4 Steps to Reduce Your Company’s Dependency on You

business owner selling a business

4 Steps to Reduce Your Company’s Dependency on You

“Kelby Zorgdrager owned a training business called Developintelligence and sold it in 2020 for four times revenue,” shares Sam Thompson a Minneapolis business broker and the president of M&A firm Transitions In Business. “This episode focuses on removing yourself from your business prior to selling to get the best price. Kelby also used a very unique technique to develop his high performing sales team.”

In 2006, Kelby Zorgdrager started DevelopIntelligence, an outsourced training provider helping programmers develop new skills and adapt to ever-changing technologies.

The business snowballed as Zorgdrager onboarded most Fortune 500 giants in his space. However, Zorgdrager had a problem. The company was too dependent on him.

To ensure the business could succeed without him, Zorgdrager implemented a four-step system to replace himself as the rainmaker of his company.

The strategy worked. By 2020, Zorgdrager grew the business to $12.1 million in revenue, which piqued the interest of some acquirers. A year later, Zorgdrager signed an acquisition offer from Pluralsight in a deal valued at $48.9 million. In this episode, you’ll learn how to:

  • Sell to a Fortune 500 giant.
  • Establish trust with a team of independent contractors.
  • Develop a high-performing sales team using an unconventional tactic.
  • Replace yourself as the rainmaker of your company.
  • Utilize your M&A attorney to get more money for your business.

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