Sramana: Did you build it beyond the $12 million that you hit in year two or did you sell the business? Jeff Leventhal: In 1998, we had the opportunity to sell the business to a public communications company and they are still running the business today. Sramana: How much did you sell that business for?
Eric Burns: I got to work on some interesting things like building a search engine from scratch, designing a large-scale storage system, and building a UI—basically, building an entire system from the ground-up. One of the other projects that I got involved in, even as early as 1998, was capturing lectures in a classroom. CMU
Sramana: Based on what you were charging customers, what was the cost of acquiring hours from providers? Did you have a fixed price or were costs variable? Jeff Leventhal: We tried to make most of our deals paid out at around $55 an hour. However, we billed our clients in 30 min increments and we paid
If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. One of the issues we’ve discussed is the slow-growth nature of the EdTech industry. This interview explores the question in depth, and shows how Panopto is mitigating the issue through sector diversification. Sramana Mitra: Eric, let’s start at the beginning of your story. Tell us where
Sramana: What did you do after you sold LANSafe in 1995? Jeff Leventhal: As an entrepreneur, I have built my companies based on what I have learned in previous companies. This led me to launch a business called Remote Lojix. What I had discovered while running my previous software business is that companies were having
If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. Jeff Leventhal has built four businesses in the domain of ‘work’ and has created a blue-print of managing distributed workforces on behalf of companies. All four businesses have monetized well for this serial entrepreneur who really has the magic touch! Sramana: Jeff, let’s start with a
Sramana Mitra: As long as you are delivering and executing on what you said you were going to deliver on, there is no shortage of capital. In your case, you have delivered a product. You’ve had customers. Your pricing model is validated. Your business model is validated. You’re ramping up well. These kinds of deals
Sramana: On the surface, Facebook advertising does not seem all that complicated. A lot of people also believe that fans don’t turn into leads. You are getting leads and transactions out of Facebook. What have you learned that is worth sharing? Amy Laws: Once that fan likes your page, you have to put your best