by Morgan Carey
on Saturday, November 30th, 2019 at 9:17am.
I’ve been in the prop tech space for 16 years. In this time, I’ve had the great pleasure of meeting some of the most creative, intelligent, inspiring entrepreneurs in the world. We have hustled shows together, we have learned together and we have grown together. In these 16 years I have been truly blessed to also have made some great friends.
As we head into 2020 I find myself thinking: Wow it’s a new decade! Can you believe it?
For me it’s a special time.
Personally, I have turned 40, my youngest is now a teenager, my oldest is 24. I have decided to focus on my health & personal wellness, my relationships & family (especially my marriage to my amazing wife) and I’ve found myself focused far more on what I can do to feel like I’ve done right by this world. What this means for me is trying to help more people (especially women and children at risk) and really giving thought to the legacy of our generation. Are we leaving this world in a better place than we received it? Are we leaving any kind of world for our children at all?
Needless to say this makes me very motivated! I realize that I need to do more, and I recognize the opportunity I have as a successful business person and influencer to have a real impact. It also means that I must act with intent & focus. It will take all my energy & resources and quite frankly I feel that we can and should be doing even more.
On the professional side: 16 years! And for whatever reason, be it luck, talent, timing (and of course we KNOW it is because of amazing team members and amazing customers) we have done incredibly well in our space. Better than most in fact. For a software & marketing company in prop tech we achieved what has rarely if ever been seen.
- We have taken no outside funding (we still own 100% of REW)
- 16 years straight (every year of our existence) we have been profitable. (That is unheard of for anyone in any software space)
- We have made acquisitions, all of which have had positive ROI
- Our subscription retention is nearly 90%
- Our SAAS Revenue has growth every year
- This year we will hit $150M In Aggregate Revenue
In short, we have an exceptionally well run business with incredibly talented leaders and truly know what it takes to be successful in the real estate / prop tech space.
The purpose of this article:
So why am I sharing this so publicly? The answer is simple: we’re looking for companies to join us and so I’m sharing my plan.
If you know me, you know I don’t do things in a traditional manner. My style is to put it out there, to not hold back and to go after what I want in a direct and purposeful manner.
This post is meant to reach the prop tech companies that are potentially the right fit for us and give you enough information to start a conversation about potentially joining REW in our journey or selling me your company so that I can take it to the next level and provide a great home for your customers.
So here’s what I’m looking for: The Plan.
I am looking to acquire companies that are complementary to Real Estate Webmasters that can benefit from our scale and expertise. Over the next 3 years we are targeting companies with combined revenues of $20M Annually. Through business optimization, increased sales & marketing, access to our exceptional R & D talent and to our network of over 50,000 agents domestically and globally (which is growing rapidly) we intend to help these acquired companies grow by 2.5x
What this means is we intend to convert this acquired revenue stream from $20M annually to $50M annually.
Of course each company’s path will be different.
Some companies have amazing products and are very new. Their revenue is low and thus their % growth might be thousands of % increase. In this case we’re the rocket fuel and guaranteeing the product succeeds.
Some companies are more established but are stuck (they can’t grow but have loyal customer bases) access to our additional products, sales channels, marketing and customers will help here.
And other companies, while they may have an established customer base, they are going the wrong way. For whatever reason (usually they cannot afford to innovate / stay competitive) it doesn’t look they are going to make it. Their churn is too high, they are shrinking (not growing) they have not been able to become profitable and their path to success is not clear. in this case our goal is to be a great home for their customers and move them into a better product. For the founders, it’s an opportunity to get “something” instead of riding it out to the bottom and closing up shop.
Does this sound like you?
Are you between $250k-$5M in annual revenue in the real estate technology space? Do you have an established base of realtors (agents, teams, brokers, franchises) as customers? Are you wanting to see your ideas, products, services or customers flourish and reach new heights? Do you you want to be a part of an amazing team and story? Or are you interested in existing and having your customers taken great care of?
If so let’s talk!
I am extremely serious about this program and my goal is to close all deals in the next 24 months. We have the resources, talent, & access to funding needed to make this happen and if you’re in it for the long haul and willing to be creative, we can often accelerate your valuation significantly higher than it would be if you were to just sell today.