00:00
There's a whole bunch of big money industry financial players that will happily pay twenty five thousand dollars, fifty thousand dollars, a hundred thousand dollars a year, just to be like, explain this shit to me.
00:10
Yeah.
00:12
I feel like I can root a word I know I could be what I want to.
00:17
I put my all in it like a day's off on a road. Let's travel never looking back. Sean, what
00:23
What are you wearing?
00:27
You get so offended when I don't have sleeves. I forgot. I'm not offended.
00:30
I just, like, shook
00:33
completely flabbergasted.
00:35
I think that a sleeveless hoodie is an interesting choice. I think it looks you look nice in there that you look jacked.
00:41
Thank you. I'm trying to be jacked.
00:43
Are you?
00:47
I'm like thick jacked. Like, I have a lot of muscle they're still fat on the muscle, so it doesn't look very good. I, I took this so I got you know, you know, there's cars that kids get where it's, like,
00:58
like a mini version of a car so they could drive it around, like, whatever. Yeah. Yeah. Yeah. So we got one for my daughter's birthday. It's like a little mini Range Rover thing. And so I posted on Instagram. I never posted on Instagram. So I posted on Instagram, like, a close-up of, like, the Range Rover logo, the wheel where you it couldn't you couldn't tell it's like a kid's car. I was like, yeah, new ride. You know, work hard. It always pays off.
01:20
And then I posted, like, a zoomed out version of it in my driveway and it's, like, two feet long. And then I take a picture posing with it. And then, and then, yeah, I didn't realize that I forgot
01:30
that most of the world hasn't seen me in, like, two years.
01:35
And so,
01:36
you know, I have long hair now. I never had long hair. So everybody in my Instagram was like, what the what's going on? Is this you? What what is this? And then, also, I've gotten, like, considerably,
01:45
like, bigger, most more muscular, I guess. Yeah. You're you're you're you've you've over the last, I would say four year. You four years. It's been, like, a three year journey, maybe. You've changed significantly.
01:56
Yeah. Yes. I I got a bunch of DMs of people just being like, well, like, like, how that's funny what you were doing? Like, because I was like, you know, like, you know, proven the haters wrong. Like, you know, hard work pays off, you know, like, the cringey Instagram stuff that people do when they, like, get a new car. I was doing that. I was doing it for a joke and then also jokes on me because people are like, you look weird.
02:14
That's alright. They're actually complimenting you. So do you know that,
02:18
was reading stuff on an we talked about examine dot com. I was reading about examine dot com. So I I enjoy reading about things that have core or that are correlated to longevity.
02:29
And so, like, different studies on that. And so there's two findings that I've discovered. The first is grip strength.
02:36
So grip strength is highly correlated with longevity.
02:39
The second thing is Why? Do you know? I'll explain why.
02:44
And the second reason, or the second thing is quad shrinks. So your thighs, how strong your thighs are? Now
02:51
So you're living till three three hundred. Yeah. I think I'm gonna be I'm thinking I'm gonna be old. However,
02:56
there's not a correlation between muscle size
03:00
and longevity. So just because you have big muscles doesn't necessarily mean that you're gonna live a long time. But what it means is grip strength and quad strengths are both really
03:10
the most, perfect of an imperfect test to test your upper body and lower body strength. And so if you're strong, you're gonna live to be longer. Or there it's it's high more core it's correlated with longevity.
03:23
So strength is. So I think it's good you're lifting weights.
03:27
Yeah. But I feel like my grip strength and quad strength is not great. And I also feel like
03:31
that's not what the show is, and nobody cares about my grip and quad strength. But I do think it's cool. The longevity thing is cool. I've been I've been like
03:39
you know, you have these things where you're like, okay. I'm not doing a project in this area. It's not my work. It's not my job.
03:45
I also don't even really know what I'm looking for, but I just keep going down this rabbit hole. Just I just keep watching videos or reading stuff or kind of, like, talking to people about this thing. And I kind of I don't have, like, a destination I'm trying to get to. And, that's what it's been with this, longevity anti aging stuff. I've just been watching a ton of interviews
04:04
and reading a bunch a bunch of the science about what's
04:07
what is the latest in this space? I think I talked about it on the podcast. Like, I Aubrey. Great.
04:12
Degrade. Yeah.
04:14
And, and then there's, like, Laura Demming. Do you know who she is? No.
04:18
So she's,
04:20
she's a
04:21
don't know if she's an entrepreneur. I think she was kinda like she she started doing this, which was, like, sixteen. I think she was a teal fellow. So she dropped out of college,
04:29
to take the teal fellowship, which was basically Peter Teal made this thing, was like, I'll give you a hundred grand if you just drop out of college.
04:36
And,
04:37
work on whatever project you wanna work on. So he's paying people to drop out. And so she took that. And she was like, okay. Do I start a company? Do I do this? Do do this? And I think ended up creating something called, I think, it's called the longevity fund.
04:49
And it's basically it was the first
04:51
major
04:52
I don't wanna say first. It was one of the first, at least. Major VC funds that was, like,
04:59
aim only investing in anti aging and longevity companies.
05:04
And so she raises money. She's still probably, I don't know,
05:08
under twenty five. And,
05:10
but she's, like, you know, a veteran in this pays now. So I think she worked under Robert De Gray, and then I think she, or knows him at least. And then she's got this longevity fund, and she was talking about, like,
05:20
you know, what's what's been
05:23
what gives her hope? Like, what what breakthroughs or or advancements make her think, oh, shoot. Like, the products are really being made. And, like, what are some things where ten years ago, you thought this would be here by now, and we're still ten years away or more. And, and I feel like there's a bunch of, like, self driving cars is like that. People have been thinking about for a long time or VR. People have been thinking about it for a long time. It always feels like it's five years away, but it never hasn't quick clicked yet, but you do feel like it's inevitable. And that's kind of like what anti age is.
05:51
Yeah. I I've been reading it a bunch. One of my favorite books is is it's like the the pop culture version of all those blue zones. Have you read blue zones?
05:58
No. What is that? You don't know blue you don't know what the blue zones is? No. A blue ocean, I know, but but not,
06:04
Alright. So the blue zones is fantastic. So it's a book that's studies,
06:09
five different cultures that have an incredibly high number of centarians. So a large population of people who are above a hundred years old, I believe the five locations are the seventh,
06:20
the seven day Adventists, which is a religious crew in
06:24
mid California.
06:25
Then there's a group in Japan. There's a an area in Greece, an area of
06:32
Korea.
06:33
And I maybe Costa Rica. I forget. Forget the other ones. And he tries to narrow down to the handful of things that they all do. And those things include eating meat and vegetables particularly large amounts of vegetables,
06:46
drinking moderately,
06:47
not exercising vigorously,
06:49
but exercising like walking to work or walking around all day. So the seven day Adventist,
06:55
they,
06:56
they they believe their body is a temple. And so they walk throughout the day and they work jobs where they gotta lift stuff above their head, but they don't exercise in the traditional sense that eat. They don't damage their body to try to get superstore and grow the muscles.
07:07
Yeah. And they and they under eat, you know, they don't overeat because they believe that the body is like sacred.
07:12
And then a few others are the old folks don't go to living, nursing homes. They stay at home. So they have a stronger sense of community. Typically, they drink moderately.
07:22
I also believe a lot of them have some type of religion or spiritual thing that they're, like, looking towards
07:28
Right.
07:29
And, that's mostly it. But there's a, maybe a few more characteristics that they all share.
07:34
And do you, there's a whole bunch of, like, drugs that are, like, you know, possibly
07:39
possibly linked to longevity, like, whatever metformin and stuff like that. Have you dabbled in any of those?
07:45
No. But I'm as of today, for the past handful of months, I've been taking a variety of magnesium.
07:52
What Ashagonda, the thing that you mentioned. Right.
07:56
L, f, what's it called? L the n? L c n. It's one of those It's one of those words that, like, I write all the time, but I've never pronounced. Theanam, yeah, if that's the one.
08:05
Kava,
08:06
and I believe that's it. But I've I I I've I have been interested in some of that stuff. I just haven't what's it called again? It's called,
08:14
I I forget the stuff that the that's proven in my or longevity?
08:20
I don't wrap wrap some myosin or something like that. Repamyosin?
08:24
Yeah.
