The Philosophy of Building to Sell
June 7, 2017 |
Want to increase the value of your business by up to 71%?
Take the 13-minute survey and get your Value Builder Score
About this episode
Subscribe:
Dan Faggella started Science of Skill, an e-commerce website selling self-defense videos and paraphernalia, in 2013. His goal was to sell the business as soon as possible, and he started soliciting offers just 14 months later.
The initial offers were low, but by 2017, he received his first seven-figure offer, which he decided to accept in order to fund a new venture. Faggella took a mercenary approach to company building. He knew before he even started his business that he wanted to sell it and he describes his philosophy of building to sell during my interview with him. You’ll learn:
- Three surprising places your name should never appear if you want to sell your business.
- The one thing you should rarely do if your goal is to improve your company’s value.
- The one thing you need to remove from your job description as an entrepreneur.
- How to incentivize your remote employees.
- How to get 90% of your sale price up front.
- How to find a business broker (and what to look for).
- How the S.B.A. could influence the sale of your business.
Faggella is unapologetic about building to sell because he had a higher purpose for the money. Have you ever thought about what you would do if you cashed out? We’ll help you design a plan for your life after the sale in Module 12 of The Value Builder System™—get started right now by completing the Value Builder questionnaire.
Our guest
Dan Faggella is the CEO and founder of TechEmergence, the only market-research and company-discovery platform focused exclusively on artificial intelligence (AI) and machine learning. Faggella sold his first business for six figures and his second business for seven figures. Both served as economic fuel for TechEmergence. Faggella believes that the most important ethical concerns of the coming 30 years will be the creation and expansion of sentience and intelligence in technology. As a result, he spends his time focusing exclusively on this issue.
Related to this topic
The Acquisition of the Company Behind Chicago Bulls Sunglasses
If you own Chicago Bulls sunglasses—or sunglasses from just about any other NBA team—you owe your eyewear to Jason Bolt.
Cracking the Amazon e-Commerce Code
Sophie Howard built and sold a 7 figure Amazon e-Commerce business in less than two years. Here’s how she did it.
From Food Stamps To A Seven-figure Exit
While Michael Pedone survived off of food stamps as a kid, he dreamed of living a lifestyle where money wasn’t scarce. Fast-forward a few decades, and Pedone sold his first company for $1.2MM.
Would you rather have one million dollars in the bank today or a chance to have ten million a decade from now? It’s a philosophical question that comes down to the time value of money and your tolerance for risk.
The One Question You Never Answer
, a T-shirt business he quickly scaled from start-up to sale in 18 months.
How a Simple Strategy Led to a 35% Higher Valuation for Conversio
In 2014, Adii Pienaar started an email marketing platform for retailers, which became Conversio. By 2019, Pienaar had $2 million in revenue and 14 employees.
How To Get Acquired By Facebook (Twice)
The market for digital assistants is booming. Apple has Siri, Amazon has Alexa and Google has Google Assistant. Now, thanks to Charles Jolley, Facebook has Ozlo, a digital assistant designed to outsmart Siri and Alexa at their own game.
How to Get Negotiating Leverage When You’re Desperate
Chris Muench started C-Labs in 2008 to go after the burgeoning opportunities presented by the Internet-of-Things (IOT).
Lessons from Home Depot’s Acquisition of a $100 Million Juggernaut Blinds.com
Jay Steinfeld started selling blinds online in 1993. The e-commerce pioneer went on to build Blinds.com into a $100 million category killer before Home Depot decided enough was enough and made Steinfeld an offer he couldn’t refuse.
5 (Sobering) Lessons from the Sales of Hammocks.com
David Fairley estimates he has sold more than 20 online properties but admits it was the sale of Hammocks.com—one of his first exits—that taught him the most.
The Man Behind the $1.3B Sale of Wind Mobile
Anthony Lacavera has started 12 businesses, six of which he has exited. His exits have ranged in value from the $6 million he got for one of his recent start-ups to the $1.3 billion that Wind Mobile sold for.
How Much Are Your Employees Worth To An Acquirer?
Impact LABS had no hard assets and little intellectual property, so why would ContextLabs want to acquire them for millions?