Einfinal
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Transcript of Einfinal
No Man’s Land…or why your business isn’t
20 times bigger than it is
4 Reasons You’re Likely Stuck
1. Lack of marketing - #1 killer of small business growth.
2. Lack of talent – Top people usually work for companies that are growing.
3. Lack of systems – This usually comes with good people – Crutial to scale4. Lack of capital – To fund only growth after 1,2,& 3 are addressed
MarketingThe life’s blood of every
growing business
Why Jimmy Can’t Do Marketing
Marketing Options for MOST biz owners:
1. Learn it yourself – in a couple of years you could be pretty good.
2. Hire it done – Real marketing strategists NEVER work for a paycheck.
3. Partner - The ONLY real option for most businesses
Only 3 Ways…The only three ways know to man to grow any business
1. Get More Customers
EIN leverages 34 methods of customer getting
Customer Getting Methods
• Trade Show Marketing• Joint Ventures• Facebook Ads• Direct Mail Postcards• Groupon• Google Adwords• Search Engine
Optimization• Social Media
Marketing
• Bounce Back Offers• Channels like
Amazon, Sears.com, Overstock and NewEgg
• YouTube Marketing• Linkedin & Meetup• Power Referrals• Trade Publications• Mobile Marketing
See why we typically TRIPLE new
customer acquisition in 90 days
or less
2. Raise Profit Per Sale
EIN leverages 3 big methods of increasing your average
transaction value
Increasing Profits Per Sale
• Immediate Upselling– Do You Want Fries with that (McDonalds)
• Cross Selling– People who bought the also liked... (Amazon)
• Bundling – You can get Phone, Cable & Internet… (Cable)
The McDonalds Example
• $1.91 to get a person in the drive thru
• 0.18 profit on a $2.09 burger sale
• $1.77 fries and Coke add on
$1.32 Profit8 times that of the
core sale
See why we typically TRIPLE transaction profits in 90 days
or less
3. Increase Frequency
EIN leverages 4 big methods of increasing the frequency with which your customers
buy
Boomerang Marketing
• Constant Contact– Direct mail, Email,
Newsletter Phone, TXT message, Social Media & Retargeting
• Loyalty Programs– VIP promotions,
Frequency discounts, free merchandise incentivized referrals
• Continuity Billing– adding auto-billing
solutions is the VERY best of all methods to increase frequency
• Line Extensions– Sell more of what
our customers buy often via joint ventures
See why we typically TRIPLE how often
customers come back to a business
The Good PartThe Magical Math of
Business Growth
Dynamic Business Growth
• If a company profits $1,000 a day…• With 3 times more customers
$3000 • With 3 times the profit per sale $9000• With 3 times frequency
$27,000
How big would this $365,000 company profits be in 6 months?
$9,855,000.00
New Valuation$50,000,000.00
Us $35,000,000Owner $15 Million
The Better Part
There are more buyers for $10,000,000 and Up Businesses Than Their Sellers?
A Lot More
The Buyer’s Ecosystem
Private Equity Firms – 3-6X Multiples(Many times NO cash is needed at all) 6-18 months
Mergers and Acquisitions Firms 8-12X(Simply Aggregate to $100M+ to increase multiple)
Public Companies 12-15X(MUST buy to meet street expectations, and have an instant way to double their money)
The Sucker (Stockholder)• Pays 25 – 30X
multiple the very next day after the merger.
• Usually takes 20+ years of holding to ROI from earnings alone
• High risk of failure
$4 TrillionThe amount of money public companies WISH they could spend buying cash flow in
2012
See why it’s so easy to sell our businesses when they grow past
$10M
M&A is a SELLERS market where
businesses often sell to the highest bidder
At EIN, we specialize in growth from $2-
$20M
There’s more:• We have 2 of the world’s most
brilliant marketers on our team• We have in-house legal,
accounting, HR & project management
• Import and Export department with office in the US and Asia
• Award winning technology and web team, social media and more
And all the capital you’ll ever need to fund your growth
The Filter Company
• Bought 70% for ZERO out of pocket• Secured a factoring line $200K• Doubled Sales 1st month• Reduced raw materials 40% via import• Immediately TRIPLED net profits
Could flip today for a $1.2 profit… after just 62 days ownership
Should Sell Next year for $8M to $13M
So here is the question:
Are you happy where you are or would you
rather…
Have a smaller piece of a MUCH bigger
pie
That Owner Should Pocket Arounda $4,000,000