Stephanie Breedlove started Breedlove & Associates in 1992 as a way to pay her nanny. The big payroll processors weren’t interested in dealing with one person’s wages and doing it themselves was complicated and time-consuming, too much for the then overwhelmed Breedloves.

Breedlove saw a business opportunity and started a payroll company for parents who needed to pay their nannies. By 2012, Breedlove & Associates had grown to $9MM in revenue and then she received a $54MM acquisition offer.

To give you some context of how incredible it is to sell a $9MM business for $54MM let’s look at the numbers. At The Value Builder SystemTM, more than 25,000 business owners have completed the Value Builder Score questionnaire, part of which asks about any acquisition offers they may have received. The average multiple offered is 3.76 times pre-tax profit. Even the best-performing businesses, those with a Value Builder Score of 80+, only get offers of 6.27 times pre-tax profit on average. Breedlove got close to six times revenue.

What did Breedlove do right? We’re going to look at the five things Breedlove did—and that you can do—to drive up the value of a business.

 

Redner brewed 1,000 barrels of beer in his first year and had the goal of one day brewing 5,000 barrels.  Apparently, Tampa Bay had a different idea—the company took off and, by 2015, Redner was brewing 55,000 barrels of beer.

Then Dale Katechis, owner of Oskar Blues Brewery, approached Redner about selling his company.

In this episode, you’ll learn:

  • How Redner got Oskar Blues to triple their original offer.
  • The surprising reason Redner decided to sell.
  • How an equity rollover works.
  • What you should look for in an advisor.
  • The one thing Redner wished he had done differently during the negotiation.
  • The definition of “swim to shore’ money.

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