The Deal Closers Podcast: Recent Episodes
Website Closers
Welcome to The Deal Closers Podcast - a show about how to build your ecommerce business to be profitable, scalable, and one day, even sellable.
Hosted by Izach Porter from WebsiteClosers.com, and produced by Earfluence.
According to TJ Hudak, "It is an emotional roller coaster when you're selling a business."
Recently, he worked with WebsiteClosers.com to sell his company, Paper Box SEO.
Selling can be a tumultuous experience, filled with ups and downs that need to be managed skillfully. Emotions run high, but with the right approach, the process can be navigated successfully.
So how did TJ and the WebsiteClosers team do it? And what advice can they give to those looking to eventually sell?
Let's find out!
Previous How I Built and Sold This Episodes
How Cristina Van Osten Revolutionized and Exited the Pigments Industry
How a Dog Training Guru Built and Sold Her Business
Breakthrough in Hair Care, Overcoming Tragedy, and a Successful Exit, with Beth Di Maio
From Kickstarter to Successful Exit, with California Beach Company’s Austin Wright and David Shoham
Laser Precision: How Strikeman CEO Scott Hutchison Built and Sold his Company
Netpicks’ 7-figure exit in the day trading industry
An ecommerce exit in the $150B+ supplements market
Cryptocurrency and Ecommerce: Brothers Bryan and Colin Aulds’ Successful Exit
How this 22-year-old built his eCommerce brand and exited for 7 figures
A high performance exit with GWA Auto Parts’ Gregg Alper
How RARI Exited the Supplement Space by Rising Above with Real Ingredients
How Adam Spiegel Built and Sold Ownloop
This episode of Deal Closers is hosted by Nate Lind, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
The way we handle payments is crucial to the success of any E-commerce businesses. The payment solutions market is pretty fragmented, and sometimes we hear about potentially groundbreaking innovations like instant direct payments. But you've got a million things on your mind, so the 3% cost of processing isn't all that concerning.
Except if you do $2M in sales, that's $60,000 to your payment processor. And what about the cost of any fraud you encounter? Typically, that's on you.
So it's a serious topic, and to shed light on payments for E-commerce, we're joined by Marshall Greenwald, the founder of Ionia.
With Marshall, we discuss:
(00:00:42) Instant Funding and Fraud Protection: ionipay Revolutionizing Payment Processing
(00:03:18) Streamlining Payment Processing for Merchants
(00:08:36) AI Revolutionizing Payment Processing Efficiency and Security
(00:13:06) Compatibility and Cost Analysis of Payment Upgrades
This episode of Deal Closers is hosted by Nate Lind, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
The B2B E-commerce landscape is evolving rapidly with new trends and technology shaping how businesses interact and transact with one another. From advanced digital tools to shifting buyer expectations, staying ahead of B2B E-commerce requires understanding these changes and adapting effectively.
Let's shed some light on the latest trends and strategies.
With Jason Greenwood, we discuss:
(00:04) - B2B E-commerce Consolidation
(05:16) - Expanding into B2B for D2C Brands
(10:43) - Digital Transformation in B2B
(11:09) - Digital Tools in B2B E-commerce
(21:41) - Consulting for B2B Technology Implementation
This episode of Deal Closers is hosted by Nate Lind, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
One of the most annoying parts of running an Ecommerce business is paying taxes. It's not so much that you have to pay the taxes (ok, that's not very fun). But oftentimes the bigger problem is making sure you're doing it the right way. And you're doing it on time. And you're paying enough taxes. But...
- Are you paying too much in taxes?
- As an Ecommerce business owner, how are you collecting the taxes and delivering that money to the right place, whether it's the federal government or the states?
- What if a customer is in a different state? Then are you required to collect taxes for that state? And how do you actually remit them?
- Why is it so hard to pay your taxes correctly for a small business owner?
This is a complex topic, and unfortunately we see taxes hold up a lot of transactions when we get ready to sell companies. Fortunately, we've brought on someone to the show today who can help with these questions - Lahari Neelapareddy, Founder and CEO of TaxHero.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Alex Bieker has successfully grown several businesses, such as Spiral Bible and Lume Cube, by emphasizing profitability, lean operations, and effective return on investment.
Today, Alex shares actionable strategies for building scalable, sellable, and profitable e-commerce businesses, highlighting the importance of understanding financial metrics, maintaining a strategic approach to marketing, and continuously learning and adapting to the evolving digital marketplace.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Today we're talking about the power of targeted messaging and offers, and the secret to driving successful digital marketing and lead conversion.
Davey Jones understands buyer personas, and why it's critical to address the question, "Can you really do that for someone like me?"—a query that reassures customers about the product's relevance to their needs.
By effectively leveraging tools such as discount campaigns, in-cart bump offers, and A/B testing, Davey believes businesses can fine-tune their messaging to resonate deeply with their target audience and drive sales.
And that's exactly what we all want - more sales and more profitability. So let's find out how!
(00:03:46) E-commerce Lead Generation with Targeted Popups
(00:06:41) Strategic Checkout Discounts for Increased Sales
(00:09:19) Conversion-Boosting Exit Intent Strategies
(00:17:10) Personalized Lead Generation with Interactive Quizzes
(00:24:18) Leveraging Email Lists for Business Success
(00:26:51) Boosting Cart Value with Bump Offers
(00:36:53) Boost Conversion Rates with Badao's Pop-Up Tools
Davey Jones is the CEO of BDOW and the co-host of the Brands that Book Podcast.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
It can be tricky to grow your company while trying to sell it, because growing and selling are both full time jobs and then some.
So how can a founder be expected to do all the things to maximize the offer?
Today, “entrepreneurologist” Robbie Hardy joins us to answer this question. She and host Izach Porter discuss:
- The importance of maintaining operational excellence and long-term growth to attract potential investors
- Documenting standard operating procedures (SOPs) to enhance business value
- The role of financial indicators and realistic projections in transactions
- Deal structures
- Sales cycles
- Negotiation tactics
- The balance of it all!
Robbie Hardy is the Executive Mentor in Residence at Duke University, angel investor, author, and keynote speaker.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Many founders who are building up their businesses want to sell one day. It sounds like a dream, and it certainly can be.
But the reality is it can also be very complicated, and not everyone is ready for the mental gymnastics and identity crisis of not leading your own company any more.
So how can we best prepare for the exit and train the next owners as well, so the company's next phase is set up for success?
Cindy Anderson is the Founder and CEO of Thinc Strategy, which helps owners and leaders intentionally create the value they want for themselves, their team, and their business through every life cycle of the business.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
One of the KPIs buyers are looking for when analyzing a business is its conversion rate - the number of users who converted as a percentage of the total number of users that visit your site. A steadily increasing conversion rate can mean that your brand is becoming better known or your messaging is more attractive - and that’s something that’s attractive to the buyer as well.
A decreasing conversion rate - unless you’re getting a lot more users to the site - that could indicate something’s wrong.
So what are the vital metrics we need to analyze to move towards maximizing CRO?
Courtney Lindau Lee is the Partner and Head of Practice at Nimble Gravity.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Louie Torres is a first-generation American whose family comes from Ecuador. His mom had Louie when she was 18, and he didn't have another sibling until he was 10. So he had a lot of time to himself where he would script up his own movies or set up his Star Wars collection or just dream. And part of that dream was to find a way to make some cash.
Today we share Louie's story of how he built and sold his digital marketing agency, Unleashed Consulting, after it pivoted twice, and after it nearly all came crashing down just months before he sold it.
Previous How I Built and Sold This Episodes
How Cristina Van Osten Revolutionized and Exited the Pigments Industry
How a Dog Training Guru Built and Sold Her Business
Breakthrough in Hair Care, Overcoming Tragedy, and a Successful Exit, with Beth Di Maio
From Kickstarter to Successful Exit, with California Beach Company’s Austin Wright and David Shoham
Laser Precision: How Strikeman CEO Scott Hutchison Built and Sold his Company
Netpicks’ 7-figure exit in the day trading industry
An ecommerce exit in the $150B+ supplements market
Cryptocurrency and Ecommerce: Brothers Bryan and Colin Aulds’ Successful Exit
How this 22-year-old built his eCommerce brand and exited for 7 figures
A high performance exit with GWA Auto Parts’ Gregg Alper
How RARI Exited the Supplement Space by Rising Above with Real Ingredients
How Adam Spiegel Built and Sold Ownloop
T-Shirts, Pests, Gas, and Social Security: Elliot Marks’ 4th Exit
This episode of Deal Closers is hosted by Jason Gillikin and Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Today we hear from a founder who has built and sold four very different companies - a t-shirt business before ecommerce existed, a pest control service, a gas station, and most recently, an informational website with an adsense revenue model.
How did he do it? Let's find out!
Previous How I Built and Sold This Episodes
How Cristina Van Osten Revolutionized and Exited the Pigments Industry
How a Dog Training Guru Built and Sold Her Business
Breakthrough in Hair Care, Overcoming Tragedy, and a Successful Exit, with Beth Di Maio
From Kickstarter to Successful Exit, with California Beach Company’s Austin Wright and David Shoham
Laser Precision: How Strikeman CEO Scott Hutchison Built and Sold his Company
Netpicks’ 7-figure exit in the day trading industry
An ecommerce exit in the $150B+ supplements market
Cryptocurrency and Ecommerce: Brothers Bryan and Colin Aulds’ Successful Exit
How this 22-year-old built his eCommerce brand and exited for 7 figures
A high performance exit with GWA Auto Parts’ Gregg Alper
How RARI Exited the Supplement Space by Rising Above with Real Ingredients
How Adam Spiegel Built and Sold Ownloop
This episode of Deal Closers is hosted by Jason Gillikin, Doug Grindstaff, and Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Today's topic is exit planning, and all of the steps you can take as a business owner to help you prepare to sell your business. We all want to sell for the highest possible price at the highest multiple.
So what do we need to do to get there? And what are some potential pitfalls that could affect the sale of your business that you can avoid?
Our guest is Jason Somerville, founder of GW Partners and South Col.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Cristina Van Osten is one of those people where you’re not surprised by her success because she's been making success happen her whole life. Back in her home country of Romania, she decided to sell Avon door to door at 16 years old - and thrived. A couple years later, she started two convenience stores and had a nice exit. After moving to the US at 22, while studying to be a CPA, working full time at a public accounting firm, and being a mom to her young daughter, with all the time on her hands she decided to start a side hustle ecommerce business called Rolio with her brother Radu.
Not surprisingly, that also went very well for her.
