Grow, Buy, or Sell to Grow

14/10/2025 42 min Episodio 233
Grow, Buy, or Sell to Grow

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Episode Synopsis

In this episode, the team breaks down the decision every IT services leader wrestles with: Grow, Buy, or Grow to Sell. You’ll hear where firms typically hit operational ceilings, why acquisitions amplify your go-to-market (for better or worse), and what it takes to be truly “ready to sell.” We cover the cash and capability requirements behind each path, common traps (buying to fix sales, serial deals without integration, ignoring working capital), and a simple framework to choose based on time horizon, risk tolerance, and valuation goals. Whether you’re building toward a premium exit or debating your next add-on, you’ll walk away with practical steps to drive multiple expansion now.Three paths, three realitiesGrow (organic): sharpen ICP, offers, pricing power, utilization, and pipeline discipline.Buy (inorganic): clear thesis, cultural fit, day-0/30/90 integration plan, and post-close GTM.Grow to sell: clean financials/QofE-ready, recurring mix, concentration reduction, leadership bench.Decision drivers: time horizon, leadership bandwidth, cost of capital, integration capacity, risk profile.Valuation levers: recurring revenue %, margin quality, growth durability (Rule of 40/45), customer concentration, integration track record.Common pitfalls: buying to “fix” sales, underestimating change management and working capital, skipping playbooks.Playbooks that travel: discovery→close process, delivery runbook, ICP x offer matrix, integration day-0/30/90, KPI cadence.Outcome framing: optionality done right = two good outcomes (keep growing or transact at a premium).Thinking about building, buying, or prepping for exit? Revenue Rocket has led hundreds of IT services transactions and integrations. If you’re weighing the path (or want a sanity check on the math) let’s talk: [email protected] KEY TAKEAWAYSAcquisitions magnify GTM—they don’t fix it.Operational maturity decides whether you stall at ceilings or scale past them.If premium exit is the goal, optimize recurring mix, margins, and concentration now.Model post-close working capital and integration costs, not just purchase price.“Grow to sell” is a discipline game: clean books, durable pipeline, and leadership redundancy. RELATED EPISODESQuestions to Ask before you Consider an M&A initiative. Listen now >>All Roads Lead to M&A. Listen now >>Episode 90: Selling in vs Selling Out. Listen now >>Episode XX: Rule of 45. Listen now >>
Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket. 

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