Thread
I bought a business for $60k with a friend about three months ago.
It will do ~$450k in ARR this year (all from my phone).
Here’s the story...
It will do ~$450k in ARR this year (all from my phone).
Here’s the story...
I have a long list of ideas for businesses to buy and start.
But I get too busy to do deals.
How did I fix this?
I started to use a strategy where deals fall in my lap.
But I get too busy to do deals.
How did I fix this?
I started to use a strategy where deals fall in my lap.
It's called my P&L review. I look at all the expenses in my life.
Any that are:
- small
- private
- awesome
I get to the CEO and see if they're open to selling.
Any that are:
- small
- private
- awesome
I get to the CEO and see if they're open to selling.
This time the company we acquired was used by my partner @MatznerJon to run his SMB.
He was obsessed with the biz, he wouldn't stop talking about it.
He was obsessed with the biz, he wouldn't stop talking about it.
@MatznerJon One of my biz superpowers is incredibly dumb and simple.
Respond to leads faster than anyone else.
The first to lock in a client usually gets the cash in small business land sooo...
Respond to leads faster than anyone else.
The first to lock in a client usually gets the cash in small business land sooo...
@MatznerJon When he told me about this company, I instantly understood its value.
Company:
Approachment.com
What they do:
Connects offshore chat teams to owners who want to 18-21x their sales by just responding to leads 24/7 fast.
Company:
Approachment.com
What they do:
Connects offshore chat teams to owners who want to 18-21x their sales by just responding to leads 24/7 fast.
@MatznerJon Most small businesses don’t reply for 47 HOURS!
I knew instantly this was a great product.
I just had to talk the owner into selling to me.
I knew instantly this was a great product.
I just had to talk the owner into selling to me.
@MatznerJon It wasn't a massive mountain to climb:
• The gent who owned it is in his 60s
• He'd been running it for 12 years and was tired
• We were willing to pay a higher price because there were instant improvements we could make (ancient website, low af marketing spend)
• The gent who owned it is in his 60s
• He'd been running it for 12 years and was tired
• We were willing to pay a higher price because there were instant improvements we could make (ancient website, low af marketing spend)
@MatznerJon We could sense he wanted out. He was looking to retire.
We made him an offer for $60k and said he could keep some of the upside (~5%).
He said yes.
We made him an offer for $60k and said he could keep some of the upside (~5%).
He said yes.
@MatznerJon The great thing about my P&L review strategy:
I bought a business I regularly would use.
Now I not only cashflow off this thing but I removed a cost from my businesses.
I bought a business I regularly would use.
Now I not only cashflow off this thing but I removed a cost from my businesses.
@MatznerJon I think this can be a big business:
• It’s growing fast.
• It is so simple
• adds a ton of immediate value
• no additional work for the owner.
But it definitely has challenges:
• It’s growing fast.
• It is so simple
• adds a ton of immediate value
• no additional work for the owner.
But it definitely has challenges:
@MatznerJon We have to run a treadmill of hiring great talent.
And the solution isn't perfect...
Competing on speed doesn't work for every single industry
3 lessons that are massively valuable:
And the solution isn't perfect...
Competing on speed doesn't work for every single industry
3 lessons that are massively valuable:
@MatznerJon 1) Most people do the minimum in business.
Just go one step further and you're in the top 1%.
Just go one step further and you're in the top 1%.
@MatznerJon 2) Buy your liabilities and turn them into assets.
This company was a diamond in the rough.
It also can be plugged right into ALL my companies and immediately profit.
This company was a diamond in the rough.
It also can be plugged right into ALL my companies and immediately profit.
@MatznerJon 3) Partners are everything.
I wouldn't have done this deal if not for my relationship with Jon and his relationship with the seller.
I wouldn't have done this deal if not for my relationship with Jon and his relationship with the seller.
@MatznerJon If you want to see what we do after we buy a business I can write updates on it.
What do you want to know next?
These might end up in my newsletter...
Subscribe here: contrarianthinking.co/join?utm_source=twitter&utm_medium=social&utm_campaign=bio_link
What do you want to know next?
These might end up in my newsletter...
Subscribe here: contrarianthinking.co/join?utm_source=twitter&utm_medium=social&utm_campaign=bio_link
If you have a small business you are crazy not to use @Approachment_ to close more leads.