Previous How I Built and Sold This Episodes
How a Dog Training Guru Built and Sold Her Business
Breakthrough in Hair Care, Overcoming Tragedy, and a Successful Exit, with Beth Di Maio
From Kickstarter to Successful Exit, with California Beach Company’s Austin Wright and David Shoham
Laser Precision: How Strikeman CEO Scott Hutchison Built and Sold his Company
Netpicks’ 7-figure exit in the day trading industry
An ecommerce exit in the $150B+ supplements market
Cryptocurrency and Ecommerce: Brothers Bryan and Colin Aulds’ Successful Exit
How this 22-year-old built his eCommerce brand and exited for 7 figures
A high performance exit with GWA Auto Parts’ Gregg Alper
How RARI Exited the Supplement Space by Rising Above with Real Ingredients
How Adam Spiegel Built and Sold Ownloop
This episode of Deal Closers is hosted by Jason Gillikin and Doug Grindstaff, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
As Ecommerce entrepreneurs, we may not consider ourselves traditional investors. But in today's digital landscape, we're all in the business of selling and investing in our future. We may not have a stock ticker or a brick and mortar property, but we have websites and digital assets that hold incredible potential and can produce amazing cash flows.
Today we have the privilege of welcoming a true trailblazer in the world of digital investments, Matt Raad, CEO of eBusiness Institute Australia. He has defied convention to achieve financial freedom through a path that started with nothing and transformed into a high cash flow portfolio by buying and selling online businesses.
Here's how he does it.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Today, Website Closers' Gwen Sylvester joins host Izach Porter to chat with Adam Spiegel, who built and sold Ownloop, because he needed a way to make money when his career took a turn for the worse because of the pandemic.
Previous How I Built and Sold This Episodes
How a Dog Training Guru Built and Sold Her Business
Breakthrough in Hair Care, Overcoming Tragedy, and a Successful Exit, with Beth Di Maio
From Kickstarter to Successful Exit, with California Beach Company’s Austin Wright and David Shoham
Laser Precision: How Strikeman CEO Scott Hutchison Built and Sold his Company
Netpicks’ 7-figure exit in the day trading industry
An ecommerce exit in the $150B+ supplements market
Cryptocurrency and Ecommerce: Brothers Bryan and Colin Aulds’ Successful Exit
How this 22-year-old built his eCommerce brand and exited for 7 figures
A high performance exit with GWA Auto Parts’ Gregg Alper
How RARI Exited the Supplement Space by Rising Above with Real Ingredients
Adam's new company, EcomRelated.com.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
At Website Closers, we’ve brokered the sale of businesses anywhere from $100,000 in revenue to hundreds of millions of dollars ARR. But typically, buyers are looking for a company with a few million in revenue and an upward growth trend. And if you’re in the low 7-figures and kinda stuck, that might be what our guest Nick Weiksner refers to as “No Man’s Land”.
Nick Weiksner is the CEO of South Col.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Are you looking for financial freedom through passive income? That sounds like a dream for most of us, and today we're going to learn the steps to start making that dream a reality, with Spencer Hilligoss, the CEO and co-founder, Madison Investing
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Today, Website Closers' Doug Grindstaff and Lenny Farber join host Izach Porter to talk with a college student who had an extremely profitable "gap year" from college - one where he built and sold his ecommerce business.
Previous How I Built and Sold This Episodes
How a Dog Training Guru Built and Sold Her Business
Breakthrough in Hair Care, Overcoming Tragedy, and a Successful Exit, with Beth Di Maio
From Kickstarter to Successful Exit, with California Beach Company’s Austin Wright and David Shoham
Laser Precision: How Strikeman CEO Scott Hutchison Built and Sold his Company
Netpicks’ 7-figure exit in the day trading industry
An ecommerce exit in the $150B+ supplements market
Cryptocurrency and Ecommerce: Brothers Bryan and Colin Aulds’ Successful Exit
How this 22-year-old built his eCommerce brand and exited for 7 figures
A high performance exit with GWA Auto Parts’ Gregg Alper
How RARI Exited the Supplement Space by Rising Above with Real Ingredients
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Hyperlocal marketing is a strategy that targets potential customers who are close to your business location and looking for products and services like yours. The local area is usually very specific, which is awesome, but how does hyperlocal apply to ecommerce?
Let's find out from LiveRetail's Wayne Reuvers, a serial entrepreneur who has led 6 exits for a combined $110M!
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Many people think that when a company is looking to make an acquisition, they need to have the cash up front to give the seller or maybe give stock or some combination of stock and equity in their own company. And while some transactions do take place like this, most that I've seen at Website Closers require some amount of financing to get over the finish line.
Today we chat with Stephen Speer, whose company EcommerceLending.com has funded over a billion dollars in online acquisition loans. And he's here to tell us about how the financing works when you're looking to buy a business - particularly for larger deals that are over the SBA lending threshold ($5 million loan).
So let's figure out how this all works!
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Today, Website Closers' Alex Matos joins host Izach Porter to talk with the co-founder of Rari Nutrtion, Sean Kelly about his exit in the super competitive supplement space.
Previous How I Built and Sold This Episodes
How a Dog Training Guru Built and Sold Her Business
Breakthrough in Hair Care, Overcoming Tragedy, and a Successful Exit, with Beth Di Maio
From Kickstarter to Successful Exit, with California Beach Company’s Austin Wright and David Shoham
Laser Precision: How Strikeman CEO Scott Hutchison Built and Sold his Company
Netpicks’ 7-figure exit in the day trading industry
An ecommerce exit in the $150B+ supplements market
Cryptocurrency and Ecommerce: Brothers Bryan and Colin Aulds’ Successful Exit
How this 22-year-old built his eCommerce brand and exited for 7 figures
A high performance exit with GWA Auto Parts’ Gregg Alper
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
How do you know when a potential buyer is actually interested in your company or if they're just simply fishing for information? Or worse, are they trying to get access to some of your proprietary trade secrets?
Unless you already have a relationship with the buyer and you've done your homework to properly vet them, it can be really difficult to figure this out and understand what their true motivations are. So today we're bringing in a certified forensic investigator, someone who's an expert at telling if someone is being truthful or if they're just BS'ing you.
About Our Guest
Michael Reddington is a Certified Forensic Investigator, President of Inquasive, and author of The Disciplined Listening Method.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Today we're talking about subscriptions and membership sites - how to create them, grow them, and why recurring revenue streams are so attractive to potential buyers.
About Our Guest
Our guest today is Kristen Baileys, Co-founder and CEO of Bake Eat Love, which sells baking kits that come once a month.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Today's guest is Robin Bennett, co founder of The Dog Gurus, someone who leveraged her expertise in “reading dogs” into courses, memberships, books, and an eventual exit.
Today's episode of Deal Closers is hosted by Jason Gillikin, brought to you by WebsiteClosers.com, and is produced by Earfluence.
The total market value of the hair care industry is about $100 Billion worldwide and over $15 Billion in the United States. That seems like a huge opportunity, but the market is dominated by big name players like Loreal, Proctor and Gamble, Johnson and Johnson, and Unilever.
So how did Cordiale and Beth Di Maio find market share in 2007? And how did Beth overcome her husband's tragic passing and take Healium Hair to the next level - and even a successful exit?
Today's episode of Deal Closers is hosted by Jason Gillikin, brought to you by WebsiteClosers.com, and is produced by Earfluence.
As Ecommerce companies, we have so much information - sometimes too much information. What can we do with all of this data from our customers to maximize their experience while maintaining their privacy?
Well today we’re talking about the challenges that Ecommerce companies face when implementing AI, and how AI can unlock the value of your data to increase profitability, lifetime customer value, and return on ad spend.
About Our Guest
Richard Harris is the Founder & CEO of Black Crow AI, a no-code, real-time machine-learning-based predictive software that helps companies understand likely customer behavior.
Richard is a veteran entrepreneur and has been involved in tech since the 90s. He cut his teeth in the world of consulting and was involved with a $10bn brand, Travelocity, during the dot com boom. Then, he has continued to be a serial founder with Black Crow AI being his 3rd VC-funded startup.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
A couple episodes ago, Lauren Lee told us all about how we can use affiliate marketing to increase our bottom line. So how is referral marketing and word-of-mouth marketing different from that? And how can CloudSponge's Refer-a-Friend program double word-of-mouth sales?
About Our Guest
Jay Gibb is the Founder and CEO of CloudSponge, the most effective way to get people to share e-commerce products with people they know. Since 2010, CloudSponge products have helped thousands of companies (including Stitch Fix, Reebok, JustFab, and American Giant to name a few) to make more sales and reduce customer acquisition costs by optimizing their referral interfaces with contact pickers and email personalization.
As a technical leader with entrepreneurial drive and years of experience as a software developer, he has both the technical knowledge to help ecommerce store owners leverage plugins and SaaS tools for growth and the soft skills needed to communicate this knowledge to your listeners in a way that is both engaging and easy to understand.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
In Ecommerce, we all need much more than a bookkeeper to make sound financial decisions. We need instant information on cash flow, inventory, projections, and other KPIs. It's not easy, but Lio Pinchevski, CEO of Finaloop, has a solution.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
We all want to maximize sales, and a great way to do that is by leveraging other people's networks and influence to sell your products. But is it best to find influencers on your own or use an affiliate network? What platforms are best (and is it just social media)? And how do you even know when profit margins are ready?
Basically in Ecommerce, how can we maximize our bottom line by using affiliate marketing?
Lauren Lee is the Senior E-commerce Business Development Manager at ClickBank, a global e-commerce platform and affiliate marketplace.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Today we're talking about new trends in performance marketing. Simply put, performance marketing is advertising that can be measured in real time, so that means Google Ads, Facebook, Instagram - anything that gives you quick information that allows you to make the right decisions for spending your marketing dollars. Spending money effectively is imperative to success in Ecommerce, and we have one of the best to tell us how - Marin Istvanic from Inspire Brands Group.
This episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
While it's true that the cost of virtual storefront can be less than a Main Street location, you still need cash for team members, software, marketing, and inventory. When is the right time to invest that's safe and allows for growth? If we don't have the right cash flow timing, how can we overcome this obstacle?
Our guest today is Oz Merchant, VP of Customer Success and Support at Viably, and he has a solution.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
By the end of 2023, Google is planning to phase out third-party cookies in Chrome, meaning advertisers will have a much more difficult time tracking activity of potential customers. Seems like this could be disastrous for some Ecommerce companies - and yet FitzMartin's Will Riley argues that Ecommerce will largely go unscathed. Tune in to find out why.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
For many of us in Ecommerce, we don’t really work from an office and we have no intention to. But what we do struggle with is camaraderie and connection. On the show today, Brett Martin from Kumospace gives us tips on how to create a company culture, even in a virtual world.
