Jay Schweid

DULCEDO Management bought Node App for $13M. This marks Dulcedo’s 5th acquisition since 2016. Let's break it down... ---SELLER: Node--- • AI-powered influencer marketing platform • Mission = bridge gap between small businesses and micro-influencers • Founded 2019 by Armin Faraji, Mackenzie Dérival ✌🏾 • Initially focused on restaurants, expanded to ecom brands • Focuses on Instagram, TikTok campaigns • 2021 raised $1M seed round from Techstars, Alchemist, strategic angels ---TECH OVERVIEW: Node App--- • In 2022 selected for Google for Startups Accelerator program • Pioneered a machine-learning technology to revolutionize agency workflows by improving influencer discovery and data reporting • “Creators can participate in brand campaigns in 3 clicks via Node, as opposed to pitching/negotiating with brands” • “Brands can create a campaign and begin interacting with influencers within 5-10 min of landing on Node's website” ---PERFORMANCE HIGHLIGHTS: Node App--- • Over 2,000 clients across North America • Generated “tens of millions of social media impressions” • Clients incl Kraft, Samsonite, Jarritos, St-Regis, Marriott • Has activated 5,000+ content creators in campaigns • Creators include A-list models, elite athletes, actors, social influencers • During pandemic scaled from 30 to 800 brands five months ---BUYER: Dulcedo Group--- • Global talent mgmt and digital marketing agency • 4 divisions – Models, Sports, Gaming, Influencer • Offices in Montreal and Toronto • Founded 2008 by CEO Karim Leduc • 3 co-owners incl founder • 70+ team members ---M&A HISTORY: Dulcedo Group--- • 2022 acquired C4G, a startup esports marketing agency • 2016 acquired 4249, an influencer relations agency • 2023 acquired Influence + All Management • 2023 acquired Sundae Creative Agency • 2024 acquired Node ---DEAL DETAILS--- • $13M purchase price • No other details were disclosed ---DEAL VALUE PROP--- • Give Node added funding, resources for growth • Access to Dulcedo's 300M network following  • Access to Dulcedo’s diverse creator roster to support IM campaigns across various industries • Accelerate development of AI-enabled tools to enhance the IM campaign lifecycle ---POST DEAL OPS--- • Dulcedo CEO will serve as interim Node CEO • Node co-founder Armin Faraji moves to COO • Node co-founder Mackenzie Dérival remains as CPO ---WHAT ELSE I FIND INTERESTING--- I'll write more about the deal in my Friday newsletter. I'll estimate Node's revenue and EBITDA, and discuss valuation multiples and likely deal structure. Signup link in comments below 👇 -- I'm the founder of RockWater Industries. We do M&A and strategy advisory for media, agencies, and creator economy. My DMs are open.

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23 and Me is crumbling, what are you going to do about your most treasured code...? New episode up this week, wherever you find your podcasts! #youtube #spotify #substack #23andme #actors #ai #podcast #actorsguidetotheendoftheworld #actorpodcast

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Dude Perfect raised $100M for global biz expansion. The deal is getting lots of buzz, but our team’s math signals challenges ahead. Let’s break it down… DEAL DETAILS • $100 - 300M growth capital investment • Led by Highmount Capital • Unclear if 100% invested upfront OR draw down of commitment over time • No previous capital raised USE OF FUNDS • Hire mgmt team to expand biz • More live experiences incl int’l tour, consumer products • Grow content formats, frequency, channels, global localization e.g. animation, TV, movies, streaming • Extend brand beyond 5 founders by building talent network • New HQ in Frisco, TX as prod facility and “family-friendly entertainment destination”: – Retail store, podcasts / gaming / fan UGC spaces, trick shot tower, DP museum, mini golf, restaurants – Original plans for 3-story, 30 acre facility est to cost $100M+, 2 yrs to build COMPANY OVERVIEW: Dude Perfect • Digital-native comedy and sports media brand • Faith-based mission: “We’re about giving back, spreading joy and glorifying Jesus Christ”  • Other YouTube franchises: “Stereotypes,” “Overtime”, “Bucket List”  • Media brand also incl books, mobile games, board games and toys, and merch / retail / food and beverage partnerships • 25 current team members PERFORMANCE HIGHLIGHTS • 60M YouTube Followers, 17B views • Est 2024 revenue: $50M per DP • Est 2023 and 2022 revenue: $25M and $20M per WSJ  • Consumer product partnerships incl Nerf toy line, Columbia Sportswear • Partnered with A Parent Media co to launch a streaming service • ESPN “30 for 30” doc premiering at Dallas Int’l film festival • TV series on CMT in 2016, later aired on Nickelodeon • Alternate broadcasts for Amazon’s Thursday Night Football • 4 live nationwide tours as of 2023 ORIGIN STORY • Founded 2009 by 5 friends at Texas A&M • Cofounders = twins Coby Cotton and Cory Cotton, Tyler Toney, Cody Jones, Garrett Hilbert • Started as YT channel featuring trick shot videos INVESTOR OVERVIEW: Highmount Capital • Growth stage and middle mkt PE fund for tech, media, healthcare • Founded in 2023 by jason illian and David Hawkins • 4 team members on website + advisor • 3 team members have faith-based ties per bios • No other investments listed on website other than DP My takeaway... I really like and support the trend of increased investment into YouTubers and digital-native media brands. But as I wrote about in my 2024 State of Creator x Media capital markets reports (will link them below), investment must match market and opportunity size. To ensure good ROI, and to set good precedent for future investment into our space. The DP bet is exciting, but could be overly optimistic based on our prelim math. My colleague Michael Booth's post breaks the math down (link below). More analysis to come in my Friday newsletter. —- I’m the founder of RockWater Industries. We do m&a and strategy advisory for media, agencies, and creator economy. My dm’s are open. #media #agency #creatoreconomy

