This Side Hustle Spotlight Q&A features Alaa El Ghatit, founding father of Side Hustle Spotlight Life on the record. LifeOnRecord is a service that enables people to share stories, memories and wishes over the phone for those celebrating a birthday, retirement, wedding or other special day. The recordings are placed on a commemorative speaker or vinyl record.
Photo credit: Courtesy of Alaa El Ghatit
When did you begin LifeOnRecord as a side business and what inspired you?
Back in 2006, I used to be working in the IT department of a large worker advantages consulting firm, managing 60 people, and I didn’t feel fulfilled in my job. I didn’t like being in meetings all day long and wanted to get more hands-on again and work on something more meaningful, but where I used to be, I didn’t see a viable path to do that.
In my spare time, I used to be fooling around with the phone system and wondering if I could start a business asking people to call and record their favorite stories and memories of a person to have fun their birthday, retirement, wedding, etc.
What were the first steps you took to break away from the side hustle?
My mother-in-law’s sixty fifth birthday was approaching and I assumed she could be glad to hear from all her children, grandchildren, friends, husband, etc.
So, as a test, I arrange a phone number that anyone could call and gave her the recordings on CD (remember – this was 2006). We all listened to it together in her front room on her birthday. She loved it, there have been tears and it sparked many stories (18 years later she still loves it).
I assumed the idea had some traction, so I worked on it in my spare time to make it a service.
A few months later I used to be laid off and decided to devote some time to developing the company. People began placing orders, but not enough to support my wife and 4 young children, so after nine months I took a job as an IT director at a mid-sized company where I could do the hands-on work and manage a small team.
Were there any challenges leading the sideline? If so, how did you navigate them?
Navigating LifeOnRecord’s side hustle presented three significant challenges. First, I got used to the security of a corporate salary with the entrepreneurial aspect of LifeOnRecord. I liked each, which kept me from fully committing to LifeOnRecord. Despite the automation and minimal time required by LifeOnRecord, the camaraderie of my corporate role made me hesitant to leave until 2022.
Additionally, keeping LifeOnRecord a secret from colleagues created an emotional barrier, making me more reserved and unable to share precious insights from each of my worlds. This secret continued until the pivotal moment when I made a decision to quit my corporate job. Surprisingly, after disclosing LifeOnRecord to the CEO, I discovered unexpected support, not resistance. The company facilitated a smooth transition so I could step by step focus on LifeOnRecord, and the CEO even provided guidance along the way.
Finally, an early challenge was defending LifeOnRecord’s mental property from infringement by a multinational corporation. Through persistence and direct negotiations that lasted over a year, I obtained their approval without legal intervention and licensed my mental property to them for a fair but significant licensing fee.
How long did it take for you to start seeing consistent monthly revenue? How much revenue did it bring on average?
Growth was gradual, but individuals who used the service talked to others about it and became repeat buyers. Before I focused on it full-time, it was bringing in just over $100,000 a year as a side hustle. Thanks to my corporate salary, we were able to live comfortably, finance my kid’s studies and go on trips.
How much annual revenue does LifeOnRecord expect to achieve this year?
For me, it’s not likely about money and growth, but more about having the ability to provide a personal, customer-centric experience that I might be directly involved with. Having said that, last year was the first year it was a full time enterprise and it brought in about $350,000, and this year that quantity can be greater than double that. We at all times respond in a short time to customer questions and requests, and we don’t need the situation to turn out to be so large that excellent customer support is now not a priority.
How did you approach scaling the company? What really helped him develop?
From the starting, my strategy was to leverage technology to scale and improve the customer experience. Seeing that customers want more control over their posts, I created the “My Recordings” portal where they’ll edit, organize and delete their messages. I’ve streamlined the audio enhancement process by working with Dolby Labs to achieve the highest voice clarity and noise reduction, and I’ve expanded input options beyond traditional phone calls to include six alternative methods.
[While] balancing this growth with my responsibilities inside the company, I used to be careful not to grow too quickly, trying to maintain a healthy balance between my each day work and LifeOnRecord. This balance has allowed me to enjoy the advantages of each profession and entrepreneurship without overwhelming myself or the company.
A key innovation was the introduction of antique rotary telephone rentals for wedding receptions so that guests could leave messages for the bride and groom. Unlike competitors who simply rent phones, we have integrated these elements into our broader ecosystem of services. Guests love the charm of leaving messages on these classic devices, which are then enhanced and preserved through our platform.
Looking back on your journey with LifeOnRecord, is there anything you would like you had done in a different way?
The thought keeps coming up that perhaps I should have left the corporate world sooner and fully embraced the entrepreneurial path with LifeOnRecord. The lure of stability and a predictable income often held me back, anchoring me in a role that, while comfortable, perhaps limited the potential development of my passion. However, every decision has a positive side.
Staying in a corporate job perhaps longer than I should have taught me invaluable lessons and experiences. It was in this skilled environment that I developed skills that may later turn out to be crucial in navigating the entrepreneurial environment: the discipline of project management, the art of negotiation and the ability to lead a team.
This period was also an essential incubation phase for LifeOnRecord. It allowed me to slowly but surely build the foundations of the business, test ideas and refine the model without direct pressure to make it my only source of income. In a way, it gave me the freedom to experiment and innovate with less risk, laying the foundation for what LifeOnRecord would eventually turn out to be.
What are you most excited about about the way forward for LifeOnRecord?
Customers have used LifeOnRecord in revolutionary ways. People used LifeOnRecord to send audio thanks notes, and brides used LifeOnRecord to record their “say yes to the dress” feelings and then played the recording as they walked down the aisle. I think there are many other ways to promote LifeOnRecord that we are able to explore in the future.
What is your favorite a part of running your personal business today?
I like the impact the company has on customers. When I worked in a corporate environment, I felt like a cog in a wheel, but LifeOnRecord has made it possible for people to connect with others. I’m especially grateful when people buy this and record messages for someone terminally in poor health. They say it’s one of the few things they’ll do to show how much a person is loved.
Plus, I like the flexibility of the lifestyle and not having to answer to anyone aside from our clients. I like being identified with it and the excitement other people feel when I share what I do.
Do you have any advice for others interested in starting a side hustle or their very own business?
I suggest being kind to yourself. While there are loads of stories about people making astronomical amounts of cash from side businesses, such cases are extremely rare. Typically, progress is slower than expected and resembles a “two steps forward, one step back” dance.
Building a sustainable, principles-based business takes patience and time.
Use your day job for its intended purpose – it’s a way to reduce risk on the way to building a company with lasting impact.
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