About Brett Martin:
Brett is the President and Co-Founder of Kumospace, a platform that provides virtual offices and event spaces where remote and hybrid teams collaborate and connect. He is also the Co-Founder and Managing Partner of Charge Ventures (a pre-seed focused venture fund based in Brooklyn, NY), and serves as an Adjunct Professor at Columbia Business School where he teaches data analytics and technology strategy.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Scott Hutchison is the founder of Strikeman, a laser training system that allows firearm owners to practice their shooting skills safely at home. Strikeman makes a cartridge that’s the same size as a bullet, and it puts a laser on the back of it. When shooting the cartridge, a laser will track it to a target - and everything is captured by the Strikeman app. It's a brilliant idea, and like most entrepreneurs, Scott has plenty of them - but most of them don't work out.
Today, find out more about Scott's entrepreneurial journey, his testing philosophy when he realized his ideas weren't all the best, and how Strikeman was build and sold.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Jayson Waller has built multiple businesses, and at the beginning of 2022, his solar energy company Pink Energy was valued at $1 Billion. On his Business and Money podcast, he's interviewed Kevin O'Leary, Barry Sanders, Grant Cardone, and hundreds of others on his way to being one of the top entrepreneurial podcasts in the world. His rags to riches story is legendary. Things were going very well.
Until a scandal, lawsuit, and bankruptcy has Jayson and Pink Energy fighting for survival. Today, Jayson shares his side of the story.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
"If your potential customer can’t understand what it is that you do and how you can help them, then they are not going to convert on your site. If they can’t understand what you are selling, they will leave and go buy from someone else.” Those words are from our guest today, StoryBrand Certified Guide Jessica Embree, and she comes on to tell us how we can discover our core customers and market to them through storytelling.
About Jessica
Jessica Embree has been the Creative Director at Tulip Media Group for over six years. She is a StoryBrand Certified Guide who works with our Client-Partners to craft their brand identities into compelling stories with clear and consistent marketing messaging. Jessica is also Google
Ad Certified and takes the lead on the keyword strategies and research for all of our digital marketing programs.
A lifelong entrepreneur, Jessica started her first business at the age of 10. Under the banner of J&J Blueberry Enterprise, Jessica and her sister, Jennifer, harvested blueberries from their family’s blueberry farm and sold them door to door. She was also a competitive fencer and represented her province at the Canada Games.
Jessica is the co-author of Double Sales / Zero Salespeople: Optimize Your Sales and Marketing Into One Business Development Strategy That Works!, released in August 2021.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Hosted on Acast. See acast.com/privacy for more information.
Global E-commerce sales is now at roughly $6 Trillion a year, and the United States share of that is impressive, but it’s only about $1 Trillion a year. That means if you’re listening to this and you’re in the United States, international E-commerce is a little more than 80% of the market. So if we’re not looking internationally, we’re missing out. But how can we do that? And what are the roadblocks we need to be aware of?
Andy Hooper, CEO of Global E-Commerce Experts, has been successfully expanding e-commerce brands into new markets for over 15 years. An accomplished specialist in e-commerce, Andy now works with companies around the world providing comprehensive gateways and solutions to new markets, especially US-based organisations transitioning into Europe. Starting from the ground up, Andy has carved out a niche inspired by his own experience and success of growing an organisation’s profits through e-commerce. With an infectious energy for success, Andy leads a team of professionals in all aspects of e-commerce. With fulfilment centres in the UK & EU, the Global E-Commerce team provide hassle-free end to end solutions that have helped 1000’s of sellers capitalise on the multi-billion dollar UK & EU markets. When not working, Andy can often be found enjoying sailing, cycling, and kayaking with his friends and family on England’s south coast.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
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Today we're sharing an episode of the Ecom 365 Podcast, hosted by ShopAgain.io's Maruti Agarwal. Enjoy, and we'll be back in your feed with new episodes soon.
Brokers are an essential part of any industry. eCommerce businesses are no different. These businesses are bought and sold every day, and to steer those sales, brokers are essential. Traditional brokers have little to no understanding of the nuances of online businesses and what goes into trading them. Izach Porter (https://www.websiteclosers.com/broker...) is no traditional business broker. A man of many talents, he tells us what goes into the sale and purchase of online businesses.
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Today, Malik McCray from SimpliWorks talks about scalable Amazon advertising solutions with no ad experience and how his company is launching winning Amazon advertising campaigns in one click, improving gross sales in as little as 14 days without ever touching an ad account, eliminating keyword research, campaign set up and daily ad management with the first one-click Amazon PPC automation software.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
In 2021, Amazon had over 40% of the US Ecommerce sales with the next closest competitor (Walmart) at 7%. Some Ecommerce entrepreneurs might look at the 40% number as disheartening. How can they be expected to compete when all of the e-commerce is dominated by that brand? Others might look at this statistic as an opportunity because you can actually sell your products on Amazon, and you don't necessarily have to have an amazing website right away. There's a cost, of course, as Amazon can take up to 30% of the revenue off the top. So how do we sort all this out? We bring on Amazon expert Ashley Kinkead.
Ashley Kinkead is the founder of Private Label Mastery and the host of the Private Label Mastery Podcast.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
In 2021, Amazon had over 40% of the US Ecommerce sales with the next closest competitor (Walmart) at 7%. Some Ecommerce entrepreneurs might look at the 40% number as disheartening. How can they be expected to compete when all of the e-commerce is dominated by that brand? Others might look at this statistic as an opportunity because you can actually sell your products on Amazon, and you don't necessarily have to have an amazing website right away. There's a cost, of course, as Amazon can take up to 30% of the revenue off the top. So how do we sort all this out? We bring on Amazon expert Ashley Kinkead.
Ashley Kinkead is the founder of Private Label Mastery and the host of the Private Label Mastery Podcast.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
How can we leverage science and behavioral psychology to increase our Ecommerce sales without feeling like we're in Boiler Room or Wolf of Wall Street?
Jeremy Miner is a Sales Coach and Trainer, Founder of the Neuro-Persuasion Sales Method, and the host of the Closers are Losers Podcast.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
How can we leverage science and behavioral psychology to increase our Ecommerce sales without feeling like we're in Boiler Room or Wolf of Wall Street?
Jeremy Miner is a Sales Coach and Trainer, Founder of the Neuro-Persuasion Sales Method, and the host of the Closers are Losers Podcast.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Press releases have been around for quite some time, because it's a great way to get news out about your company. Maybe you had a record quarter, or maybe you closed out a round of funding, or maybe WebsiteClosers.com announced the sale of your Ecommerce business (those are our favorites). But the question is, How are press releases valuable to the businesses? Let's find out from Mickie Kennedy, founder and CEO of eReleases, which has been in the press release experts since 1998.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Press releases have been around for quite some time, because it's a great way to get news out about your company. Maybe you had a record quarter, or maybe you closed out a round of funding, or maybe WebsiteClosers.com announced the sale of your Ecommerce business (those are our favorites). But the question is, How are press releases valuable to the businesses? Let's find out from Mickie Kennedy, founder and CEO of eReleases, which has been in the press release experts since 1998.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
When a customer shops around on your website, they're leaving data points everywhere. But how are you using that information to give them a better shopping experience in the future and ultimately increase lifetime customer value? Our guest today- ShopAgain's Maruti Agarwal - has a solution.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
When a customer shops around on your website, they're leaving data points everywhere. But how are you using that information to give them a better shopping experience in the future and ultimately increase lifetime customer value? Our guest today- ShopAgain's Maruti Agarwal - has a solution.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Website Closers Izach Porter and Brent Fisher chat with two serial entrepreneurs, Mark Soberman and Brian Short, who just sold their day trading strategy company Netpicks - which launched all the way back in 1996.
Today's episode of Deal Closers is hosted by Jason Gillikin, brought to you by WebsiteClosers.com, and is produced by Earfluence.
91% of customers are interested in signing up for texts. 70% of people check their messages within five minutes of receiving them. And Americans are checking their phones an average of every ten minutes. So how can e-commerce leverage the use of SMS and texting to give customers the best possible experience?
Osa Gaius is the founder and CEO of Parrot, an end-to-end payment solution that leverages SMS to drive easy checkout and a higher frequency of recurring purchases.
Today's episode of Deal Closers is hosted by Izach Porter, brought to you by WebsiteClosers.com, and is produced by Earfluence.
A few episodes ago, we had Michael King from iPullRank come on and talk about SEO for eCommerce and why SEO matters even on in our Amazon addicted world.
With a pending global recession, it's possible that SEO matters even more now than ever, because it's potentially a less expensive way to generate long term traffic and revenue. Today, Lily Ray provides us some next level SEO tips so we can maximize our organic search value and hopefully optimize the value of our business prior to an exit.
Lily Ray is a drummer, DJ, fitness guru, and expert in SEO at Amsive Digital.
Today's episode of Deal Closers is hosted by Jason Gillikin, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Think about the supplement market. It's ridiculously competitive and cutthroat, so would you really want to start an ecommerce business in that space? According to Grandview Research, the global sports nutrition and dietary supplement space is a whopping $152B! So if a company could get just an infinitesimal fraction of that market, that company could do quite well. Our guest today is someone who started with no experience in supplements, no experience selling a physical product, and no knowledge of even how to find a copacker. And yet, he made it!
Today's episode of Deal Closers is hosted by Jason Gillikin, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Think about all the data that you and your team look at every day: SEO data, paid search, social media ads, social media engagement statistics, sales trends, conversion rates, inventory, and more. What if there was a way to collect all of your retail, marketing inventory, and financial data into a single source of truth?
That's exactly what Kathleen Booth and her team at Tradeswell are providing.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
Bryan and Colin Aulds weren't exactly close growing up, with older brother Bryan doing typical older brother things. But as adults, when they were both looking for their next chapters in their careers, they found common goals and beliefs that would strengthen their relationship - and their wallets.
Hear their story of starting PrivacyPros, creating the Billfodl, and eventually exiting for 7-figures - with the help of WebsiteClosers.com.
Bryan and Colin Aulds are the co-hosts of the Unhashed Podcast and (now) co-founders of 10NetZero.
Today's episode of Deal Closers is hosted by Jason Gillikin, brought to you by WebsiteClosers.com, and is produced by Earfluence.
At 18, Vilen Abrahamyan left Armenia to come to the United States and enroll in college. Unfortunately, when he arrived, he was already too late for the semester. Instead of waiting around, Vilen went to YouTube University and learned everything he could about making money online. And today at the ripe old age of 22, Vilen has his first 7-figure exit.
Hear his story of starting GetPhoera.com, building it, and eventually selling it with the help of WebsiteClosers.com.
Today's episode of Deal Closers is hosted by Jason Gillikin, brought to you by WebsiteClosers.com, and is produced by Earfluence.
Gregg Alper got into ecommerce back in 2008, while he was working at an auto repair shop. He put up a website, and the results were pretty surprising. In 2015, Gregg had build that side of the business to 15 people, when he realized that no matter how hard he worked and how much the website grew, it wasn’t really his. So he decided to start GWA Auto Parts.