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𝐃𝐞𝐚𝐫 𝐜𝐫𝐞𝐚𝐭𝐨𝐫𝐬, 𝐩𝐫𝐨𝐝𝐮𝐜𝐞𝐫𝐬, 𝐦𝐮𝐬𝐢𝐜𝐢𝐚𝐧𝐬, 𝐜𝐨𝐦𝐞𝐝𝐢𝐚𝐧𝐬, 𝐚𝐧𝐝 𝐨𝐭𝐡𝐞𝐫 𝐭𝐚𝐥𝐞𝐧𝐭, 🛑 STOP spending your full budget producing your film, album, etc. 🛑 In 2024, no studio, streaming service, or network is going to give you cover your marketing and PR expenses (and even if they do, they'll cover minimal). Your agent or manager will not handle all the promotional expenses needed to make your creation successful. ✅ Instead, set 10-20% of your budget aside from the jump (and plan to raise more!). ❌. $1k isn't enough money. $5k isn't enough money. $10k isn't enough money. ✅ Engage a publicity/promotional team BEFORE launch (ideally 2 months+). ❌. Don't expect the entertainment industry to function like it did 20 years ago. It won't. ✅ Be proactive, not reactive. And when you're ready for the world to see you and your creation, let's chat. 📞

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A small clip of Mi Amores - Entrepreneurs, do you remember that moment when you made the decision?? Watch it here: https://lnkd.in/eqPp5n-t #indiefilmmaking #filmmaking #nyc #entrepreneurs #washingtonheights #inwood #smallbusiness #businessowner

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For anyone interested in AI and content licensing, this podcast is "must listen" content. Nilay Patel from The Verge interviews Nicholas Thompson, CEO of The Atlantic about their licensing deal with OpenAI and why they chose licensing instead of litigation. They discuss the framework of the deal and the philosophy behind it. Importantly, Thompson says one reason to do the deal is to help shape the future interaction between AI and journalism. He says, "AI is coming, it is coming quickly. We want to be part of whatever transition happens. The transition might be bad or the transition might be good. But we believe the odds of it being good for journalism . . . are higher if we participate." Thompson touches on concepts around one-time revenue vs recurring revenue and provides his odds that The New York Times is successful in their copyright infringement case against OpenAI. And he believes that the NYT's odds of success are enhanced precisely because companies like The Atlantic are engaging in licensing, proving to courts that there is a legitimate alternative to unauthorized scraping. (I have heard that from many smart copyright lawyers and agree with it.) News/Media Alliance, Copyright Alliance, The Copyright Society, The Authors Guild, Dataset Providers Alliance, Regan Smith, Keith Kupferschmid, Daniel Cooper, Thad McIlroy, Pascal Hetzscholdt, Fairly Trained, Ed Newton-Rex, Alex Bestall, Mark Milstein, Max Einhorn, Peter Csathy, Mary Rasenberger, Theresa Weisenberger, James Golden, Mark Turner, Michael Bommarito, Jillian B., Calliope Networks, Andrew Steinberg, Chad Rutkowski, Bill Rosenblatt https://lnkd.in/d42MzQ8e

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In this special episode of NoMad Podcast today we bring you an exclusive dive into the world of Bitcoin, through insightful interviews with 21 experts, and big voices in the space.

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Random Parent: This #Bluey phenomenon is huge. I should better understand how playing with my kids helps them in the long run. Bill: You should check out [Not] Bored Games. They create amazing content and provide valuable insights into how games can boost your child's learning. The founders have a great story about the power of learning through play. Plus, you'll get exclusive previews of their new games, expert tips on making learning fun, and be part of a community of parents who value educational play. Random Parent: where do I subscribe? Bill: Here -> https://lnkd.in/eum98cEJ

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Marchex, a company that uses AI and conversational intelligence to drive operational excellence and revenue acceleration, has won the "Best Text Generative AI Solution" award in the AI Breakthrough Awards program. Marchex's Call Summaries and Sentiment Suite analyze and generate summaries of consumer-to-business calls, allowing businesses to identify customers who have had positive or negative experiences. This data helps companies improve sales processes, encourage positive online behaviors, and address customer concerns. The AI Breakthrough Awards recognize excellence and innovation in various AI and machine learning categories. This recognition is positive for the generative AI industry as it highlights the value of AI-powered technologies in improving customer experiences and driving revenue growth. Question: How do you think AI-powered conversational intelligence can benefit businesses in improving customer experiences? #AI #ConversationalIntelligence #CustomerExperience

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Your character is built through facing the chaos head on. Check out the full interview with Fred Wang. A Venture Capitalist out of Adams Street Partners. Fred Wang YouTube: https://lnkd.in/ef6BjQQg Spotify: https://lnkd.in/ekAH-V6J Apple Podcast: https://lnkd.in/exQs4yXe Subscribe on YouTube | Follow & Rate on Spotify | Follow & Review on Apple Podcast | #highvaluediscussions #podcast #entrepreneurship #business #venturecapitalist #investing #financialliteracy #mindset #innovation #tech #technology

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