From Zero to 7-Determine ARR as a Digital Nomad







This week’s visitor started his facet hustle with the purpose of getting simply 10 purchasers in 90 days. 4 years later, he’s now the proud proprietor of a 7-figure enterprise!


Justin Tan is a Facet Hustle Present listener who was impressed by Russ Perry’s story in Episode 248 of how he started Design Pickle.

In 2014, Russ was operating a inventive company when he began to hate all the things about it. Not desirous to really feel like a prisoner of his personal creation, he sought out a brand new enterprise mannequin, one which provided dependable, reasonably priced, and scalable inventive work at a flat fee.

Justin took inspiration from that mannequin and utilized it to video enhancing. And so, Video Husky was born.

Justin’s story is certainly one of many examples of what can occur if you mix a demonstrable enterprise mannequin with a novel concept and an untapped market.

Tune in to The Facet Hustle Present interview to listen to how:

  • Justin discovered his first purchasers
  • he scaled right into a full-time enterprise
  • he made the final word determination to step away

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The Inspiration for Beginning Video Husky

4 years in the past, Justin was simply operating Fb advertisements for numerous companies in Hong Kong.

He seen that he saved encountering the identical downside: Purchasers couldn’t produce ok movies for him and his crew to advertise.

Realizing this, Justin took inspiration from Design Pickle’s enterprise mannequin, which he had heard about from a earlier Facet Hustle Present episode, and utilized that to video enhancing.

He introduced on a pal who was a talented video editor and set the purpose of getting 10 purchasers in 90 days.

“In my thoughts, if we might get there, that may validate it.”

Touchdown the First 10 Clients

However touchdown these 10 purchasers wasn’t straightforward.

On the 86-day mark, Justin had solely 4 purchasers, 3 of which got here from his earlier Fb advert enterprise.

Sadly, none of them had been a very good match.

With solely 4 days left earlier than the deadline, Justin determined to publish a particular provide in a non-public discussion board for entrepreneurs.

It turned out {that a} good variety of the group’s members had been YouTubers who had been combating video enhancing.

And those who weren’t YouTubers knew individuals who had been.

That received the ball rolling, a lot in order that Justin went from 4 to 10 purchasers within the run-up to the deadline.

In truth, the sudden demand was so overwhelming that he needed to carry on one other video editor to assist handle their new purchasers.

Pricing a Video Enhancing Service

On the time, Video Husky actually solely had one competitor: Vidchops.

Vidchops has an identical enterprise mannequin in that it expenses purchasers a flat fee to make higher movies, develop their companies, and save time.

Nonetheless, the dearth of rivals raised the query of, how a lot will we cost for this?

Once more, Justin determined to look to Design Pickle for inspiration.

Design Pickle was charging round $370 per thirty days for its providers on the time. “I figured video enhancing is a better worth,” Justin stated.

And so, he set Video Husky’s beginning worth at $495 per thirty days.

At the moment, Video Husky has two packages: the starter “Pom” plan at $549 per thirty days and the superior “Eskimo” plan at $749 per thirty days.

However these numbers didn’t seem out of skinny air.

In keeping with Justin, he needed to take plenty of issues into consideration when setting costs, corresponding to the dimensions of the movies, the time it takes to edit a video, the editors’ talent degree, and extra.

Accounting for these variables was additionally essential in figuring out whether or not editors might do duties on a sustainable and repeated foundation.

Instruments and Tech

Justin makes use of three core instruments in his enterprise. The instruments he makes use of are:

  • Wrike – That is the undertaking administration platform Justin and his crew of editors, account managers, and buyer success brokers use.
  • Stripe – That is the software program that Justin makes use of to course of funds from purchasers.
  • Microsoft Groups – That is the platform Justin and his crew use for each inner and exterior communication.

Challenges of Scaling Right into a Full-Time Enterprise

Turning a facet hustle right into a full-time enterprise isn’t any stroll within the park.

