Keep your Friends close....
Interesting post from a key exec at Topix.net : "You've made many successful partnerships with media sites, and then sold a 75% stake to three major newspaper businesses, Gannett, Knight Ridder, and the Tribune Company. Was this the plan from the get-go? Were you building this business with those "exits" in mind?
Markson: Well, when we started out, I was wondering what media companies were going to think about this. I'm a deal guy. I want to build partnerships. In the beginning, it was like 3,000 media companies wanted to be a part of our crawl, and 4 or 5 said no. We've always had an opt-out policy. It was pretty obvious that newspapers understand the value of aggregation and traffic. Gannett, Knight Ridder, and the Tribune Company all saw us as a product development team that they wouldn't know how to build themselves.
We were very focused and head-down on building our business from the start. Topix.net was started by a pretty tightly knit team - we go way back. Four of us went to high school together. We have two brothers and two brothers-in-law as the founding team. I was number five. All of us have had the positions at other companies dealing with VCs, the big-wig strategic partners like HP, having to go through the stress of M&A, etc. I worked for Terraspring and saw it through to acquisition by Sun Microsystems. So, we really wanted to build a fun company and a cool place to work that we would love to wake up to in the morning and go to every day! Then before we knew it, we're getting calls and talking to all the Sand Hill guys, and we're like, "Wait a minute. This isn't fun anymore!"
But I'm a partner guy, so I don't turn down any opportunities. We were approached by lots of people to do lots of different things, and we explored them. I approach every deal as a partner opportunity, and that's how I talk to VCs. It's like dating. When you're looking to get a date, it doesn't happen, but when you just want to hang out at a bar and have fun, that's when the opportunities come up!
IBDN: So what's your advice to start-ups as they pursue multiple exit strategies and opportunities?
Markson: Don't smell like you're trying to get liquidity. That's not very attractive. Pursue your core business, grow smartly, and others (VCs or potential acquirers) will see what an integral part your business could play that will benefit them, and that's where you will find yourself - cutting the deals.
Michael is the vice president of business development for Topix.net, where he leads the company's strategic partner efforts. Prior to Topix.net, he was the general counsel and director of business development for Terraspring, Inc., where he led the company's strategic partner program, forming valuable alliances with entities such as HP and EMC. In addition, he headed the efforts involved with the final sale of the company to Sun Microsystems."
Markson: Well, when we started out, I was wondering what media companies were going to think about this. I'm a deal guy. I want to build partnerships. In the beginning, it was like 3,000 media companies wanted to be a part of our crawl, and 4 or 5 said no. We've always had an opt-out policy. It was pretty obvious that newspapers understand the value of aggregation and traffic. Gannett, Knight Ridder, and the Tribune Company all saw us as a product development team that they wouldn't know how to build themselves.
We were very focused and head-down on building our business from the start. Topix.net was started by a pretty tightly knit team - we go way back. Four of us went to high school together. We have two brothers and two brothers-in-law as the founding team. I was number five. All of us have had the positions at other companies dealing with VCs, the big-wig strategic partners like HP, having to go through the stress of M&A, etc. I worked for Terraspring and saw it through to acquisition by Sun Microsystems. So, we really wanted to build a fun company and a cool place to work that we would love to wake up to in the morning and go to every day! Then before we knew it, we're getting calls and talking to all the Sand Hill guys, and we're like, "Wait a minute. This isn't fun anymore!"
But I'm a partner guy, so I don't turn down any opportunities. We were approached by lots of people to do lots of different things, and we explored them. I approach every deal as a partner opportunity, and that's how I talk to VCs. It's like dating. When you're looking to get a date, it doesn't happen, but when you just want to hang out at a bar and have fun, that's when the opportunities come up!
IBDN: So what's your advice to start-ups as they pursue multiple exit strategies and opportunities?
Markson: Don't smell like you're trying to get liquidity. That's not very attractive. Pursue your core business, grow smartly, and others (VCs or potential acquirers) will see what an integral part your business could play that will benefit them, and that's where you will find yourself - cutting the deals.
Michael is the vice president of business development for Topix.net, where he leads the company's strategic partner efforts. Prior to Topix.net, he was the general counsel and director of business development for Terraspring, Inc., where he led the company's strategic partner program, forming valuable alliances with entities such as HP and EMC. In addition, he headed the efforts involved with the final sale of the company to Sun Microsystems."
posted by redbarren at 7:59 PM
<< Home