The Quiet Light Podcast How One Millennial Built and Sold His Business for Seven Figures
A business can't really be sold until the seller has all of their ducks in a row and is able to sell. Having everything done to prepare a business for selling can also make the transition easier and command a much larger price. If a business is built on your personal success, you have to remove yourself from the business and the process.
Daniel Fagella always knew that he was going to sell ScienceOfSkill.com, but it didn't happen as quickly as he expected. After reaching out to us after just a few years in business, he learned that he would need to hang onto the business for a few more years and work to transition himself out of the business. After growing the business to over $2 million in annual revenue, Daniel worked with Jason Yelowitz to sell his business for seven figure acquisition. His deal closed early in 2017.
Episode Highlights:- How a roof collapse was the beginning of Daniel's adventure of having an ecommerce site.
- Marketing automation based on segmenting based on behaviour.
- In order to build a sellable business, you often need to wait until you have enough history to justify bank financing
- Creating a transferable business is key to getting more value out of a business
- Working yourself out of your business involves two principles: removing your name and your image, and removing your knowledge of processes
- How Daniel had to split his time between both businesses until he had the runway to sell.
- Problems with banks not understanding ecommerce business. They had to convince them with more financials than he would have liked.
- Daniel built his business using email marketing automation.
- Tips on how to first dissect an email marketing automation campaign.
- What you need to know to build an automation campaign.
- How bad events can lead to big, positive changes in life.
- Everything worked out, but it was tougher than he thought it would be in the early days.
- Being a grown up and implementing systems and processes to get himself out of Science of Skill.
- Dan's buyer got an SBA loan. It took some time, but the deal went through.
- Life after the sale. No regrets. Transition wise, Dan couldn't have hoped for anything better.