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Cody McLain

๐Ÿ‘ค Speaker
189 total appearances

Appearances Over Time

Podcast Appearances

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

Maybe $20,000, I think.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

It was, I'd like to say around 650, 700,000.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

Okay.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

Yes, I sold it to a company called Lunar Pages, and they're in Orange County.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

It's mostly just based on the one-year projection from the time of sale.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

Really, the hosting industry, it's actually very difficult to have good margins.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

My margins were going to be on the lower end because what I ended up doing is actually leasing servers.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

So when you're starting a hosting company, you end up, the easier route is to lease servers instead of own the servers.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

Keep your costs low.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

Yeah, you keep your initial costs low, but it makes your expenses significantly higher in the long run.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

And since I didn't have the capital go and buy a couple thousand dollars worth of servers, and then also having to figure out which data center I'm going to put it at, and which can I have a

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

a guy that's going to be around 24 hours a day, seven days a week to respond to any server issues.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

And that would affect your reputation.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

So I decided to just lease everything out.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

And so on the benefit of that, though, is that when you decide to sell the company, it essentially creates the only assets in the company is going to be the client database.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

And so the new provider, they just had all their own servers.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

So it's actually preferable when you end up selling it to just not have any physical assets.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

I'd like to say five.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

It was between five and 10,000.

SaaS Interviews with CEOs, Startups, Founders
EP 341: 15 Year Old Sells Company, Creates and Sells 3 More for Almost $1M with Cody McLain of SupportNinja

Okay.