It took me 20 years to sell my business to private equity. But the truth is, for the first 15 years, I didn’t know how to build a company that was even close to being investable. I was focused on running the day-to-day operations and constantly putting out fires, but I didn’t realize that selling to private equity requires a level of sophistication I just didn’t have back then.
In those early years, I was like many other founders—chasing growth without a clear strategy, doing whatever it took to keep the business afloat, and focusing more on survival than on building long-term value. That all changed after a crucial conversation with a banker that opened my eyes to the hard truth.
The Conversation That Changed Everything
That same banker also gave me another hard truth: I needed to make myself irrelevant. If the company relied too much on me as the founder, no buyer would be interested. I had to build a management team that could run the business without me, reduce customer concentration, and de-risk the business in every way possible.
These were things I had never considered. Up until then, I had been the cornerstone of the business, making all the major decisions, managing key customer relationships, and overseeing operations. But the more dependent a company is on the founder, the less valuable it becomes to potential investors.
The 5-Year Transformation
With these insights in hand, I realized I had a lot of work to do. Over the next five years, I went to work fixing all the gaps that had been holding the business back from being investable:
The Results
All of this could have been done years earlier. In fact, if I had started this transformation sooner, my life would have been much less chaotic, and the business would have been far more enjoyable to run. But the important thing is that we did it. After five years of intense focus and planning, we sold to private equity in a deal that was the culmination of all that work.
The sale was the payoff for years of hard lessons learned, adjustments made, and new systems built. It was proof that a business can be transformed if you’re willing to put in the time and effort to make it happen.
You Don’t Have to Make the Same Mistakes
Whether it’s building a leadership team, improving margins, or making your business less dependent on you, these steps are critical if you want to position your company for a successful exit.
And the best part? You don’t have to do it alone. All you need is a guide to help you navigate the journey and make it easier.
If you’re ready to start building an investable business, let’s talk.