08:26
Anyway,
08:27
so, yeah, I'm interested in longevity stuff. We'll have to talk about it. I I don't have Slack open, by the way, if you're gonna message me, I don't have Slack open. I've got Zencaster. No. I was just doing, like, some of the things you were talking about.
08:37
Yeah. They're all it's all meant for, like, lower mood. Also, the blue oceans, a lot of it a lot of it,
08:44
They have low stress.
08:46
Right.
08:46
Yeah. I think this stresses stresses the killer. That's what that's what some people talk about with Warren Buffett. Because Buffett's diet is, like, famously garbage.
08:55
Like soda McDonald's? Yeah. He, like, I think he eats,
08:58
you know, McDonald's for breakfast every day on this way to work or something like that,
09:03
like, a sausage mcmuffin every day. I remember watching some video following a day in the life. This is, like, ten, fifteen years ago. So maybe he's, maybe he's he's sharpened up. But at the time, he was saying this is what he does every single day, and then he drinks diet cokes, and he eats M and M's, It's like all his portfolio companies, you know, that he, like, lives by basically.
09:21
And,
09:23
and so, you know, is, like, shocking. Because because he's, you know, he's in pretty good health, and he's got, like, he's got his wits about him even though he's almost ninety years old or whatever. He's, like, very sharp mentally.
09:33
Has high energy, that sort of thing. And, obviously, he's still performing, like, extremely well at his job even at that age. And so,
09:39
a lot of people were like, well, that defies the odds. And then some people say, well,
09:43
one thing that Buffet does right, he may do a lot of dietary things wrong, but one thing he does right is he is extremely low stress.
09:51
And,
09:52
and it's, if if I was betting, I would bet that stress
09:55
ages and hurts you more than any other
09:59
like dietary input. Now I I'm not a scientist. This is just, like, my observation of people. I could see people who are glowing, who have high energy, people who stay healthy and who don't. And it's, like, if I looked at what in my life, the people around me, what would be the common denominator
10:15
It's actually not their diets. It's more of their their stress and their mindset.
10:20
Yeah. I
10:22
It's it's it's hurt me in the past. So we're in the we're on the same page. Do you
10:27
do you wanna talk about the results of the NFT thing?
10:30
Yeah. Dude, I mean, it's kind of insane. We, so the the we did this NFT auction,
10:35
which was, here's, like, the the quick summary if you if you didn't follow. So, basically,
10:40
I was I'm really into crypto. I did this thing called crypto week where I was just deep diving and my goal was to actually use all the different parts of crypto, not just, like, be an investor, but, like, be a be a user of what they call web three, which is all these different technologies, different things you could do. One of which is NFT. So I bought some NFTs,
10:57
I I played with the tools to help you value them or or scope them out and all that stuff. And the last thing I did was I wanted to mint NFT.
11:05
And I thought, alright. What what would be an NFT I would do? Well, we're not great artists, so I'm not gonna, you know,
11:11
I'm I'm unlikely to have this visual art that just speaks to you.
11:16
But I was like, what do we do well? And I thought, well, one thing we've done is we've we've created this audience through my first million. And what if we created an NFT called five minutes of fame? And five minutes of fame is real simple. It basically just says, hey,
11:29
the owner of this NFT, owner of this token. It's like the Willie wonka golden ticket. If you have this golden ticket, you get access to the chocolate factory. So for us, it was if you own this token, you get access to the pod. You get five minutes of airtime on the pod, or you could talk about whatever you want. If you wanna Talk to us and just shoot the shit, bring your ideas to the table. Fantastic. If you wanna ask questions or promote your company or whatever you wanted to do, that five minutes is it's yours. And, so kind of on a whim, I just texted you being like, hey, idea. What do you think? You're like, cool. Go for it. And, I minted it on OpenC. So I paid a little bit of a Ethereum to to create it. I set up an auction for seven days, and I started the auction at point two five Ethereum,
12:10
ether.
12:11
And so that was the equivalent note at the time about, like, seven hundred, eight hundred dollars. And it just closed last night at midnight
12:18
the auction closed, and I think it made thirty three thousand dollars. I think it it closed at eleven point five five
12:26
which is about about thirty thirty two, thirty three thousand dollars. I think it was a little more. Let's see. Eleven point five times.
12:34
Eleven point five Five five. Three thousand.
12:36
Five.
12:38
Eleven five.
12:39
Thirty five grand.
12:41
Yeah. So that was, that's what it closed at last night. And,
12:45
so it kinda looks like it's a so we should shout out the winner.
12:49
I thought it was gonna go at about twenty five thirty k. That's what I that's what I would have predicted. Adds on how much would an ad cost on this podcast?
12:56
Maybe
12:57
ten thousand dollars, and we would do a couple of them? Yeah. I think, you know, ten thousand bucks would would be, you
13:04
know, maybe the I don't know. We don't sell ads anymore. So I don't know what Five or ten grand maybe. Going ad rate would be for it. But you can't we don't sell them, so you can't even get it. But, yeah, who's the winner?
13:15
The winner is some his username is just like d two d something. So I don't actually know the person.
13:22
You know, it's sold to a kind of an unnamed
13:25
unnamed artist. And we have what they're gonna do with it. They can they can hold it so they can basically say, alright. Cool. Yeah. Are growing twenty percent month over month. I'm in no rush. Let me,
13:34
let me just hold this for, you know, the foreseeable future.
13:38
And,
13:39
And let's let this thing grow, and then, you know, they could cash it in later. Or,
13:44
so the the username, the one person one is d two d, six two eight. And then you can go look at their profile about some other stuff that they own. They own some other NFTs
13:53
that are, you know, five e, three e, They own one that's valued at three hundred thirty five each. So they definitely have, like, a portfolio of benefits that they collect. Three hundred thirty five. I mean, that's Like, is that nine hundred thousand? Yeah. It's like a million dollars. That's the set price for it. I don't know if that's what it'll go for, but that's the,
14:10
wow. That's the the list price that that's asked.
14:13
Anyways, this person won, and they can sell it. So they could just say, cool. I'm gonna flip it. They could use it. The way they use it is they send it to our wallet. So they they will have to burn it by sending it to our wallet, which takes it out of circulation.
14:25
And, and then that's how we know you were the owner of it and you cashed it in.
14:30
Alright. Let's,
14:31
you wanna talk about you wanna talk about Harvard?
14:34
Yeah. We talked about this. We hinted at it last time. So let's do it. I think you did a bunch of research. Yeah. But I want you to I want you to kick it off and explain to me why you you,
14:43
got interested in this. Basically, I I've known about this for a while. So I launched trends because I read all about this. And so I wanna know what caught you. I I I think I've brought this up on the podcast a little bit, but what caught your eye? You initially told me about,
14:57
the Harvard Business Review in passing. You just said something very very few. Like, I think they do, like, a hundred million She said something like that. And, so that comma this was maybe five years ago.
15:07
And at the time, I, like, kinda stashed that away. And then when we sold Biba. One other thing I did I did a brainstorm of, like, would I start another thing? And one of the things that always interest me was education, education, education, education, education. I was like, okay. Well,
15:20
I like business. I mean, this is before the podcast even. I was like, I really like business and kinda digging in to nerdy business stuff. Could I package that into a product? It became this podcast, but one of the ideas I had was could I compete with Harvard Business Schools, HBR, kind of their media arm, because what they do, at the time, I was looking into their case study. So what they do is if you ever go to business school, and there's many business schools that do this, they have kinda like case based, learning, project based learning, basically. And so you you go into class and you you get this printed out piece of paper that says, Here's the scenario. You're the CEO of Sony, and you're coming up at the new PlayStation,
15:57
and you're competing with Xbox. And right now, Soney's market share is going down, and you need to figure out a way to get it to go up. Here's some of the background, and it basically gives you a case to walk through and basically give your kind of, like, your two cents on what you think the strategy should be and all that good stuff. And then the teacher has kind of like an answer key, essentially. It has the results of how things played out and what worked, what didn't, and and that kind of a dis a guided discussion.
16:21
And so it's basically, like, the curriculum for a business school. So I the reason I got interested in this, because I was actually gonna go start a company making these case studies focused on technology
16:31
on on kinda like cutting edge tech and either sell it to schools or sell it to companies who wanted to train their managers. So that was my, like, idea.
16:38
I still kinda wanna do that someday.
