In this week’s edition, we discuss all things 6-figures:
- Building a 6-figure consulting business
- Six things you need to give up to make 6-figures online
- Selling your online business for 6-figures (In partnership with our friends at They Got Acquired)
Let’s get to it.
LinkedIn helped Michael Lim to test a business idea, attract freelance clients and eventually turn it into a six-figure business that allowed him to quit his job.
Want to do the same? Follow these steps:
- Start by building your distribution channels — You’re more likely to fail from the lack of a distribution channel than from an inability to build a product.
- Establish your castle and build your moat — Your products and services are your castles. Your unique brand and distribution channel is the moat that separates you from others.
- Be so good they can’t ignore you — When you build a brand around what naturally interests you, no one can compete with you.
- Stay consistent — Being consistently good is better than being occasionally great. Occasional greatness brings occasional results.
- Stack your skills and you’ll pay the bills — If you’re a one-trick pony, your opportunities are limited. If all you have is a hammer, everything you see will start to look like nails.
- Create the systems for infinite monetization — Create once, cut many times. When you aim all your content cannons in one direction, you’re bound to do some damage.
Some things to give up in your pursuit of online success:
- Lame ass excuses — People around you can bombard you with reasons why it won’t work. None of it helps.
- Hating boredom — Think your job is boring? Often, so is running your own business. Find something bigger than ‘boredom’ as your motivation for starting one.
- Goals versus systems — Making 6-figures isn’t an accident. It’s a process. Write a system to make money. Iterate. Experiment. Expand. Repeat.
- The critic takedowns — People will say horrible stuff. Move on. Criticism means you’re making a mark online.
- A fear of missing out — Proven platforms are slower to make money on, but the money you can make is way higher and the competition is less.
- Bad advice — Advice tries to predict the future. The future now moves too fast to predict. Do the uncomfortable thing and try a few ways to make money online. Find one. Get good. Then add more later.
3 entrepreneurs who sold their business for 6 figures
In partnership with our friends at They Got Acquired
The exit option isn’t just for VC-backed startups or companies that sell for $1B. You can sell even if you’re only bringing in a few thousand dollars each month, and in fact, many entrepreneurs take this route to make room for other projects.
What do these smaller sales look like?
Here are three examples of entrepreneurs who sold an online business for 6 figures:
1. This web designer sold a one-person services business —
If you’re a freelancer, this will be music to your ears: it IS possible to turn your service work into a saleable asset.
Mischa Sigtermans did just that, selling his one-person web design agency, Pixelstart, so he could transition into building a SaaS company. He sold his company to a buyer who wanted to expand their client base when he was earning an average of $10,000/month.
“At first, it was a glorious feeling,” he wrote in a blog post about the acquisition. “But the days after weren’t that good. I felt empty, a bit lost even. But in the end, I’m grateful for the path I’ve chosen.”
Read more about Sigtermans’ exit.
2. A niche content site sold two years after launch —
Jim Campbell, Adam Naor and Kevin Hanson started content site WFH Advisor just after the pandemic began, capitalizing on all the Googling people were doing around terms like “should I wear pyjamas on my Zoom call?”
They focused on search traffic and were able to reach 15,000 visitors a month at the five-month mark. They sold on a marketplace, Empire Flippers, for 6-figures, or 34x monthly revenue.
Read more about the sale of WFH Advisor.
3. This entrepreneur sold a sunglasses brand for mid-6 figures —
Shea Beck launched an e-commerce business called Foldies in 2016, using Facebook ads and Google adwords to become profitable in the first five months and then leaning on Amazon FBA, or Fullfillment by Amazon.
Over the lifetime of the company, he sold 21,000 pairs of sunglasses, bringing in $1 million in revenue during the last two years he owned the business.
He used a broker to sell in 2021 for mid-6 figures.
Read more about Foldies’ acquisition.
Want to learn more about how to sell your business?
They Got Acquired offers a free report showcasing 21 companies that sold in 2021 for 6 or 7 figures.
Author: Entrepreneur’s Handbook