Rachel Elnaugh founded the experience-day company Red Letter Days before selling it.
Elnaugh co-founded Red Letter Days in 1989, creating a business that sold gift experiences such as driving, dining and leisure activities. The company became a notable example of experiential gifting in the United Kingdom and helped establish a category that later attracted many competing providers.
Elnaugh became a Dragon on the BBC programme during its early years. Her business history gave her particular relevance when assessing consumer brands, gift products and companies built around memorable experiences. Red Letter Days later encountered financial problems and was sold to fellow Dragon Theo Paphitis in 2005.
The ownership history is important: Elnaugh founded the company, while Paphitis acquired its assets after the financial difficulties. The two roles are therefore distinct, and the correct answer is the founder rather than the later buyer.