16:41
But I did back away from it when I realized
16:44
that Harvard really had a monopoly. I think the stats of time were that eighty percent of all the case studies, all the business school case studies were Harvard Business School case studies. And then the second thing was if you go talk to a professor, I think I talked too. And I was like, hey, I'm gonna do all these great case studies. It's gonna be so much better. And they were like, yeah, but, like, what's that phrase? Like, no nobody gets fired for buying IBM. It's like, Nobody gets fired for buying the Harvard Harvard case study. If I go buy the Sean case study,
17:10
and if if anything is off about it,
17:13
or even if it's good, like, it's just gonna have lower perceived value than the Harvard one. So, actually, I need to stick on the Harvard sauce, and I was like, oh, that's a problem. It's the credential It's the brand of Harvard, not the content of the case study that really makes a difference. So let me set the stage here and give some numbers to explain what we're talking about. Okay. So every number I'm gonna tell from two thousand nineteen. All of these numbers are public. So this isn't this isn't ideas or theories or, rumors. This is fact.
17:39
In two thousand nineteen, Harvard
17:42
Business School made nine hundred and twenty five million dollars.
17:46
I'm going to rank in order where that revenue came from. So twenty five percent
17:52
or,
17:53
yeah, twenty five percent,
17:55
which is a two billion, basically, just to make the math easy. Well, I have seen We don't do public math. We don't do public math. Twenty five percent or around two hundred and fifty million dollars came from endowment and gifts. Okay?
18:08
That's the second largest thing. I'm gonna save the first largest for last. The third largest thing,
18:13
twenty four percent or around two hundred and forty million dollars executive education tuition. We made from a Tyra Banks for St. She went to Harvard because she went to an executive education. That's what she's talking about. The fourth largest thing,
18:25
Get this. Only fifteen percent of revenue,
18:28
MBA tuition.
18:30
Right.
18:31
Touition is the fourth largest one.
18:34
The final two are Harvard Business School online. So, basically, online courses, which is five percent of revenue, and then finally housing rents and other three percent. So the biggest one, their biggest revenue stream is twenty eight percent, roughly two hundred and eighty million dollars
18:51
that makes almost two times what tuition makes. What is that?
18:55
They're publishing arm.
18:57
Right. So they make money in publishing through a couple different ways. Basically,
19:01
two or three. They make a little bit of money through advertising, but it's pretty it's nominal. But they have four hundred thousand subscribers, and subscribers pay anywhere from ten to to fifty dollars a month depending on which package you get. But the bulk of their revenue comes from the fifteen million case studies they sell to around four thousand universities. Now that number of around,
19:23
Let's say I think I believe the exact number is two hundred sixty two million dollars in revenue. How does that rank? So let's put this in in in in
19:31
perspective here. The New York Times, I think, probably the largest print publication or text based publication in America, revenue of one point eight billion. The Economist, another hundred plus year old brand, four hundred and twenty nine million. Harvard Business reviewed two hundred and sixty two Forbes.
19:48
Which has, you know, all they do is publishing a hundred and eighty million, fortune, a hundred and at an axios, fifty eight million. However,
19:56
Amongst all of those, Harvard Business Review has the highest
20:01
revenue per employee, so they're the most efficient. So five hundred and eighty two thousand dollars per employee. So that that some of the numbers shockingly big. Shockingly
20:09
big.
20:10
Shockingly big. And, so just to break that down into kind of the the different categories. So let's focus on HDR. So what are their products? They have They they have the the review they publish, which is kinda like a magazine. Right? Essentially, it's like a a sort of like a smart kind of smart person magazine. Then they have the case studies. What's the split between those?
20:28
Case studies and subscriptions?
20:31
Yeah.
20:32
Well, they sell, about fifteen million to twenty they they sell, like, eighteen million case studies a year, and they cost, like,
20:39
ten to twenty dollars a piece. So if we route, here, I actually have the exact numbers. They have,
20:45
four hundred thousand subs, and they sell eighteen million case studies so I would imagine that of the two hundred sixty two million dollars,
20:53
two hundred million is from case studies.
20:56
Wow.
20:57
Yeah. So that's kind of unbelievable. And that's basically recurring revenue because they're gonna they have to pay for it each year.
21:02
Yeah. The way it works is your professor who's teaching So professors who are teaching at any MBA,
21:07
they basically the the one of the four thousand universities in America,
21:11
they've given harvard their credit card, and the professors just scroll through and they go click. I want that. Oh, I have a hundred and twenty students. Therefore, a hundred and twenty times twenty dollars. That's how much I'm gonna just click and bill it to the university, and that's how it works. Right. Yeah. I still wanna compete with this. Actually, now that you've brought this up again, it just makes me wanna go do this.
21:29
So I I tweeted this out.
21:31
I I put this in my newsletter, actually,
21:34
yesterday. I go top universities are an amazing business. Imagine having hundreds of millions in recurring revenue through tuition or publishing,
21:42
a huge and a huge, like, venture capital fund, basically a huge fund not venture capital, a huge fund, which is their endowment.
21:49
You own your real estate, and you pay virtually no taxes because you're a nonprofit.
21:54
And so, like, I think Harvard paid,
21:56
I I remember reading this one year. They paid,
21:59
twelve million dollars in federal taxes.
22:02
On all that revenue that you said,
22:05
because,
22:06
because they're, you know, a five zero one, what a three c or whatever it is. They're basically, like, you know, they're a non for profit university.
22:12
And I think they just there was just some new bill that, like, now they have to pay some tax on their endowment. So their bill went up to, like, fifty million which is still, you know, not very much for, you know, a billion dollar bill billion dollar a year,
22:26
enterprise.
22:27
And so So check this out, dude. Harvard's endowment is forty billion dollars. So let's just say that they get a seven percent return that's a little bit less than four billion dollars, right, that they get an annual profit. I would have to run the numbers, but I believe I did this one time. If they gave free tuition
22:45
to all of their students,
22:47
and they only paid their bills with their endowment profits, they would still net, make a profit of a few hundred million dollars a year. So, like, you have to keep in mind that Harvard, like, you say you wanna compete with Harvard, Okay. Cool. I hear you. They have
23:02
not infinite, but close to as many as much resources as you could ever possibly need to to to build.
23:11
Yeah. And so the so what is Harvard worth? Right? Like, if you were gonna value Harvard, how would you value Harvard?
23:16
The same as Nike or something like that. I mean, you have to look at what the multiples are for Nike. And interestingly, if we did do, if we just looked at the Harvard business review revenue. Harvard Business Review had two hundred sixty two million dollars in twenty twenty revenue. If we added the same multiple that the New York Times currently has, it would be worth just the business school portion would be worth one point two billion dollars.
23:37
Yeah. Oh, sorry. Just the publishing arm of the business school.
23:41
Right. So just the publishing arm, the media company would be one point two billion,
23:45
would be valued valued at that. Right? Is that what you said? Yes. And so, the whole thing is probably fifty billion or more.
23:53
Yeah. Yeah. Yeah. I mean, it's a lot. And and you one argue that they're not exactly optimizing to make revenue and profit. I mean, I I don't I don't know too much about it, but I I would have to imagine that they're not, like, you know, smacking the whip and telling everyone, like, you know, we gotta improve margins.
24:09
Right.
24:11
Yeah. It's kinda crazy. So,
24:13
And let me give you some more stats. You know MIT Tech review? Had you have your re you've read that right? Yeah. You'll see them floating around. I recruited a person from MIT tech reviewed to work at the hustle.
24:24
And that person told me all about it, and they were doing north of twenty million in revenue. And it's archaic. It's a very, very old enterprise.
24:33
Columbia has a a a popular one. University of Virginia is the second highest
24:39
sale of case studies and get this. Here's another big one. You know Oxford Press. Have you heard the oxford
24:43
University press? They own the Oxford review and they make books. So they do close to a billion a year in sales.
24:50
Wow.
24:52
From their book publishing. From their book publishing. Yeah. And case studies with lots of books. Alright. So how would I do this? Sorry. Let's let's brainstorm with me. So I think people get the idea that, hey, these are much bigger businesses than you would you would have thought.
25:04
What would you do if you wanted to go get some of this action? If you said, wow, that's a lot of money being spent on. Let's just start with Let's just take case studies. Well, look. Now you're you're you're advising your buddy, Sean, Sean, says, you know what? I think I wanna do this, but I don't have to angle What would you what would you say?
25:21
So I did this, dude.
