Built to Sell Radio

Michael Lieberman, founder of Datastay, shares the story of his software company that was acquired by Autodesk for more than ten times its revenue. Topics include creating a searchable catalog for AutoCAD drawings, building credibility through custom projects, equity distribution, transitioning to a product-based business, dealing with the departure of a key engineer, and the life-changing acquisition by Autodesk.

Adam Coffey, a seasoned CEO with a rich background in private equity, shares insights from his bestselling book, The Private Equity Playbook. He delves into the nuanced relationship between entrepreneurs and private equity sponsors, highlighting strategies for sustainable growth and value creation. Adam emphasizes the importance of viewing company sales as a strategic move for future wealth, while detailing the complexities of due diligence in private equity transactions. Listeners gain a masterclass on navigating this dynamic landscape for better investment outcomes.

Jason Swenk, marketing agency owner turned acquirer, shares his unique perspective on how to sell your service business. From criteria for acquiring agencies to the role of competition in buying and selling companies, he discusses valuable insights and real-life stories. They also touch on the decision-making process, red flags when courting potential owners, and the importance of good operators. The chapter concludes with a discussion on assessing value, deal structures, and reaching out on social media.

Joe Khoubbieh, Chief Investment Officer at Valsoft, shares his insights as one of the leading acquirers of software companies. He discusses why niche vertical market software is a goldmine, and the importance of recurring revenue. Joe breaks down core acquisition criteria, including the significance of mission criticality and acceptable churn levels. He also emphasizes transparent communication with sellers, effective transition planning, and the pitfalls of leverage in deal-making. Learn how Valsoft's equity-funded approach stands out in the acquisition landscape.

In this episode featuring Mark Zweig, we explore the aftermath of selling his company, The Zweig Group, to a private equity group. Zweig Group, known for serving the architecture industry with magazines, reports, and trade shows, achieved remarkable growth, landing three times on the Inc. 5000 list. At its peak, the company reached $19 million in revenue. However, Mark's sale to a private equity group unfolded as a cautionary tale, showcasing the potential pitfalls when partnering with the wrong acquirer.

Artificial Intelligence (AI) is all the rage these days, but do you remember the cannabis craze? Basem Hanna sure does. He rode that wave to perfection, leaving his cannabis startup with a cool $25 million and shares that could be worth double that one day. This week's episode of Built to Sell Radio is a no-holds-barred chat (yep, expect some strong language) about making it big in the green rush.

Aaron Leibtag, cofounder of Pentavere Research Group, shares how his digital health company, with only 15 employees, attracted a $15 million acquisition offer. He discusses the innovative AI engine developed to rescue critical patient data from electronic health records, improving care for overlooked individuals. The conversation also dives into funding strategies, focusing on the importance of peer-reviewed publications and personal connections. Aaron highlights the emotional journey of entrepreneurship, touching on relationship-building and the complexities of acquisition negotiations.

This week on Built to Sell Radio, we highlight the top strategies from the 10 most popular shows of 2023. In this episode, you'll learn how to: · Grow your email list. · Compete with industry giants. · Replace yourself inside your business. · Implement a three part strategy for hiring high-potential employees. · Get your customers to fund your growth. · Use silence to help you get the upper hand when negotiating the sale of your business. · Provoke a bidding war for your business. · Use a surprising negotiating tactic to get an acquirer to increase their offer. · Rebut a low-ball offer. · Handle negotiation points that are non-starters for you.

Leading expert on subscription models, Robbie Kellman Baxter, discusses the significance of recurring revenue and subscription models across various industries. They explore successful examples, transition strategies, and the benefits of membership models. The conversation also covers segmenting subscription models, churn rates, retention strategies, and the challenges of creating a forever promise.

Negotiating the sale of a business sale is intense and emotional for founders. Clear thinking is vital. In our second expert series installment, we feature Hasard Lee, a renowned clear-thinking expert. Lee, a U.S. Air Force fighter pilot, authored the international bestseller, The Art of Clear Thinking. This Wall Street Journal bestseller, #2 in U.S. business books, has been translated into multiple languages. As a flight commander in Afghanistan, Lee led over eighty combat missions, piloting two different jets on the same day in support of ground troops. Selected to fly the F-35, a cutting-edge, costly weapons system, he later became Chief of Training Systems at the world's largest training base, innovating pilot training technology and methods. Lee's book translates combat lessons into daily life. Today he provides a mental toolbox for founders, guiding clear thought amid the emotional challenges of selling a business.