🦨 Stink Bids

Hey there 👋,

I’d taken my name off this newsletter last week as was open to selling it for a non-negotiable $10K quick sale, so I could focus on crypto which has been printing.

But all that happened was that I got hit by stink bids (way lower than the market value) which is ironically something you see in crypto, as this old Patrick McKenzie tweet explains:

These bids (offers) were insulting enough to make me completely reevaluate the decision to sell.

I’ve realized I’ve built a great audience here (thank you) who appreciates the content, as the metrics from last week’s issue shows:

In fact the sponsor last week got 150 clicks…

Plus this is actually a business, and I should have valued it as such, seeing as that’s what I advocate with my The Newsletter Is The Business product.

So I’m back playing the game of letters.

And like Manu from Stacked Marketer, I’m a poker player and know my edge in this space, having built, operated and sold more than most (and now as an investor in beehiiv):

And I know my numbers.

This is direct newsletter business revenue since inception of the newsletter, launched as Letter Meta back in October:

[The Letter Operators brand preceded this newsletter as did the launch of TNITB back in Feb 2022, and both have brought in over $10K in revenue in total].

If I simply maintain the $2200/m in profit over the next 12-18 months, then if I were to choose to sell again, I can attach a 24x-36x monthly profit multiple for $50K-$80K.

And if I grow the subscriber base to 10K subs, and the market reasonably values an engaged subscriber at $3-$5 per open, I can get to a six figure exit like I did with the Website Investing publication.

I will have better buyers at that price point who are in a position to pay a market rate:

Cheers!

Richard Patey

🗞️ Industry News

Practical AI newsletter on beehiiv gets acquired Link

Google & Yahoo new security changes means if you’re using a custom sending domain on beehiiv, will need to add a DMARC policy Link

⚒️ Letter Ops

Getting coached on newsletter sponsorships Link

Red Ventures hiring newsletter editor Link

Future hiring email ops Link

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Disclaimer: Not financial or business advice. This newsletter is strictly for information and education purposes. There are affiliate links to beehiiv and others in this issue.