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The Exit - Presented By Flippa

Navigating the Acquisition Maze: Paul Shustak's Exit Insights

The Exit - Presented By Flippa

The Exit - Presented By Flippa

Technology

52K Ratings

🗓️ 9 September 2024

⏱️ 36 minutes

🧾️ Download transcript

Summary

Want a quick estimate of how much your business is worth? With our free valuation calculator, answer a few questions about your business and you’ll get an immediate estimate of the value of your business. You might be surprised by how much you can get for it: https://flippa.com/exit -- In this episode of The Exit: Paul Shustak, currently co-founder of AsqMe, shares insights from his transition from Microsoft, Sony, and Adobe to founding four of his own startups, one of which was a SaaS platform that helped families provide care for parents with Alzheimer’s. Paul details the acquisition process, including initial negotiations, valuation considerations, and stress points that can arise at each phase of the acquisition process that can cause a deal to fall apart if not properly addressed. Paul highlights the importance of having an exit strategy from the outset and proposes a three-phase framework for exits: dating (identifying potential partners or acquirers), engagement (formal discussions leading to an LOI), and marriage (closing the deal). Paul's advice to his past self includes focusing on distribution, having a clear exit plan, and viewing the exit process as a standard part of startups. For more details and insights from his entrepreneurial journey, listen to the latest episode of The Exit. -- Paul is an entrepreneur with over 25 years’ experience in startups, product development and marketing. He is co-founder of AsqMe, a technology platform that enables content creators to aggregate and monetize audience questions. He is also founder at UnLock, a boutique consultancy that helps clients achieve product-market fit. Paul’s prior exits include Karen.care, a SaaS platform that helps families care for aging parents, and KOR Water, a consumer products brand that Outside Magazine called the “Apple of sustainable hydration.” Previously, Paul held senior product and marketing roles at Adobe, Sony and Microsoft. He holds a BA from Purchase College, an MBA from Indiana University's Kelley School of Business, and a Masters in Human-Computer Interface from New York University. Twitter: https://twitter.com/paulshustak Linkedin: https://www.linkedin.com/in/paulshustak/ Check Out Flippa’s Data Insights Tool: https://flippa.com/data-insights -- The Exit—Presented By Flippa: A 30-minute podcast featuring expert entrepreneurs who have been there and done it. The Exit talks to operators who have bought and sold a business. You’ll learn how they did it, why they did it, and get exposure to the world of exits, a world occupied by a small few, but accessible to many. To listen to the podcast or get daily listing updates, click on flippa.com/the-exit-podcast/

Transcript

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0:00.0

Before we get into the exit today, I want to talk about the certified M&A advisors that are on Flippa.

0:06.2

If you are an operator right now, running a business and you're thinking about exiting, you're going to want to get a free online business valuation on the exit

0:15.7

landing page without a doubt it is the smartest thing you can do to start a process and

0:20.9

get yourself organized so you're going to go to the

0:24.0

URL FLIPA.com slash exit to check out more and let's jump into the interview.

0:28.6

Hello and welcome to the exit presented by FLIPA, the number one platform to buy and sell online businesses.

0:34.8

Flipa manages over a billion in deal value annually and combines expert buy and sell side

0:40.7

advisory with its market leading valuation tool,

0:43.1

Deal Room, Off Market Offering,

0:45.2

Market Insights, an AI-based deal-by-deal matching engine.

0:49.6

Now for the exit.

0:50.9

The exit is a 30 minute podcast featuring awesome entrepreneurs who have been there

0:54.4

and they have done it. The exit talks to operators who have bought and sold businesses of

0:59.1

all different sizes. You learn how they did it, why they did it, and get exposure to the world of

1:03.8

exits. It's a world occupied by a small few but accessible to many. On this

1:08.8

episode of the exit I sit down with Paul Shustak. He's a fantastic entrepreneur and we walk through some of the crazy stories that he has from his exit.

1:19.0

And my favorite part of this entire interview was when he talks about how the deal was all the way

1:25.1

to the finish line and all of a sudden he figures out that part of their platform

1:30.5

was using a piece of technology that was licensed.

1:34.0

And this is such a key finding that could potentially sabotage a deal

1:40.0

because it's licensed to your company, not the acquiring company and it could mean that the thing needs to be reworked and everything.

1:48.0

So his CTO brought it to him and it was just chaos.

...

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