If I Had To Make $1 Billion... Here’s The Business I Would Start

My First Million 59min 4 min #1
If I Had To Make $1 Billion... Here’s The Business I Would Start
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Summary

  • Hosts Shaan Puri and Sam Parr answer a listener’s question: what single business idea would you pursue to make $1 million, and what would you do to build a $1 billion company? They walk through concrete, specific strategies for each, drawing on real examples and personal experience.

Making $1 Million: The “Me Also” Strategy

  • The core idea is to skip inventing something new and instead copy what already works, using business brokerages like Quiet Light Brokerage as a real-world database of proven business models.
    • These sites list anonymous descriptions of businesses for sale, including revenue, net income, customer acquisition methods, and owner interviews — essentially free market research.
    • The approach: browse 20–30 listings, find one that fits your interests and skills, then either buy it outright or reverse-engineer it with your own twist.
    • Example: A friend saw a $150K business for sale, couldn’t afford it, but studied the model so thoroughly that he recreated it and sold his version for millions.
    • SBA loans make this accessible — a $2M business doing $600K in profit can often be bought with 10–15% down (~$200K), and growing an existing business from $1.8M to $3.1M in revenue is far easier than building from zero.

Alternative $1M Idea: Niche Membership Community

  • Build a high-priced, hyper-specific membership community ($500–$3,000/year) that solves a concrete problem for a narrow professional audience.
    • Examples: automations for HVAC owners, outbound sales playbooks for chiropractors, or a database of media buyers at specific companies.
    • The key is a clear ROI: if a member pays $3,000/year and gets one client or sale from the community, the value is obvious — making sales far easier than consumer products.
    • Exit 5 is a real example: a B2B marketing community with 500–1,000 members paying ~$2,500/year, likely worth $2–3M.
    • You only need ~100–200 paying members to hit $250K+ in profit, which at a 5x multiple gets you to a $1M+ exit — achievable with a modest audience of ~5,000 followers plus cold outreach.

Alternative $1M Idea: QSBS Advisory Firm

  • QSBS (Qualified Small Business Stock) is a tax provision that lets eligible company founders exclude up to $10 million in gains from federal taxes when they sell stock held for 5+ years.
    • Most tech startups qualify, but the rules are complex and getting it wrong is costly. Companies pay experts $10K–$15K for an attestation letter confirming eligibility.
    • The business: hire lawyers or accountants on an as-needed basis ($300–$500/hour) and charge clients either a flat fee or $1,500–$2,000/year for ongoing advisory.
    • The pitch: cold-email every tech company on Crunchbase and scare them about potentially losing a $10M tax exclusion — then offer to protect it.
    • At $10K–$15K per client, you only need ~30 customers/year to clear $300K+ in profit, and the business can be sold for $1M+.
    • It’s not a law firm (which have ownership restrictions) — it’s advisory work blending legal, accounting, and consulting.

Making $1 Billion: Humanoid and Purpose-Built Robots

  • Both hosts agree the biggest opportunity is robotics, specifically purpose-built robots that automate specific jobs rather than general-purpose humanoids.
    • Elon Musk has said Tesla’s Optimus robot will be bigger than Tesla’s car business. The investor Kai Fu Lee predicts robots will replace 40% of jobs within 12 years.
    • Shaan invested $60K in Figure, a humanoid robotics company valued at $300M, betting it could become a $50B company.
    • Sam’s preferred angle: narrow, purpose-built robots — like a pizza-making robot or a roofing robot — rather than general humanoids.
      • Pizza robot: Domino’s pays ~$15/hour for unreliable human labor; a machine that makes perfect pizza 24/7 with no sick days, no raises, and no turnover is an easy sell to chains.
      • Roofing robot (Renovate Robotics): sits on a roof and installs shingles — makes roofers twice as productive and reduces dangerous height work.
      • The dishwasher is cited as the most successful robot in history: it doesn’t look like a human, it just does one job perfectly.
    • The strategy: go to MIT, Carnegie Mellon, and hardware labs to find brilliant but disorganized engineers, become the organizer/business person, and build a company around their technical talent.
    • Founders Inc. in SF offers a model: provide free access to expensive hardware equipment (3D printers, robotic arms, laser cutters) to attract top hackers, then invest in and help organize them.

Alternative $1B Idea: Buying and Rebranding a University

  • Fully accredited universities are for sale on sites like DealStream for $5M–$25M — far less than people expect.

    • Example: A Southern California university listed for $25M, fully accredited, able to offer F1 visas to international students, with 900 enrolled students and eligibility for Title 9 sports funding.
    • Belmont University (Nashville) generates $464M in revenue, $100M in profit, has $1.5B in assets and only $200M in liabilities — illustrating how valuable even a mid-tier university is.
    • Harvard’s endowment alone is $53B; top universities are essentially priceless assets.
  • The plan: buy an accredited university, rebrand it as an ultra-prestige institution, and use unconventional funding.

    • Brand building: sponsor math and science competitions for 5th–6th graders (cost: mostly pizza), hire the best branding agency, and pay $5M–$6M/year in speaker fees to bring in famous figures.
    • Direct marketing: blanket intellectual podcasts with ads — not “apply now” ads, but controversial content about whether it’s fair to only admit gifted kids, generating buzz through exclusivity.
    • University of Phoenix spends ~$5M/month on Google ads and gets 70K–80K clicks/month — proving the DTC model works even in education.
    • No SATs: create a proprietary entrance exam to signal elite status.
  • NFT/PSL funding model: sell 10,000 “admission licenses” as NFTs (similar to Personal Seat Licenses in stadiums, which sell for $25K–$50K+).

    • Each license gives the holder one seat in every admissions class — usable for their child, giftable, or sellable.
    • At $25K–$50K each, selling 10,000 licenses raises $250M–$500M upfront without needing VCs.
    • License holders also receive a share of tuition revenue each year, making it an income-producing asset that appreciates over time.
    • Normal tuition is still charged on top — the NFT holders simply get a rev-share.
  • International students are a major revenue source — they pay premium rates and are highly motivated to get into a prestigious U.S. program.

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