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Jason Greenspan, the founder and CEO of Whoosh!, a screen-cleaning product that\\u2019s on track to make over $5 million in sales this year. Listen as Jason and Nathan talk about creating a start-up with a physical product, what good margins look like, and how to convince people they have a problem.

Famous 5
Favorite Book? \\u2013 Purple Cow
What CEO do you follow? \\u2014 Kevin Plank
What is your favorite online tool? \\u2014 Pipedrive
Do you get 8 hours of sleep?\\u2014 Definitely not
If you could let your 20 year old self know one thing, what would it be? \\u2014 To start a business then! It\\u2019s much easier before you have responsibilities.

Time Stamped Show Notes:
01:20 \\u2013 Nathan\\u2019s introduction
01:44 \\u2013 Welcoming Jason to the show
01:54 \\u2013 Whoosh! is a best-selling screen-cleaning spray and wipe
03:05 \\u2013 Was on the Canadian version of Dragon\\u2019s Den
03:40 \\u2013 Founded in 2009
03:50 \\u2013 Pivoted in 2012 from making car-cleaning products
04:05 \\u2013 Knocked a cleaning product onto his iPad by mistake
04:30 \\u2013 Filled one-ounce bottles and handed them out at CES - never looked back
04:55 \\u2013 Entirely self-funded and currently profitable
05:10 \\u2013 Looking to raise $5 million this spring to fund growth
05:30 \\u2013 Wiped over 1.5 million screens over the last year
06:30 \\u2013 Total revenue in 2012 just under $1 million
06:39 \\u2013 Total revenue in 2016 will be $5-10 million
07:00 \\u2013 The formula is proprietary - they manage a supply chain
07:40 \\u2013 The Whoosh! Go sells for $10 - what are the margins on that?
07:55 \\u2013 Retailer takes a 25-50% gross margin
08:20 \\u2013 A good gross margin on a physical product is 40-50%
09:02 \\u2013 A good net margin is around 5%
09:35 \\u2013 Spending very little on acquisitions
10:00 \\u2013 We\\u2019re building through the wholesale channel - probably 90% of sales
10:24 \\u2013 10 full-time employees
10:40 \\u2013 How do you value a product company?
10:50 \\u2013 Valuation is on topline revenue and growth
12:30 \\u2013 Whoosh! is a sticky product once people try it
13:20 \\u2013 Biggest growth opportunity is convincing the market that there\\u2019s a problem
15:40 \\u2013 Famous Five

3 Key Points:
Grab opportunities when you see them. Whoosh! was founded by capitalising on an accident.
Start your business now. Waiting longer isn\\u2019t going to make it easier.
If you\\u2019re dealing with physical products, you should be making better than 5% margins.

Resources Mentioned:
Freshbooks - The site Nathan uses to manage his invoices and accounts.
Host Gator \\u2013 The site Nathan uses to buy his domain names and hosting for cheapest price possible.
Leadpages \\u2013 The drag and drop tool Nathan uses to quickly create his webinar landing pages which convert at 35%+
Audible \\u2013 Nathan uses Audible when he's driving from Austin to San Antonio (1.5 hour drive) to listen to audio books.

Show Notes provided by Mallard Creatives

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