I don't know why.
Before age 23 I had zero interest in business. I was always, however, very interested in not having a job.
Having a business seemed like a way out. A way out of working for a living (What an absurd idea). Still I thought business was boring. Then I was given the Warren Buffet letters. Everything changed. I was OBSESSED.
It was a new spiritual calling. Before, I wanted to be some sort of musician. After I read Mr. Buffet I could care less about music.
'Value Investing'...seemed like the neatest thing in the world.
I called my high school and asked for an alumni directory. I phoned everyone who ever went to my high school and worked on Wall Street. I called them all. I told them I was OBSESSED with value investing. They thought I was weird.
(Hold on, I am going somewhere with this)
Someone arranged for me to have lunch with a man who worked for a value fund. We met at a fancy pants coffee place on Wall Street. I used to cut school and walk around the financial district all the time. Everyone there seemed boring. Now they were all part of a secret world I desperately wanted to be a part of. I was intimidated.
I only remember two things from the meeting:
- This guy couldn't understand how I wasn't drinking coffee in the middle of the day. He told me any financial person would fall asleep instantly if not drinking caffeine.
- Value/fundamental investing (This was right before the '08 crash) was over because the market was never going to go down.
I think of this 'asking for advice' experiment often as an early sales prospecting experience. I made cold calls in high school, when I worked as a Communist, but this was the first time I ever called strangers and actually cared about what they said.
It was also the first time I uttered this horrible question,
"So tell me about your business?"
(!!!!)
The person on the other end of the phone became extremely annoyed (of course). For some reason, of all the cold calls I've ever made, this is the one I think about every day -- without fail.
Is there a point to this?
Yes, I was an idiot. I said stupid things.
But still strangers tried to help me.
People were happy to talk to me and try to help me get a job. Even though I had no skills what so ever.
Then I tried to get my CFA but I could never pass any of the tests.
I lost interest in people who invest in public securities. Small private businesses is were the action is. There is something about the process of finding secret treasure. Treasure no one else can see, no one else knows about. That is what I find exciting.
That is probably why I got involved in buying distressed real estate in New Mexico (which went broke) and got so into selling liquidated equipment and closeout inventory (those also went broke).
Yes, I was an idiot. I said stupid things.
But still strangers tried to help me.
People were happy to talk to me and try to help me get a job. Even though I had no skills what so ever.
Then I tried to get my CFA but I could never pass any of the tests.
I lost interest in people who invest in public securities. Small private businesses is were the action is. There is something about the process of finding secret treasure. Treasure no one else can see, no one else knows about. That is what I find exciting.
That is probably why I got involved in buying distressed real estate in New Mexico (which went broke) and got so into selling liquidated equipment and closeout inventory (those also went broke).
Stupidly I never tried to acquire a tiny business. I did similar acquisition things in real estate (quite hilariously and catastrophically) --- but never tried to acquire a small business. I never thought I had enough money to get involved.
I like to buy these old 1 cent books on Amazon.
I like to buy these old 1 cent books on Amazon.
This one was a good find:
How To Buy A Good Business With Little or None of Your Own Money by Lionel Haines
From 1985.
Here is what I found interesting:
His sales process.
He gets leads by asking people for advice.
Especially:
1.) People who write, edit, own or manage the advertising for trade journals
2.) Insurance Salesman
3.) The owners of the actual businesses he wants to buy
Yes, that's right. Even the companies he wants to acquire - he starts by asking them for advice. He would never ever, directly ask them, "Can I buy your business?"
"I know this may sound like a game, but you may well scare off a good prospect by saying something too direct such as, “Is your business for sale?” Because he has not confronted the issue of selling, his truthful answer will be “No.” But if you let him project his own business into the picture you create with your acquisition criteria and you give him some time to think it over, he may call you back; then you suggest a meeting." (page 30)
I find this fascinating. (Do you?)
Here are his magic words:
By phone:
That reminds me of this amazing story in Business Insider about the founder of Datanyze. He started the wonderful Datanyze company by running an 'asking for advice' campaign.
That dude ended up landing Mark Cuban as an investor, all from a cold email. I like Datanyze a lot myself but never ended up subscribing.
Here is one from HubSpot - I know nothing about the track record of this email:
Or he does it by Twitter:
There are only two things that freak me out about his email:
1.) The alternative choice close at the end (Thurs or Fri)... yikes... I like Kreuzberger's "If it makes sense to talk, how does your calendar look?.
Lately I have been playing with, "If it makes sense to talk (___ --- ____ mins max) how does your calendar look? I then just stick in whatever precise minutes I think I need.
"If it makes sense to talk (4 - 7 mins max) how does your calendar look?
"If it makes sense to talk (10-15 mins max) how does your calendar look?
Just an experiment.
2.) I'm not looking to sell anything (ah!!! forbidden words!!!! what!!!!!).
"I'm not looking to sell anything..." means YOU ARE looking to sell something.
I love this line:
Part of the reason Bryan Kruezberger's 'appropriate person' email still works so well for me -- is it includes the "can you help me out?" psychology.
Simply asking someone to point you to the "appropriate person", is a form of asking for advice. The trick is, you also give value in the email.
No value in the message is why the 'Aaron Ross email' no longer works.
You know, this one:
There is no actual value or benefit - mentioned in the email. It seems like a trick.
Now that I think about it.... Ari Galper's whole 'UnLock The Game' (which I have some problems with) rests on asking the gatekeeper 'Can you help me?'.
It works.
I'm told Mr. Galper would sell his training program on stage using a simple "asking for advice" trick. Ask an audience member who is there #1 most impossible to reach prospect. Call the gatekeeper of that prospect -- from the stage -- and ask, "Can you help me? I'm a little bit stuck."
It would work so well people were on the floor rolling around in disbelief.
Mass hysteria.
By the way, you should NEVER say, "Can You Help Me?" to to the decision maker (I forget Mr. Galper's stance on this. Art Sobczak talks about this at length in the excellent book, "Smart Calling". The undisputed single best telephone sales book ever written.)
Here is another one:
Here are his magic words:
By phone:
“Hello, Mr. _______. This is Lionel Haines. I am looking for a business to buy in your industry as a personal investment. Several local suppliers have referred me to you as one of the most knowledgeable and reputable men in the industry. If you could spare me a couple of minutes of your time, I would appreciate your help.” (p. 31)
By letter:
SAMPLE PROSPECT LETTER
Mr. Sam F. Sulik, President
Samco, Inc.
Industrial Parkway
Cleveland, Ohio
Dear Mr. Sulik:
You have been mentioned to me by several leading suppliers in the industry as one of the most knowledgeable company presidents in the area.
I am looking for a good, solid business in the industry to acquire for my own investment. The firm I am looking for should have annual sales in the $2 to $5 million range. It should be profitable and well managed. I prefer a firm with clear, well-defined market niches and a strong reputation for quality and customer service.
If you know of a local business that meets my criteria, would you please contact me by phone or letter at the above address.
Thank you for your assistance in this matter.
Sincerely,
Lionel Haines
That reminds me of this amazing story in Business Insider about the founder of Datanyze. He started the wonderful Datanyze company by running an 'asking for advice' campaign.
"Hey Ben,
I'm a first time entrepreneur and I just started to build my product. I'm looking for experts in this space and several of my friends pointed in your direction. So I was hoping you could give me your feedback before I spent too much time building something that nobody wants :)
Here's my idea: I have a crawler that crawls millions of websites daily and can see who started a free trial with Mixpanel almost instantly. Do you think information like that would be valuable for somebody like KISSmetrics or I'm just wasting my time here?
Thanks in advance!- ilya"
That dude ended up landing Mark Cuban as an investor, all from a cold email. I like Datanyze a lot myself but never ended up subscribing.
Here is one from HubSpot - I know nothing about the track record of this email:
"[Prospect],
From your LinkedIn profile, it looks like you've been working in aerospace for 20 years. I'm guessing you've been involved in many engineering advancements over the years.
I'm only two years into the aerospace industry. So, I lack some of the historical context I imagine you have.
I'm working on a new product for creep-feed grinding of titanium aerospace blades. If I confidentially shared some of my findings, would you be willing to give me feedback?
Regards,
[Your name]"
The best business book I have read this year is "Focus Framework" by Justin Wilcox go here : https://thefocusframework.com/
(BUY IT!)
A problem folks who start high-tech startups have is they are nerds (like me). People (meaning me) would rather spend years coding alone in their mom's basement -- instead of talking to terrifying strangers.
(BUY IT!)
The book is a guide to interviewing people to see if they actually have the problems you are trying to solve.
It's mainly aimed at tech startups. But these techniques are even more essential for old boring industries. It's the best step by step guide for doing 'customer development' I ever did read.
(By the by, why the hell is startup synonymous with 'high-tech' start up. ) A problem folks who start high-tech startups have is they are nerds (like me). People (meaning me) would rather spend years coding alone in their mom's basement -- instead of talking to terrifying strangers.
"Hi Sam,
I read your article on volunteering your professional skills in Guatemala -- it was really inspiring. I'm looking to travel more and you've got me thinking about incorporating volunteering when I do!
I have a software company trying to improve remote medical record coding. I'm not looking to sell anything, but since you have so much expertise with remote coding.
I'd love to get your advice on our product so we don't build the wrong thing.
If you're available, I'd love to chat for just 20 minutes - Thurs or Fri morning?
Thanks for any help, Justin"
Or he does it by Twitter:
"@Drphoebes 1rst: dig your tat. 2nd: have some ?'s about helping kids on thespectrum. Looking for advice so I can get it right. Up to chat?"
There are only two things that freak me out about his email:
1.) The alternative choice close at the end (Thurs or Fri)... yikes... I like Kreuzberger's "If it makes sense to talk, how does your calendar look?.
