In my 2022 Predictions Piece, I explain how big money and roll-ups will fuel the one-of-a-kind or Limited Edition players in the vacation rental industry. Said another way, the small businesses that accelerate in the direction of family/local/specialized/surprises will not just enjoy new-found demand -- the sector's tailwinds will satisfy their wildest business dreams.
Here's a prime example: I visited Mike
Godfrey (see attached) in Sun Valley, Idaho and WOW what a special place. Despite the fact that Mike has no full-time employees other than his kids, Mike runs an extremely profitable ship from his laptop wherever he happens to be (most often a coffee shop -- he has no office).
When Vacasa approached Mike about purchasing his family business a few years ago, he revealed the fatal flaw: Michael's Vacation Rentals operated with no contracts: purely handshakes and goodwill. Meaning, a homeowner could leave Mike's fleet (or a service provider could end their relationship) at anytime they wished (and vice versa). Mike explained to me this acts as a magnet to encourage all players to add value: an open market where the most respect and trust wins! And as you might imagine, Vacasa decided to pass on the purchase because a business without contracts wasn't of value to them.
But that meant nothing to Mike! Today, Mike is passing the business down to his kids (who argue Mike will never stop working) with plans for expansion (but nothing that would compromise their part-time jobs as ski instructors) and this is for me EVERYTHING that makes small businesses so special.
QUESTION: I normally start these threads off with an idea and an action. But truthfully I don't know what the lesson is here ("Don't use contracts" it is surely not.) So I am asking other members to share what they think the lesson might be as we enter 2022...
Here's a prime example: I visited Mike

When Vacasa approached Mike about purchasing his family business a few years ago, he revealed the fatal flaw: Michael's Vacation Rentals operated with no contracts: purely handshakes and goodwill. Meaning, a homeowner could leave Mike's fleet (or a service provider could end their relationship) at anytime they wished (and vice versa). Mike explained to me this acts as a magnet to encourage all players to add value: an open market where the most respect and trust wins! And as you might imagine, Vacasa decided to pass on the purchase because a business without contracts wasn't of value to them.
But that meant nothing to Mike! Today, Mike is passing the business down to his kids (who argue Mike will never stop working) with plans for expansion (but nothing that would compromise their part-time jobs as ski instructors) and this is for me EVERYTHING that makes small businesses so special.
QUESTION: I normally start these threads off with an idea and an action. But truthfully I don't know what the lesson is here ("Don't use contracts" it is surely not.) So I am asking other members to share what they think the lesson might be as we enter 2022...