Home > Notes > Gurbaksh "G" Chahal – gWallet

Gurbaksh "G" Chahal – gWallet

Gurbaksh “G” Chahal is the founder and CEO of gWallet. G is an entrepreneur, best-selling author, TV personality, and self-made millionaire. By the age of 25, he founded two advertising companies worth $340 million, Click Agents and BlueLithium. He starred on FOX’s prime-time network show The Secret Millionaire. He has appeared on The Oprah Winfrey Show and has been profiled in such publications as The New York Times and Entrepreneur magazine. He completed his memoir, “The Dream” which globally released in late 2008. He was also featured on Extra TV as America’s Most Eligible Bachelor.

Here are the notes on G.


Early Life

  • G was born in India, in 1982
  • in 1985, his parents left India for the US with only $25 to their name
  • in the US, they struggled financially and relied on friends, strangers and small jobs for income
  • in 1986, his parents had saved enough money to move G and his siblings to the US
  • the struggling continued

Entrepreneurial Spirit

  • by the time G was 16, he decided he had to build a business
  • his dad was heavily invested in the stock market when it crashed, so he panicked and sold everything, ultimately bringing his net worth virtually to $0
  • all his siblings got jobs, but G felt that he had to have control over his own destiny
  • he decided to focus on the internet because online he would be able to wipe out all business stereotypes (race, age, etc.)

Click Agents

  • Click Agents – an internet advertising company
  • G founded Click Agents at 16, working out of his bedroom
  • he first began booking deals with advertisers over the phone, through cold calling, before he was even able to provide the technology
  • next, he hired a developer to build the ad-serving technology for $30,000
  • G didn’t have $30,000, so he made a deal with the developer where he would be able to test the ad server out and pay him after 90 days
  • the product the developer built wasn’t that great, so G had to over-execute
  • G worked so hard that he was able to bring in enough revenue by the 90 days that he was able to pay the developer more than they agreed

First Setbacks

  • after the developer saw how prosperous the business was, greed set in
  • the developer told G that either he agreed to give him a 3rd of the business, or he would shut the whole thing down
  • G declined him and the developer shut it down
  • this forced G to start it all over again from scratch, with new technology and a new platform

Triumphs

  • 6 months after the relaunch, Click Agents was a profitable company and G had 6-figures in his bank account
  • business was going so good, he was able to convince his parents to let him drop out of high school to focus solely on his business
  • he didn’t need any outside funding, he took all the money in his bank account and reinvested it into his company
  • he couldn’t even get any outside funding because investors felt that he made too much money and was ruining the perception they had built
  • in the 2nd year Click Agents completed $15 million in revenue, and were one of the only profitable companies in Silicon Valley

$40 Million Sale

  • at age 18, G sold Click Agents to a competitor for $40 million
  • he had to sign a 3 year non-compete agreement
  • he felt the sell was his dream opportunity; his entry into the corporate world with him being only 18 with no real adequate education

BlueLithium

  • BlueLithium – an internet advertisement server focused on relevancy (your likes and dislikes) based on data, optimization, and analytics
  • this was G’s second business after his 3 year non-compete agreement, and was to be the bigger faster version of Click Agents
  • it became profitable in only 3 months
  • it grew to 170+ employees worldwide
  • their global presence allowed them to attract global advertisers and global publishers, leading to a $100 million run rate in 2007

$300 Million Sale

  • in 2007, G sold BlueLithium to Yahoo for $300 Million
  • this time the money didn’t amaze him, it just gave him a sense of accomplishment

gWallet

  • gWallet – an alternative payment method using advertisement as virtual currency in social media & social gaming
  • if you play online games you need to acquire more and more features, gWallet allows you to purchase them by viewing ads
  • G saw this as a major opportunity, if done right, in a growing industry for advertisers, because 200-300 million people spend numerous hours a day playing social games
  • gWallet is close to profitability

Funding

  • gWallet raised $12.5 million, 2 months after launch
  • they are investing majority of the $12.5 million into gWallet Ventures, where they invest in up and coming games and game developers

*G’s Golden Rule*

  • Hire Rockstars – rockstars are willing to work for sweat equity, with the capital goal in mind, and will work with you until you meet that goal

Tips On Investors

  • take on investors who will add value, not just money
  • make sure they are investors that you would enjoy working with, that won’t mind earning their rewards
  • they should have the contacts you need in order to achieve
  • they should also be able to provide introductions, guidance, and value

Tips On Cold Calling

  • understand the personality you want to be and present that personality
  • don’t consume yourself
  • have total confidence
  • introductions are a plus
  • different variables will go against you

Advice

  • When you go to market, you don’t need the best thing, you just need something.”
  • Startups primarily exist to execute faster and more efficiently than bigger companies that have gotten lazy and bureaucratic.”
  • Business that need millions to get started, start with a precedent of failure.”
  • The only way to make it happen is by getting traction, putting yourself out there, and leveraging your existing relationships.”
  • The internet is only in it’s early stage and will continue to evolve and present new opportunities everyday.”
  • Never give up! Never let failure be an option.”
  • Look at a clear path to execution.”
  • A revolutionary idea is only 1%, execution is 99%.”
  • Get out and get it done, and get it done masterfully.”

Side Notes

  • G is proud of his heritage, and either people accept him for who he is or he doesn’t need to do business with them
  • he learned about “needs vs. wants” at an early age, from struggling
  • writing a book was his best decision as an entrepreneur
  • he sometime has buyer’s remorse after his big purchases
  • the company that built BlueLithium only wanted $500,000 to build it but he offered them stake in the company and they ended up leaving with $15 million instead

Connect With G

gWallet

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  1. Stacy Heckler
    March 7, 2010 at 1:05 am

    I remember seeing him on a TV show but I didn’t know he went through all of this. What a story!
    This makes you realize anything is possible.

  2. March 7, 2010 at 6:52 am

    “gWallet raised $12.5 million, 2 months after launch”

    You mean after gWallet’s second launch? I find it interesting that G never mentioned that gWallet initially launched as a coupon website (similiar to retailmenot.com), totally unrelated to virtual currency.

    Mentioning a few of Gurbaksh’s failures would have been enlightening.

    • March 7, 2010 at 9:16 am

      Yeah, I believe so too, we have to start asking about the setbacks in every venture.

  3. March 7, 2010 at 11:29 am

    This was a great show and an even better article. Good Job!

    • March 7, 2010 at 1:06 pm

      Thank you very much. Highly appreciated.

  4. cheap
    March 13, 2010 at 2:34 am

    G is really an inspiration.

  5. gene
    March 14, 2010 at 12:44 am

    Friends call me G as well, maybe I’m next in line. 😉

  6. micardis
    March 18, 2010 at 12:51 am

    I really need to meet you G.

  1. March 14, 2010 at 12:25 pm
    Jak

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