25:23
So my company trends, the ones that I just sold, We did this. At the end of this year, trends will potentially be a ten million plus a year recurring revenue business.
25:33
So we did do this. We built this exact thing. And if I owned it and was trying to make as much revenue as possible, I would start in in knowing what I know now. I would charge probably ten times the price. So I'd probably charge twenty or thirty thousand dollars a year. Well,
25:49
ten to thirty thousand dollars a year, and I would start in different niches, and I would slowly start checking off the box, and I would build this elite kinda
25:58
scary brand, you know, something like a Viacom or a Blackstone, something that has this, like, or, like,
26:05
what's the university that starts with the d, dark dartmouth, like, something like, kinda like cool sounding.
26:11
I think, what's the what's the,
26:14
research support? Okay. Here we go.
26:17
Yeah. Or, you know, Gartner. We'll just call it, like,
26:21
like, I don't know. I would have to look around and just, like, you know, it's like your porn star nickname. I'd be like, your favorite piece of furniture. Right. And you're like It's like the hardest the hardest metal or rock surface near you. Okay. Granite.
26:32
And then, like,
26:34
you know, you know, the award that means research.
26:37
Yeah. We're gonna call it like Macklyn Inc, like, the street that I grew up on Macklyn Inc.
26:42
And you start doing these, like, and you start do you hire salespeople, you know, you do build like a gardener And then I would branch down and start hiring a few more pop culture centric writers. And, then I would and I would do a little bit more broad, a little bit more broad one.
26:57
You know, this is what Gartner does and Gartner's has a significantly large business.
27:01
And does the priceonomics
27:02
do this too? You know about them.
27:04
They tried to, but they didn't execute that well. That doesn't mean the business sucks, but they failed at executing it. I think they ran out of steam or or lost interest.
27:12
I see. Okay. And what,
27:14
you you sold to basically small business freelancers,
27:18
entrepreneurs, agency owner types, Yeah, dude. And we have, like, you know, over twenty or I don't know, you know, tens of thousands of subscribers.
27:26
Okay?
27:27
And we did that well.
27:29
But I'm an idiot because the reality is those same people would have spent a thousand dollars. Right now, they spent three hundred dollars. Right. And so I fucked up the pricing. Should have charged either way more or way less. So another way is I should have charged a hundred dollars or ninety nine dollars and made that an impulse buy. Three hundred dollars, which is what we charge. That's not an impulse buy. Ninety nine dollars is. So you charge ninety nine dollars for a couple small things. Then you have an upsell of two, three, four, five thousand dollars and very few people buy that, but you use the ninety nine dollar one as to get in the funnel. That's what you should have done. I did two ninety nine. That's that was a dumb that was So you you you have two two things you would have done differently. One is the price point, and then the other you're saying you would have niched into certain categories
28:13
and, like, really built those categories out. What would what would be the first two or three categories?
28:18
Oh, I would probably,
28:20
let's see. I mean, I it would have to be, like, what I know. So I bet I could have done media pretty well. I also think I could have done d to c. And what I could have done is I could have gotten, like, the Nike's of the world to give me twenty thousand dollars a year, and they would have got two things. One, I would have published one or two case studies a month, maybe four or five case studies a month on the latest and greatest e com,
28:41
like, the DTC folks, like, who's who in the who in the categories is is crushing it? Why are they crushing it? And then every single month, I would host a digital sometimes in person panel where I would go out and find, you know, the Sean, the Suli, and the Ramon, or the Moises, like, you know, three or four young young companies that are trushing it. And then all these gray hair Nike executives would wanna come in and be like, oh, that's how you guys are doing it. That's how you're thinking about x, y, and z, and I would do that panel once a month. And, you guys would get free access to young guys, but then the companies would have to pay twenty to fifty thousand dollars a year. And then here's the third thing that I would do.
29:18
I would come up with a very cute graph or some type of signature thing where I rank, and I have a ranking. So I have a power ranking. Here's all the power rankings of the latest and greatest, DDC brands that are under eight years old. Here's the best up and coming ones. Here are the incumbents, the older guys, here's the their power rankings, and I would create some it wouldn't be bullshit. It would be some type of legitimate ranking, but I would come up with some proprietary thing, and that's how my would be, and I'll keep that updated at all times. Right.
29:50
Yeah. I I agree. And I think you could do this right now in crypto. That was a great idea, by the way. The idea I gave It was great. That would fucking work. That will work.
29:58
Yes. It was it was an absolutely great idea. Now
30:02
think you could do this in other spaces. I think you could do this in crypto. Why? Because there's a whole bunch of different brands to track out all the different tokens. There's a whole bunch of big money industry financial players that will happily pay, twenty five thousand dollars, fifty thousand dollars, a hundred thousand dollars a year, just to be like, explain this shit to me. And tell me what You know, it would be way easier crypto would be way easier to sell than DDC because crypto is fear based. So you want anything that's fear based. Exactly. And it goes after the biggest wallets.
30:27
People who people who, like, it's one thing to say, oh, these brands are crushing it. But if you know which tokens are crushing it, which networks are crushing it, you can actually make money off them And on the other side, you're afraid of them if you're the incumbents that have huge wallet. So I think that's why it's better.
30:41
Additionally,
30:42
with crypto, you've got all these guys Sean and Jack butcher, who are spending twenty four hours a day on Discord and Twitter and, like, studying, and they're like, oh, Kevin Rose just tweeted this out. And then you have some gray hair guy at Morgan Stanley. They're like, why do I care what Kevin Rose does and what the fuck is discord? And you're like, Yes. Exactly. Forget it. I'm I'm just gonna spoon feed this to you. Like, Big name influencer
31:03
just tweeted this, likelihood of it getting big, pretty high. Right. You know what I mean? Yeah. For sure.
31:10
Yeah. So I think I think that's, that's something by the way, if somebody does this, let us know there's a guy who reached out. I gotta show you this. Somebody who reached out that said, hey. You guys were talking a while back. I I think I came on the pod one day and I had this idea. I was like, somebody needs to do barstool for tech.
31:25
And, this person reached out and they're like, hey, you had this idea a while back.
31:29
I wanna do it. I'm actually pretty uniquely qualified to do it, and he explained why, like, I did this. I did this. And I did this. If anybody can pull this off, it's me. And I'm like, actually, that's actually pretty believable.
31:41
And, I'm gonna, like, kinda help this person, you know, think it through and maybe maybe launch this thing. So I'm gonna I'm gonna share that with you, but I love when ideas come to life with a legit operator.
31:50
By the way, I also hate the exact opposite.
31:53
Hey.
31:54
I love that idea.
31:56
Would love to talk to you about it?
31:58
No. No. Thanks. Yeah. And I'm just, like, just Zero appeal in that one.
32:04
Yeah. I think it's far more appealing to someone say, oh, I've been working on this for three months. I've made fifteen thousand dollars so far. Exactly.
32:11
Okay. Let's talk. I have a stock from y now, which is like, hey. Glad you liked the idea.
32:16
You know, would love to support, but I I get a bunch of DMs all about the same idea every time we release one of these. So my rule is basically somebody shows me that they're act like, there's a lot of people who talk about it, very few people who do things. If you end up doing something, actually building a product, getting some users or making some money, definitely hit me up. That'll get my attention that I'll I'll happily help then. But just for, you know, peace of mind, I can't help everybody who just says. That's cool. I'd think about it. Dude, that's so much nicer. I just say, let me know when you have traction.
32:45
That's usually what I say. I also if someone comes to me saying they're considering working on x, y, and z, or they say, this was amazing. I'm starting to work on it. And then a month later, they say, this is amazing. I'm starting to work on this other thing. I say, oh, you are disqualified. Fied. I will no longer think of them.
33:01
Yeah. You're one of them people. You have no grit. I do not wanna talk to you about, if you jump from idea to to project to project to project, and you don't without, like, a really, really good reason, I Yeah. You're done. Yeah. I just asked you. I'm super guilty of that. But I understand why you feel that way, and I think you're correct.
33:19
Okay. Let's do some, let's do some other let's do some other topics.
33:25
Let's see. What else you got? What do you guys have else you gotta do? I might No. You lead. You got something? Well, I see this omaze thing, and I kinda wanna talk about that. And then there's another one which let's let's do actually let's I think this one's more this one's funnier.
33:37
The topic on our sheet says, maybe don't fake it till you make it.
