Sramana: At what point did you find your product market fit and business model? Adam Singolda: In December of 2011. At that point, we felt we had the best engine in the world to predict what content people like to consume next. Most companies have 20 or 30 algorithms they will apply to do some
If you haven’t already, please study our Bootstrapping Course and Investor Introductions page. We normally only feature companies that have proven concepts in the Entrepreneur Journeys series. This concept, however, is not entirely proven. It is interesting and bold. Sramana Mitra: Benoit, where are you from? Where were you born and raised? Give us some back story of the
Sramana: What was your next milestone after 5min? Adam Singolda: Our next goal was to attract big brand publishers. The problem was that I had no idea how to make money. We could not make it scale to the point of relevancy to big businesses. That is when I decided to leave the tech side
Sramana Mitra: What was the monetization model on that one? Were they monetizing well? Blaine Vess: I don’t think they were monetizing as best as they could, but both of them were making money out of Google AdSense. Flash Card Exchange had a lifetime membership for $20 a month. If you paid, you would not
Sramana: What story did you tell the VC? What was the vision? Adam Singolda: We told them a similar story to what I expressed earlier but focused on video. It was the same premise that information should look for people as opposed to the other way around. I did not speak about content and discovery
Sramana Mitra: But it did not pan out that way? Blaine Vess: It did not pan out, but we learned a lot in the process – mainly about a lot of the things that we were doing wrong like not having employees. We had very high margins. We were making a lot of money and
Sramana: What was your frame of mind as you approached the angel investors? You had just left the Army and it sounds like you may have been looking for a bit of a break at that point. Adam Singolda: At that time, I was considering two things. One was to do an MBA because I
Sramana Mitra: In 2008, you have got one acquisition under your belt. What happens next? Blaine Vess: We ended up buying another site, which was called All Free Essays. It was another site that has been around since about 2000. It was not monetized at all. I had been reaching out to the owner for