Rachel Elnaugh
Encyclopedia
Rachel Elnaugh is a British
entrepreneur
, who came to prominence as an investor on the first two seasons of BBC Two
's TV show Dragons' Den
, in which hers was the sole female perspective alongside four male entrepreneurs known as the Dragons.
. She originally wanted to take art history
, however she was rejected by five universities, and she became an accountant
and tax consultant with Arthur Andersen
.
team play India
at the Lord's Cricket Ground
for his birthday
. She put the tickets in a series of boxed "clues" and, using the term "Red Letter Days", she developed the idea of orientating birthdays around special events into a viable and, at first, successful business. Aged 24 in 1989, she founded Red Letter Days
, which provides unusual "experience" gifts
such as tank driving, record production and aircraft flying.
The company grew to a £17.5million turnover, and led to Elnaugh's being a 2001/2 finalist in the Veuve Clicquot
Businesswoman of the Year and Ernst & Young
Entrepreneur of the Year.
and Theo Paphitis
. Although Elnaugh was at the helm before and at the time of the company's failure just days after the birth of her fourth child, she blames the problems on the actions of the last CEO whom she appointed in 2002, while she took a non-executive role.
ITV1
's "Tonight Programme
" had a more critical explanation of the demise of Red Letter Days, including unpaid suppliers and disappointed purchasers. The programme suggested the business model failed to escrow
or earmark supplier payment equity, instead using it for working capital. However this failure may well be laid at the door of Red Letter Days' bankers who placed £3 million in a bond which they refused to release for use by the firm despite the fact that it related to vouchers that had expired and were not recoverable against the business.
's Dragons' Den.
Following 5 investments over the first 2 seasons of the show, a result of disputes with various Dragons (Jones, Paphitis and Duncan Bannatyne
), and the resulting uncomfortable position of the BBC if it allowed a perceived "failed" businesswoman to be on a business panel, she agreed to leave the "Dragons' Den" panel.
adviser and business speaker. She has also written a book about "the entire business life cycle and the kind of lessons you learn along the way - through bitter experience - not just through my own experiences but through the eyes of the other entrepreneurs". Reviewed by Jonathan Guthrie in the Financial Times newspaper
, Derbyshire having moved from Sandhurst
. She is known to be a very keen visitor to Rotherham in South Yorkshire in her spare time and has been known to compliment the town in the media on several occasions stating it is one of her favourite destinations in the country to visit and has fallen in love with the town
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
entrepreneur
Entrepreneur
An entrepreneur is an owner or manager of a business enterprise who makes money through risk and initiative.The term was originally a loanword from French and was first defined by the Irish-French economist Richard Cantillon. Entrepreneur in English is a term applied to a person who is willing to...
, who came to prominence as an investor on the first two seasons of BBC Two
BBC Two
BBC Two is the second television channel operated by the British Broadcasting Corporation in the United Kingdom. It covers a wide range of subject matter, but tending towards more 'highbrow' programmes than the more mainstream and popular BBC One. Like the BBC's other domestic TV and radio...
's TV show Dragons' Den
Dragons' Den (UK)
Dragons' Den is a British television series, hosted by Evan Davis. The format of the show is owned by Sony Pictures and is based on the original Japanese series, which has been sold around the world...
, in which hers was the sole female perspective alongside four male entrepreneurs known as the Dragons.
Early life
Her family lived above her father's electrical shop, and she attended Chelmsford County High School for GirlsChelmsford County High School for Girls
Chelmsford County High School for Girls, or "CCHS", is a selective grammar school for girls aged 11–18 located in Chelmsford, Essex, England. It is one of the most consistently high-achieving secondary schools in the UK, regularly scoring in the top 5 schools for both GCSE and A-level results.In...
. She originally wanted to take art history
Art history
Art history has historically been understood as the academic study of objects of art in their historical development and stylistic contexts, i.e. genre, design, format, and style...
, however she was rejected by five universities, and she became an accountant
Accountant
An accountant is a practitioner of accountancy or accounting , which is the measurement, disclosure or provision of assurance about financial information that helps managers, investors, tax authorities and others make decisions about allocating resources.The Big Four auditors are the largest...
and tax consultant with Arthur Andersen
Arthur Andersen
Arthur Andersen LLP, based in Chicago, was once one of the "Big Five" accounting firms among PricewaterhouseCoopers, Deloitte Touche Tohmatsu, Ernst & Young and KPMG, providing auditing, tax, and consulting services to large corporations...
.
Red Letters
Wanting to run a gift business, she had difficulty finding and presenting her father with tickets to go and see the England cricketCricket
Cricket is a bat-and-ball game played between two teams of 11 players on an oval-shaped field, at the centre of which is a rectangular 22-yard long pitch. One team bats, trying to score as many runs as possible while the other team bowls and fields, trying to dismiss the batsmen and thus limit the...
team play India
Indian cricket team
The Indian cricket team is the national cricket team of India. Governed by the Board of Control for Cricket in India , it is a full member of the International Cricket Council with Test and One Day International status....
at the Lord's Cricket Ground
Lord's Cricket Ground
Lord's Cricket Ground is a cricket venue in St John's Wood, London. Named after its founder, Thomas Lord, it is owned by Marylebone Cricket Club and is the home of Middlesex County Cricket Club, the England and Wales Cricket Board , the European Cricket Council and, until August 2005, the...
for his birthday
Birthday
A birthday is a day or anniversary where a person celebrates his or her date of birth. Birthdays are celebrated in numerous cultures, often with a gift, party or rite of passage. Although the major religions celebrate the birth of their founders , Christmas – which is celebrated widely by...