Tune in to hear about how that company grew as well, and how Izach Porter and Ron Matheson from the WebsiteClosers.com team ultimately helped him exit.
Today's episode of Deal Closers is hosted by Jason Gillikin, and is produced by Earfluence.
Copywriting isn't easy. We could all be writing more blog posts, more LinkedIn articles, and even more social media, but in the day-to-day of everything we have going on, it's hard to find the time to make something both educational and entertaining.
And maybe more importantly for e-commerce business owners, how do we make content that search engines like? Even though it can be tedious, it's extremely important, and maybe we can figure out a way to make it fun. We found someone who can help - all the way from Australia, Kate Toon.
Kate Toon is a misfit entrepreneur, amateur hula hooper, and founder of the Clever Copywriting School.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
We’ve all seen chatbots on the bottom right. If we engage with them, sometimes they work pretty well and other times…well, not so much. The New York Times recently wrote an article on chatbots where they described trying and failing to find a solution with a chat bot as a “spiral of misery”.
But we also know that chatbots can be super effective (just ask WebsiteClosers.com clients). So how can we use chat bots effectively?
Joe Bush is the CEO of The Chat Shop, which harnesses the power of conversation and defines the nature of every visitor’s online journey.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
Search Engine Optimization (SEO) can seem confusing and mysterious. And the SEO industry seems to have more scam artists and spam emails than the weight-loss industry. But we all want to rank on Google to get free organic search traffic to our websites, especially for relevant keywords, because of the high potential impact on the bottom line. So what works and what doesn't in SEO? And do small Ecommerce sites have a chance against the big players like Amazon and Walmart?
Michael King is the founder and CEO of iPullRank and has been in the SEO space since the Wild Wild West days in 2006.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
Ecommerce is ever evolving, and sometimes it's hard to keep up. Today, WebsiteClosers.com co-founders Jason Guerrettaz and Ron Matheson give us the State of Ecommerce in 2022 so you can stay up-to-date on trends, tools to use, and how to grow your Ecommerce business.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
Ecommerce is always changing because of the technology that's available to us - in sales, marketing, conversions, product reviews, and analytics, or your CRM (and actually many more), we need to know what the best technology apps and services are that are going to give us an advantage over our competitors. So today, we chat with Derric Haynie, Chief Ecommerce Technologist at Ecommerce Tech, which specializes in keeping your tool stack up to speed with the growth of your store.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
It’s a simple concept really - people want to buy things that other people have already bought and have given their approval. Good recommendations for a product means more people will buy, and bad reviews mean the product might flop. But here’s the thing: As an ecommerce business, you almost certainly need to have product recommendations available because of these stats:
- 54% of retailers reported product recommendations as the key driver of the average order value in the customer purchase.
- 75% of customers are more likely to buy based on personalized recommendations.
- 37% of shoppers that clicked a recommendation during their first visit returned, compared to just 19% of shoppers that didn't click a recommendation
So as an ecommerce company, how do we leverage product recommendations to maximize conversions and order size?
Today we welcome Michael Prichard, CEO of Skafos.ai, to tell us about a new way to do product recommendations.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
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What happens when your ecommerce business is doing well and scaling, and someone starts asking questions about buying the business. It sounds amazing, but are you even ready for the conversation? Today, Christian Rivera from The eCommerce Accountants comes on to talk about how you can get your business ready for an exit.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
When you're relying on apps or websites that you don't own to sell your products, it can be pretty scary. Sometimes, when we think we have things figured out, the goalposts really start moving on us. You have Facebook nailed down, the revenue is rolling in and then, something changes and things just drop off a cliff. In a post iOS 14 world, this happens all too often - but Alex Fedotoff is here to tell you how to protect your eCommerce business.
Alex Fedotoff started his eCommerce journey as a cookie salesman, making $100 a month from his parent's apartment in Ukraine in 2014. Now, he’s the founder of eCommerce Scaling Secrets and the founder of several seven and eight-figure eCommerce brands. In this episode, he shares some of his secrets to eCommerce success even as things change.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
When you’re starting your e-commerce business, your sole focus is getting the business off the ground. Constantly on your mind are things like, How do I set up my website so it’s functional and attractive? How am I handling shipping? Do I build a team right away or do I take it slow? Where should I spend my marketing dollars?
One thing you’re probably not thinking about is your exit strategy - and building a team around you to help you think about that on day one.
Pradeep Aradhya is the founder and CEO of Novus Laurus, serial Board member, and member of the Forbes Business Council.
Making an Advisory Board Work for Your Company, by Pradeep Aradhya
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
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California Beach Company was founded by Austin Wright and David Shoham. If you look up their names or the company now, you’ll see the pretty. You’ll see the Kickstarter success story, the millions of dollars in revenue, the advice they give to other entrepreneurs, the exit (with help from WebsiteClosers.com). But what you might not see is how they got here, the struggle they went through and the failures throughout their path to success.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
Here’s the problem we see at Website Closers. A company gets the big exit it’s looking for, and all of a sudden they have more in their bank account than they’ve ever had before. They’re not just paper rich, they’re actually wealthy. Except when you make a lot of money, Uncle Sam wants his cut as well. So how can you prep your company so that you don’t see the unexpected tax bill?
Today, tax prep expert Richard Ehrlich gives us his tips.
Richard (Linkedin) is the CEO of International Liquid Capital and managing partner of the Secure Wealth Planning Group.
Deal Closers is hosted by Izach Porter and is produced by Earfluence.
Many of us shop online with the express expectation that the items we purchase will be easily returned if we’re not satisfied with them… But how many of us have considered what happens to those products after we ship them back to the retailer?
Brandon Dupskyis theco-founder and CEO of Back-Track, a company dedicated to helping online retailers recover the profits lost to surplus inventory and customer returns. He joins us today to talk about what he likes to call his “billion dollar mission to save e-commerce” and how the company is working toward achieving that goal.
In episode 4, season 2 of The Deal Closers, Izach and Brandon discuss some common mistakes that sellers are making, the multiple steps Back-Track takes to ensure their clients can recover their losses, and what their cash flow process looks like. Listen and learn how Back-Track helps clients diagnose the flaws in their products that spur returns and why sellers need to spend way more time researching how to be competitive.
In this episode, you will learn:
- Some background on Brandon’s experiences in e-commerce (01:04)
- The usual route that a product returned to Amazon takes after it’s shipped back (05:24)
- Exactly what Back-Track’s process looks like (07:39)
- Why Back-Track doesn’t need a 100,000 square foot warehouse to efficiently meet their goals (13:20)
- Some of the common flaws that Back-Track sees that cause buyers to initiate returns (15:12)
- How Back-Track is striving for sustainability (18:48)
- What the typical product and price point looks like for Back-Track (22:11)
- What Brandon believes is the most interesting e-commerce ecosystem (26:09)
Resources:
- Website Closers
Connect with Brandon Dupsky:
- Back-Track
- Buyboxclub.com
Connect with Izach Porter:
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One could argue that entrepreneurship is an integral part of the American Dream—but just how easy is it to achieve that dream? Luckily for potential small business owners, the SBA and online lending options are making the dream an increasingly realistic possibility.
Stephen Speer, Founder, CEO and Online Business Acquisition Advisor of eCommerce Lending, joins us today to discuss what his world looks like in the online lending space, as well as how COVID-19 has impacted the industry.
In episode 3, season 2 of The Deal Closers, Izach and Stephen talk about the ins and outs of SBA loans, their limitations, and what goes into the process. Listen and find out some red flags buyers and sellers can look out for, and how sellers can best prepare to sell their business.
In this episode, you will learn:
- How Stephen got started in lending and the path that led him to founding eCommerce Lending (01:13)
- A little about eCommerce Lending’s acquisition process (05:11)
- Why there are so few alternatives to financing outside of the SBA (06:57)
- Some background information on SBA loans and the different types (10:34)
- How a small business owner can go about securing an SBA loan from the right lender (14:06)
- What the experience looks like for the buyer in the process (17:35)
- Some challenges or issues that come up that could be a showstopper (22:04)
- The impact of COVID-19 on the process (24:28)
- What the minimum downpayment looks like for an SBA loan and the variations that may occur (26:26)
Resources:
- Website Closers
Connect with Stephen Speer:
- eCommerce Lending
Connect with Izach Porter:
See acast.com/privacy for privacy and opt-out information.
In the current climate, Amazon often seems like the end-all be-all of eCommerce. It’s an incredibly valuable tool, but there are still some lessons to be learned about creating a brand and using multiple platforms and resources to grow it.
Kyle Walker, Co-Founder and Chief Acquisitions Officer at Foundry, joins us today to talk about what his company looks for in emerging brands and gives some advice on how to better connect with customers, and how he parlayed a seven-year tenure at Amazon into a career as a digital brand builder.
In episode 2, season 2 of The Deal Closers, Izach and Kyle discuss the best ways digital brands can build and delegate resources, and why he’s dedicated to helping educate founders. Listen and find out why it’s so integral for brands to gather as much information as possible, the importance of understanding each brand’s uniqueness, and what’s next for Foundry Brands.
In this episode, you will learn:
- Some background on Foundry Brands (02:52)
- The areas that a brand can invest in to create enterprise value today (04:46)
- The benefit for sellers of having outside traffic being generated toward Amazon (11:08)
- How founders can optimize their limited time by making sure the content they’re creating is as effective as possible (14:10)
- Why Foundry has a specific set of criteria for their brands—and what they’re looking for (17:09)
- What it looks like when Foundry forms a partnership with a founder, and the ways it can vary (21:57)
- Foundry’s long-term vision (26:00)
- How brands are creating a stronger, more cohesive connection with customers (28:37)
- Kyle’s advice for best practices for those in the market to sell their business (31:12)
Resources:
- Website Closers
Connect with Kyle Walker:
- Foundry Brands
Connect with Izach Porter:
See acast.com/privacy for privacy and opt-out information.
In today’s rapidly evolving economy, it’s more important than ever to make sure you’re maximizing the value of your business when you’re ready to sell. Add backs are one crucial way to make that possible.
Today, we’re talking about the value of add backs, what's realistic, what buyers are pushing back on, and what concessions they’re willing to make. We cover exactly what an add back is and what it isn’t, how aggressive we should be with them, and why we use them.
In the first episode of The Deal Closers' second season, Izach and Nate talk through some examples of when add backs are used, some of their benefits, and some of their own advice regarding the expense. Tune in and learn why it’s so important as a seller to understand add backs, the pros and cons involved in the decision, and the important role that brokers can play.
