Winning Teams and the CEPA Advantage
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In the early days of Airbnb, co-founder Brian Chesky went to surprising lengths to gather customer feedback. He would stay with Airbnb hosts to experience the platform as they did, asking detailed questions about their needs and frustrations.
Murray Kent paid $40,000 for a four-person electrical conduit fittings business operating out of what he generously described as a crack den. A decade later, a private equity-backed acquirer wrote him a check for 6.2 times EBITDA. All cash. No earnout. No equity rollover.
Most business owners are obsessed with adding new customers. The sales pipeline, the marketing budget, the growth targets all point in one direction. Find more. Close more. Grow faster.
In M&A circles, there is a well-known concept called the Rembrandt in the Attic. It refers to a situation where an acquirer discovers an asset or capability inside a target company that the seller either undervalued, underutilized, or did not realize was there.