10 Concepts We Can Learn About Success in M&A on How2Exit's Interview W/ Neil Medwed Meriplex VP of Corp Development & M&A. Wach Here: E112
Here is what my team and I learned from this interview: (These are notes from team members, writers, sometimes AI, and even listeners who submitted what i learned loosely edited and shared here) - If it seems a bit unrefined, you're reading our notes, so. yeah. -Ron
Concept 1: Community is Powerful
Community is a powerful force that can bring people together, create connections, and help to solve problems. This is especially true in the tech industry, where the community is essential for understanding complex issues and finding solutions.
Take Neil Medwood, for example. He is a 39-year veteran of the tech industry, and he has been heavily involved in the tech community for over two decades. He has invested in technology communities, been a leader in different technology communities, and given back to the industry. This has enabled him to build a strong network and to be highly trusted.
As a result, when he became part of Meriplex, he was able to use his connections to bring more people into the organization. He was able to speak to end users, movers and shakers in Dallas, and hand it off to a sales force to work with. He was able to use his network to find new opportunities and to grow the company.
This is just one example of how powerful a community can be. By being part of a community, you can build connections, find new opportunities, and solve problems. Communities can provide a sense of belonging and support and can be a great way to learn and grow.
Ultimately, community is an incredibly powerful force that can bring people together and help to solve problems. It is essential for understanding complex issues and finding solutions, and it can be a great way to build connections and find new opportunities.
How2Exit.com embraces this concept, and to help facilitate community in small to medium M&A, we meet twice a month. To find out more, click Here.
Concept 2: Culture is Key To Success
In the tech industry, culture is especially important. It is essential for developing strong relationships, forming tight-knit communities, and avoiding mistakes. As the podcast discussed, it is important to join communities and build relationships with like-minded individuals. This can help to provide support and guidance, as well as create opportunities for growth.
Culture is key to success, both inside and outside of the tech industry. It can help to build trust and foster relationships, which can be incredibly beneficial in business. It can also help to create a sense of community, which can be beneficial for morale and motivation. Additionally, it can provide a platform for collaboration and problem-solving.
The podcast discussed the importance of culture in the tech industry, and this is true for any industry. In order to be successful, it is important to build relationships and foster a sense of community. This can be done through joining communities, attending events, and networking. Additionally, it is important to create a culture of trust and respect, as well as foster collaboration and problem-solving.
Culture is key to success. It is essential for developing strong relationships, forming tight-knit communities, and avoiding mistakes. It can also help to build trust and foster collaboration, which can be incredibly beneficial for any organization. By creating a culture of respect and understanding, businesses can ensure that they are set up for success.
Concept 3: Stay Ahead of Security Risks
Staying ahead of potential risks, businesses can ensure that their data and systems are safe and secure. This is especially true in the IT and MSP space, where cyberattacks can be incredibly damaging and costly.
In order to stay ahead of security risks, companies must start by understanding the risks they face. This means taking the time to assess the threats and vulnerabilities that could potentially affect their systems. Companies should also look into ways to reduce their risk, such as implementing security protocols, training employees on security protocols, and investing in the right tools and technologies.
Once a company has identified the risks they face, they need to take steps to address them. This could include implementing the right security measures, such as firewalls and encryption, as well as investing in the right tools and technologies. Companies should also ensure that their employees are properly trained on security protocols and that they understand the importance of following them.
Finally, companies should stay up to date on the latest security trends and developments. This includes keeping an eye on the latest security vulnerabilities and threats, as well as any new technologies or tools that can help to protect their systems. By staying informed, companies can ensure that they are always prepared for the latest security risks.
By taking the time to assess their risks, implement the right security measures, and stay up to date on the latest security trends, companies can ensure that they stay ahead of security risks. This will help to protect their data and systems, as well as their customers and employees.
Concept 4: Take Risks to Achieve Success
Taking risks can be a scary proposition, but it can also be the key to success. Taking calculated risks can help a business to grow and thrive, as well as to make the most of new opportunities. By taking risks, a business can expand into new markets, develop new products, and explore new technologies. Taking risks can also help a business to stay competitive and to stay ahead of the competition.
