Andrew from XO Capital announced the launch of their first Flip Fund, aiming to raise between $500,000 and $1 million. This fund plans to purchase a single software company, double its revenue, and resell it within 12 to 24 months. The fund, regulated under Reg D, allows for public solicitation of investment from accredited investors and is being managed through a company called Capitalized. The investors will directly be part of the same LLC as the fund's managers.
In addition to the Flip Fund, Andrew is running two experiments. First, he has created a Discord channel where people can discuss various topics related to acquisitions, with plans to eventually introduce a paywall. The channel was inspired by the work of Cody Sanchez from Contrarian Capital. Second, he's piloting an initiative he calls "Andrew as a Service," where he provides consultation services for a monthly fee, the proceeds from which he plans to use to fund his upcoming MBA at UCLA.
Andrew also shared an update on Growth Bar, a major part of their portfolio. They removed the credit card sign-up requirement and are currently monitoring the impact of this change on their revenues.
Finally, he introduced a personal AI coach that he created, which prompts users to set daily goals and reflect on their achievements. The service uses OpenAI's ChatGPT and is free for now.
In conclusion, Andrew's current focus will be on the Flip Fund and ensuring its success, as future iterations of the fund depend on the outcomes of this initial venture.