Built to Sell Radio Ep 521 10x Outcome Selling Tiny to Private Equity and how to make the 'Cruise vs Double Down' Decision
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Nov 21, 2025 Andrew Roberts is a seasoned software entrepreneur who transformed a family-run business into TinyMCE, a leading web text editor. In this discussion, he shares his pivotal decision: maintain a stable, profitable company or chase aggressive growth through private equity. He dives into the challenges of commercializing open source, valuing his brand as an acquisition currency, and navigating personal dynamics during the sale. Andrew also recounts unexpected crises, including a shocking acqui-hire, and how these experiences shaped his new venture, Deliverables.ai.
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From Brisbane Web Shop To Global Editor
- Andrew Roberts turned a small Brisbane web-services company into TinyMCE by focusing on a single component: the embedded text editor.
- He grew it over decades into one of the most widely used web editors with millions of developer users.
Open Source Wins Distribution, Not Monetization
- Open source solves developer distribution problems by providing free word-of-mouth traffic that is hard to buy.
- Commercialization then requires premium features, support, or restrictive licenses to monetize that audience.
Value Open Source By Replacement Cost
- Value an open-source target by estimating what it would cost to buy the organic traffic and brand via paid channels.
- Pay less than that acquisition cost and structure deals to align incentives with earnouts or stock.