In the podcast, the speaker talks about the importance of security for MSPs and how cyber security insurance is skyrocketing due to the increased risks. He also talks about how the CEO and C-suite of a company can't sleep well at night due to the increased risks. He then talks about how M&A is a viable option for MSPs who want to take some of the risk off the table and have financial security.
The podcast highlights the importance of taking risks in order to achieve success. By taking risks, MSPs can explore new opportunities, and stay ahead of the competition. Taking risks can also help a business to grow and thrive, as well as to make the most of new opportunities. However, it is important to remember that risks should be taken only after careful consideration and planning. This will help to ensure that the risks taken are calculated and calculated well.
In conclusion, taking risks can be a scary proposition, but it can also be the key to success. By taking the time to assess their risks, implement the right security measures, and stay up to date on the latest security trends, companies can ensure that they stay ahead of security risks and achieve success.
Concept 5: Be Ready to Exit
When it comes to business, being ready to exit is an important part of success. Whether it’s selling a business, merging with another, or being recapitalized, it’s important to be prepared for any potential exit. As Neil Medwed, VP at Mariplex, explains, there are many reasons why a company may choose to exit. For Mariplex, it was a combination of organic and inorganic growth, coupled with the right financial partners, that made it a success.
Organic growth is important for any business, as it ensures that the company is growing and expanding at a steady rate. Inorganic growth, such as M&A, can also be beneficial, but it’s important to couple it with organic growth. This is what Mariplex did, and it allowed the company to be recapitalized by Vitruvian Partners, a 20-plus billion dollar private equity firm.
When it comes to being ready to exit, it’s important to have a strong vision. It’s not enough to simply have a great idea; it’s important to be able to share that vision with potential buyers, partners, and investors. By enrolling them in the vision, it allows them to buy into it and become part of the story. This is exactly what Mariplex did, and it allowed them to achieve success.
Being ready to exit is an important part of business success. It’s important to have a strong vision, to be able to share it with potential buyers, and to be able to enroll them in the story. By doing this, companies can ensure that they are prepared for any potential exit and are able to achieve success.
Concept 6: Close Deals With Integrity
Neil Medwed, was President and CEO of Preferred Technology Solutions, and knows the importance of close deals with integrity. He has been in the space for some time and knows that having an exit strategy is essential. When he received a call from his best technology friend, Greg, he was open to the conversation. He was aware that not all calls and emails are worth his time, so it was important to him to make sure the call was validated.
Integrity is key to Medwed. He believes in not lying and being able to look someone in the eye and say that his company can be a valuable asset to their organization. He was driven by the fact that he could do better than he was doing, and he wanted to have the power behind him to make a difference. He was also frustrated by the fact that he couldn’t look someone in the eye and say that his company could be a valuable asset to their organization unless they truly could be.
When Medwed talks to potential buyers, he talks about character and culture first. He wants to make sure that the buyer is a good fit for the Mariplex nation. He then talks to the CEO, Dave Henley, and they both decide if it is a good prospect. If it is, they then ask for financials, top 20 customers, and an order chart. From there, they work towards an LOI and usually it takes about 30 days to get all the numbers.
Medwed is proud of the fact that 100% of their LOIs have closed, and they close at the price on the LOI. This is unique in the industry and demonstrates the value of having close deals with integrity. By being open to conversations, having a strong vision, and being honest with potential buyers, companies can ensure that their exit strategy is successful.
Concept 7: Empower Employees to Make Decisions
One of the most important elements of a successful exit strategy is to empower employees to make decisions. Medwed's CEO, David Medwed, believes that by managing through the numbers, with key performance indicators, companies can be more effective and efficient. He uses the analogy of a company having 17 engineers with 1200 tickets a day. If each engineer can handle a hundred tickets a day, then the company needs 13 engineers. This would save the company $400,000 that could be used for bigger bonuses, salaries, or investing in automation and tools.
