What is your favorite business app?

Uh, Audible.

[laughs] Uh, I think, honestly, I, I read so much as a, as a business owner, and it's just got such a wealth of stuff, and I'm dyslexic so I don't like to actually read, and listening to them is, is great.

So Audible, absolutely for me.

What about you, Sol? What's your favorite business book you ever read?

Absolutely cracking book, but I'm gonna go with 24 Assets, uh, Daniel Priestley.

Um, it is incredible book in terms of just setting out the foundation of a business and the assets that you're actually building to build a successful business, um, and the two different types of tracks on businesses that you can be building, and knowing what journey you're actually on, because there are two different ones, and they require very different steps.

Fantastic.

But talk to me about some of the other things that can significantly increase the value of the business.

Okay.

So I think, um, if we take out for a moment the anomalies, so the businesses that have been bought because they've developed some insane technology, your general business is bought as a multiple of its profit because of the fact that investors want future cashflow.

So we think about it, there are two th- two determinants of a valuation then.

There is profit, and then there is the multiplier.

Now, obviously, if you increase the profit, therefore you will increase your valuation, um, and it will be multiplied by the multiplier.

But the multiplier, that's the thing that normally gets people.

And so I wanted to ask you about, um, how many founders have you seen struggle with what comes next? You know, and-

So

let's say, for example, let's say a very, very common manufacturing company, we've got on their debtor book, we might have, we've got debtors that are 30 to 60 days old, 60 to 120, 120 to 180.

And at what point do we raise provisions? At what point do we write off debt? That's incredible.

Yeah, because you've got to think about that if you're exiting, right? Absolutely.

And if you're making the acquisition, you don't want to be taking...

Because you're going to be paying for that as an asset, assuming that that money is going to come in.

If it doesn't.

How did you go about creating this and walk us through them?

How did you get started in this space? And what was that transition look like for you from operator to investor?

So I started quite young, I think.

I started my first business when I was at uni.

I don't often talk about it because it was quite a small business.

It was, you know, just something that started out as a tutoring company, just something for me to sort of learn, I suppose.

Just earned my way through uni to earn some money when I was at university.

And then over a period of time, it sort of grew and we had other people coming to teach and we sold it.

So share with us what was those strategies and how did you build wealth taking those strategies or making those strategies working for you?

That's awesome

... yeah.

And then it, when it, when it surpassed that, you know, we, we sort of, we started toying with this idea of being the next, like, you know, Facebook, you know.

And, and we, we were just, we were gonna try and fly off, you know.

If we could-- We...

If, if they can do it, why can't we? You know, we're at uni.

Let's go out.

How, how did you find that time compared to the time that you were building the business working for yourself?