"There are real businesses proving out high ROI (return on investment) potential. Businesses with margins that would be considered “Cash Cows” compared to the new tech frenzy,” Says Richard Victor Mahee, Mahvrick.
Hollywood, CA (PRWEB) March 10, 2011
There is a new breed of entrepreneur developing in Hollywood. It’s a breath of fresh air from the technology heavy companies with high valuations based on industry multiples, with millions (if not hundreds of millions of) users. While Facebook is cutting deals that may change the face of the Netflix business model, content providers are cutting deals directly with businessmen like Rene Walter, Director of Cabana Group Worldwide (including subsidiary Viva7) and Terrell Samuels CEO of Huzo.com.
There is another wave of billion dollar concepts out of Hollywood, being lead by entertainment entrepreneurs who are leveraging media that are cash and content (are king) rich. Many Internet businesses are low on revenue margins, but high in multiples. This impacts the enterprise valuation. "There are real businesses proving out high ROI (return on investment) potential. Businesses with margins that would be considered 'Cash Cows' compared to the new tech frenzy,” says Richard Victor Mahee, Mahvrick.
Rene Walter, known for being a go to guy in the entertainment and sports industry consultant to major hotels, casinos and to sports promoters like SMG and Don King, has recently teamed up with media entrepreneurs to turn his 30 million dollar private investment to a one hundred and fifty million ($150,000,000) dollar enterprise valuation with serious margins on EBITDA year one and two. The top companies have inquired and started beta tests with his media division and Walter has existing projects like Sisterella, which was executive produced by Michael Jackson, Jerry Greenberg, and Frank Dileo. Rene Walter is also a consultant to Paramount and Universal Pictures. His company Cabana Group Worldwide just negotiated the Players Authority deal with Master Card and has vested interest in movies like the film festival sensation “Carjack,” and has several other films in pre-production with A-list talent attached.
Terrell Samuels has provided Huzo.com users and content providers the ability to see checks monthly from online sales efforts. Some two hundred (200) major recording artists and celebrities have started providing Huzo.com content for sale. The disruptive, but proven to be a lucrative model has given hope to Internet entrepreneurs. Huzo.com clients are seeing revenue from their independent efforts without the major label marketing budgets.
(Mahvrick) (Weneck News Network)