FreeUp CMO Connor Gillivan talks about $3,000,000 in FreeUp projects completed on The Top podcast with Nathan Latka.
This episode #700 of The Top. Join Nathan and Connor as they talk about the awesome number of FreeUp projects completed. Connor discusses how the business has scaled in 2 short years to reach the $3,000,000 mark. They zero in on three key points of scaling your business to this level.
First, Connor talks about how many businesses have started to use outsourcing. This is a highly profitable way to handle HR. Sharing how beneficial it is to go remote is also a great way to boost business. Second, Connor advises all the business owners out there to make sure you always keep backup funds for your company. Third, you should start focusing right now on what you do best. This is what Connor would like to tell his 20-year-old self if he could.
Connor was already earning on the first year of business with Portlight
Connor makes 20% to 30% of the gross margin of a product on Amazon
His net profits are from 5%-15%
The average price point was $75-100
The company still operates earning $1-2M in annual revenue
Portlight operates with remote freelancers based around the world
The three founders, including Connor, get their pay quarterly
Connor now spends his time on his second business, FreeUp
FreeUp launched in 2015
Connor and his co-founder learned about hiring freelancers through Odesk and Elance.
They didn’t like the laborious process of posting ads and sifting through applicants
FreeUp is a better solution. Business owners don’t have to do the upfront work
FreeUp finds the top 1% of candidates for business owners with no fees upfront
Toptal is more focused on top developers and designers
Contractors on the FreeUp marketplace specialize in e-commerce business operations
FreeUp charges a standard markup for hourly rates. The minimum is $2 and 20% for higher rates
There are now over 500 freelancers in the FreeUp marketplace
The FreeUp system measures the amount they’re paying out to freelancers. Average billing per hour is $10.
The biggest metric is the hours billed to the client
FreeUp is keeping $60,000 to $80,000 in revenue per month
FreeUp has around 1500 signups on the platform and bills between 300-500 people every month
2000-2500 people have been billed since FreeUp started
FreeUp has a referral program where clients can earn $0.50 for every hour that has been billed by referrals who hire through the network
FreeUp is more hands on with clients and workers
Most clients start slow with online hiring then more and more when they see FreeUp’s benefits
FreeUp operates with 20-25 part-time remote workers
Since April alone, FreeUp has grown by 1000%
FreeUp is winning in the ecommerce industry
FreeUp now offers digital marketing and continues to find different areas that will interest more clients
Both of Connor’s businesses are bootstrapped
The total transaction volume for 2016 is a over a million and the projected transaction volume for 2017 is $3-4 million
Connor puts his money back into his businesses to scale them. He splits the 20% from FreeUp to grow his businesses.
Learn more from Connor’s journey to $3,000,000 FreeUp projects completed. Click here to listen to the full episode with show notes on nathanlatka.com.
Don’t forget to check out Connor’s blog, ConnorGillivan.com. He shares his knowledge about entrepreneurship and starting eCommerce businesses. Check out his best selling book as well, Free Up Your Business. The book is filled with the secrets that he and FreeUp CEO Nathan Hirsch have learned so far. Connor and Nathan have worked together over the past 7 years on their Amazon store Portlight. The book gives the steps that entrepreneurs can take to scale their businesses. It is written to help entrepreneurs build businesses that pull in millions. It is also available on Amazon.