Asking 3 young millionaires how they make $1.8M, $5M, & $12M/year

Sam Parr and Shaan Puri host "Shoot Your Shot," where founders pitch their businesses. This episode features three young entrepreneurs, each with a unique business model, sharing their journey to multi-million dollar revenues.

The Backup Generator Empire: OnPoint

The first founder, whose name is not explicitly mentioned but is referred to as "he," runs OnPoint, a backup generator sales and service company in California. He reveals his company is currently doing $12 million in annual recurring revenue (ARR) and is contracted to reach $25 million. OnPoint primarily serves B2B clients, including telecom towers, nursing homes, police stations, fire stations, and data centers, as well as high-end estate properties. He explains that the idea for OnPoint came from his previous role at NRG, a large power company, where he noticed a significant gap in reliable backup generator expertise.

OnPoint's strategy revolves around speed. In an industry where getting a quote for complex machinery can take weeks due to intricate part supply chains and tribal knowledge, OnPoint leverages AI to streamline its processes. They've ingested every document ever produced by the company into an AI system, allowing them to generate quotes and answers on the fly. This technological edge enables them to deliver quotes while a technician is still on-site, a significant competitive advantage. The founder believes this business has the potential to reach hundreds of millions in revenue, with the main constraint being the availability of skilled technicians.

Recruiting and training these technicians is a major challenge. He describes it as "more than a pain in the ass; it's impossible" due to a scarcity of qualified individuals and the slow accumulation of experience in the field. To address this, OnPoint is building its own training capabilities, including a dedicated training bay and digital resources that turn every job into a learning experience. He envisions creating a prestigious trade school, a "Harvard of the trades," to elevate the profession and attract new talent. OnPoint recently raised $6.5 million in outside capital to fuel its growth, with about $5 million coming from external investors.