Hey everyone. I'm so excited to write to you.
Today, I will share with you many updates, from fantastic interview to Premium plan building.
You will get templates from our dear guest and beneficial information you can use right away.
Also, I found one very nifty project on the Product Hunt, and I think I should share it with you. It covers unknown but exciting projects all over the internet. Meet Insanely Useful Websites micro-startup.
P.S. How was your week? Share your failures and successes with me. I will be happy to support you.
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Last week I sat down to chat with the person who recently acquired a micro-startup. Bruce described his experience from starting as a full-time developer to creating his micro-SaaS portfolio.
We talked about the motivation behind acquiring micro-startups and the whole process of acquiring the recent one. The number of insights can't count. So, I want to share with you all the way.
Also, I plan to set a tradition to make similar interviews and Q&A sessions for Premium community. I have a hope to launch it at the end of the month.
Just bought 🍐 @Pear__HQ from @gonelf
- I spotted this off market deal
- initial contact via DM, get basic info
- 45min diligence call
- established value
- basic APA via email
- funds transferred
- assets transferred
All done ✅ twitter.com/gonelf/status/…
— bruce mclachlan (@bruce_v3)
Nov 6, 2021
Hi, I’m Bruce. I have been working in tech my whole life. I started as a programmer, then moved on to tech lead and architecture roles.
For the past few years, I have been working for a fintech platform company in Amsterdam as a technical director. I manage teams of solution architects and engineers implementing our software for customers across Europe.
This year I started looking into building and acquiring a small portfolio of micro-SaaS products. The objective is to gradually grow this as a side project to my full-time role.
My journey so far...
👨🏻🎓Student → 👨🏻💻Software Developer → 👷🏻♂️IT Architect → 👨🏻💼Manager → 🥇Leader → 🛠Entrepreneur (in progress)
This is what I learnt at each stage...
— bruce mclachlan (@bruce_v3)
Apr 27, 2021
As part of my side project, Awesome Info Products, I was actively looking for any tools that could be valuable for creators of digital info products.
Some time ago, I saw Pear mentioned on Twitter, and I just followed the maker, Goncalo.
Pear allows a simple way for creators to put a subscription paywall in front of Notion pages. It was the kind of product that would be a good fit for my project.
When the seller posted a tweet saying he was letting go of Pear, I contacted him via DM and asked a few basic questions.
Since I had been researching this space, the product was not something new to me. So I had a clear idea of the capabilities the product should provide. And I knew what I wanted to validate with the seller.
From the beginning, he made it clear that the product was incomplete and still needed some work.
A positive aspect was that the seller already did some basic market validation. He had discussions with a few potential users and had a beta user sign up.
Day 1 - LOI
Once I had the basic information, I made a ballpark offer (call this the LOI) via Twitter DM. The seller agreed, and I proposed a due diligence call for the following day.
Day 2 - Diligence & Asset Purchase Agreement
The diligence call took about an hour. We covered the following topics:
Then I sent an email with a short Asset Purchase Agreement. The email specified the assets to be purchased, the agreed price, and timelines for transfer. The seller accepted.
Day 3 - Payment & Asset Transfer
We agreed that the asset transfer would begin on receipt of the funds. I transferred the funds in the morning.
The seller confirmed receipt in the afternoon and started moving all the accounts to me.
I validated that I had access to everything, and the transaction concluded by the evening.
Since this was a short sale cycle, there is always some doubt that I missed something. Some level of trust has to be established between both parties, even for smaller deals like this.
I feel we were both open and transparent, and this helped the process move faster.
Confirmed access to all accounts.
Understand the code and make sure I can run the app.
Started working on the initial communication to beta users.
There are three areas I will focus on initially:
The plan for the next six months is to grow the product and add additional capabilities.
If you identify an opportunity for an acquisition, you should be in a position to move fast.
Be ready to make an initial offer(LOI) with limited information.
Do not overcomplicate due diligence unnecessarily.
After chatting with Bruce, I was amazed by his story.
I asked him if he could share templates/screenshots of LOI and APA. And he pleased my ask. So I am glad to share it with you.
See how structured and neat it looks. Bruce shows his genuine interest in the product. He describes his motivation and the next steps.
I like it because it shows that his intentions are serious. Straight and transparent negotiation made its work done, and they signed APA(asset purchase agreement).
APA is not necessary, but I see having it as an advantage. It helps you to avoid the hustle and make it more straightforward for both parties.
In the APA, you describe all assets listed, price, and timelines. Again, it helps both buyer and seller to be on the same side.
If you know the price, timelines, and assets, it becomes pretty forward to move on. You don't have to worry much because you know everything you should do and when.
This week I worked on Microns Premium page. It is still in progress and only has a desktop version, but anyway, I like it.
Could you help me decide what to put as a Hero image? If you have any thoughts, reply and let me know. I will be happy to chat :)
🔥 Asking Price: $700
🔥 Asking Price: $20,000
🔥 Asking Price: $50,000
How you can generate $2400 without an audience
Here is my story & my tactics ⚔️
THREAD 🧵 ↓
— Victor 🧢 (@victor_bigfield)
Nov 6, 2021
If you found value in reading this issue, please consider sharing it with your friend.
Let me know if you have a story about selling, buying, or partnering on the project. I will cover it here so other readers can learn.