From the acquirer to the seller, Ross Buhrdorf bought more than 25 companies at HomeAway, then sold his business to Expedia for a whopping $3.9 billion. Now, he’s sharing his secrets – from both sides.
To read a transcript of this episode, click here.
According to Ross Buhrdorf , “If you get disrupted by Airbnb, that means you must have been the leader.” And he’s right.
Buhrdorf was a co-founder and CTO for HomeAway, a pioneer in the online vacation rental industry. While competitor Airbnb made their mark across urban areas, HomeAway focused on luxury vacation destinations, building an acquisition strategy around finding the best of the marketplace across the globe to help expedite their business model.
After acquiring over 25 companies, building value and going public, HomeAway was ready to sell – and they had one big fish in mind: Expedia.
Find out why Buhrdorf says HomeAway’s inventory played a crucial role in landing what ends up being Expedia’s most profitable acquisition.
In this episode, you’ll also learn:
- From an acquirer’s POV:
- The characteristics Buhrdorf found most attractive in looking at businesses to acquire
- The red flags that would break off a deal in its tracks
- From a seller’s POV:
- Why Buhrdorf and his co-owners were motivated to sell HomeAway
- The strategic reasons why Expedia offered a whopping $3.9 billion for the acquisition
- What it takes to be a ‘unicorn’ in your industry
The key to both HomeAway’s acquisitions and sale is Monopoly Control. Whether it was access to a new group of customers, or properties in an untapped location, Buhrdorf and his co-owners looked for ways to stand out. Monopoly Control is explored in Module 6 of The Value Builder System™. Start for free right now by getting your Value Builder Score now.
About Ross Buhrdorf
Ross Burhdorf runs ZenBusiness. He previously was the founding CTO for HomeAway (NASDAQ:AWAY). His technology built the company from a startup, through the IPO, to its recent acquisition by Expedia (NASDAQ: EXPE) for $3.9B. In his more than 30 years as a technology leader, entrepreneur and c-level corporate executive in both public and private companies, Ross helps transform the way consumers interact with technology.
Do You Know An Entrepreneur With A Story To Tell?
We’re constantly on the prowl for interesting stories from owners who have sold their businesses. We look for owners who have sold a business that was generating $1 million or more in revenue and who are willing to share their story candidly with our community. Forbes ranked Built to Sell Radio one of their top 10 podcasts for entrepreneurs and we have more than 400,000 downloads, so your story will get shared with a great community of like-minded owners. Nominate yourself or someone you know today.
At Built to Sell we’re all about shifting the balance of power from the buyer to the seller. If you support our mission, please write a review on iTunes—and if you have any comments or questions you can find us on Twitter and Facebook. Tune in every Wednesday for another episode of #BuiltToSell Radio with John Warrillow.
If you’re wondering what your business might be worth to an acquirer, there is a simple calculation you can use.
Connie Fenyo went all in, risking everything to purchase Dye & Durham. And when buyers came knocking, her gamble paid off.
What’s Your Business Worth?
Take the 13-minute survey and get your Value Builder Score
The Value Builder Score was inspired by the book, Built to Sell. It was created to help business owners like you build more valuable companies. Join more than 30,000 entrepreneurs by getting your free Value Builder Score, and find out how valuable your company really is.
Get Your Score Now It’s free and 100% confidential.