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Bonus: Preparing Your DTC Brand for Acquisition: Lessons on the PE Path from Because Ventures

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Manage episode 479921888 series 2899866
Content provided by DTC Newsletter and Podcast and DTC Newsletter. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by DTC Newsletter and Podcast and DTC Newsletter or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://ppacc.player.fm/legal.

Subscribe to DTC Newsletter - https://dtcnews.link/signup

In today’s DTC Podcast, we sit down with Jeremy Horowitz, founder of Because Ventures, a private equity firm laser-focused on acquiring and scaling DTC brands doing $10M–$100M in revenue. Jeremy shares why VC funding often damages DTC brands and how PE can provide a more sustainable growth path for founders.

https://because.ventures

https://www.linkedin.com/in/jeremyhorowitz1/

https://letsbuyabiz.xyz/subscribe

Key Topics Covered:

Why venture capital is usually a mismatch for DTC brands

How PE firms like Because Ventures evaluate acquisition targets

The #1 thing founders should do 6–12 months before selling

The role of clean SOPs and financials in maximizing valuation

How WhatsApp marketing (through their acquisition of Coco AI) is the next SMS in Europe

Big Idea:

VC is not designed for DTC brands; disciplined operations and a focus on profitable growth are the real success path.

Timestamps

00:00 - Top signals PE looks for when acquiring brands

02:00 - Jeremy's journey from agency to SaaS exits to PE

06:00 - What changed in the brand acquisition market since 2020

10:00 - Why VC isn't a great fit for DTC physical products

14:00 - The dangers of scaling too fast with venture capital

18:00 - How PE approaches growth differently from VC

20:00 - Key traits of brands that are acquisition-ready

24:00 - What founders should do 6–12 months before selling

28:00 - The importance of industry benchmarks and P&L metrics

30:00 - Inventory management, CAC payback, and repurchase rate

32:00 - Inside Because Ventures’ first acquisition: Coco.ai

Hashtags

#DTCgrowth #EcommerceAcquisition #PrivateEquity #FoundersJourney #VentureCapital #CocoAI #BrandExitStrategy #ShopifyApps #WhatsAppMarketing #CashFlowTips

Subscribe to DTC Newsletter - https://dtcnews.link/signup

Advertise on DTC - https://dtcnews.link/advertise

Work with Pilothouse - https://dtcnews.link/pilothouse

Follow us on Instagram & Twitter - @dtcnewsletter

Watch this interview on YouTube - https://dtcnews.link/video

  continue reading

600 episodes

Artwork
iconShare
 
Manage episode 479921888 series 2899866
Content provided by DTC Newsletter and Podcast and DTC Newsletter. All podcast content including episodes, graphics, and podcast descriptions are uploaded and provided directly by DTC Newsletter and Podcast and DTC Newsletter or their podcast platform partner. If you believe someone is using your copyrighted work without your permission, you can follow the process outlined here https://ppacc.player.fm/legal.

Subscribe to DTC Newsletter - https://dtcnews.link/signup

In today’s DTC Podcast, we sit down with Jeremy Horowitz, founder of Because Ventures, a private equity firm laser-focused on acquiring and scaling DTC brands doing $10M–$100M in revenue. Jeremy shares why VC funding often damages DTC brands and how PE can provide a more sustainable growth path for founders.

https://because.ventures

https://www.linkedin.com/in/jeremyhorowitz1/

https://letsbuyabiz.xyz/subscribe

Key Topics Covered:

Why venture capital is usually a mismatch for DTC brands

How PE firms like Because Ventures evaluate acquisition targets

The #1 thing founders should do 6–12 months before selling

The role of clean SOPs and financials in maximizing valuation

How WhatsApp marketing (through their acquisition of Coco AI) is the next SMS in Europe

Big Idea:

VC is not designed for DTC brands; disciplined operations and a focus on profitable growth are the real success path.

Timestamps

00:00 - Top signals PE looks for when acquiring brands

02:00 - Jeremy's journey from agency to SaaS exits to PE

06:00 - What changed in the brand acquisition market since 2020

10:00 - Why VC isn't a great fit for DTC physical products

14:00 - The dangers of scaling too fast with venture capital

18:00 - How PE approaches growth differently from VC

20:00 - Key traits of brands that are acquisition-ready

24:00 - What founders should do 6–12 months before selling

28:00 - The importance of industry benchmarks and P&L metrics

30:00 - Inventory management, CAC payback, and repurchase rate

32:00 - Inside Because Ventures’ first acquisition: Coco.ai

Hashtags

#DTCgrowth #EcommerceAcquisition #PrivateEquity #FoundersJourney #VentureCapital #CocoAI #BrandExitStrategy #ShopifyApps #WhatsAppMarketing #CashFlowTips

Subscribe to DTC Newsletter - https://dtcnews.link/signup

Advertise on DTC - https://dtcnews.link/advertise

Work with Pilothouse - https://dtcnews.link/pilothouse

Follow us on Instagram & Twitter - @dtcnewsletter

Watch this interview on YouTube - https://dtcnews.link/video

  continue reading

600 episodes

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