Eric Siu explains how creating content generates inbound referrals and deal flow for businesses. Most leads come indirectly through referrals, not direct outreach. His private equity operation relies almost entirely on inbound sourcing rather than active prospecting.
What percent of your deal flow comes from your content?
Very little of it is like a direct DM on Instagram, but I would say what happens when you start creating content is it's easier to get somebody to pick up your phone call. It's also easier for somebody to understand who you are and getting a deal done. Currently, I'm looking at this accounting company that I want to integrate into some of our businesses. I got a referral from somebody else to this business, but I never would've gotten that if I wasn't all over the internet talking about the fact that I want to buy an accounting company. And now we've looked at like 50 of them. Direct, not as many. Indirect, many.
So overall it's still like 100%. Yeah. Yeah. Yeah.
We don't do any search right now, so there's no— every private equity fund has a biz dev or a search division or origination division. We have none of that. It's all some mechanism of inbound or referral.
