The Evolving Art of Profitable Acquisitions With Dom Wells [Ep.147]

<p><span style="font-weight: 400;">Spotting a promising acquisition is just the beginning. Figuring out how to make that acquisition thrive is a whole new challenge. </span></p> <p><span style="font-weight: 400;">Dom Wells has cracked the code for both. Dom is the founder of Onfolio, a company that specializes in buying and nurturing profitable online businesses.</span></p> <p><span style="font-weight: 400;">Since Dom's last appearance on the podcast in October 2022, shortly after Onfolio went public, the company's revenue has surged from $1.2 million to nearly $6 million.</span></p> <p><span style="font-weight: 400;">In this episode, Dom returns to discuss how his acquisition strategy has evolved. He's shifted away from content sites and instead focused on acquiring agencies, WordPress plugins, and digital courses. </span></p> <p><span style="font-weight: 400;">Why the change? Content sites are excellent traffic assets, great for cultivating audiences and communities, but they come with a notable drawback—the vulnerability to AI and algorithm shake-ups. </span></p> <p><span style="font-weight: 400;">To mitigate this risk, Dom advises content site owners to pivot beyond SEO and affiliate revenue. They should explore innovative ways to build their audience and convert it into a thriving community or media brand. One effective approach is to channel traffic toward additional revenue streams like newsletters, digital courses, or eCommerce stores.</span></p> <p><span style="font-weight: 400;">Dom also walks us through how he goes about acquiring businesses, from the characteristics he looks for in a business to his preferred deal structure and how he sources CEOs to run those businesses. </span></p> <p><span style="font-weight: 400;">Finally, Dom shares his insights on current market conditions for sellers. </span></p> <p><span style="font-weight: 400;">He believes the market is unlikely to return to the high valuations of 2020/2021 any time soon. Therefore, entrepreneurs who have a large chunk of their net worth inv