Growthink Podcast

What do private equity firms really look for when investing in founder-owned businesses? And how can business owners find the right private equity partner without sacrificing their company's culture, independence, or long-term vision?

In this episode of the Growthink Private Equity Spotlight Series, Tim Martinez sits down with Nik Shah, Managing Partner at Cohere Capital, to discuss what makes a business attractive to private equity investors, the red flags that can derail a deal, and what founders should consider before selling or taking on institutional capital.

Drawing on more than 25 years of private equity experience, Nik shares how Cohere Capital evaluates founder-owned technology and services businesses, typically generating $10 million to $50 million in annual revenue.

Topics covered

• What private equity firms look for when evaluating a business
• Why customer concentration isn't always a dealbreaker
• How founder dependency can create both risk and opportunity
• The biggest mistakes owners make when choosing a private equity partner
• Why founders should prepare 12 to 18 months before a transaction
• What actually changes after a private equity investment
• How private equity firms use acquisitions to accelerate growth
• How artificial intelligence is changing private equity investment decisions
• Why alignment between founders and investors matters more than the highest offer

Whether you're preparing to sell your business, exploring private equity investment, or looking to increase enterprise value, this conversation provides practical insights into how private equity investors evaluate opportunities and build successful partnerships.

Learn more: https://www.growthink.com

About Cohere Capital: https://www.coherecapital.com/

Cohere Capital is a Boston-based private equity firm focused on partnering with founder-owned technology and technology-enabled services businesses.#PrivateEquity #SellingABusiness #MergersAndAcquisitions #BusinessValuation #Growthink #CohereCapital

What actually happens when you sell your business to a private equity firm?

In this episode of the Growthink Private Equity Spotlight Series, Tim Martinez sits down with Mike Chamberlain of Unity Partners, a lower-middle-market private equity firm focused exclusively on service businesses. Mike explains what Unity looks for in founders and companies, the red flags that can derail a deal, and some of the biggest misconceptions business owners have about private equity.

They also discuss what happens after a private equity investment, how founders can prepare for due diligence, and Unity’s approach to helping portfolio companies grow through its dedicated Propel team. Mike shares the story of Unity’s investment in Prosperity Partners, where an employee equity program ultimately resulted in $18 million being awarded across the company’s employees at exit.

The conversation also covers AI and private equity, including how Unity evaluates AI exposure in service businesses and how it is using AI as an opportunity to increase efficiency, improve customer experiences, and create competitive advantages across its portfolio.

Topics include:

- What private equity firms look for when acquiring a business

- Green flags and red flags for founders

- Common misconceptions about selling to private equity

- How to prepare your company for private equity due diligence

- What happens after a PE firm acquires your business

- How PE firms work with founders and CEOs

- How private equity creates value after an acquisition

- Employee equity and incentive programs

- How AI is changing private equity and service businesses

- What makes an ideal acquisition for Unity Partners

Growthink Private Equity Spotlight Series introduces business owners to the firms and people behind private equity, helping founders better understand their options when considering growth capital, succession, or the sale of their business.

About Growthink Capital - https://growthinkcapital.com/

About Unity Partners - https://unitypartnerslp.com/

Key Moments:

00:00 - Introducing Unity Partners

03:02 - What PE firms look for in a business

05:31 - Red flags and founder exit plans

07:50 - Misconceptions about selling to private equity

12:23 - Unity Partners’ “superpower” and Propel team

16:31 - What happens after a PE acquisition

18:19 - Preparing for private equity due diligence

21:04 - The PE firm and CEO relationship

23:12 - Prosperity Partners and $18M in employee equity

26:08 - AI, private equity and the future of services

30:21 What Unity’s ideal acquisition looks like

#PrivateEquity #SellingABusiness #MergersAndAcquisitions #BusinessExit #BusinessOwners #LowerMiddleMarket #Growthink #UnityPartners #Entrepreneurship #AI

Which AI tool should your business use? That’s the wrong first question. Start with the outcome you want, how you’ll measure it, and the data needed to get there.

In this conversation, Tim Martinez and Bert Carter, Senior Engagement Advisor at Growthink, discuss a practical approach to AI implementation for business owners. They cover data privacy, security and access, why small pilot projects matter, and how to evaluate an AI advisor before committing time and money.

The takeaway: AI can help automate repetitive work and make a business more effective, but it still needs clear direction from people.

Have a business problem you think AI could help solve? Tell us about it in the comments or reach out to start a conversation.

Guest: Bert Carder, Senior Engagement Advisor at Growthink Contact: [email protected] https://www.growthink.com/ai-consulting

Timestamps

0:00 Why businesses should start with the outcome, not the AI tool

1:41 - Data, privacy, and security guardrails

3:38 - What happens when you connect AI to company email and systems

5:39 - Why your first AI project should be small

7:33 - How to evaluate an AI consultant

9:55 - Should you put an internal leader in charge of AI?

11:53 - What AI could mean for the future of work

14:33 - The biggest promise of AI for businesses

#BusinessAI #AIImplementation #AIStrategy #BusinessAutomation #DataPrivacy #Growthink

Why do successful founders have no work-life balance - even when AI is making them more productive?