. She put the tickets in a series of boxed "clues" and, using the term "Red Letter Days", she developed the idea of orientating birthdays around special events into a viable and, at first, successful business. Aged 24 in 1989, she founded Red Letter Days
Red Letter Days
Red Letter Days is a UK company which pioneered the concept of giving experience day vouchers as gifts and corporate rewards. Also see Experience gifts....
, which provides unusual "experience" gifts
Experiential gifts
Experiential gifts also known as gift experiences and experience gifts, pioneered in the UK in the 1990s, now represent one of the faster growing segments of the $253 billion a year gift industry...
such as tank driving, record production and aircraft flying.
The company grew to a £17.5million turnover, and led to Elnaugh's being a 2001/2 finalist in the Veuve Clicquot
Veuve Clicquot
Veuve Clicquot Ponsardin is both a champagne house in Reims, France, and a brand of premium champagne. Founded in 1772 by Philippe Clicquot-Muiron, Veuve Clicquot played an important role in establishing champagne as a favored drink of haute bourgeoisie and nobility throughout Europe...
Businesswoman of the Year and Ernst & Young
Ernst & Young
Ernst & Young is one of the largest professional services networks in the world and one of the "Big Four" accountancy firms, along with Deloitte, KPMG and PricewaterhouseCoopers ....
Entrepreneur of the Year.
Administration
After a poorly made strategic and financial choice of expanding via supermarket distribution, Red Letter Days went into administration on 1 August 2005; the remaining assets and goods were bought by fellow Dragons' Den judges Peter JonesPeter Jones (entrepreneur)
Peter Jones, CBE is a British entrepreneur and businessman with interests in mobile phones, television, media, leisure, and property. He became a television celebrity through his appearances on the BBC Two show Dragons' Den and on his American television show American Inventor...
and Theo Paphitis
Theo Paphitis
Theodorus "Theo" Paphitis is a retail magnate and British entrepreneur of Greek Cypriot origin. He made the majority of his fortune in the retail sector, and is best known to the general public for his appearances on the BBC business programme Dragons' Den and as former chairman of Millwall...
. Although Elnaugh was at the helm before and at the time of the company's failure just days after the birth of her fourth child, she blames the problems on the actions of the last CEO whom she appointed in 2002, while she took a non-executive role.
ITV1
ITV1
ITV1 is a generic brand that is used by twelve franchises of the British ITV Network in the English regions, Wales, southern Scotland , the Isle of Man and the Bailiwicks of Jersey and Guernsey. The ITV1 brand was introduced by Carlton and Granada in 2001, alongside the regional identities of their...
's "Tonight Programme
Tonight (TV series)
Tonight is a British television newsmagazine, produced by ITV Studios and ITN for the ITV network. Since 1999, Tonight replaced the long-running investigative series World in Action...
" had a more critical explanation of the demise of Red Letter Days, including unpaid suppliers and disappointed purchasers. The programme suggested the business model failed to escrow
Escrow
An escrow is:* an arrangement made under contractual provisions between transacting parties, whereby an independent trusted third party receives and disburses money and/or documents for the transacting parties, with the timing of such disbursement by the third party dependent on the fulfillment of...
or earmark supplier payment equity, instead using it for working capital. However this failure may well be laid at the door of Red Letter Days' bankers who placed £3 million in a bond which they refused to release for use by the firm despite the fact that it related to vouchers that had expired and were not recoverable against the business.
Dragons' Den
Prior to the administration of Red Letter Days, the success of the financial turnover and her awards in 2001/2, resulted in Elnaugh's joining the BBCBBC
The British Broadcasting Corporation is a British public service broadcaster. Its headquarters is at Broadcasting House in the City of Westminster, London. It is the largest broadcaster in the world, with about 23,000 staff...
's Dragons' Den.
Following 5 investments over the first 2 seasons of the show, a result of disputes with various Dragons (Jones, Paphitis and Duncan Bannatyne
Duncan Bannatyne
Duncan Walker Bannatyne, OBE is a Scottish entrepreneur, philanthropist and author. His business interests include hotels, health clubs, spas, media, TV, stage schools, property and transport. He is most famous for his appearance as a business angel on the BBC programme Dragons' Den...
), and the resulting uncomfortable position of the BBC if it allowed a perceived "failed" businesswoman to be on a business panel, she agreed to leave the "Dragons' Den" panel.
Motivational speaker
Elnaugh is now working as a venture capitalVenture capital
Venture capital is financial capital provided to early-stage, high-potential, high risk, growth startup companies. The venture capital fund makes money by owning equity in the companies it invests in, which usually have a novel technology or business model in high technology industries, such as...
adviser and business speaker. She has also written a book about "the entire business life cycle and the kind of lessons you learn along the way - through bitter experience - not just through my own experiences but through the eyes of the other entrepreneurs". Reviewed by Jonathan Guthrie in the Financial Times newspaper
Publications
- Business Nightmares: When Entrepreneurs Hit Crisis Point... 8 May 2008, Crimson, ISBN 185458409X
Personal life
Elnaugh presently lives in BakewellBakewell
Bakewell is a small market town in the Derbyshire Dales district of Derbyshire, England, deriving its name from 'Beadeca's Well'. It is the only town included in the Peak District National Park, and is well known for the local confection Bakewell Pudding...
, Derbyshire having moved from Sandhurst
Sandhurst
Sandhurst is a small town and civil parish in England of 7,966 homes and 20,803 inhabitants , primarily domiciliary in nature with a few light industries...
. She is known to be a very keen visitor to Rotherham in South Yorkshire in her spare time and has been known to compliment the town in the media on several occasions stating it is one of her favourite destinations in the country to visit and has fallen in love with the town
External links
News items
- Rachel Elnaugh interviewed by Dave Harries from BizView.tv
- Telegraph August 2006