Empowering employees to make decisions can be difficult for some companies. They may not have the trust in their employees to make the right decisions, or they may not have the knowledge to make the right decisions. To help with this, Medwed recommends joining communities and peer groups. This allows for more collaboration, more accountability, and more learning. It also helps to have a team of like-minded individuals who can provide insights and advice.
Finally, Medwed stresses the importance of taking vacations. This allows for employees to take a break from the daily grind and come back refreshed and ready to make decisions. It also allows for the CEO to take a step back and evaluate the decisions that have been made and make sure that they are the right ones.
By empowering employees to make decisions, companies can ensure that their exit strategy is successful. This can be done through managing through the numbers, joining communities and peer groups, and taking vacations. With the right strategy in place, companies can be confident that their exit strategy will be successful.
Concept 8: Invest In The Right Consultants
Investing in the right consultants is an important part of any successful exit strategy. A consultant can provide valuable insight and advice on how to best approach a company's exit strategy. They can help identify potential risks and opportunities, as well as provide valuable advice on how to best manage the process.
Consultants can also help companies understand their strengths and weaknesses. By understanding their strengths and weaknesses, companies can develop an effective exit strategy that will maximize their potential. A consultant can also provide valuable advice on how to best leverage their strengths and minimize their weaknesses. This can include creating a strategy for marketing, sales, and customer service.
Consultants can also help companies understand the risks associated with their exit strategy. This includes understanding the potential legal and regulatory risks associated with the process. A consultant can also provide valuable advice on how to best manage the process and ensure that all parties involved are protected.
Finally, consultants can provide valuable advice on how to best manage the transition. This includes providing advice on how to best manage the transition of employees, customers, and vendors. They can also provide advice on how to best manage the transition of assets and liabilities.
The right consultant can provide invaluable advice and guidance on how to best manage a company's exit strategy. By investing in the right consultants, companies can ensure that their exit strategy is successful and that all parties involved are protected. This can help companies maximize their potential and minimize their risks.
Concept 9: Integrate For Customer Success
Meriplex is a prime example of an organization that has successfully integrated different companies into one. By integrating eleven companies in less than two years, Meriplex has been able to provide its customers with a wide range of services, from circuit side of the business to managed services, to sophisticated cybersecurity. This has enabled Meriplex to resonate well in the mid-market space and to be a great help even to small businesses.
Meriplex's integration process is comprehensive and well-thought out. First, the company integrates HR and accounting. This ensures that employees are taken care of and that customers are not left in the dark. Then, the company integrates different systems to ensure that the transition is smooth and that all of the necessary information is transferred. Finally, Meriplex puts extra staff in place to take care of the integration so that new employees and new teammates can focus on customer satisfaction.
Meriplex also understands the importance of telling the right story to both customers and employees. It emphasizes the potential upside of joining Meriplex nation, such as increased mobility, better career opportunities, and increased access to sophisticated services. This helps employees understand why the transition is happening and what it means for them, while also reassuring customers that they are in good hands.
Integration is essential for customer success. By investing in the right consultants and taking the time to properly integrate different companies, organizations can ensure that their customers have access to the best services and that their employees are taken care of. Meriplex is a great example of how integration can lead to success, and how companies can maximize their potential and minimize their risks.
Concept 10: The Pitch: Talk to Miraplex first
Meriplex is a managed service provider (MSP) that specializes in helping businesses with their technology stacks. They provide a wide range of services, including cloud and security solutions, as well as consulting and support. They have a unique approach to integration, and they focus on creating a powerful story to help attract and retain customers. This story helps customers understand the value of their services and the potential of their technology stack.
In addition, Meriplex focuses on the employee side of integration. They understand that the success of their customers depends on their employees, and they strive to ensure that their employees are taken care of. They provide upward mobility opportunities, and they focus on creating a positive environment for their employees. This helps to reduce employee churn, which is a major risk for any company.
When it comes to integration, Meriplex has a lot to offer. They have a great story that helps customers understand the value of their services, and they focus on taking care of their employees. This is why it is important to talk to Meriplex first before making any decisions about integration. They can help businesses understand the potential of their technology stack and ensure that their customers and employees are taken care of. By talking to Meriplex first, businesses can maximize their potential and minimize their risks.
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