It Doesn't Take Money To Make Money | Brandon Leibel | TEDxSDSU

The Power of "No Money" in Business [0:16]

• The saying "it takes money to make money" is challenged, asserting that in 2018, lacking funds can be the greatest asset for a business.
• This financial constraint forces founders to explore uncharted territories and adopt innovative strategies.
• Success on Shark Tank and deals with investors like Robert Herjavec were not the primary drivers of their success; rather, it was the three years prior to the show.
• The key elements that money cannot buy—drive, determination, and passion—were cultivated during this initial period.

  "so I thought I'm here today to prove that in 2018 this saying is complete a lot"

From Debt to Dreams: The Beach Towel Venture [01:08]

• Initially, the speaker believed that financial backing from wealthy family members was essential for starting a business.
• Graduating with $30,000 in student debt presented a significant obstacle to entrepreneurship.
• The traditional route of a "safe job" in a cubicle was unsatisfying, prompting a decision to pursue entrepreneurship.
• With two co-founders, Stephen and Bruno, they decided to create a product the world "really really need": better beach towels.
• Quitting their jobs was met with parental confusion and skepticism regarding financial viability.

  "The truth is is that in the three years leading up to shark tank that is what actually made us successful"

Resourcefulness as a Business Strategy [03:00]

• Faced with no money, the team transformed the situation into an opportunity to channel creativity and resourcefulness.
• Practical measures included moving into a smaller living space, cooking basic meals, cashing out minimal 401ks, selling personal belongings, and using personal credit cards.
• Co-founders took on various roles: driving for Uber to cover bills, and one cashing out Apple stock to fund the first batch of towels.
• This period demonstrates a radical commitment to bootstrapping and maximizing every available resource.

  "but resourcefulness doesn't pay rent I wish it could"

Building a Brand Through Organic Social Media Engagement [03:51]

• Recognizing social media as crucial for a millennial-driven brand, they committed to mastering it despite having no prior knowledge.
• Lacking funds for professional help, they resorted to teaching themselves through free resources.
• A key strategy involved physically walking San Diego beaches for three months, approaching people daily to encourage them to follow their Instagram on the spot.
• This direct, time-intensive approach yielded their first 1,000 followers, establishing a foundation built on genuine connection rather than paid promotion.
• This experience highlighted that while money can buy metrics like followers and likes, it cannot replicate the impact of a genuine first impression.

  "we did this for six hours a day for three months and we got our first thousand followers"

Self-Taught Website Development and Marketing [04:54]

• With a nascent following and product, the next hurdle was building a website, a skill none of them possessed.
• Bruno became the in-house web developer, learning through YouTube videos, consulting friends, and reading blogs, all while operating on a minimal budget.
• Despite initial imperfections in the website's design and content, the team's enthusiasm was high.
• To grow beyond the limitations of beach-walking, they became self-taught social media marketing experts by watching countless videos and directly messaging thousands of people on Instagram.
• Within a month, they scaled their Instagram following from 1,000 to 10,000 followers at no cost.

  "he literally taught himself how to build a website through YouTube videos calling his friends and family that were experts"

Reinventing Public Relations with Zero Budget [07:39]

• The team realized the importance of PR but couldn't afford traditional agencies.
• They decided to "reinvent what a PR agency means in a digital world," again leveraging YouTube.
• They meticulously learned how to identify contacts, craft effective subject lines, strategize outreach timing, and even research media professionals' superiors.
• This DIY PR approach resulted in features in over 100 blogs, magazines, newspapers, podcasts, and influencers, including The Huffington Post, all with minimal sales revenue.
• They concluded that the urgency and passion born from their financial desperation could not be matched by a professional PR agency.

  "we learned who to contact what subject lines to use when to email them when they're back on vacation"

Seizing Opportunities: The Uber Ride to Press [08:51]

• Despite securing press, they were still driving for Uber to cover expenses.
• A chance encounter with a reporter from Channel 6 during an Uber ride became a pivotal moment.
• The speaker intentionally "took a few wrong turns" to extend the conversation and build rapport, ultimately securing the reporter's contact information.
• This led to a TV feature the following week, resulting in 88 online sales in a single night.
• This experience underscored how desperation forces individuals to seize unexpected moments and turn them into opportunities.

  "she is a reporter for Channel six and I'm like hell yeah jackpot"

The Enduring Value of Hustle and Determination [11:13]

• The company has since grown to 540,000 Instagram followers, secured a Shark Tank deal, and achieved millions in sales.
• They have also donated $50,000 to nonprofits, reflecting a commitment beyond profit.
• The future remains uncertain, but the foundational principles of ideas, strategies, hustle, and "blood sweat and tears" are non-negotiable.
• The core message is that a lack of money can be a powerful catalyst, financing resourcefulness and ultimately driving success.

  "what we do know is that the ideas and the strategies and the hustle and the blood sweat and tears that got us to where we are now will never stop"