How do you sell a product that appears too good to be true?
That was one of the challenges facing Dubai businesswoman Donna Benton, who has just sold an 85 per cent stake in The Entertainer for a reported nine-figure sum.
Offering discounts on spa days, brunches, hotel stays and golf, to name but a few, the discount service makes life in Dubai that little more affordable.
Do not be afraid to follow your dreams is her biggest tip to other single mums who may have ambitions of following in her footsteps towards a life of financial security and multimillionaire status.
The Australian entrepreneur built the product from nothing shortly after arriving in the country 17 years ago.
Ms Benton signed the deal with Bahrain's GFH Financial Group at home with her two young children, and said the opportunity was too good to resist.
“It has been a roller coaster with many different emotions and I had butterflies in my stomach when it came to signing the deal,” she said.
“As a mum, I was doing it for my kids and didn’t want to be greedy. I still own 15 per cent and feel very much a part of The Entertainer. It just felt like time to cash out a little bit considering where I am in life.”
Ms Benton has invested wisely as The Entertainer has continued to grow, expanding to 20 destinations in 15 countries and is now available on a mobile app.
She also owns a ladies’ salon in Umm Suqeim, has a substantial share in Dawson Sports, a clubs and education kit and equipment provider, and a stake in several Dubai restaurants.
The Entertainer will focus on a digital product in future, and will be taken into new countries to expand the brand. It offers deals with more than 10,000 merchants across the Middle East, Europe, Asia and Africa.
“This has been a story made in Dubai and I’ve had a lot of nice comments from people who have seen The Entertainer grow. It’s a nice feeling,” Ms Benton said. “The whole deal took around six months.
“There has always been interest, but it was a difficult decision to make and felt like it was the right time, both professionally and personally.
“Financially this makes a huge difference to me and my family, giving us security and options.
“I know I have to be smart with my investments and have always been that way with property and other businesses, but The Entertainer has been my commercial baby and I’m very attached to it. It was a hard decision but the right decision."
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In its early print format, one lesson learnt was not to shrink wrap books - as people were helping themselves to vouchers by tearing them away.
“When no one knew what The Entertainer was, many thought it was too good to be true,” she said.
“You learn by your mistakes and going digital was a big step, as was opening overseas and the tax implications.
“Being a woman had no effect on my success. There are a lot of opportunities for women here.
“Mums going back to work or starting a business should not feel guilty. They are role models for their children, leading by example and doing it for them.”
The app operates in a variety of languages based on location including English (global), Arabic (GCC), Greek (Athens and Cyprus) and Cantonese (Hong Kong).
Last year’s turnover exceeded Dh130 million.
“We aim to take the platform to the next level and create phenomenal returns for our investors given the recent technology multiples in the region and worldwide,” said Hisham Alrayes, chief executive of GFH.
“We shall achieve this by working with Donna and the senior management team to enter new markets, support for further growth, and diversification of the business and customer base.”
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Tributes from the UAE's personal finance community
• Sebastien Aguilar, who heads SimplyFI.org, a non-profit community where people learn to invest Bogleheads’ style
“It is thanks to Jack Bogle’s work that this community exists and thanks to his work that many investors now get the full benefits of long term, buy and hold stock market investing.
Compared to the industry, investing using the common sense approach of a Boglehead saves a lot in costs and guarantees higher returns than the average actively managed fund over the long term.
From a personal perspective, learning how to invest using Bogle’s approach was a turning point in my life. I quickly realised there was no point chasing returns and paying expensive advisers or platforms. Once money is taken care off, you can work on what truly matters, such as family, relationships or other projects. I owe Jack Bogle for that.”
• Sam Instone, director of financial advisory firm AES International
"Thought to have saved investors over a trillion dollars, Jack Bogle’s ideas truly changed the way the world invests. Shaped by his own personal experiences, his philosophy and basic rules for investors challenged the status quo of a self-interested global industry and eventually prevailed. Loathed by many big companies and commission-driven salespeople, he has transformed the way well-informed investors and professional advisers make decisions."
• Demos Kyprianou, a board member of SimplyFI.org
"Jack Bogle for me was a rebel, a revolutionary who changed the industry and gave the little guy like me, a chance. He was also a mentor who inspired me to take the leap and take control of my own finances."
• Steve Cronin, founder of DeadSimpleSaving.com
"Obsessed with reducing fees, Jack Bogle structured Vanguard to be owned by its clients – that way the priority would be fee minimisation for clients rather than profit maximisation for the company.
His real gift to us has been the ability to invest in the stock market (buy and hold for the long term) rather than be forced to speculate (try to make profits in the shorter term) or even worse have others speculate on our behalf.
Bogle has given countless investors the ability to get on with their life while growing their wealth in the background as fast as possible. The Financial Independence movement would barely exist without this."
• Zach Holz, who blogs about financial independence at The Happiest Teacher
"Jack Bogle was one of the greatest forces for wealth democratisation the world has ever seen. He allowed people a way to be free from the parasitical "financial advisers" whose only real concern are the fat fees they get from selling you over-complicated "products" that have caused millions of people all around the world real harm.”
• Tuan Phan, a board member of SimplyFI.org
"In an industry that’s synonymous with greed, Jack Bogle was a lone wolf, swimming against the tide. When others were incentivised to enrich themselves, he stood by the ‘fiduciary’ standard – something that is badly needed in the financial industry of the UAE."
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