An article published by the LA Times Today, tells the story of how Richard Rosenblatt took a $355 million dollar investment from private investors and turned Demand Media into a “media titan” with revenues in excess of $200 million dollars this year.
According to the story current investors include; Oak Investment Partners, Spectrum Equity Investors. Goldman, Sachs & Co.
“Their stakes value the company at $1 billion, and they hope to sell stock to the public next year”
The article is an interesting read and we recommend that you all take the time to check it out.
That a great piece of article: Richard Rosenblatt is another domainer who did not follow convetional…..thinks outside the box
Oop! typo. I mean that’s a great piece of article: Richard Rosenblatt is another domainer who did not follow convetional wisdom….thinks outside the box..
If only Rosenblatt hadn’t said he’d take the company public *last* year… 🙂
sometimes I wonder… why would a person need so much money ?
buy a private yatch ? a private plane ? private golf course ?
“My wife has owned SmarterBaby.com for 10 years, and she hasn’t been able to do anything with it,” Rosenblatt said. “This way she’ll be able to buy 100 articles from experts and add in social media.”
Mrs. Rosenblatt, he noted, isn’t the only one who will benefit.
“If we’re worth $1 billion now,” Rosenblatt said, “this is how we get to $10 billion.”
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They should aim for the holy grail of domaining, ie, converting parked sites to mini-sites populated with their content and adding a forum or the like. Maybe Rosenblatt was hinting at something similar. But I’d rather lease the content and share in the revenue with domainers vs selling the articles outright.
Benji
Yes all of them.
They are all nice. Private plane, if you ever flew in one you would never want to go back to commercial.
You need 20M + for it plus 1M a year to maintain plus fuel and staff.
Private Yacht, I’m not a boat guy but they are very nice to have, better put another 30M aside plus another 1m a year for maintenance.
I don’t know about a private golf course but you may want a condo in a city like New York or LA and and a beach house in Malibu.
A ski lodge in Aspen.
Better put 50M aside for that plus 2-3M for maintenance a year.
Nobody needs all that money but it would be awfully nice to have.
Benji –
A lot of people always want more, and money is completely relative.
I notice this in NY a lot – you are around people with money all the time, everything is expensive, a decent condo costs $800,000 and it doesn’t seem strange to talk about so and so getting a $500,000 bonus (though I’m not in that game). These people look up to the next level and say “i wish i was there”.
Then you get these heavy hitters with REAL money who have their own social circles, and where a $500,000 bonus is something to laugh at. But even they see people who can afford a $50 million yacht and say “i want to be there”.
Then you have me who wants to build up a ton of websites, move to the suburbs, coach soccer, play golf all day and travel. I don’t need the boat or the plane, but they would be fun 🙂
Thanks for pointing me to the article Michael. You probably meant to say “Demand Media” and not “Name Media” within your post 😉
/FM
Frank
Thanks
Andrew
I think the stock market’s poor performance could be responsible for delaying any company from going public.
Great post.
Thinks outside the box.
If you want a private yacht and other materialistic mambo jambo you can also get private investors to invest into your business all you have to do is create a business plan and show them what money they can get in return on their investments.
I have had MANY offers from private investors but remember they (92% of them) are driven by greed.
This kind of greedy people (92% of them) are Miserable bastards they have NO heart and soul (all they want is money and lifestyle).
There is a price to everything in life – there is NO such thing as a FREE meal
Damir
How did you come up with the figure 92%?
@ MHB:
Damir probably talking about MOST Investors, VCs, and few Angels.. The stories about bad investors have been around for ages.. “Henry Ford” had his own share of their greed. That is what happens when people don’t really understand your business; all they know is “dollar sign.” What really come to mind is Godaddy… I think Bob Parsons is doing a great job of keeping his entity private. There is nothing as go as not kissing people’s a#* for money