In this episode, you will learn:
- What exactly an add back is (01:06)
- A live example of an add back (01:53)
- Some reasons add backs can be beneficial (06:20)
- What’s considered a negative add back (08:30)
- The broker’s role in the add back process (09:35)
- Non-standard add back scenarios (13:33)
- How the complexity of the deal can affect your timeline (16:18)
- Some of our personal advice regarding add backs (17:58)
Resources:
- Website Closers
Connect with Nate Lind:
- YouTube
Connect with Izach Porter:
See acast.com/privacy for privacy and opt-out information.
The Deal Closers Podcast is back with a new host, Izach Porter. Returning Tuesday October 26th, this is the podcast for Internet Mergers & Acquisition. Tune in on your favorite podcast app.
See acast.com/privacy for privacy and opt-out information.
What would you do if overnight you became a millionaire?
Maybe you’d move to a new city, buy a new house or a car. Or maybe you’d look for a way to make your newfound wealth grow.
For Amazon Seller experts David and Leah Cupps, they decided to use the cash from the sale of their first business to continue growing their wealth and pursuing their business passion.
On today’s episode of Deal Closers – A Tech & Internet M&A Discussion, the couple shares the story of how they transitioned from Amazon sellers to business sellers and offer some great tips on how to make a business the perfect fit for buyers.
In this episode, you will learn:
- What the drivers were for starting their first business. (01:04)
- The experience of selling an Amazon business for the first time. (03:32)
- The stress factors involved in selling a business. (05:09)
- How David and Leah managed to reverse-engineer the process of selling an Amazon business, in order to grow the potential of their next ones. (07:48)
- The characteristics of a good seller, from their perspective. (08:52)
- How to make the transition easier for both the buyer and the seller. (10:16)
- How to build your audience, to have more control over how the sales are grown. (13:55)
- Why Amazon is the go-to platform for selling your products. (18:27)
- What to spend your time on, as a first-time seller. (21:34)
- The importance of having a specific plan for a specific goal. (22:38)
- David and Leah’s advice for business owners. (24:47)
Resources:
- websiteclosers.com
- Website Closers: Need Help Selling an Amazon Business?
See acast.com/privacy for privacy and opt-out information.
Remember when you first decided to start your eCommerce company? It probably felt like a roller coaster, with so many decisions to make, so much potential to grow and still, so much risk masked by unknown factors.
Now, when you decide to sell your company, that roller coaster starts all over again.
On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, Jason and Ron from WebsiteClosers.com talk with an expert of affiliate companies, Nate Lind, about the benefits of joining affiliate networks for your business.
Nate Lind has successfully launched 23 supplement and eCommerce brands, grossing over a million dollars each, since he started, in 2011. He brings a high level of experience in this sector and fully understands the day-to-day challenges of Internet Entrepreneurs.
[01:12] What was Nate’s first eCommerce selling experience like?
- He was interested in buying a supplement company, but the problem was that the owner was the brand and it was hard to separate the two of them. The owner didn’t want to continue to be involved in the business, so the transition was going to be really hard. Nate managed to partner with a couple of folks and successfully launched the supplement brand.
- The upside of this deal was that he got to learn so much about the supplement and eCommerce businesses, just through the due diligence process and from his previous business experience.
[04:24] Have you found, yet, what a good buyer is?
- The easiest ones for me are people that I’ve got a personal relationship with. They’ve been coming to my events and there’s hundreds of people that have been to my past trade shows or my masterminds, and I’ve got a personal relationship with them.
- I’m guessing every broker within the firm has an inner circle of buyers, people that they know have funds or they know can qualify for funding. What happens over time is we build relationships with each other, and that turns into an immediate win.
- Also, the people that I’ve done business with are through a third party – so there’s a lot of referrals too.
[06:47] Why would affiliate and off-Amazon direct sales companies also appeal to buyers?
- Most of the businesses in the off-Amazon universe and in the Amazon universe are home-based businesses, and that’s what most people are looking for. They don’t tend to have a brick & mortar presence.
- If I were a family office and I had a couple of brands sold on Amazon, before I started rolling up too many of those, I’d really look into an affiliate network, I’d look into some alternative sort of company that will give me the spread of risk into other opportunities because the entire world that we know here, in the Amazon space, can completely change overnight.
- Amazon banns certain products, but that doesn’t mean they are illegal – it’s just that they have their own rules as it relates to what they will and won’t sell. When it comes to the additional platforms, it makes it a lot easier to launch new products and a lot less risk.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
Small business is the backbone of the United States. Without ambitious entrepreneurs starting small businesses, the economy would take a huge hit.
At some point, for many business owners, there comes a time when someone offers to buy the business.
But, where do these people find the funding to buy a business?
On today’s episode, Jason and Ron from Websiteclosers.com, talk with expert Stephen Speer – the founder of eCommerce Lending Inc. – about SBA loans, how buyers acquire them, and what myths and misconceptions there are around SBA loans.
[01:15] What is an SBA loan?
- SBA – Small Business Administration – is a department within the Federal Government;
- The Federal Government, through SBA, offers 75% of the loan, to banks that lend money to small businesses;
- There are several types of SBA loans, but the only one available for business acquisitions is called, “The 7(a) Loan”, which comes with a specific set of rules;
- It could be one business or 50 businesses – you’re allowed up to $5 million balance of SBA loans.
[02:50] The advantages of the SBA process:
- For a seller, the SBA process is really important because they can get 85-90% of the entire deal in cash at closing;
- The buyer gets an entire decade to pay back a loan, through the cash flow of a business;
- The interest rates for SBA loans are reasonable and much lower than what you might see if you’re trying to get a commercial or a personal loan;
- There’s a lot larger buyer pool that can afford to get into an SBA loan because the down payment is so low.
[05:37] Who are SBA loans built for?
- They’re built for small business owners and in the business acquisition world, they’re built for buyers of businesses;
- Loans up to $5 million pretty much cover any need for any small business owner –for example, real estate loans, business acquisition loans, equipment loans, etc.
[06:22] What sets eCommerce Lending apart from other sources?
- They’re not a bank, meaning they’re not lending their own money;
- They are facilitating transactions with their lending partners;
- They put together the structure of the deal and work from start to finish with their buyers;
- Their value is their expertise and the fact that they are very flexible. For example, if a lending partner doesn’t like a deal, they’re able to switch gears without restarting the process, and offer it to another one of their lending partners very quickly;
- They collect every bit of documentation required and ask as many questions as possible before the loan goes into underwriting;
- If there are weaknesses in the deal, they address them up front, because the underwriter is going to ask the same questions.
[09:25] A piece of advice from Stephen to anyone interested in buying a business with an SBA loan:
- It’s imperative for any buyer out there, to get pre-qualified before beginning their search. At eCommerce Lending, they offer their time, free of charge, to speak with buyers.
Resources:
- websiteclosers.com
- eCommerce Lending Inc.
See acast.com/privacy for privacy and opt-out information.
Putting your company on the market, especially in today's world where tech companies are increasingly more valuable, the kind of deal you want to focus on is the deal that will bring you closer to your desired number.
There are many, many layers to this process and buyers don’t grow on trees, so you have to be aware of some common practices of the industry before you dive deep in trying to sell your company.
On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, Jason and Ron are joined by another Websiteclosers.com broker - Lassiter Mason – and they talk about the process around selling a tech company, industry trends in M&A, and some of the mistakes first-time sellers make.
[02:11] The reasons why tech companies have more demand than brick & mortar businesses:
- People get more and more interested in having things delivered to their home;
- The tech world is continuously developing, and advances are made in robotics or AI;
- The tech side is not location-specific, so it’s much easier to get a deal done.
[04:45] Then and now - the evolution of the M&A industry over the past 10 years:
- Five years ago, anybody with a little bit of spare time on their hands opened up an Amazon account, got widgets on Alibaba and just sold them. Now, you can’t do that anymore. If you’re on Amazon, you have to be far more sophisticated if you’re going to compete and succeed;
- The size of the deals have changed – it used to be hundreds of thousands, now we’re talking about millions and tens of millions of dollars;
- Now, buyers and sellers have the support from professionals like accountants or attorneys, whereas in the past you could hardly find people specialized on these e-commerce needs;
- In the past, all traffic was driven through websites. Slowly but surely, people began selling on Amazon and now almost everybody is in the e-commerce space.
[10:57] Some rookie mistakes sellers make:
- They don’t have good books – You have to have the books before you can go to market because the first question buyers are going to ask is, “Let me see the books.”
- Sellers can get a little crazy on their tax returns – they play around with inventory, which affects the cost of goods sold. This, in turn, affects their chance of getting financed by the bank;
- Sellers take their foot off the pedal and stop trying to grow the company – we always talk about selling on the way up, you always want to sell with growth and you want to continue to grow during this process – this is a two to four months process, so it isn’t something that happens in a day;
- Sellers have expectations that are way beyond what anybody would be willing to pay. It’s important to understand, as a seller, that if your expectations are not reasonable and they’re not within the market, your opportunity to close goes down tremendously because you also have to understand that the buyers that are out there will work with you after the close. If your expectations are too high and you’re pressuring too much, they know what it’s going to be like after closing, and they don’t see you as a “reasonable person”.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
We hear a lot from our broker experts, Jason and Ron, on the show. Each week, they come in and drop nuggets of wisdom about the ins and outs of the industry.
But in this business, there are a lot of companies to sell and a lot of obstacles that can come up. With so much going on, there are plenty of professional brokers out there.
On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, we’re bringing in a different voice, Tom Howard, another broker from WebsiteClosers.com. Over the last 20 years, he has built, launched, and sold new small businesses mostly around financial services and technology.
[01:35] What do you find unique about the tech side of the industry?
- One of the unique things is the pace of deals. In tech and in the online world in general, things just move really quickly;
- In the tech space, the sellers and buyers are all over the world, and it makes no difference where our company is located, for the most part, in this virtual space.
[08:43] Looking at the industry when you first started out in your career, Tom, what did it look like then, compared to now?
- When I started out, the owners that were coming in, they had started businesses maybe as a side gig or just to generate some extra cash flow and in a lot of cases, the businesses had grown and outdone their expectations. Most of those early businesses were driven more by AdWords or organic SEO traffic, and Amazon was a channel but not necessarily a primary channel;
- Watching how things have changed on Amazon, is unbelievable. Even though for some reason people see Amazon as being a big risk, from the standpoint of a retailer, they’re a much more comfortable place to be because you know what you’re going to get with them;
- About 75% of all search for consumer goods now starts with Amazon, rather than Google, and over 50% of all e-commerce sales happen at Amazon now.
[13:00] What about some of the things that might have stayed the same?
- Something that stays the same, and always will, is the fundamentals of business – proprietary value, clean financials, growth, product differentiation, lack of concentration. The overall risk profile that you put on a company is relatively the same;
- Buyers are still investors and they’re looking for a rate of return on their investment;
- Good businesses trade and weak businesses have far less value, if any.