Lately I have been playing with, "If it makes sense to talk (___ --- ____ mins max) how does your calendar look? I then just stick in whatever precise minutes I think I need.
"If it makes sense to talk (4 - 7 mins max) how does your calendar look?
"If it makes sense to talk (10-15 mins max) how does your calendar look?
Just an experiment.
2.) I'm not looking to sell anything (ah!!! forbidden words!!!! what!!!!!).
"I'm not looking to sell anything..." means YOU ARE looking to sell something.
I love this line:
"I'd love to get your advice on our product so we don't build the wrong thing.
If you're available,"
Jill Konrath would say never ever use the word love in sales...but let's give "love" a pass here.
To be fair I haven't tested this email. At all. This, of course, doesn't stop me from having an opinion. A strong opinion.
To be fair I haven't tested this email. At all. This, of course, doesn't stop me from having an opinion. A strong opinion.
Simply asking someone to point you to the "appropriate person", is a form of asking for advice. The trick is, you also give value in the email.
No value in the message is why the 'Aaron Ross email' no longer works.
"Subject: Aaron, Quick Question
Hello Aaron, Sorry to trouble you, but can you please let me know who handles (something that is relevant to your product or service) at ABC Company?
Thank you, Kevin"
This no longer works....
Now that I think about it.... Ari Galper's whole 'UnLock The Game' (which I have some problems with) rests on asking the gatekeeper 'Can you help me?'.
It works.
I'm told Mr. Galper would sell his training program on stage using a simple "asking for advice" trick. Ask an audience member who is there #1 most impossible to reach prospect. Call the gatekeeper of that prospect -- from the stage -- and ask, "Can you help me? I'm a little bit stuck."
It would work so well people were on the floor rolling around in disbelief.
Mass hysteria.
By the way, you should NEVER say, "Can You Help Me?" to to the decision maker (I forget Mr. Galper's stance on this. Art Sobczak talks about this at length in the excellent book, "Smart Calling". The undisputed single best telephone sales book ever written.)
Here is another one:
Subject: Powderhill Ski Rentals
Hi Bob,
Your love of the ski life is infectious! You really have a passion for what you do and you share that passion with your customers. I love skiing myself (although I haven’t done much since my 5yo was born - yikes, time flies!) Your passion for the sport immediately got me dreaming of my last visit to the back bowls at Vail :)
I’m a software engineer in Providence, RI researching ski rental companies for a business I plan to start. I’d love to schedule a short 20-minute call with you to ask you a few specific questions.
Just to be clear: I’m not selling anything. This is research for a business I’m considering starting. Your company is exactly the sort that I would like to serve and my hope in speaking with you is to make sure that my business will actually solve real problems, and not problems I imagine companies like yours have.
And, after our call, I’d be more than happy to share any info you might find interesting from my area of expertise, which is mobile software consulting - e.g., iPhone apps, responsive web sites, mobile marketing, and so on.
Shoot me back a yes/thumbs-up and I’ll send across a few potential times for a call.
Regards,
[MY FULL NAME]
P.S. Feel free to give me a call anytime at (401) 952-8899.
"This is research for a business I’m considering starting. Your company is exactly the sort that I would like to serve and my hope in speaking with you is to make sure that my business will actually solve real problems, and not problems I imagine companies like yours have."
So good.
Ok last email. I promise:
This one is not quite looking for advice --
"SUBJECT: I want to work for you, for free
Hi [name], I’m a huge fan of your [work / company], and I really believe in your mission to [prove you understand why they do what they do].
Your work is important, and I’d love to help you reach the next level. The reason I’m emailing is to offer you my [professional skill that you have] services.
Specifically, I would love to [some project that you can handle remotely], which will ultimately help you [increase sales / reduce costs / make customers happier]. The reason I think this will help is because I noticed you’ve been [allude to the extensive research you’ve done on them, and the potential problems they’ll face if you don’t help them].
I'd like to work on this project for the next two weeks. I can send you a brief email every other day with an update on my progress. I don’t normally discount my rates, but for this project, I’m willing to do it for free. Here is a sample of the quality you can expect from me: [Link to your portfolio, or previous work you’ve done]
If you don't like my work at the end of these two weeks, you can scrap it and move on. No money lost for you, and no hard feelings from me.
But if you do like my work, I'd love to discuss setting up some more work for me to do. Would you be interested in this?
Please let me know. As soon as I have the green light, I’ll get started. I can be reached at [phone number]."
Here is my hypothesis:
Everyone else tries to sneak in a sales pitch -- to sell something even though they promised they wouldn't. This hurts us all.
Do not pitch under any circumstances. For a new campaign the advice they give you is way more valuable than any sale.
I am perpetually surprised by what people respond to and want. Sales is always a humbling experience.
--Luke
PS I am working on an uber huge sales swipe file in SuperMemo:
--Luke
PS I am working on an uber huge sales swipe file in SuperMemo:
