Codie Sanchez

Then we have eight founders in that mix that spent on average three to 10 years hating their life, sleeping on floors, making no money, and eventually failing in their startups.

And that is what it takes to innovate at a venture capital level.

And that is what it takes to innovate at a venture capital level.

So I thought, well, where are the numbers different for founders and entrepreneurs?

So I thought, well, where are the numbers different for founders and entrepreneurs?

If that game has 80% potential failure rate,

If that game has 80% potential failure rate,

where is there an 80% potential win rate?

where is there an 80% potential win rate?

And what I found is they're in something called boring everyday businesses.

And what I found is they're in something called boring everyday businesses.

When you buy a business that's already profitable, that is already operating as is, and that business has been in existence for more than three years, in some cases, 20 years, and you know that that business has done X for the past three or 20 years, the likelihood of it to continue to do X for the next three or 20 years is pretty high.

When you buy a business that's already profitable, that is already operating as is, and that business has been in existence for more than three years, in some cases, 20 years, and you know that that business has done X for the past three or 20 years, the likelihood of it to continue to do X for the next three or 20 years is pretty high.

So as long as you don't spend too much money acquiring it and you structure the deal right and you know how to analyze it, you're de-risked as opposed to a startup where you have to pray hopes and dreams that you can succeed.

So as long as you don't spend too much money acquiring it and you structure the deal right and you know how to analyze it, you're de-risked as opposed to a startup where you have to pray hopes and dreams that you can succeed.

And so that's the way we think about contrarian investing.

And so that's the way we think about contrarian investing.

Right now, I think the trade is in these boring everyday businesses, but it's really finding that difference between the noise and the narrative.

Right now, I think the trade is in these boring everyday businesses, but it's really finding that difference between the noise and the narrative.

Can I interrupt for one second?