[16:48] What have you found helpful for buyers and sellers to find success in the deal process?
- From a buyer’s perspective, it’s critical to know what you are looking for before you start shopping, so I encourage buyers to define, in as specific terms as possible, exactly what they’re looking for so that they’ll recognize it when they see it, because if they don’t recognize it, it’ll be gone if it’s a good business;
- As a buyer, particularly if it’s your first venture into tech, it’s very important to look closely at the seller and make sure that this is somebody that you can work with, that’s committed to your success, that’s going to help you have a seamless transition;
- For sellers, it’s important to be transparent – no business is perfect, so just get it out on the table and try not to persuade or sell your business. The objective, really, is to find the perfect match between the buyer and the business, so what we’re really trying to do is to make sure we understand what’s important to the buyer and we let that buyer determine whether this particular business is a good fit;
- When it comes to a good broker, he knows which businesses are good, bad or decent, but he also knows the best businesses. So, when you’re working with a good broker, you want to stay with that broker and have direct contact on a regular basis, so that when he gets a good deal, he’ll come to you to take a closer look. So, the object of being loyal to an accomplished, knowledgeable, successful broker is extremely important.
[25:47] What is something a buyer can do to get your attention, that you’re going to think to yourself, “This is somebody who is serious and I want to spend some time to build a relationship with them”?
- The best buyers that I work with may send proof of funds, a resume, they’ll send a LinkedIn profile and a list of their target criteria. When you get an email like that, on an inquiry, that’s the first phone call that you’re going to make;
- Give us some actual information about you in the email, don’t just send over some random question, because this shows your unprofessionalism and your lack of ability to actually get the deal done. If you want to be interesting, you have to make yourself look interesting – it’s no different than if you were interviewing for a job;
- Don’t lead with an offer of any kind, even if it’s a good offer. Nobody buys a business sight unseen so if you’ve only seen the marketing and you haven’t asked any questions, you haven’t seen detailed financials, you really just have a general idea of what the business is about, don’t make an offer – ask for an appointment, ask good questions and learn about the business, because your offer is not going to be taken seriously if you’ve never spoken with the seller or even the broker;
- You have to be smart and you have to know what you’re looking for. Include something in your inquiry to let us know that you’re a serious buyer and you have questions and you’d like to talk – that’s the first way to get in the game and get moving forward.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
Business is a lot like a game of Monopoly. There are properties and companies available for sale and sometimes you have the money, sometimes you don’t.
But unlike Monopoly, in real life, you don’t look to Rich Uncle Pennybags for cash and get out of jail free cards. In reality, when it comes to business, you get a lot of help from the banks, the Government, and brokers.
On today’s episode, of Deal Closers - A Tech & Internet M&A Discussion we’re taking a closer look at SBA loans - which weren’t always around and buyers used to have to search for other ways to fund these major deals - and Jason and Ron, from WebsiteClosers.com, explain the process very well.
[00:40] What is SBA and how it started?
- The Small Business Administration (SBA) is an arm of the US Government and they put together something which is very unique to the world. It’s basically an opportunity for banks to have coverage as long as they follow certain rules of the US Government when they loan money to businesses;
- The reason they started the SBA is because sellers would get ready to retire, they would own a business, they would employ people, and there would be no mechanism at the end for them to turn their business over in an organized fashion to another person, meaning that they either shut the business down and laid the people off or they would hand it to somebody and get a very small down payment and then rely on payments over a long period of time – so it didn’t create any retirement mechanism or anything for a seller.
[02:38] Why the banks are interested in the SBA process?
- The bank doesn’t have a lot of downsides;
- Usually, 75% of the loan is guaranteed by the Government. If there’s a recession, that amount might even go to 90%;
- It doesn’t take them long to recoup the original amount that they have at risk.
[04:50] What are some of the rules of the SBA process?
The SBA lenders are required to use tax returns – they’re everything to the SBA process - for what is called, “A debt service analysis”;
- You have 10 years to pay the debt off;
- The interest rates are anywhere in between 6-8%;
- The banks are lending based on the historical cash flow of the company and not some assets that are on the books and on the balance sheet as collateral;
- You have to have a resume that shows that you're not necessarily experienced in the industry, but that you have life experience that would accommodate the new company that you're about to take on;
- There's going to be a Q&A and even smart people sometimes are asked questions that they're not ready for.
[11:45] Why the SBA route is attractive for both buyers and sellers?
- From the buyer’s perspective, they’re getting to amortize this over an entire decade, which makes it a lot more likely they’re going to be successful paying that debt.
- For the seller side, they’re getting 85-90% of the entire deal in cash, at the closing table – and that’s a bit rare in M&A, especially as you get to larger deals;
- A buyer is going to be a little bit more flexible than they otherwise would, since the vast majority of the deal is going to be a loan, so they might be willing to even go up 10% higher than they otherwise would, because they know it’s going to be amortized over an entire decade – so from a seller’s perspective, this should look very attractive.
[15:56] In addition to all these rules, what are some things buyers wouldn’t expect, that are good to know?
- A buyer that has had no experience at all, first of all, needs to go and talk to a business broker. I would not talk to an accountant or a CPA or an attorney or a bank - especially not a bank because if you walk in, without any experience at all, or any relationships at all into a bank, your disapproval rate is over 90% - you are highly unlikely to get approved for an SBA loan if you don't have those relationships;
- If you have collateral, the bank is required to take it. That means, if you have more than 20% equity in your home, then the bank is going to put a lien on it - and that's for all of the owners involved;
- The one thing the banks don’t go after are the retirement funds;
- You’re going to be personally guaranteeing the loan, so it doesn’t matter how the company does, one way or the other, you’re still personally liable to the bank for those funds;
- You're going to be asked to fill out a personal financial statement. Obviously, you want to be very honest on that document, because it is a bank document, which would be a federal offense, should you not be honest on that document.
- The SBA requires certain insurance documents, such as life insurance;
- The banker, in all these deals, can be an asset or a liability. As a liability, they're trying to sell a product they're commissioned, they have to turn paper and they don't stay employed unless they do, so they have to find good loans, submit them to the underwriter and get them approved and into the finish line. So a lot of times a banker will tell you everything you want to hear to try to get you to submit a loan to him, but he isn't sure if he can get that deal done or not.
Resources:
- The SBA Website
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
We all know the common go-to phrase about business, "Time is money." Money keeps companies afloat. It keeps things moving. It's how employees get paid, how products stay in stock, and how the product goes from producers to consumers.
But there is another factor. Numbers and hard facts play a huge role in understanding a company's wealth. However, it also helps to look at another thing to gauge a company's success in the future, and that thing is a little less heavy on numbers, and more reliant on something we can't really see - predictions.
These kinds of predictions are based on something brokers in the business call "selling on the way up."
On today's episode of Deal Closers - A Tech & Internet M&A Discussion, I talk to Ron from Websiteclosers.com about the importance of selling on the way up, and what it looks like for buyers and sellers to assess a company's potential.
[02:27] Selling on the way up allows sellers to give buyers an idea of where the company is headed, and different companies have different potentials for growth:
- If a company has a lower profit this year than the previous one – everybody is looking at it as though something is wrong with it, and the multiple is not going to be that high;
- If a company has the same profit this year as the year before – everybody thinks of stability and the multiples will be according to a stable company, not a growing one;
- The third scenario is when a company has a bigger profit this year than the previous year – so based on the increase, people are going to offer more.
[10:50] Even though a company may not look like it’s on the way up in the numbers, it may have new products to launch and is going up overall. Do a lot of buyers seem open to looking beyond the numbers and hear the seller out?
- A lot of buyers don't have the ability to see a company for what it really is. They look at it only from a high level, they're looking from a view of, "What do I see that's obvious?" and they're not looking at the hidden intangible items that really do make a company;
- As brokers, it's important for us to create the narrative and we’re very focused on making sure that the problems are also recognized by the buyer upfront because there’s nothing worse than getting into due diligence and finding later on that there are problems, when you thought everything was perfect.
[13:07] What are some things that the seller might do to help the broker create the narrative that might be more attractive to a buyer?
- Many sellers come to us and they know it’s time to sell, and they’re afraid, so they’re not always as forthright as they should or could be.
- We, as brokers, have to find everything about the company and discuss it with the seller and get his input because what’s going to happen is you’re going to have a scenario where a buyer and a seller are going to jump on a call, and the buyer is going to ask questions. The seller is going to answer those questions in a way that’s going to be perceived as either positive, negative or indifferent – and we must know upfront what a seller is going to say;
- It’s really important for the seller to tell the truth and how he positions around the situation. Sometimes it’s just how you phrase it – it’s not a negative, but if you have a negative outlook or the way you’re presenting it is negative, it comes across to the buyer as something that becomes less attractive, and we want to avoid that.
[16:52] Selling on the way up in the tech and online sector is very common:
- We, as a society, have evolved and every generation that is replacing the older generation is more and more comfortable with buying on the internet;
- The future is bright, which is why we have so many buyers that are waiting for these deals because this sector is going to continue to grow.
[20:47] How does selling on the way up fit into the deal closing process?
- When you're selling a company, when you're buying the company, and when you're a bank, you’re going through a 90-day process;
- Two things happen simultaneously: you begin the due diligence and you begin to put the financing in play;
- As a buyer, you’re looking at certain gains that you’re used to seeing from this company; in those 2-3 months, the company is going to perform in a manner that is either better, the same or worse than expected.
- If you’re a bank, seeing a company grow in those months, gives you the comfort of knowing that you can write the check and you feel good about it;
- Sometimes, the problem could be with the sellers because if they see the company is growing faster than normal, they might feel like they’ve outgrown the sales price that they agreed to.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
All good things must come to an end, right? Sometimes when we think about leaving or going away, we think of it as a bad thing, but, in the world of selling businesses, leaving can mean leaving a company and heading straight for the bank. Leaving can mean you finally did what you set out to do - have a business that's successful enough to gain wealth.
It’s a good thing. In fact, it’s a GREAT thing, but this great thing can easily turn sour if done incorrectly.
On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, we’re talking about exit strategies and Jason and Ron from WebsiteClosers.com share with us which one is the best for you, depending on what you wish to do after selling your business.
[01:17] What is an exit strategy?
- Sometimes, the exit strategy is more personal in nature - they’re looking at their family and where they need to be in the future;
- Sometimes that exit strategy might be partnering with another group to help them grow;
- Another exit strategy could be to go public and take the business out into the public markets.
[02:02] What is important to keep in mind, if you’re the seller:
- The larger the deal gets, the more the buyers are going to want the seller to stay on board - be prepared to spend a year with the buyer;
- Some companies have more than one owner – more owners means more players and more people needed to get on the same page about what the exit plan will be;
- If you’re in the SBA world, you’re not allowed to roll equity – you have to sell 100% of your company; if you’re outside the SBA world and if you’re going to continue with the company and you’re going to help them mitigate risk by rolling equity and staying involved, then you’re likely going to have a higher multiple in your business;
- When you’re planning your exit, you have to decide for you, personally, what you want – so it’s not all just about the business decision or the economics of it, it’s also about you, personally;
- When you’re selling, you have to think that you sign a non-compete agreement, so you really have to think about what you want to do next because you’re going to have to do something different.
[09:20] What happens when you stay involved in the company you want to sell:
- Many entrepreneurs are reluctant of agreeing to stay involved after closing because they are concerned that by doing so, they now have a boss, they have somebody that’s going to be looking over their shoulder; what really happens is that everyone sits down together on a whiteboard and start working out what are the next 90 days going to look like and what’s the next year going to look like;
- You can do everything you were doing before, except for the things you don’t like doing - you're wearing a lot of hats until somebody comes in and partners with you and takes some of those hats from you.
[11:52] How brokers view deals and exit strategies: depending on the entrepreneur:
- When they come to us, our job as a broker, first of all, is to see who they are and what they are doing;
- We have to look at their financials, we have to determine whether their tax returns are easily decipherable and whether during due diligence, this company is going to pass muster. Basically, we work with them to get them ready;
- Sometimes we see companies that are not ready, so we want to be patient with them and look at the long-term strategy. We partner up with these businesses to help them maximize.
[22:17] How you can prepare for selling your company if you don’t want to go along with it:
- The best thing in the world for a buyer to see when they come into a deal is that there’s a CEO already in place, and they’re buying the company with that person behind the helm. So, if you’re not looking to go along with the company, consider hiring a president or a CEO to take your place and run the company;
- One of the biggest fears of buyers coming in is they feel like the ball is going to get dropped when it gets transitioned to them because they’re not as knowledgeable and experienced as the ownership is – so bringing in somebody to do that work is a very strong move.
Resources:
- Websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
Some things are just universal, and business is one of those things. Wherever you go, whatever you do, there is some type of business transaction going on.
The digital world has no boundaries - they call it the World Wide Web for a reason, right?
On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, we’re talking about international and cross-border deals.
[03:07] International deals are a lot like domestic deals done in the U.S. The process is generally the same, but there are just a few factors that weigh more heavily:
- Risk profile – One of the dissimilarities is the fact that you’re going to try to structure that deal to where some of that risk is shifted to the seller so that you maintain that openness, and you maintain them staying involved. So, instead of selling 100% of the deal, maybe you sell 50% and you roll some equity into it, and you combine with earn-out, etc.
- Multiple – is a big dissimilarity when you’ve got an international deal.
- Face-to-face meetings – is going to be a little bit more complicated with an international deal.
- Logistic factors – There could be communication issues where the phone doesn’t work all the time, or power’s out.
[08:44] What are some additional steps that a seller might be looking at when taking a cross-border deal?
- With the cross-border transaction, you can use Slack, you can use your phone, you can text – there are so many ways to stay in touch, where the miles apart that you are don’t seem so far apart when you have all this technology available for you to communicate;
- One thing about the sellers that they will dig in on a lot of times when they get ready to launch is the tax ramifications – every country has different tax scenarios that the sellers have to navigate through.
- One of the challenges is when it comes to accounting – on these cross-border transactions in foreign companies, it tends to be a bit more muddled than what we find in the United States.
- Obviously, we’ll have to convert oftentimes the currencies.
- Also, we have seen tax returns in Arabic, for example. And if you’re doing due diligence on a company, and you’re looking at a language you don’t even understand, that can be a little bit daunting.
[12:37] Setting expectations is very important in these international deals.
- The sellers are pretty much the same. And when you compare a US seller to anybody overseas, they attend the same groups and because of that, they all tend to think the same.
- We know that everyone's communicating with each other on what to expect in the sale, which can be somewhat of an issue for us because we have to break it down to them that it’s probably going to be different than doing a US-US deal.
- The sellers tend to have the same mindset, regardless of where they're located in the world, but they do need to understand that they have to structure the deal in a way that makes sense for both parties, or it's never going to sell.
Resources:
- Websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
Business is about transactions. Beyond that, business is also about people. And people come in all different forms. As a result, the business world is full of variety.
When it comes to the business of selling businesses, you can come across A LOT of different people.
Jason and Ron from Websiteclosers.com have seen a lot of different buyers over the years. On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, we’re talking about the different buyers you can come across when selling a company.
[01:55] The buyers you’re looking for in the deals of less than $10 million are the ones that:
- Are looking to buy the company;
- Have some professional expertise;
- Have experience with marketing and sales at a very high level.
[05:12] What roll-up companies are and what’s their advantage:
- Roll-up companies are the ones that actually do have a staff in place;
- They have already acquired companies;
- You’re not going to have to provide a lot of training to them.
[08:27] The best buyers are:
- The people who see the big picture;
- The ones who operate on intelligence, analysis, but also on instinct.
[09:16] The upfront homework buyers have to do before actually trying to acquire a company:
- They have to try and to get their personal finances in as good a position as possible so that when we start presenting them to lenders and sellers, they look attractive as an option, compared to someone else who might not have set themselves up properly.
[12:27] The things a broker has to know about a potential buyer:
- Who your buyer is;
- What his qualifications are;
- What he’s looking to do;
- What his mindset is.
[15:10] The ways you can afford a business:
- If you have a 401K you can lend off of that;
- If you have equity in your home, you can lend off of that;
- Cash in the bank is always good.
[17:33] Jason’s advice for potential buyers:
- Identify your target market;
- Identify your deal size;
- Go out and get SBA pre-qualified, if you’re going to do a deal below $5 million.
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Buying a business takes a lot more than credit card swipes and fancy signatures.
It would be a lot easier if it worked that way, but if buying a business was easy, everyone would do it.
The financing of funds to complete a deal takes a lot of communication.
Communication between the buyer, the seller, the brokers, and the bank is essential, and without it, deals can fall apart.
On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, we’re talking about funding, and Jason and Ron from Websiteclosers.com explain the different ways these deals are made.
[03:54] SBA loans are loans funded through the Small Business Administration, and it’s a method Jason and Ron recommend to a lot of the buyers:
- A lot of people tend to go to family and friends and use their own personal financials;
- They don't realize that instead of doing all of those things, or in addition to doing all of those things, they can also go to the SBA - this route is beautiful for deals under $5 million because you amortize it over 10 years, the interest rate is very nice, very favorable for the M&A space, and you've got this other set of eyes out there that's also doing an underwriting process with you alongside.
[07:12] SBA is a good path for deals under $5 million but for situations that are more expensive, there are alternative options to consider:
- We also help buyers with private equity groups and family offices that are looking to leverage as they’re doing those deals;
- There are different ways to fund these deals, it really kind of depends on the deal size;
- As you get up into the 8 figure transactions, one financing model that we see is having a sponsor out in the capital markets.
[09:44] There are different forms of purchasing deals under $5 million:
- One is SBA – that’s where we push everyone;
- Another one is cash deals – we tend to find that people that do use cash, are saying, “I don’t have to go to a bank, you don’t have to wait, I can close quickly – in return, I want a lower price.” And sometimes, that’s attractive to our seller so they will actually take the cash deal and a lower price.
[14:32] Do buyers commonly come in with their finances in place already? And if not, what kind of help do you provide in that aspect?
- Oftentimes, when they come in, we look at the financials, we refer them to a partner and allow them to come in and do a clean-up of the books;
- There are times when someone will come in and they've literally done nothing for years;
- There are others that from the very beginning, they'll have an accountant or a CPA that's handling their financials on a monthly basis so everything is all nice and fluid and comfortable - but that's rare.
[16:45] How the seller’s expectations factor into the funding methods chosen?
- When it comes to the sellers, a seller has one main goal - how much cash can they get at closing. It's very rare that they're looking for anything other than that;
- We know everything from A-Z that a bank is looking for and we make it as easy as possible, every step of the way;
- Seller's expectations are really a very important part of this whole thing. Usually, we have to bring them down to reality.
[21:37] There is no deal if finances are not in order.
- We understand this process so well, so in-depth, that we really have a flow chart of what happens per week, every step of the way.
- I think it's really important to explain the process from beginning to end to both sides so that expectations can be met;
- Once the funding mechanism has been chosen, we have every step of the way what has to happen next in order to get to the finish line, according to the closing date that we've written into the Asset Purchase Agreement.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
Buying a company isn’t as easy as you think - there are a lot of steps to consider and a lot of places where things can go wrong.
Everybody has that dream of owning a company but when a buyer steps into this arena they're going to be hesitant.
Jason and Ron from WebsiteClosers.com have seen their fair share of buyers in their careers, and on today’s episode of Deal Closers - A Tech & Internet M&A Discussion we talk about the process of buying a company. More specifically, we talk about “what makes a good buyer”.
[07:13] What are important things that potential buyers should keep in mind when buying a tech company that maybe buyers of other companies don't need to worry about?
- There's a big difference if you're buying a restaurant or a retail storefront, versus buying an eCommerce company;
- If it's an Amazon FBA company, you're not holding inventory - it's being held by Amazon and you're basically monitoring listings online and making sure those listings are going the way they should go;
- When you compare digital companies to your traditional brick & mortar company, scale is very rarely an opportunity in those kinds of companies. In brick & mortar maybe you can open another location, but you're somewhat limited. If you own a brand online, there's so many ways you can scale it, whether it's on your own website, through social media, through influencers or affiliates, etc.
[10:26] How do they guide a potential buyer from the moment they spot a listing?
- You start scavenging through these websites that have listings on them, and you start attaching your email address to the newsletters of businesses that are going out;
- When you see something that you think it's going to match what it is you think you'd want to work on, you email the broker and ask them what are the next steps;
- The next step is going to be that you need to sign a Non-Disclosure Agreement or a Confidentiality Agreement;
- Once you've signed that, then you receive a package that contains a lot of information that can tell you whether you’re interested or not;
- From that point forward, you contact the broker and you tell them you want to learn more about the business. Depending on the process, the broker might want to talk to you first, and get a little more info about you and make sure that you're a good fit;
- Then you need to get vetted by the bank;
- Once you've been pre-approved and you found a deal that you want, then it's time to put in an offer;
- Ultimately, we go into what's called, "no shop" - that means the business will remain off the market for a period of time, to get things finalized;
[20:03] What you should do as a buyer, after buying a company?
- Keep things and employees status quo;
- Keep it in the same location;
- Don’t change any of the advertising;
- Try to keep everything low key and just sit back and listen and learn;
- Take a few months to put a plan together where you'll slowly integrate some of your ideas into changing over time.