33:42
It's, like, it's timely. Right? So,
33:45
I tweeted out I retweeted this story of this guy who was like, hey. You know, the the Elizabeth Holmes, the founder of Theranos, her trial starts today.
33:55
Funny story. I actually interviewed at Theranos after all the scandal happened. So that I thought that was kinda interesting because there's a lot of people that were like, oh, yeah. I met her back when everybody thought they were shit, and it was a ten billion dollar startup, and she was the Nextiva Jobs, and I had this funny experience. This guy's experience was,
34:11
All of the news had come out, and then a smart mentor of mine was like, hey, you should take a look at this role at Theranos, like this high level exec role. He's they're, are they joking? And so, like, no. No. Like, you know, it's submit they're they're misunderstood,
34:23
and she's amazing. You should talk to him. And then, like, another person said anything. Oh, okay. I guess at least I'll get a good story out of this. So he flies there, and he interviews with her, and he, like, kinda tells this story. I don't remember all the details, but it's an entertaining story.
34:35
That you can find it on Twitter. And, actually, you can't because Twitter search sucks, but, like, yeah, just take my word for it. It's an entertaining story. So
34:42
the this topic here is, like, there's been a bunch of these. I feel like that have, like, happened in the tech world lately. And I think in the tech world, there was this gospel of,
34:51
fake it till you make it. Yeah. That's that's the cool way to go about things. That's the hustler way. And then you see things like Fair Theranos. You see Nicola Motors, which was, like,
35:01
this, like, fake Tesla, basically, literally,
35:04
like, took the name. Right? Like, Tesla was the inventor's last name. Nicola was his first name, so Tesla was successful. So he names his company, Nicola.
35:11
And, he claims that that's not why he did it, but, obviously, it is why he did it.
35:15
Takes the company public via a stack it runs up to this, like, forty billion dollar valuation. And then somebody's like, hey, bro. Have you ever seen a Nicola car on the streets?
35:24
And, like, no. Nobody's ever seen a truck of theirs. Ever,
35:28
and it's, like, questionable if it even exists. They have, like, one video of their truck, and it's basically, like, just going downhill It's like they just had a truck and they released the neutral the value and put it in neutral and just let it roll. And they're like, look, electric self driving truck.
35:43
And,
35:44
And so, anyways, you know, eventually the CEO Trevor Milton,
35:48
has to resign.
35:49
He forfeits some of his stock when he gets away with billions still.
35:53
But he's charged by the DOJ with securities fraud this year. And,
35:58
and so, you know, he's gotta still gotta at its peak, yeah, like a ten billion dollar fortune. Now it's a one billion dollar fortune, but likely to lose it all.
36:05
My buddy worked at this company called Headspin,
36:08
And was, like, he was, like, he had worked at a bunch of, I won't say the names. I don't wanna give him away. But, you know, high profile tech company you've heard of, high profile tech company you've heard of, He worked at them pre IPO, and then he was like, I'm at head spin. This is the next one. And he sent me a investor deck for it, and it looked great. I was like, oh, I should invest in this company. Like, It's a SaaS company. What headspin does is they, like,
36:30
if you have a mobile app and you wanna test it, you wanna see how does this work, on a shitty Android phone in the in Thailand on low network conditions.
36:38
Well, like, how are you gonna sit in your office in San Francisco and test that? They basically had phones everywhere in the world and these, like, little like data rooms, and they would run your app, and they would report back how your app runs. That's cool. That's a great idea.
36:51
And they would give you performance testing, performance
36:53
data, benchmarked against your competitors
36:55
in every every region on every phone and every every cell network.
36:59
And,
37:00
and so they're at the time in their They had a hundred million dollars of recurring revenue. It was like, oh, this is clearly gonna be a multi billion dollar company.
37:08
Fortunately, I just, for whatever reason, didn't invest. I just got busy, and I forgot about it. And,
37:13
it came out that the CEO had just literally made it up. So he's, like, just making up the revenue numbers.
37:19
And, so he's, you know, charged with fraud. The company is kind of, like, you know, in disarray a little bit. And, he was just reporting false revenue and, like, telling all the kind of bookkeepers in the company, like, you know, they're on a need to know basis about what they can know. And, hey, if if we're gonna raise money, I need the number to show this.
37:36
My take on this is, is there's good news and there's bad news here. The good news is most people are good and they don't lie.
37:44
There's amazing things that I've done just off a trust. For example, I've told you this. I bought a car one time. I just called the guy and I go, hey, you have it. I'll take it. And he goes, cool. Just send me the money. In the money, and then just like I was hoping that he was gonna deliver. I do that all the time. That works most of the time.
38:01
The bad news is is that these people exist, and it's very
38:05
easy to get away with this. I mean, get away with it for a little while, you know, most of the time you're caught. But it's really easy to lie, and it's to get away with it for a while. So
38:16
how many of your startups? How many startups have you invested in?
38:20
Maybe forty.
38:22
Okay. I've done probably twenty five or thirty. Yeah. How many of them could be lying to, you think, and
38:28
and, like, if
38:30
one hundred percent of them could be lying to me, and I would not know.
38:34
And that's for two reasons. I'll I'll just explain why.
38:37
I'm gonna be honest about this. Most people are not honest about this, but Greg, I didn't wanna call you out. And I I do the same thing, but I I I didn't wanna call each other without I want you to volunteer. Most investors, myself included,
38:49
do zero due diligence.
38:51
We do not we meet the founder yet. We play with the product. Right? Those are, like, the two easy things. We we we see if, you know, I I can use your product that tells me something. I can kinda just check Twitter, see do people talk about this? So is is there good reviews about this product, whatever? And, and I talked to the founder and I just see you have, you know,
39:10
Were they, like, you know, a drug dealer before this, or did they work at Google? Right? Does the stuff they're saying add up or are they saying things that just, like, you said this number last time. Now you're saying this other number, which one is it?
39:21
But do I go audit their financials?
39:23
No. Do I,
39:26
out at their data room, even if they send they don't usually even send a data room. But even if they do, do I go in there and,
39:32
look at the numbers? No. If I looked at the numbers, would I know that these numbers are real? No. This is their self reported number. No. They're they're they're oftentimes a photoshop of their QuickBooks.
39:41
Yeah. Exactly. And, I don't know if you mean Photoshop as in, edited or just a screenshot. Yeah. Yeah. A screenshot of the quick book which could be Photoshop or their analytics tool. And it's like, oh, what does active user mean? It's like, it's a lot of effort to figure out what the heck they're talking about here. But, you know, directionally, I can see what this meant. So
39:59
I do so little diligence.
40:01
Most legit investors do so little diligence. We are all banking on the fact that
40:07
There's some angels out there. I mean, Angel, I mean, I don't mean that's Angel Vestra. I mean, like, good good person on earth who actually does dig in.
40:15
And I know some of them.
40:17
They're rare, and they only do a few companies. I
40:23
I
40:25
I I mean, I don't really know that many of them. I co invest a lot with Anker from teachable,
40:30
and he does diligence, and he'll send me Ryan Hoover does diligence. Like, when I meet with a founder, usually on the call within maybe ten minutes, I've decided yes or no whether I'm gonna invest, usually no. But if it's yes, it's like, I'm in in principle. I'll even tell him that.
40:45
I don't wanna confirm. I wanna sleep on it, but, like, I'm in in principle. And the I wanna sleep on it is just because I've learned the hardware that, like, my impulse in is not always gonna be the best. So, like, there's no harm in letting it cool off and just digging in a little bit. But, like, Ryan Hoover, I send a lot of deals to Ryan Hoover. He sends a lot of deals to me. And he always is like, great. We're gonna dig in and get back to you. And that means they go, they talk to customers of the product,
41:08
They use the product themselves, they look at competitors.
41:11
I don't think that they audit financials or audit metrics or anything like that. I still don't think that they do that. But, but they do more diligence than anybody other than most other people I know who go off of.
41:22
Cool. If you're saying this, I trust that what you're saying is factual and true. And that you are not, you know, essentially lying and committing fraud.
41:31
So this whole fake it to the maker thing is what we're talking about. And,
41:34
my point here is You it's so easy.
