3 low competition businesses minting MILLIONS right now
Executive Summary
My First Million episode 853, a Shoot Your Shot session recorded in San Francisco where hosts Sam Parr and Shaan Puri hear three founders give their big number and pitch, then advise them live. The description lists Nick Haschka of OnPoint Generators, Kevin Moyer of Smash My Trash and Noam Aizenberg of TMJaw. This note covers mainly the first segment: Nick's backup generator company in California, which he says has about 12 million dollars in annual recurring revenue and was built by acquisition after a consulting career. Sponsor: the description links HubSpot and promotes Hampton, Somewhere and Mercury. PARTIAL COVERAGE: this note is based on the show opening, the opening generator pitch with its first Q and A, and the description, and does not cover the Smash My Trash or TMJaw segments or the full 56 minute episode. All figures are the founders' own claims and are not independently checked.
Key Takeaways
The format
The hosts say founders get 15 minutes to give a big number, pitch, and ask any question they want.
The big number
Nick says the company does about 12 million dollars in ARR, with line of sight to 14 million this year and contracted revenue heading toward about 25 million.
What it sells
He says the business sells and services higher-end generators to estates and to regulated facilities such as telecom towers, nursing homes, police and fire stations and data centers.
The origin
He says he began in management consulting, then worked on innovation projects at a large power company where backup generators were hard to find expertise in.
Built by acquisition
He says the company started as an acquisition thesis and he bought the first business about five to six months after starting.
Competition
He says the market is barbelled, with big names like Caterpillar, Cummins and Generac on one side and mom and pop players on the other.
Third search venture
He says an office plant company bought in 2017 was his first, with 14 acquisitions and about 10 million dollars in revenue, after an earlier venture-backed startup failed.
The Conversation Breakdown
The format
⏱ Untimed topicThe hosts say founders get 15 minutes to give a big number, pitch, and ask any question they want.
The big number
⏱ Untimed topicNick says the company does about 12 million dollars in ARR, with line of sight to 14 million this year and contracted revenue heading toward about 25 million.
What it sells
⏱ Untimed topicHe says the business sells and services higher-end generators to estates and to regulated facilities such as telecom towers, nursing homes, police and fire stations and data centers.
The origin
⏱ Untimed topicHe says he began in management consulting, then worked on innovation projects at a large power company where backup generators were hard to find expertise in.
Built by acquisition
⏱ Untimed topicHe says the company started as an acquisition thesis and he bought the first business about five to six months after starting.
Competition
⏱ Untimed topicHe says the market is barbelled, with big names like Caterpillar, Cummins and Generac on one side and mom and pop players on the other.
Third search venture
⏱ Untimed topicHe says an office plant company bought in 2017 was his first, with 14 acquisitions and about 10 million dollars in revenue, after an earlier venture-backed startup failed.
Core Frameworks & Ideas
Acquisition thesis - Nick's route
Pick an industry, form a thesis and buy an existing business instead of starting from scratch.
Boring-business blind spots - a host's observation
Look for essential industries you have never thought about, such as backup power.
Barbell market map - Nick's description
Place your business between large platforms and small local players to see where to compete.
Actionable Next Steps
- ✓Pick one essential but unglamorous industry and write a one-paragraph acquisition thesis.
- ✓List which regulated facilities would pay to avoid downtime in your target market.
- ✓Map the big platforms and small local players in that market.
- ✓Treat the revenue and growth figures as the speaker's own and verify them before repeating them.
Notable Quotes
“I'm running a backup generator company in California.”
“this is my third search venture”
“It was like the polar opposite of what I had been doing throughout my career”
The One Thing to Remember
Nick, the first founder, says he built a roughly 12 million dollar backup generator business by acquiring existing companies, selling mostly to regulated facilities and estates.