank you for this great interview!