41:38
It would be it would be totally easy to to do this. Yes. Inellectually
41:42
speaking, it's obviously, you gotta go you gotta be you gotta be fucked up and you gotta be willing to, you know, hurt folks. But intellectually speaking, this is very easy to do. It's also easy to, And by the way, if you're smart, even if you looked into it, it's easy to fake it. So, like, I remember one one company we bought, we we did a investment in a in a in a purchase of. We,
42:04
looked at their Google Analytics. We were like, okay. You're saying you have this much traffic. Let me see your Google Analytics dashboards.
42:10
They sent us we go in ourselves, not screenshots. We're looking at Google Analytics. Okay. All it looks good.
42:15
And then I don't even remember how this came out, but we looked at the code of the website.
42:20
Which again, most investors don't know how to read the code. Let alone, are they gonna take the time to get rid of the state? They they put their analy they put their analytics
42:28
code on someone else's website. No. They had it on this website, but they were multiplying it. So they just doubled every event. So if it said one user's here, no. Actually, two users are here. So they just they just inflated by two x don't remember exactly if they just put two pit two, they told the fix pixel to fire twice or they were doing something else, but it was a multiply by two
42:45
on their traffic and usage. And I was like, wow. Like, you know, shit. Do I need to go read with the code or, like, you go use crypto. Am I really gonna know how to audit the smart contract?
42:55
No. I I don't know how to do that. A handful of people on earth know how to do this. And so there's a lot that happens that is trust and there's a sort of cost of doing business of getting into business with buyers. The good thing about Silicon Valley is
43:08
it's unlike crypto and unlike, you know, some other other industries.
43:12
It is a long term player's game. You you see repeat players in the game. And so what that means is your incentive to have a good reputation matters. Now does it fully matter?
43:21
Well, no. Because if you could be Adam Newman and you could walk away with, I don't know, what he walked away with over a billion dollars, I think, out of the WeWork thing,
43:28
And maybe his reputation is tarnished, but his guy's got a billion dollars now. Right? The size of the prize makes it worth it to, like, flush your reputation for some people sometimes.
43:36
But at the early stages with early stage startups where I invest,
43:40
you your your reputation matters more than what you can walk away with financially from that that round.
43:46
Additionally, I think that you you can actually screw your reputation, but as long as you have a reputation as someone who turns one dollar into two dollars, regardless of how big of a piece of shit you are, you'll always be able to commit someone to give you money. For example, there's this guy named Garbache, I believe. He started a company called Radium One and Blue Lithium. Am I getting all these names right? That's amazing if I am. You got that one wrong. It it was something like that, I think. I think so I my sister worked for him. So I know I know this guy very well.
44:13
So give give the background of this this guy. It's it's crazy fascinating. It's actually a great story. The guy's a young successful entrepreneur. I think his first thing was, like, a he he got big an AdTech. So he did, like, an adtech company sold it for, like, two hundred million dollars. And I think he, you know, raised very little. So I think he owned a lot of that. So he became a hundred million here. He goes on Oprah. Oprah's like, wow. You're amazing. You're like a bachelor. Like, wow. Any woman would wanna be with you. I think good looking. Yeah. He's like he's like, you know, has some charm. He's got a lot of calm I don't think he's that good looking. He's got a lot of confidence. He was very rich and successful at a young age, and he would say very motivational things. His Instagram was all about you can do. Right? Like, he was Barack Obama with the Hope poster on his Instagram.
44:54
So fast forward, he does another another ad tech company. Must things start to go a little bit weird. He ends up getting busted. So there's a corporate weirdness and then there's a public weirdness. Most people only know the public weirdness. The public weirdness is he
45:06
got caught on tape
45:09
kicking his girlfriend or beating his girlfriend. He kicked her, like, a hundred and twenty seven times on tape. Basically, he had kidnapped. He was in charge of kidnapping. He wouldn't let her leave the house.
45:18
Like, she was his girlfriend. She was there. They got to fight. They got an argument, and he he's he's assaulting her. And the cops literally the footage out there on the internet. You go see this now. Cops take this footage. He goes so he so he gets fired as CEO of, I think, Radium One at the time or whatever whatever kind of, like, new ad tech company he had built that was, like, valued at five hundred million to a billion dollars, something like that. He gets kicked out of CEO because, like, okay. Even though he hasn't been charged yet, dude, there's a video of you, you know, beating a woman on on the internet. Like, you're not the CEO anymore.
45:47
And he's like, I'm I'm innocent. I don't even know how he tried to say I'm innocent, but he said try to say I'm innocent, basically. So he goes to court. He ends getting off because the footage was collected improperly. Like, they collected the evidence,
46:00
in an improper way, so you couldn't use it. So even though everybody saw it, everybody knew it, He ended up getting charged for, like,
46:07
kidnapping instead of assault or something like that. Like, it was, like, you know, something softer. I I I don't have all the details right. But, basically, I remember there was some problem with the way the evidence was collected.
46:17
And so he goes, you know, has to do some public service and rehab. He goes, lays low for a bit. But he comes back with a new company.
46:24
Gravity four, I think, was the end of it. I think and do you know Nick Sharma?
46:28
Yes.
46:29
I think Nick Sharma was his was his was that Nick Sharma? Nick Sharma was his assistant?
46:35
Nick Sharma was, like, his chief of staff, I think. I think it's his uncle.
46:39
If I'm correct. Like blood uncle? I think it's his blood uncle,
46:42
or relative in some way. I I I hope I'm not wrong on that, but I I'm pretty sure I am. So, basically, so Here's some other kinda inside stuff that I that I know.
46:51
So then so he's building gravity for, and it's, like, in the ad tech space, ad tech's very competitive space. So my sister worked at a startup. That was a different ad, ad network platform.
47:00
They did, like, retargeting for a bunch of big brands, like Booking dot com or whatever.
47:05
And they were doing alright, but they go and they start to pursue an acquisition. Why? Because Facebook's always changing the rules. And today, we're a preferred partner But tomorrow, Facebook, you know, might give that out to every agency or whatever. My business is very fragile. I'm super dependent on Facebook and being one of these preferred partners.
47:21
And so they go out to sell the company. And,
47:24
I think they get some good interest. They get some offers, maybe it's from Facebook, Google, other ad ad networks, whatever it is.
47:30
And Gurba Gurbash wants to buy the company. So this is what I heard. So, you know, rumor, rumor, bird, he tells me. No. No. I can't confirm any of this. Burdy tells me that he hears about this. He goes to bid on it, and he's a low bid. He's not the winning bid. And they're also, like, dude, you're no way we would ever sell to you.
47:48
Knowing what we know about you.
47:50
And,
47:52
what he does is he goes and he basically gets he tanks their their prospects in the market. How he basically goes and spreads fear uncertainty and doubt to the other bidders, and he gets Facebook to pull their their access or their privilege or whatever it was. So he he somehow gets them basically, like, he takes away their one, like, core business asset and, like, just ruins their ability to to sell the company. And now they're, like, short on cash. Can't go raise money. Everybody knows they just tried to sell the company and it flopped for some reason. And he goes and gets it for pennies on the dollar, and, like, has a big falling out with the fact, like, you know, not on good terms. It's not a happy sale. It was a fire sale. And, you know, they got something out of it because they they needed to get some value, but, like, against their good against their will sell to gravity for it. He's rolling up these ad tech companies.
48:37
And from the start, he's saying in eighteen months, we're gonna take public. We're gonna go get to a hundred million dollars in revenue. We're gonna take this public. It's like, dude, we have, like, no product. We have, like, no team. You're just buying these companies, and we're supposed integrate them, like, instantaneously.
48:49
Like, you just bought five companies this month that none of them, like, are succeeding and we're supposed to make them all work and And this was after he got caught this was after he got he got arrested twice, I believe, twice for beating two different women, both I think both caught on camera. What it, like, blatant blatant
49:05
horrible crimes. This was after. Right? And he's got, like, a bodyguard at the office, like, this huge bodyguard that travels with him everywhere. He's got this, like, model, like, supermodel, like, a, like, a twelve who just comes into the office and out. That's his new girlfriend, I guess. I don't know what's going on there. Why would anyone work for this guy after he was Completely erratic behavior.
