How to launch a business. Growing and scaling a company. Hiring and retaining employees. Adding new services.
The various topics pertaining to the operation of a business are seemingly endless. They’re important, no doubt. But a subject that is sometimes lost in the day-to-day hustle of running a successful company is what to do when you’re ready to call it a day. Hang up the cleats. Ride off into the sunset. Kick back and relax. Insert your preferred retirement idiom here.
One of the companies featured in this month’s issue is experiencing that transitional period. Twin D out of Layton, Utah, was started in 1991 by brothers Mark and Dave Denny. Mark retired a few years ago and sold his part of the venture to Dave. Now Dave is in the same position and preparing to transfer ownership of Twin D later this year to his four sons. Everything seems to be going well. Each of the sons has an area of expertise within the company and Dave has enlisted them in formal management training to further aid a smooth transition.
But not all companies are as fortunate. Recently I spoke with Mark and Christine Fowler, owners of High Country Pipe in Colorado. You’ll be able to read about them in a future issue. They too are nearing the time when they’d like to retire, but they’re still not sure exactly what their exit strategy will look like. None of their children have interest in taking over the business, so they are having to look elsewhere for a potential ownership transfer. The Fowlers are not quite ready to retire yet, but they’re being proactive — constantly pursuing and considering options, seeking out that best fit. So far nothing is locked in yet.
Relatedly, back in January at the WWETT Show, I visited the booth for Business Acquisition & Merger Associates out of North Carolina. The firm has experience working with companies in the water and wastewater arena, both helping its clients grow through acquisition as well as selling companies. Matthew Bradbury, founder and managing director of Business Acquisition & Merger Associates, estimated that his firm has sold about $500 million worth of companies connected to the water and wastewater industry. They agreed to write an article, providing insight about the current market out there and the process of valuating a business for a sale. Keep an eye out for that in a future issue as well.
If any readers have thoughts to share on this topic, you can reach me at 715-350-8442 or editor@cleaner.com. For some companies, when it comes to an owner retiring, succession plans might just come together naturally. But there are also plenty of companies that struggle for various reasons when they reach that point, not certain how to proceed. As Mark Fowler told me, “A lot of great places close down because at some point they’re out of options.” Any insight is helpful.
Enjoy this month’s issue.
