$5M on $15M Pre Money Goal For BlockChain Based BurstIQ

Frank Ricotta

In Episode #376, Nathan interviews Frank Ricotta, CEO of BurstIQ, which helps professionals and businesses in the healthcare industry connect. Frank has been through the grinder as an entrepreneur. Huge crash-and-burn businesses have gotten him to this point.

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Famous 5:

  • Favorite Book? – The Executive in Action
  • What CEO do you follow? — PayPal
  • Favorite online tool? — Slack
  • Do you get 8 hours of sleep?—No
  • If you could let your 20 year old self know one thing, what would it be? — Trust your instincts, and don’t lose your balance.

Time Stamped Show Notes:

  • 01:13 – Nathan introduces Frank
  • 01:44 – BurstIQ is a platform service
  • 02:00 – They help their customers create a network
  • 02:53 – Founded in April 2015
  • 03:05 – Frank had been working in health and saw an issue
  • 03:24 – There are three founders
  • 03:52 – First-year revenue was $150k
  • 04:05 – Involvement in several other startups
    • 04:25 – His “crash and burn” story
  • 05:29 – The cofounders
  • 05:55 – May 2016 customers: 10
  • 06:20 – Average pay per customer is $250k to $1M
  • 06:35 – A focus on the base plan
  • 07:00 – $75k/month
  • 07:35 – No patterns yet for churn
  • 08:45 – Customer acquisition cost
    • 09:00 – Inside sales and partners
    • 09:15 — $150k to $200k
  • 09:40 – 12 team members
  • 10:00 – What ratio Frank likes to see
    • 10:40 – “Work to keep your head above water”
  • 11:09 – The company’s capital
    • 11:37 – Valuation for BurstIQ
    • 12:40 – They want to raise $5M
  • 13:10 – Based in Denver
  • 13:55 – Techstars
  • 14:25 — @fricotta or Frank Ricotta on LinkedIn
  • 16:26 — The Famous Five

3 Key Points:

  1. Come up with a business that makes something simpler.
  2. Being an entrepreneur means experiencing failure along with success.
  3. If you don’t stretch yourself to reach high goals, no one will believe that you can ever achieve them.

Resources Mentioned:

  • Host Gator – The site Nathan uses to buy his domain names and hosting for cheapest price possible.
  • Freshbooks – The site Nathan uses to manage his invoices and accounts.
  • Leadpages  – The drag and drop tool Nathan uses to quickly create his webinar landing pages which convert at 35%+
  • Audible – Nathan uses Audible when he’s driving from Austin to San Antonio (1.5 hour drive) to listen to audio books.
  • Slack – Frank’s favorite online tool to connect with coworkers and customers