49:22
And, like, on one hand,
49:24
like,
49:25
very ambitious inspiring and, like, you're seeing your shares go from one penny to he's saying we're gonna go public at a billion dollars. So you're like, oh, shit. Okay. We're gonna make I'm gonna make ten million dollars if I see this out. Like, I'm gonna make twenty five million dollars if I see this out. Like, okay. Maybe I should do that. And on the other hand, you're like, this is a house of cards. Like, there's no Like, we we don't actually have, like, a stable product. We haven't integrated all these acquisitions. The revenue's a little bit flimsy because, again, like, we're just rushing this whole thing through. And then he got in trouble again, and that whole thing fell apart. And I think he's back now with another company. Like, if you go look him up, I think he's back again. And that's my point, which is you can have a horrible reputation, but if you make money, you will always be able to get money. I'm not saying that's good. That's just what it is. What did your sister do for him? Well, she was at the company that got acquired by him, by by his his company. So then, so there was, like, a a temporary period where, like, the whole company went over there. And then, like, I think within six months, there was not a single employee left from the forty that got acquired or fifty out of how many it was, like, something like that. There was, like, one person left,
50:29
you know, at the company by then. Why would anyone choose to work for this guy if they know that he is he's a piece of shit? That that amazes me. Like, I I don't understand why you would continue to trust someone like that. Yeah. So now he's doing something called vendor cloud. He's got he says on his Twitter profile, three exits for four hundred million dollars plus,
50:46
philanthropist.
50:49
I think he I don't think he lives in I don't think he lives in America. Anymore. I think he, like, moved to Bangladesh or,
50:56
I forget where. But Yeah. It says,
50:59
Hong Kong.
51:00
Hong Kong. Okay. Yeah.
51:03
Yes. So he's
51:04
going forward again. I I I don't know. And, you know, who knows? Who knows what the other side of the story is? I only know one side of the story.
51:10
And,
51:12
yeah, Ben, make sure I don't get sued from this.
51:14
Believe out whatever gets you paid. And and everything that we just said is is it's just a story. And,
51:21
a lot of it was factual, but we definitely could have gotten some of the facts, incorrect.
51:26
Yeah. Exactly. I But the story is, like, ten the story is, like, eight years old, maybe, or six years old. It it's not that recent. Yeah. It's pretty wild. Dude, go watch, like, the Oprah video with him. It's just it's pretty crazy.
51:39
Yeah. He was a a a piece of shit. So fuck that guy. That's what that's what I say about that.
51:44
That's a fact.
51:46
Briefly. We tried to end so briefly, and then it's like No. Dude fuck that guy. And, like,
51:52
I think, like, maybe I did get all the facts right. But I saw a video pertain to this lady. My opinion of this person. Yeah. Yeah. My my opinion is go fuck
52:00
yourself.
52:03
Garpesh or whatever his name is. Alright. What do we wanna do now? What do we want? Do we wanna wrap up? We wanna do one more. Let's say one more thing. You got anything quick?
52:12
No.
52:13
Let me see. Hold on one second. Let me look at my little my little stash file here of,
52:18
of things. Did I talk about Canva last time, dude?
52:22
Just how it raised more money at a forty billion dollar valuation or something? Yeah. So do okay. So check this out.
52:28
This is gonna be a bad segment because it's really all I'm gonna say in this is go read this go read this article,
52:34
but go read this article. So what I want you to do is just Google
52:38
Canva
52:39
Journey LinkedIn.
52:42
So what what what happened was the founder Melanie Perkins. She, posted on LinkedIn.
52:48
A kind of like She's pretty amazing. This this one's amazing. And when I say full history, I mean, like,
52:54
details.
52:55
And I love details. I love the art of the start. And so, like, I want I just wanna share with you some of the things. Okay. So what's the story with Canva? Canva, awesome product. I use it. It's basically, like, it lets you design things like marketing brochures, infographics,
53:09
ads, banners,
53:11
emails, whatever, without being a designer. So you don't have to have design skills, they have enough templates, and it's easy enough to just change photos and colors and text. That, like, you'll get a good looking output without being a designer.
53:22
That's great because it brings a whole new group of people into the world of design. Alright. So what's what's interesting about this? So first, they I think just raised it a forty billion dollar valuation,
53:31
which is insane as one of the most valuable companies to come out of Australia. And secondly, this story is wild. I actually didn't know a lot of Can you link to it link to it from me?
53:42
I'm I'm just gonna tell you about it, and then I'm gonna I'm gonna link to it. I I want you to hear me hear me tell it and then ask the stories. I ask questions. Alright? So so, basically,
53:52
she was, I think, a design tee a teacher or she was, like, teaching part time at, like, a,
53:57
like, a school for, like, design and art or something like that. And, I think one the way they started was actually not with a product called Canva.
54:05
It was with a, product called fusion books. And all they were doing was they were trying to solve the problem of if you ever put together, like, a yearbook or, like, a photo book, it's, like, very hard to, like, lay it out. I was, like, oh, I want this collage with, like, eight photos, but I need them to fit right. And then I want the background to look pretty and have a flower, and then, like, know, page two, I want it to be a big picture and two small pictures, whatever. Right? The layout of photo books.
54:29
So they created
54:30
fusion books, which is basically like
54:33
software
54:34
slash like,
54:36
yeah, software, basically, that that would that would make that easy. And so they were like, okay.
54:41
They, like, they got they got a little money back from their tax return and, like, their part time jobs, and they were like, alright. That's our funding for fusion books. And it's like, you know, you don't need a year to make a yearbook, do it in minutes with fusion books. And it's like the most,
54:55
like,
54:56
non impressive looking startup ever. And she doesn't just, like, what a lot of people do when they tell the story is they they, what I say, fast forward through the hard part. It's like, yeah. We started with fusion books, and then you know, through after a couple years, we started Canva. We realized Canva is a better opportunity. And what Canva is trying to do is empower design. It's like blah blah blah. It's like, wait, what happened to those two years? So what I love about this post is it actually talks about those two years. And so it's like a photo of her at some, like, trade show with her, like, fusion books, yearbook, thing, and she's standing there, like, a dork behind the table. No no people are at her booth. And she's, like, smiling. She's, like, yeah, this booth was a huge waste of money because, like, there were more exhibitors than attendees. So that was a flop. And then, like, she's like, we didn't I didn't know how to code. And, like, we didn't know how to find a technical person. So it's just me and my boyfriend trying to do this and, like, we convinced this one part time engineer to do this, but, like, here was the problems.
55:46
And, like, here's our printer. Oh my god. We're literally printing books your books for people and dropping them off. And we're trying to go get every school to use us. Blah blah blah. Alright. So they start doing all that. And so at one of these,
55:59
what's it called? Like, I think it was, like, either a competition or, like, you know, inventor of the year, like, Western Australia inventor of the year competition. They come runner-up.
56:08
And she's like, you know, I'm wearing this dorky suit. I'm holding this runner-up prize. But at that event, I met this guy named Bill Ty.
56:16
And Bill Ty is, like, a kind of, like, a famous investor in Silicon Valley. He's definitely famous now because he was the Steve Ambassador of Canva, but he's done many, many big deals. I think you can probably Google him. And he's like, he was a VC who just, like, happened to be speaking at the event. And he gets there and he's like, oh, you know, like, they talk for five minutes. And he's like, hey. If you ever wanna, like, if you ever end up coming to Silicon Valley, we're like, let's meet up. And she's like, oh, cool. And then she does the thing. This is the fake it till you make it that actually works. It's not fraud till you make it. It's fake it till you make it, where she's like,
56:46
wants to meet up with them, but doesn't wanna be like, hey, Bill. I booked a flight for to fly. I want Australia to see. So instead, she says,
56:53
They happen to be there. I happen to be there this month. Like, would you be free? I would love to chat. And, like, if he says yes, then she'll book the flight. And so he's like,
57:01
She's like, yeah. Sure. You know, happen to me. And you should also meet this guy, Lars from Facebook.
57:05
He's ex Google. Like, you, you know, you should meet him. And she's like, wow. This is amazing. And then she posts every step of the way. She posts the full presentation that she made for him, which I love because
57:16
She really slide by slide, the good, the bad, the ugly. Like, this one's like the future of publishing dot dot dot is the cover. And it's like fusion book com dot au. Right? It's like this shitty thing. Oh my god. And, it's like, she posts this pitch deck and, like, you know, she posts, like, five of them in this blog post. Like, you can see the evolution all the way to Canva.
57:34
So she goes to meet with Bill, and, and so she's like,
57:39
She's, like, Google is like, how to dress at a Silicon Valley investor meeting. It's like, you know, just just get comfortable, you know, just look smart casual, you know,
57:49
you know, you don't have to dress up too much. So she's like, okay. I'm not gonna wear my, like, woman pantsuit
57:54
tracksuit thing. I like my, my, power suit.