In this episode of the Growthink Podcast, Tim Martinez sits down with wealth advisor Geoff Sokol to explore a strange paradox: AI is helping founders get more done, but many are becoming busier than ever.

The solution may start with a $20/month AI subscription — but the real shift isn't about adding another productivity tool. It's about learning how to delegate, automate, prioritize and buy back your time.

More info:

www.gtria.com

In this episode of the Growthink M&A Webinar Series, Tim Martinez sits down with Jeff Jones, Managing Director at Growthink Capital, to discuss the five biggest fears that prevent business owners from pursuing a successful exit.

Jeff has advised on more than 300 client engagements spanning technology, healthcare, financial services, business services, manufacturing, consumer products, food & beverage, and media & entertainment.

Whether you're planning to sell in the next 12 months or simply want to build a more valuable company, this conversation will help you better understand the emotional and strategic obstacles that stand in the way.

In this webinar, you'll learn:

- Why so many owners wait too long to prepare for an exit

- The most common fears that derail successful transactions

- How buyers think—and what increases business value

- Practical steps to become exit-ready long before you go to market

At Growthink Capital, we help owner-operators raise capital, acquire businesses, and execute successful exits through a disciplined, value-driven M&A process. Our team has advised on hundreds of transactions across a wide range of industries.

If you enjoyed this discussion, subscribe for more insights on M&A, private equity, business valuation, capital raising, and exit planning.

Contact for a free consultation: https://growthinkcapital.com/

Most business owners have a number in their head for what their company is worth. The problem? Buyers don't care about your expectations—they care about risk, cash flow, growth, and market reality.In this episode, Tim Martinez sits down with Antonio Barzagli to break down an actual company valuation in real time. Starting with a seller's $36M valuation, Antonio walks through the assumptions, identifies the flaws, adjusts the model, and ultimately lands on a much different number.If you've ever wondered how investment bankers, private equity firms, and sophisticated buyers really value a company, this episode is for you.What You'll Learn:Why most owner valuations are inflatedHow EBITDA multiples really workCommon mistakes in DCF modelsThe impact of customer concentration and riskHow buyers think about future projectionsWhy valuation preparation should start years before a saleContact:[email protected] https://growthinkcapital.com/--00:00 - Your Business Isn't Worth What You Think It Is01:09 - Breaking Down a $36M Valuation02:18 - Fixing Unrealistic Growth Projections05:28 - How EBITDA Multiples Really Work08:03 - Public vs. Private Company Valuations13:33 - DCF Mistakes That Inflate Value16:20 - The Company's Real Market Value17:14 - Managing Seller Expectations20:51 - Future Value, Projections & Earnouts22:12 - How to Increase Your Company's Value Before an Exit

Most business owners think selling a company is simple: hire a banker, find a buyer, close the deal, and move on.

That’s not how it actually works.

The moment you take your company to market, everything gets exposed — your financials, leadership team, customer concentration, operational weaknesses, systems, contracts, and even your own emotional attachment to the business.

Contact:https://growthinkcapital.com/

Most people spend decades learning how to build wealth. Almost nobody teaches them how to psychologically manage it once it arrives.

In this episode, Tim Martinez sits down with Geoff Sokol to explore the hidden reality of “complex wealth” — the emotional, relational, and strategic challenges that emerge when your balance sheet grows faster than your ability to manage it. From sudden liquidity events and business exits to inheritance, family dynamics, identity loss, and generational wealth collapse, this conversation goes far beyond traditional financial advice.

Learn More: https://gtria.com/

Contact: [email protected]

Why do companies with “strong pipelines” still miss revenue targets—and why do investors keep overvaluing them?

In this episode of the Growthink Podcast, we break down The Pipeline Fallacy—the dangerous assumption that pipeline equals revenue, growth, or valuation. The reality? Most pipelines are inflated, misaligned with strategy, and misunderstood by both operators and private equity firms.

We unpack why pipeline is often a vanity metric, how it gets manipulated (intentionally or not), and why PE firms frequently don’t ask the right questions during diligence—leading to missed forecasts and overpaid deals.

You’ll learn how to properly evaluate pipeline quality, uncover hidden execution issues, and shift from storytelling to predictable, scalable revenue systems.

If you're a business owner, operator, or investor, this is a conversation you can’t afford to ignore.📩 Contact Bert: [email protected]🌐 Learn more: https://www.growthink.com/

Why do so many business owners retire broke—even after a big exit?

In this episode, we break down the uncomfortable truth most entrepreneurs ignore: selling your business doesn’t guarantee financial freedom.

From poor tax planning to lifestyle creep and bad reinvestment decisions, we unpack the real reasons wealth disappears—and what to do differently.

What you’ll learn:

- The #1 mistake that can cost you 50% of your exit proceeds

- Why your “$50M exit” might actually be $25M (or less)

- How lifestyle creep quietly drains post-exit wealth

- The difference between running a business and managing wealth

- A simple framework to never run out of money after an exit

- Smart allocation strategies (and why you don’t need to take big risks)

- How top operators think about exit planning years in advance

Key takeaway:

Most business owners are elite operators—but completely unprepared for what comes after the exit. That gap is where fortunes are lost.

If you’re planning to sell your business in the next 3–5 years, this is required listening.

https://gtria.com/

Schedule a free consultation: [email protected]