Building a Business When You Don’t Feel Ready 🏭 EP139
Timestamps are as accurate as they can be but may be slightly off. We encourage you to listen to the full context.
Podcast Summary
This Money Mondays podcast episode features two serial entrepreneurs who share insights on scaling tech companies, raising capital, and building profitable businesses. (01:58) The first guest, Yash, founder and CEO of FanBases, discusses building the "Shopify for selling anything online" - an all-in-one platform for digital products, services, and communities. (03:58) The second guest, Dr. Jay Feldman, shares his journey from medical school to building multiple successful companies including Otter PR and his Lead Gen J brand. (33:21) Both entrepreneurs provide practical advice on everything from employee retention and fundraising strategies to investment philosophies and the importance of charitable giving.
- Core themes include scaling technology platforms, the creator economy revolution, strategic capital raising, smart investment allocation, and building sustainable business operations
Speakers
Yash Daftry
Yash is the founder and CEO of FanBases, a comprehensive platform for selling digital products and services online. A serial entrepreneur since age 13, he previously worked in venture capital and successfully exited another startup while in college. (01:58) He has extensive experience in the info product and agency space, with deep expertise in internet marketing and helping digital entrepreneurs scale their operations.
Dr. Jay Feldman
Dr. Jay Feldman completed medical school but pivoted to entrepreneurship after building a successful supplement company during his studies. He founded and scaled Otter PR to 60 employees and 8-figure revenue in three years. (33:21) Now known as "Lead Gen Jay" on YouTube, he specializes in B2B lead generation and cold outreach systems for small and medium-sized businesses, teaching others how to scale their marketing efforts.
Key Takeaways
Start With Free Marketing Before Paid Advertising
Dr. Jay emphasizes the importance of exhausting free marketing channels before investing in paid advertising. (43:15) This includes optimizing social media profiles, creating valuable content, and making yourself "searchable and findable" across platforms. Only after establishing predictable revenue should businesses experiment with paid marketing like Meta ads and Google Ads. This approach minimizes risk while building a solid foundation for growth.
The Power of Strategic Hiring vs. In-House Development
Both entrepreneurs stress that agencies often deliver better results than individual hires because you're accessing years of collective experience, established processes, and industry relationships. (35:56) As Yash explains, when hiring an agency, "you're hiring all of the mistakes that they've made with past clients." However, Alex Hormozi's hybrid approach of hiring an agency while training internal staff creates a pathway to eventually bringing expertise in-house.
Raise Capital When You Don't Need It
The best time to raise capital is when you're in a position of strength, not desperation. (18:57) Yash explains that FanBases was cash-flow positive when they raised their $20 million Series A, which gave them negotiating power and better terms. Planning 12-16 months ahead and building relationships with investors before needing funding creates optionality and prevents unfavorable deal terms.
Employee Retention Through Purpose and Growth
FanBases has never had anyone quit, which Yash attributes to creating a culture where employees see explosive growth and can contribute meaningfully. (08:08) Key factors include giving employees respect and autonomy, ensuring they feel inspired by the work, providing growth opportunities, and filtering for people who want to be part of building something long-term rather than just wanting a job.
The 40-40-20 Investment Strategy
Dan's investment philosophy allocates 40% to low-risk investments (5-9% returns), 40% to medium-risk investments (10-30% returns), and 20% to high-risk investments seeking exponential returns. (48:48) The low-risk portion fights inflation through compound interest, medium-risk includes real estate and established stocks, while high-risk covers angel investments and cryptocurrency. This balanced approach provides steady growth while maintaining upside potential.
Statistics & Facts
- FanBases has never had a single employee quit since founding, despite rapid scaling from 40 to 60+ employees. (08:18) This retention rate is extremely rare in the tech industry where poaching and job-hopping are common.
- The average age at FanBases is 25-26 years old, with the growth team averaging 22-23 years old. (08:55) This demonstrates how young talent is driving innovation in the creator economy space.
- A 15-year-old high school sophomore on FanBases' platform generates $60-70,000 per month selling ecommerce education programs. (06:15) This illustrates the earning potential for young creators in the digital education space.