However for Justin, scaling was made much more troublesome by the truth that he himself wasn’t a video editor.

“I don’t know what’s onerous and I don’t know what’s straightforward.”

Not all movies require the identical quantity of talent degree to edit. Some editors are additionally higher suited to work on some movies than others.

Resulting from his lack of knowledge in video enhancing, Justin struggled to match the appropriate video to the appropriate editor.

“I simply saved on throwing movies and purchasers to our editors and hoping it might all work out,” he defined.

However he would later come to seek out that it’s higher to have editors construct relationships with their purchasers by having them work with the identical purchasers.

That manner, they get acquainted with the purchasers’ desires and the way they will finest ship that.

How COVID-19 Affected Video Husky

As was the case with many companies worldwide, the COVID-19 pandemic hit Video Husky onerous.

The corporate misplaced a number of purchasers at a time when it had 40 to 50 editors, successfully placing them within the pink.

“There have been a few months the place it was not fairly,” Justin stated.

However he discovered a silver lining in that the pandemic pressured him to reassess how he ran his enterprise. Ultimately, he realized he wanted to present it a greater construction.

To try this, Justin labored with an organization known as CleverProfits, which helped him undergo his enterprise’s bills.

To him, that have was eye-opening. He realized he was operating Video Husky with a marketer’s mindset, not an proprietor’s.

To be a fully-fledged enterprise proprietor, he needed to perceive the numbers, work out the unit economics of his enterprise, what a very good gross margin regarded like for a productized service, and far more.

Deciding to Step Away

Regardless of the expansion and success that Video Husky steadily loved through the years, Justin discovered himself feeling burnt out.

By the point 2021 got here round, he felt pissed off and disgruntled. “I wasn’t paying consideration. My eye was off the ball.”

Realizing his shortcomings — one thing that’s uncommon for founders — Justin sought the recommendation of his entrepreneurial coach, Taylor Pearson.

Associated: Taylor Pearson on The Facet Hustle

Working with Taylor made Justin notice that his position as CEO of Video Husky wasn’t proper for him anymore.

He was left with three choices:

  • Promote the enterprise
  • Work within the enterprise and receives a commission some huge cash
  • Rent a basic supervisor and get an inexpensive quantity of dividends

He selected the third possibility, having acknowledged that:

  • he not associated to their purchasers
  • he didn’t benefit from the each day work of being a CEO
  • another person may be a greater match for the position than he’s

Surprises Alongside the Means

Wanting again at his four-year stint as founder, supervisor, and CEO of Video Husky, Justin recalled two shocking classes alongside the best way.

One took place from stumbling on a YouTuber who taught folks how you can be a mermaid and monetized that by promoting mermaid tail costumes.

“If she will be able to do that, you may construct a enterprise off of something,” Justin stated.

Justin additionally got here to seek out that their finest shopper was price much more than their worst shopper.

The actually good purchasers accounted for 70% of Video Husky’s income, which represents round 80% of the corporate’s revenue.

In distinction, the actually dangerous purchasers weren’t solely unprofitable, however in addition they actively misplaced the corporate cash.

“There’s one thing to be stated about doubling down in your finest purchasers.”

What’s Subsequent?

Since stepping away from Video Husky, Justin has taken on a advisor position for different productized service companies.

As a part-time advisor, he helps companies scale up when it comes to each income and the dimensions of their crew.

Justin has additionally been having fun with residing a nomadic life together with his girlfriend, Alyssa Medway.

Alyssa provides her grant writing experience to not-for-profit organizations and community-minded companies which are searching for funding to ship impactful initiatives.

Justin’s #1 Tip for Facet Hustle Nation

In case you can afford to, rent a digital assistant.

Obtain Your Free Bonus: 101 Service Enterprise Concepts

101 Service Enterprise Concepts

Assured inspiration to your subsequent revenue stream!

Enter your e-mail to obtain the total checklist now:

You may additionally obtain my finest facet hustle ideas and weekly-ish publication. Decide-out anytime.

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