Selling the Thing You Swore You'd Never Sell with Steve Guberman

Most founders think they have two options: 1. Keep grinding 2. Shut it down and go get a job. Steve Guberman was one week from taking a corporate offer when his brother stopped him. After spending a decade building his own agency, Steve made an acquisition with no money in the bank, sold the business after the worst year of his life, and now advises agency founders on mergers, acquisitions, and exits. He hosts the Agency Bytes podcast and has coached more than 100 agencies. In this episode he and Adrienne open up the part of business ownership that usually happens behind closed doors. **What they cover:** - How Steve acquired a competitor's book of business with zero cash, using a commission structure paid out over two years - What an acquihire is, and why a burnt out founder often wants to become your employee - Why hiring a salesperson almost never works under seven figures, and what to buy instead - The difference between an entrepreneur and an accidental business owner, and how to tell which one you are - The RFP his six person agency never should have won, and the year that followed - Nine pitch meetings, three offers, and the sale he almost never made - The friend who died suddenly, and the folder on his desktop that saved the company - Why he begs founders not to shut it down, even when the exit is not life changing money - Merger versus acquisition in plain language, plus how a seller keeps equity for a second bite - Why 25% growth is a good year, and one deal can add 40% Connect with Steve: Steve on LinkedIn: https://www.linkedin.com/in/agencycoach/ Agency M&A Liftoff, Dallas, November 4 to 6: https://liftoffconference.com/ Free agency resources: https://www.agencyoutsight.com/merge Podcast: Agency Bytes ⏱️ Time Chapters 00:00 Meet Steve Guberman 01:08 Founder optionality 04:41 The acquisition he made with no money 06:35 What an acquihire actually is 07:15 Why hiring a salesperson rarely works 08:12 Accidental business owner or entrepreneur 11:55 Do it again, and again, and again 12:55 The one third rule 13:25 Don't build the department, buy it 16:45 Does your house need to be in order first 17:40 The consolidation happening right now 19:45 The RFP they never should have won 20:55 The year everything came apart 22:05 I'm going to run this thing until I die 22:35 Get a job or sell it 23:05 Nine pitches, three offers 24:30 Offering the business to his team 25:20 The folder on Eric's desktop 26:05 A three year succession plan in action 27:55 The dentist and the dog food website 30:20 Three years of clean books 31:25 What a well run business is actually worth 34:05 Why these deals happen behind closed doors 35:10 Merger versus acquisition, explained 36:25 The second bite 42:20 25% growth versus one deal 43:20 Lift Off in Dallas 45:50 Where to find Steve