57:57
She's like more, like, you know, business casual. And then he gets she gets there and he's like, oh, you don't you didn't need to dress up for this, by the way. And she's like, fuck. I thought I was dressing down. She's like, I'm I started off the meeting just, like, totally mortified
58:08
and,
58:09
you know, whatever. And so then she's like, you know, I presented him this pitch deck. And,
58:16
you know,
58:17
you know, he's just like, I'm explaining the future of publishing, and he's like, cool. Like, do you have a iPad or an iPhone? She's like, no. And, like, you're telling me the future of publishing, and you don't own an iPad or an iPhone, and then she's like,
58:28
shit. But she shows this slide in her thing, and it's so funny, dude. You'll you'll see it when you when you get there. So, I'm gonna send you the link now. Scroll down to where you see this cartoon character
58:38
It's like clip art cartoon character.
58:41
And it says fusion books, and it's right by the finish line. And there's a trophy at the end of the finish line that says the dominant online publishing system. That's the trophy for winning. And then behind her, you see two cartoon characters of Google Docs and Microsoft Office, like, falling behind, falling over and fighting each other. And it's, like, basically, she's saying, like, we're gonna beat Google Docs and we're gonna beat Microsoft Word. And so even at this point, where she had, like, terrible name, terrible design, didn't know how to dress, didn't know how to pitch an investor, didn't have an engineer. She had the, like, the
59:11
the thing that is, like, porn to investors, which is the ambition to say, we're we're not just building yearbook software. We're gonna beat Google Docs at Microsoft Office. And, like, if you're crazy enough to say that, an investor will listen to, like, the next three lines you say to be like, oh, you're just delusional or Actually, maybe this person is crazy enough to pull something like this off. And what was the turning point?
59:32
So then she she hits a so so there's like a long period of time.
59:37
Where,
59:37
where she's trying to find an engineer. So Bill's like, I'll invest in you. If you can bring on an engineer that this guy, Lars, this Facebook Google guy I'm introducing to. He's an engineer.
59:47
If he approves of the engineer, I'll back you because then I think you have the software skills to pull this off. So she goes to Lara. She's like, hey, can you introduce me some engineers?
59:55
And, he's like, you know what? Like, yeah, but it's hard to introduce engineers. How about this? If you find engineers, I'll screen them for you. So she finds, like, twenty engineers. He screens all of them and just thumbs down initial screening. And, like, no matter how good she thinks the engineer is. He's, like, not even close. And she's, like, oh my gosh, she's getting demoralized. Because, like, Bill's not gonna invest on us. Lara signs off of the engineer. And Lars's, like, I don't know what the hell he wants, but he's just not
01:00:18
signing off on any engineer.
01:00:20
And so this goes on for, like, a year. And so then She, like, hustles, like, creates a build tie is famous for kite surfing. She had, like, kinda kite surf. So she's, like, fuck it. I'm gonna become a kite surfer. So then she's, like, Hey, Billy. I was just kite surfing. And he's like, oh, you should come to come kite surfing with me. So she's like, gets in with him again till I do this thing.
01:00:39
Completely not the way I would advise anyone to do this, like, just chasing one investor like this, but whatever. This is her journey.
01:00:46
And,
01:00:47
and so then she and then she posts this thing where she, like, talks about it. She's, like,
01:00:52
she's, like, oh, so down like, as large as a rejecting investor, engineer after engineering, she writes this note to herself, and she posts it. She goes, Mel,
01:01:01
You're extremely tired. You're in a challenging situation, though you could pull through. Nothing bad is really happening, but you're feeling depressed because you are used to achieving things quickly. This is a hard environment, and there's no doubt you will succeed. You will find the team that you need. You'll get the investment that you need, and you will build the company you always it. You have chosen to put yourself in a challenging situation. If it wasn't challenging, then you wouldn't feel satisfied when you get to the end goal. And I love it. Like, she was, like, you know, riding yourself these pep talks and she posted it, which is, like, you know, kind of vulnerable to do.
01:01:33
Because she looks exactly the same now. Like, she's handled this woman. She's a CEO. Right? Yeah.
01:01:39
So she's been through hell building this business. She looks
01:01:42
totally the same now. It looks like the stress did not bother her.
01:01:47
That's crazy. I'm looking at these photos I'm like but in these photos are ten years old, she looks exactly the same. Yeah. And she's I love this woman. So she goes okay. So then so then she finally okay. Let me just fast forward some finds the engineer. Laura's like, hey, this guy is, like, the best engineer I've ever worked with. You should, you should hire this guy. She's like, oh, man. Amazing. This guy's already prescreened. So she talks to him. The guy's, like, interested.
01:02:09
But he's like, oh, I got my own startup right now and I have a team of six. I just can't do it. So she just checks back in, like, three months later. She's like, hey.
01:02:17
How about now? And she checks back again three months later. He said, hey, Bob, and I and one of those times, he's like, yeah. You know what? Let's do this. And so he says, let's do this. She's like, oh, that's amazing blah blah blah. Let me fast forward this story because you should really just go read the post. But I have it up. This is amazing. There's a whole bunch of things, like, she posts every
01:02:35
invest like, or a bunch of investor rejection letters, which is just like, sorry. I just don't feel comfortable investing Australia or, like, you know, would love to stay in touch.
01:02:43
It looks like we're gonna have to sit and wait this one out or the valuations too high or, you know, it's pre launch or, you know, whatever. I don't think the timing is quite right. And she's just, like, you know, whatever. When she kept kept going, kept going, kept going, kept going. And then,
01:02:56
and so she recruits this guy out of Google. She, like, makes him a Google almost retains him. She puts the presentations like, you know, this is I don't know his name, but let's just say his name's Greg. This is Greg.
01:03:06
He worked at Google. We had a great life he started to get bored. He started to wonder. Is there more for me out there? And each one of these is just one slide. This is like a little flip book. It's like, and he thought to himself, what if I could go and help, you know, small team, where I could bring my expertise and do this? What if I could bring power of design to, like, a billion people on earth? What if I could do this? Wouldn't that be better than just sitting in at Google for another five years? But then Google said, oh, we need you, Greg. But then you guys remembered Google's gonna keep googling whether he goes there or not. But Canva may not if if he doesn't join or whatever. She's, you know, like, makes his pitch and he's like, oh, I love it. You know, you really, like, made me feel special. So, like, I'll do this. So I feel like it just showed a lot grit and the hustle, and it did not fast forward.
01:03:44
The ugly part to the point where I'm like, dude, to get to the Canva part. Like, what is all this? But it's like, That's probably how it imagine if I'm feeling that whole Let me look at it now. Imagine how she felt living this for three years or whatever it is. And then, yeah, like, you know, they launch it. It takes off. It's, like, you know, super successful.
01:04:01
And, you know, it's forty billion dollar company now. So happy ending at the end of that Yeah. And I think her
01:04:06
I don't know if she was dating or if she's now married after they started, but her and her co founder are married. And so dating then married now, I think. So it's pretty bad ass. They have two times to wealth now.
01:04:18
This is a good ass story. I missed this. I don't know how you found this. I guess you found this on Twitter. It's on LinkedIn, which is funny. I don't know. Somebody sent, ishan, who used to, who used to, you know, my original podcast. Oh, because he's Australian.
01:04:30
He's Australian. And I and I have him in a Slack channel with me still and, where we just post cool links. And so he posted this one. He's like, damn, this is actually really good. This is amazing. This is good. Fine. This is totally bad ass. Alright. That's it for today.
01:04:45
Good episode. I think. Got it. What do you think? How do you think that was? Dan, what how was it? The, the Harvard business stuff is, really cool. I really liked that segment. Alright. We'll see. I think that was well researched. We'll see. We we took oh, by the way, we gotta give a shout to Mario. What's Mario's last name?
01:05:00
Mario Gabbell or something like that? Yeah. He's actually I actually stole a ton of information from him. So good job, Mario. Mario Gabriel. Gabriel. Sorry.
01:05:08
He's badass. He has, the generalist. This is newsletter. That's right. So that was awesome.
01:05:14
Alright. That's it. Alright. We're out of here.
01:05:22
I feel like I could rule the world. I know I could be what I want to.
01:05:27
I put my all in it like the day he's all gonna roll. Let's travel never looking back.
00:00 01:05:33