Think your MSP's profits guarantee you're ready for Acquisition?
Think your MSP's profits guarantee you're ready for Acquisition?
NOT Quite!
During a recent conversation with an M&A rockstar, we realized:
High profits đź’° don't always reflect the needed Operational Maturity required for a Transaction to make sense.
MSPs led by passionate founders can generate big profits but still struggle with operational systems for continued growth.
Profitability alone isn't the same as Operational Maturity
Your P&L numbers could be a vulnerability during an M&A process if your EBITDA is not in the right place for an Acquirer.
→ Lesson: Buyers are looking for businesses with robust, scalable growth, not just a healthy margin.
Ask yourself: As an MSP Owner can your business generate consistent NEW revenue without you being involved in every deal?
If not, it's time to FOCUS for a few cycles on improving Your MSPs Operational Maturity.
→ Takeaway: Building 🛠️ a solid operational plan is key to M&A attraction.
Strengthen your operations now to increase your Enterprise Value (EV) for potential buyers and justify all those crazy hours you are working now.
Ready to ensure your MSP is built to last and thrive?
Always here for a NO COST chat whenever you want to talk about Ops Maturity or Growth Hacks.
✍️ What things help You STOP “Working IN your business” vs. “Working ON your business”?
- Kevin Hagemoser