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Writer's pictureJulie Edge

The Hidden Cost of Being a Hands-on Boss


It's story time for this week's letter to business owners. Make sure to tee up this podcast for your next drive. It's full of insights on building the value of a service business.


Here's a quick synopsis:


In 2012, Jaclyn Johnson founded Create & Cultivate, a media company that educates and inspires women to succeed in business.


By 2018, Johnson had grown Create & Cultivate to eight employees when an acquirer offered her a staggering $40 million. Unfortunately, the deal was too good to be true. When the acquirer discovered her hands-on management style, they pulled out.


Learning from her mistakes, Johnson implemented a collection of strategies to ensure Create & Cultivate could thrive without her.


By the end of 2019, Johnson had grown to $14 million in revenue ($4 million EBITDA) when acquirers came knocking again. This time, she was ready. Corridor Capital acquired Create & Cultivate in a deal valued at $22 million.


In this episode of the Built to Sell Podcast with host John Warrillow, you’ll learn how to:

  • Ensure your business can succeed without you.

  • Build a thriving online community.

  • Create partnerships with well-known brands.

  • Avoid a common error made during due diligence.

  • Respond to a shrewd acquirer looking to get your business for a discount.


Let me know what you learn from Jaclyn's story and what nuggets could apply to your business.

In gratitude,


Julie


P.S. Want to know the value of your business and where you need to focus to increase its value? Take the free Value Builder Assessment. It takes only 15 minutes to get an outside perspective on what's working and what could work better.


 

Julie Edge Ph.D., is chief strategist and founder of Inside Edge Solutions LLC, a boutique strategy coaching and consulting firm serving business owners seeking less chaos and complication in their business and more thriving in their life—both personally and professionally. Connect with Julie on LinkedIn at @drjulieedge


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