The Story of CD Baby

Derek Sivers was an accidental business founder. He only wanted to sell his music online, which happened to be during the pre-PayPal era. His peers pushed him into the business because they wanted their music online too. This short story of ups and downs ends with a pitch-perfect score when he sells the business for $22 million. In this episode, I’m joined by Hannah Munro, the host of the CFO 4.0 podcast, to unpack Derek’s book, Anything You Like.

Episode Highlights

Getting to know Hannah Munro, the host of the CFO 4.0 podcast
First Impressions of Derek’s book, Anything You Like
Reasons CFOs should listen to or read the book
The $3.3 million mistake
Derek’s humility as a business owner who was more focused on customers than profits
Good workflows vs. no workflows and never abdicating responsibilities
Hire lightly, fire lightly
Should everyone have a business coach like Derek?
The CFO 4.0 origin story

Great Lines in Anything You Want

Most people don’t know why they’re doing what they’re doing. They imitate others, go with the flow, and follow paths without making their own.
Page 2

When you make a business, you get to make a little universe where you control all the laws. This is your utopia.
Page 7

I’d say, “No. I want my business to be smaller, not bigger.” That always ended the conversation.
Pages 16-17

Never forget that absolutely everything you do is for your customers. Make every decision—even decisions about whether to expand the business, raise money, or promote someone—according to what’s best for your customers. If you’re ever unsure what to prioritize, just ask your customers the open-ended question, “How can I best help you now?”
Page 17

I’d say, “I don’t have one. I surpassed my goals long ago. I’m just trying to help musicians with whatever they need today.”
Pages 33

Never forget why you’re really doing what you’re doing. Are you helping people? Are they happy? Are you happy? Are you profitable? Isn’t that enough?
Page 35

To be a true business owner, make it so that you could leave for a year, and when you came back, your business would be doing better than when you left.
Page 71

Business is as creative as the fine arts.
Page 83

Just pay close attention to what excites you and what drains you.
Pages 83-84

I had even taught the employees my thought process and philosophy about hiring new people. So our two newest employees were found, interviewed, hired, and trained by other employees. They used that manual to make sure all new employees understood the philosophy and history of CD Baby and knew how to make decisions for themselves.
Page 70

Books Similar to Anything You Want and Shoe Dog

Every lifelong business student has unique reading tastes. That’s why I’m generally reluctant to share lists of my favorite books.

However, if you like founder stories that are not afraid to be transparent, and share not just their business life but their experiences beyond the office, here are ten of my favorite titles in no particular order: