defend the indefensible: VAN HAGAR

The (more or less) end of the visionary tequila saga, from "Red: My Uncensored Life in Rock":

He sat down with me and told me that he and his investors wanted to buy the company from me and they would pay $22 million. I already turned down Gary Shansby’s offer of $38 million. What was this guy thinking? I fired my accountant.

He did have a piece of the company. When he sued to get back my shares in his San Francisco restaurant, I made a deal for his end of Cabo Wabo and he went away. I brought in a liquor business old-timer named Steve Kauffman to run the company. He was somebody I knew, who came from Seagram and had done some work for me as a consultant. He was going through his fourth divorce, the poor bastard. He needed a job. Once he took over, the business exploded overnight.

A little more than a year after Kauffman came to work for me, Skyy Vodka approached him to buy the company. He took a lunch with an old friend from Skyy and showed him the numbers. The guy called me up from the lunch and offered me $70 million for the company. I almost fainted.

In the liquor business, we were quiet underachievers. We had four employees. I didn’t spend any money marketing because we were doing fine, growing at a nice, beautiful, slow pace. The three-year average net profit was almost $7 million a year. I was happy making that much money. I didn’t need any more money. I liked keeping it guerrilla, maintaining control.

I went to the Skyy offices in San Francisco, very hip company, staffed by lots of young people. I felt at home and wanted to be involved with these guys. I told them maybe I would sell them 50 percent of the company. I went back and forth for about ten days, waking up in the middle of the night thinking, “Oh, no, I can’t sell this company.” I finally told them I couldn’t sell. By the time I paid the lawyers, taxes, bought off my partners, I told them, all I’d have left is a chunk of money that doesn’t really change my life. “What amount would change your life?” they asked.

“At least $100 million,” I said.

They called back the next day and said okay.

I guess if you are already a rich rock star, I guess $100 million is true FU money.

“Yeah, you can feel”