Mark Cuban Breaks Down The No. 1 Red Flag That Makes Him Want To Look For A Way Out On Shark Tank — Reveals Dumbest Pitches He's Seen, From Tail Lightz To Original Man Candle

Mark Cuban, the billionaire entrepreneur and longtime "Shark Tank" investor, didn't hold back during a podcast appearance, where he revealed what instantly sets off his internal red flag meter when evaluating pitches.

What Happened: In an appearance on Your Mom's House, he said, "The number one tell is when they talk about, ‘Well, if I only get 1% of this billion-dollar market…,'" adding that that’s when he thinks this is not happening, “because you're not going to get 1%.”

Cuban, who has invested nearly $20 million across dozens of startups on Shark Tank, said that sometimes when entrepreneurs start pitching, he's not looking for reasons to say yes—he's looking for reasons to walk away. 

"I've done too many deals," he admitted. "The minute they start talking, I'm looking for reasons to go out."

See Also: Mark Cuban Predicts The World's First Trillionaire Won't Be Elon Musk – It'll Be Whoever Can Master Ai ‘In Ways We Never Thought Of'

Still, he acknowledged that sometimes a pitch just clicks. "Sometimes I'll think, ‘Okay, they're not good at A, B, or C, but I'm really good at A, B, and C—so if we combine forces, maybe it works.' I'm wrong probably half the time, but that is what it is."

When asked about the dumbest pitches he's seen, Cuban pointed to a product called Tail Lightz, flashing lights meant to attach to the back of teenage girls' jeans. 

"I asked the girl in the pitch, ‘Would you wear this on a date?' … and her face just dropped," he said. "It was his niece," adding, "Nobody was going to wear that."

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Another lowlight? Weird scented candles by Original Man Candle. There was also Wake-N-Bacon—an alarm clock that cooked bacon so one could wake up to the smell.

Cuban also reflected on his worst investment: Breathometer, a smartphone breathalyzer that initially seemed promising and secured funding from all five sharks. But after the deal closed, Cuban said the founder was constantly partying and posting about it. 

We gave him a lot of money, and the next thing I know, he's on an island," Cuban said. "Whole thing crashed and burned."

Why It's Important: Despite the laughs, Cuban's commentary highlights a critical truth about entrepreneurship: great ideas aren't enough. Execution, humility, and realism matter even more.

When asked about the people who oversell and talk themselves out of deals, the billionaire said that happens all the time. “There are times that we’ll say to them just shut up you have our interest and the more you talk the worse it gets,” he stated.

With a net worth of $7.88 billion, according to the Bloomberg Billionaire Index, and years of experience on Shark Tank, Cuban's advice is hard-earned.

Cuban himself began making money early in life, starting at age 12 by selling garbage bags door-to-door. In his teenage years, he expanded his hustle by trading stamps and coins. While in college, he pursued various side gigs, including bartending and disco dancing.

Image via Shutterstock

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Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.