📜 10x your agency's value with this holdco strategy

Today, I’m gonna walk you through the simplest way to build an 8-figure holding company.

Like most founders, you may want to diversify your portfolio and have ownership in multiple companies.

Even if you own small stakes in several businesses, having distributions from an additional 10 businesses per quarter can give you a strong foundation to work off of for the rest of your career.

Here’s how to build a big HoldCo — even if you don’t have money.

(For context, I’ve been moving my consultancy into a holding company since Q4 2023, so everything I’m about to share with you comes from personal experience.)

Nail Down Your Niche

To have a successful holding company, the first thing you need is a dialed-in niche.

In the last week, I’ve spoken to clients with great niches, and they all have potential for the holding company model:

• Land investors

• Audiologists

• Surgeons

• HVAC

Regardless of your service, if you have a niche and a deep understanding of how it works…

You can make 10x more than you currently are.

Volume

You don’t need 100 clients to build a HoldCo, but you likely need to be able to sign at least 5 deals a month.

When you engage with your clients, you probably know the great ones from the mediocre ones.

In a sample size of 10, there are probably 1 or 2 clients that are home runs for your business just because of who the founders are, and how the companies are built.

These are the companies you need to get in front of.

Philosophy

Even if you don’t have capital, you can still engage these businesses and make an offer to become a part owner.

To do this, you will need to find capital partners that are interested in your niche…

And trust me, there are plenty of them for every niche.

The typical capital partner is someone who is ex venture capital, ex private equity, or is a serial entrepreneur with a lot of cash.

In order to set up a fruitful partnership with them, you just need a clear formula that enables your clients to grow.

Here is an example cold email you can send:

Subject Line: Free Lead Flow For Your Holding Company

“Name,

I believe I have clients that would be a perfect fit for your holding company. Currently, I am working with 53 clients (enter your number here) in the ABC niche (enter niche here). I’m confident a small percentage of my clients would benefit from outside capital to speed up growth and would make them & you a lot of $$.

Worth connecting to discuss further?”

When you connect, your pitch is simple:

1. You provide deal flow for the capital partner, and in return take 20%-50% of the equity they acquire (a savvy investor will keep that number small for you)

2. Your value proposition, and why this works, is that you are only putting the best companies in front of them. You are doing all the work weeding out unqualified businesses and only bringing them winners, which is highly valuable.

3. You lock in a deal to remain the outsourced agency for this company forever, guaranteeing you revenue.

4. If you’re savvy enough, you can work out a sweat-equity deal (assuming the capital partner is open) that is contingent upon hitting revenue targets.

If you do this long enough, and compound deals year over year…

You’re going to have a vested stake in over 10 companies that are cash flowing to you NICELY, with an even higher ceiling…

Because you can roll up all your equity positions for a large exit down the road.

Is A Holding Company The Right Move for Your Agency?

If the idea of owning stakes in multiple thriving businesses excites you, but you're not sure where to start…

That’s totally normal.

Many agency owners dream of diversifying their portfolio and creating multiple streams of income, but struggle with:

• Identifying the right niche to focus on

• Generating enough deal flow to attract capital partners

• Crafting the perfect pitch to secure partnerships

• Structuring deals that benefit all parties involved

At 8 Figure Agency, we've been there.

We're not just consultants - we're practitioners.

Since Q4 2023, we've been actively transitioning our own consultancy into a holding company, and we've learned invaluable (and extremely profitable) lessons along the way.

Now, we're ready to help you do the same.

Our team of experts can help guide you through:

• Nailing down your perfect niche

• Scaling your client acquisition to generate quality deal flow

• Connecting with the right capital partners

• Structuring win-win deals that secure your agency's future

Curious if your business could transform by evolving into a holding company?

Schedule a call with our team here…

And we’ll get you started on the path to securing your business and future.