[21:10] What are some kind of key factors that differentiate an okay buyer from a good buyer?
- Any buyer who's had direct experience in the particular business he's buying, it's perfect;
- In addition, if they've got a second source of income - that's A++ best buyer, can't beat them;
- The very best buyer is going to be someone who's got that operational experience, somehow, in their background.
Resources:
Websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
What is the Value in an Amazon Account
There’s nothing like finding exactly what you need you when you need it...right? No-fuss, no hassle, just easy and convenient.
Turns out most consumers want that for their online shopping.
Besides, the Internet is supposed to be convenient, it shouldn't feel like walking through virtual aisles of a store - and platforms like Amazon prioritize this consumer need.
In our last episode, we talked to Jason and Ron from WebsiteClosers.com about the basics of companies that are fulfilled by Amazon – also known as FBAs.
On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, we go a little more in-depth about the values these companies bring when it's time to sell.
[02:16] How can some FBAs differ from each other? For example, can you have FBA companies that operate solely on Amazon platform and others that use multiple online platforms to sell?
- One of the things that a lot of our clients are doing is setting up Shopify stores. Others will go into places like Walmart, and depending on the type of product, they may also do well on a place like Etsy. We’ve got several clients that would be roughly 50% on Amazon and 50% on their site. By creating this mix, your company becomes a much more valuable one because you truly create a brand where there’s awareness in the social space.
- With just an only Amazon company, while it’s still easily sellable, it doesn’t quite have the branding yet, off of that platform.
[04:50] What are some of the things that you guys do, at websiteclosers.com, that sets you apart from other companies that sell FBAs?
- We position ourselves as one that wants to push the highest possible multiples on a business.
- Our sole focus is how can we position this in the light most favorable to the market place and how we’re going to get the largest possible deal.
- We’re able to advise people – each step of the way we tell them when and why to do certain things.
- We do what our clients do every day – we own and operate a number of eCommerce companies that operate their own website and they also operate on Amazon.
[09:43] Is it common for companies to sell while they're transitioning into or out of being an FBA business?
- Years ago that was the case but now you’re not going to see somebody in the middle of that kind of transition.
[11:25] I understand it's relatively difficult to transition an Amazon Account. What has been your experience with that?
- It's changed a lot over the years. When Ron and I were selling these companies a long time ago, we actually had to sell them as stock transactions because there wasn't an easy way to change an account.
- That's completely changed in recent years. Now you can log in and change your legal entity and it's nice and easy for you to transition away.
- We'd like to make sure people are aware that we're not selling Amazon Accounts, we're just transitioning a company that operates on the platform to another that operates on the platform.
[13:49] What expectations are set when an FBA company wants to sell?
- That varies a great deal because there's all different kinds of sellers out there.
- It's important for us as intermediaries to manage expectations tightly throughout the process because what a seller wants for a business and what a buyer is willing to pay are sometimes two completely different things.
[21:47] What are some common misconceptions you've seen on the behalf of FBA sellers?
- One misconception, just in general, from Mergers & Acquisitions is that guys will go out and look online to see what kind of multiples are being paid for businesses, but every company is different. A lot of times we are having that battle up front with a client, where they've done this research, they see what's out there, and we're telling them the way it really is.
- Another misconception is that owners believe that they could just sell a company and move on.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
You need something and you need it fast, so what do you do? Where do you start?
For some of us our first instinct, besides going in-store, is to check online. Fast online shopping is a lot more dependable than it used to be. There are a lot more services available that get products to customers as soon as possible but Amazon takes it to the next level. The platform provides businesses a place to sell products online. It’s simple, customer-friendly, and useful.
So what’s the deal behind businesses on the Amazon platform?
On today’s episode of Deal Closers - A Tech & Internet M&A Discussion, I had a chance to talk again to Jason and Ron from websiteclosers.com about Amazon and its business model for other businesses.
[02:02] It turns out that several eCommerce companies turn to the platform to drive sales. Why is it profitable to become an FBA (Fulfillment By Amazon)?
- The algorithms on Amazon are going to promote a particular product that’s shipped in two-day shipping or prime shipping over one that isn’t;
- If you’re an FBA, it means that they are controlling shipping and they know it’s going to get there in one or two days;
- FBAs are easy to operate.
[06:18] What are the two different kinds of FBA sellers?
- Those who have their own brand and their own products;
- Those who sell other people’s products.
[06:55] Why people choose Amazon as a platform to sell their products?
- They can get rich fast;
- It’s a lifestyle choice;
- The platform has so much growth left, and people notice that.
[07:45] In terms of your end of working within FBA business, how might that be different than other businesses you work with?
- It depends on where the FBA business is located – if it’s international, the banks are not going to be involved in those deals, so it takes a little longer to sell the business;
- How big the company is, impacts the valuation of a deal, the buyer pool and the time to get the deal closed;
- From a diligence perspective, FBA companies are super easy to sell because you’re not faking any of the numbers, it’s all coming straight through the Amazon Platform.
[11:04] How might the valuation process of an FBA company be unique?
- We don’t look at them as “FBA Companies”. Rather, we look at them as any eCommerce company, as a brand – we’re selling the brand;
- Their only uniqueness is that if they are concentrated on one particular product, it can be a problem and a risk profile because there are buyers out there that get concerned if something happens to the product;
- When you have a company that’s highly diversified from a concentration standpoint, that really helps and can impact the valuation;
- Also, something that impacts valuation for FBA companies is growth. You want a company to be growing nicely, year over year. You want to go to the market when you are growing, not when you are on a downtrend;
- If you have a highly competitive product – how are you competing on the Amazon platform, what makes you different from others?
[17:05] When people are looking to sell their Amazon business for profit, what’s the biggest mistake you see people make?
- Not paying attention to their financials;
- Not building a foundation and a team;
- Thinking that just because they have this great selling product, they’re set.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
The people at websiteclosers.com value their clients. There are a plethora of businesses out there, and with that comes business owners looking to sell.
It’s up to people like Jason and Ron at websiteclosers.com to find buyers.
But before the handshakes and signed deals are done, there’s a lot of work that’s put in beforehand. For one, not everyone and every business can be taken on as a client.
Jason and Ron break it down for us in this episode of Deal Closers - A Tech & Internet M&A Discussion.
[02:40] How do you narrow it down? What kind of information do potential clients provide to pique interest?
- What we’re looking at in the beginning is the URL, so we can dive into their company and get a little more information about the website.
- The next big step are the financials – we need to understand where the company has been, how old they are, what the financial looks like, etc.
[04:55] What are some red flags that you look for when talking with potential clients?
- Verbal claims that don't match the paperwork that they send us later.
[09:25] What does the ideal client look like?
- Those where the buyers are going to be the most interested in the company.
- The ones that we work on, are going to be the really super exciting ones that everybody wants.
- A lot of times, the perfect client is what we create, not necessarily who came to us, because we’ll work with him.
[11:47] Who can be your potential clients?
- Anything that's in the digital space, and some things that you might even consider "brick and mortar".
- It needs to be tech enabled or IP or IOS or a software company, eCommerce.
- We really handle everything from A to Z.
[17:00] Have you found some industries that are harder to evaluate than others?
- The issue is 100% the seller and his or her expectations for that business – you have to understand the expectations of your client.
- There is no one value for any company, it’s going to be a range.
[20:47] Where might an evaluation get complicated or become difficult?
- From the valuation standpoint the most difficult part is making sure that you match the market with what the seller wants.
- Tax returns can always can make evaluations difficult
- One other item too, might be inventory issues.
[28:12] Jason and Ron share their advice to future sellers.
- If you're looking to sell a company, you've got to talk to a broker and hopefully someone that's in your space and understands it well. Once you do that, then you can better answer the question as to what are some comparables out there, why are you better or worse than those comparables.
- You have to understand what the banks are doing too.
- Every single business is different so you have to do the hard work.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.
These days ANYONE can be a business owner, and these businesses exist not only in traditional corporate spaces, but in new virtual ones as well.
The Internet has changed the business sphere. With the Internet comes more people; more people means more consumers; more consumers means more business and more product.
At the end of the day, it can all be summed up in one way: in business, you have your buyers and your sellers. And sometimes it's the business itself that is being sold.
On Deal Closers - A Tech & Internet M&A Discussion, we’re going to talk about the business of buying businesses. When company owners are ready to sell their company or transition in ownership, they seek help to make this transition as smooth and profitable as possible.
There are a lot of different firms out there that help owners with these transitions and websiteclosers.com is one of them. I had the chance to chat with Jason Guerrettaz and his colleague, Ron Matheson about the ins and outs of what they do.
[02:07] What are some common reasons you see for mergers or sales of companies in the Internet and Tech Space?
- It depends on the maturity of a business, what category they’re in and what kind of business they are;
- There are just so many different kinds of companies that operate within technology, within tech-enabled and within Internet, that there could be a lot of different reasons why somebody might be looking to exit the business;
- It's definitely a match-making process for sure, as it relates to what it is that the client is looking for in the exit process.
[04:50] Let’s say someone has decided to sell their tech or Internet company. What are buyers looking for? What makes a company attractive to a potential buyer?
- There are buyers who are going to be looking for history;
- They're going to be looking at whether or not it's a business that can be financed;
- Another thing a lot of people look at is recurring revenue;
- We always talk about concentration when we present in the marketplace, and you have to be really careful, no matter what business you have, at having too many eggs in one basket.
[10:53] What if things go wrong? What makes a deal fall through?
- One of the reasons why a business can fail is if someone hasn't done enough due diligence on the tactics being used by a seller;
- Inventory management is another one;
- A third one is under-capitalization.
[14:14] What kind of risk protections are there for the sellers, as well as the buyers?
- Once we get to the legal stage of this process, the lawyers are going to work out reps and warranties for the deal;
- Anything that happens prior to close is pretty much on the hands of the seller;
- Anything that happens after close is up to the buyer;
[18:18] Do you have suggestions for communication practices to the stakeholders, when a company is going through a sale or merger?
- As it relates to the shareholders of the company, everybody needs to be on board there;
- On the employee side, the last thing you want to do is start telling your employees you're selling the company;
[27:29] What can people expect from the Deal Closers - A Tech & Internet M&A Discussion podcast?
- We think that we can add a lot of value for people out there that are looking to potentially sell one day;
- I think listening to this podcast will help give them context and things to think about for the future and how they're going to build their company;
- It's an educational tool;
- We're also hoping that over time people will email us and ask us questions to ask in the podcast;
- Potentially, we could start bringing on some guests as well: private equity groups, a lot of banks, people connected to banks and that are in the SBA process, and we're going to bring some buyers and some sellers that have some experience with this.
Resources:
- websiteclosers.com
See acast.com/privacy for privacy and opt-out information.