
Written by a model from the transcript; not yet reviewed.
This episode of My First Million features hosts Shaan Puri and Sam Parr exploring hidden business opportunities, obscure multi-million-dollar industries, and how high-agency founders spot gaps in plain sight. They discuss the massive, ethically fraught scale of laboratory monkey testing for pharmaceuticals—including Charles River Labs doing four billion a year in revenue and buying a breeding business for five hundred million dollars—alongside lessons from Warren Buffett's analysis of the historical American Express soybean oil scandal. The conversation pivots into the art of noticing, Paul Graham's essay on following your excitement to the frontier, and how childhood obsessions and quirky traits can become competitive advantages in business. Finally, the hosts share takeaways from recent trips to San Francisco and Toronto, touching on the emotion of awe and the obsessive drive of creators like the co-creator of Exploding Kittens.
Hosts Shaan and Sam open the episode with playful banter and a brief wellness check about hair.
Hosts dive into the topic of supplements, discussing the 'R word' and various wellness protocols.
Shaan talks about a new app, coves.com, and his experience with its promises and results.
Shaan shares a childhood memory of being called ugly and how it shaped his perspective.
Hosts explain the scale of drug testing on monkeys, the economics, and supply chain shocks.
Discussion of Charles River Labs' monopoly on animal testing and its strategic acquisition.
Hosts recount a Fortune story about a Cambodian wildlife director jailed over mislabeling lab monkeys.
Shaan reflects on how unnoticed industries can be lucrative and the importance of noticing gaps.
Discussion on identifying niche opportunities, with examples like Daydream Dental and generator services.
Shaan shares how childhood interests, such as board games, can evolve into successful businesses.
Hosts promote Mercury's banking services, highlighting its features and benefits.
Hosts discuss how San Francisco fosters unconventional, high-risk startup ideas, contrasting it with other tech hubs.
More than twenty percent of all drugs are tested on monkeys, turning non-human primate supply chains into a massive global business. When China stopped exporting monkeys during COVID, prices skyrocketed up to fifty thousand dollars per animal.
Charles River Labs Monopolydata
Charles River Labs performs testing as a service for roughly eighty percent of biotech companies, generating four billion dollars a year in revenue. They even purchased a monkey breeding business for five hundred million dollars to control their supply chain.
American Express Soybean Scamstory
Warren Buffett made one of his best trades on American Express after a major fraud involving empty oil tanks filled with seawater. Because American Express guaranteed the inventory loans, they took a massive financial hit, yet their core credit card trust remained intact.
Dental Back Office Arbitragestrategy
A Stanford graduate built a ten-million-dollar-a-year business by handling insurance claims and billing for dental offices using AI and specialists. They collect fifteen to twenty percent more revenue that dental practices otherwise leave on the table.
Comedians Lose Touch with Strugglesinsight
Comedians often lose their edge after becoming rich and famous because they no longer encounter the everyday struggles of normal people. Genius insights and relatable truths come from paying close attention to daily life.
Paul Graham's Frontier Formulastrategy
Paul Graham explains that you should let your genuine excitement act as both the motor and rudder to guide you to the frontier of an industry. Only when you reach the actual frontier do you encounter tedious gaps that create entrepreneurial opportunities.
San Francisco Awe Emotioninsight
Visiting San Francisco induces the psychological emotion of awe, which combines vastness with mental schema breaking. This self-diminishing emotion helps reduce anxiety and depression by shifting focus away from personal problems.
“So basically more than 20% of all drugs are tested on monkeys.”
“Charles River Labs is like in Boston or something like this.”
“They do four billion a year in revenue.”
“I think it's like 80% of drugs that go to market get tested with them.”
“And the more of those you sort of download, two things happen.”
“San Francisco has the most startup ideas that will sound terrible and probably be terrible than anywhere else where you find entrepreneurs.”
“Whereas San Francisco, it's like, you know, you're just digging for gold. And most of the time you're just going to find dirt and sand.”
“I think it was $3 billion worth of art. And what makes this book amazing and what this makes this guy spectacular to read about, he did not sell one piece of art ever.”
“He stole it and he felt, he had like a code. He felt it was the right thing. He's like, you can't steal art and hurt people.”
140+ real business ideas database: https://clickhubspot.com/pkce Episode 850: Sam Parr ( https://x.com/theSamParr ) and Shaan Puri ( https://x.com/ShaanVP ) talk about massive businesses hidden in plain sight. — Show Notes: (0:00) The wild economics of lab testing on monkeys (11:01) Salad oil crisis (15:35) the art of noticing (24:38) enthusiasm (27:39) know thy 8-year old self (32:32) be shameless (37:08) Sam goes to SF for 7 days — Links: • Qoves - https://www.qoves.com/ • Charles River - https://www.criver.com/ • How To Do Great Work - https://www.paulgraham.com/greatwork.html — Check Out Sam's Stuff: • Hampton (joinhampton.com): My community for founders. Average member does $25m/year. Many of the guests are members. Get after it...apply: http://joinhampton.com/mfm — Check Out Shaan's Stuff: • Shaan's weekly email - https://www.shaanpuri.com • Visit https://www.somewhere.com/mfm to hire worldwide talent like Shaan and get $500 off for being an MFM listener. Hire developers, assistants, marketing pros, sales teams and more for 80% less than US equivalents. • Mercury - Shaan uses Mercury across all of his companies. you can too: http://mercury.com/ Mercury is a fintech company, not an FDIC-insured bank. Banking services provided by Choice Financial Group, Column, N. A., Members FDIC • I run all my newsletters on Beehiiv and you should too + we're giving away $10k to our favorite newsletter, check it out: beehiiv.com/mfm-challenge My First Million is a HubSpot Original Podcast // Brought to you by HubSpot Media // Production by Arie Desormeaux // Editing by Ezra Bakker Trupiano /
9,992 words · 2 speakers
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