Joel Graber, founder of Modern Outbound, discusses common pitfalls for first-time buyers and argues that marketing agencies require prior operating experience before acquiring.
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“If you want to buy a marketing agency, and that's what we're talking about right now, I think you should know what it is to build one zero to one, even on a certain scale. Like, I don't think it's a great idea to go buy a highly volatile asset, which I think marketing agencies could be considered more volatile than like a plumbing business. Building zero to one and like understanding, like respecting the systems, respecting the game on how to grow. I think that is important. I don't think that applies to every business, but I do think on the marketing agency side, which I could speak most to, it's a good idea to like build a service that gets product market fit, gets some clients through the door. And then you're like, okay, I can do this. Like I know how to get my first few clients. Then go do the acquisition”
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PredictionNot checkable as stated
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Insight
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