Inorganic Podcast

Summary

In this episode of the Inorganic Podcast, co-hosts Ayelet Shipley and Christian Hassold welcome Brian Burt, founder & CEO of Canopy Management. In this episode, we discuss Brian's entrepreneurial journey, with an emphasis on his principles for building the business and expanding through highly accretive tuck-in M&A transactions. Brian also shares the importance of cultural fit in successful integrations. He then discusses the challenges and opportunities presented by AI in the retail media space, emphasizing the need for omnichannel marketing strategies. The conversation underscores the importance of momentum in business and the role of performance-based incentives in sustaining an entrepreneurial spirit within acquired teams.

Takeaways

• Canopy Management has grown without external investment, focusing on mergers and acquisitions for expansion.
• The need for operational efficiency and scalability drove the first acquisition.
• Cultural fit and shared values are crucial in successful acquisitions.
• Integrating new teams requires clear communication and defined outcomes.
• Performance-based incentives help maintain entrepreneurial spirit in acquired teams.
• AI presents both a threat and an opportunity for the agency space.
• Omnichannel marketing is essential for modern e-commerce success.
• Building a strong personal brand aids in building an acquisition funnel
• Momentum in business is key to successful integration and growth.?

Chapters

00:26 Brian Burt’s Background 

02:38 Growing through M&A 

12:31 Culture Fit and Founder Alignment

13:09 Integrating the First Acquisition

16:36 Defining and Executing Acquihires

20:45 Evolving the Playbook

23:46 Incentives Pods, and Integration Strategy

27:44 Scale Synergy and Sustainable Growth

31:28 Market Outlook: Retail Media Omnichannel and AI

37:14 Closing Thoughts and Takeaways

Connect with Christian and Ayelet

Ayelet’s LinkedIn: https://www.linkedin.com/in/ayelet-shipley-b16330149/

Christian's LinkedIn: https://www.linkedin.com/in/hassold/

Web: https://www.inorganicpodcast.co

In/organic on YouTube: https://www.youtube.com/@InorganicPodcast/featured

Connect with guest Brian Burt

https://www.linkedin.com/in/brianburt1/

Hosted on Acast. See acast.com/privacy for more information.

Summary

On this episode of the Inorganic Podcast, co-hosts Christian Hassold and Ayelet Shipley are joined by guest Jeff Cohen, newly minted Chief Business Development Officer of Skai, former Principal Evangelist for Amazon Ads, and in general a seasoned operator with an extensive background in commerce and tech. In this episode, the hosts and guest explore the current state and future vision of omnichannel commerce. Their discussion spans the immediate and long-term prospects of retail media agencies and the defensibility of these businesses based on their commonly observed category-specific expertise. As a part of this discussion, they talk about notable retail media agencies including Podean, Cartograph, and Envision Horizons. The conversation emphasizes the need for agencies to adapt and innovate in a rapidly changing market.

Takeaways

• E-commerce is growing at a rate of 6-8%.
• Retail media is experiencing growth rates in the low to mid 20s.
• Omnichannel connectivity is crucial for brands.
• Brands often underutilize Amazon's audience capabilities.
• Organizational silos hinder effective marketing strategies.
• Audience planning is essential for successful media execution.
• Agencies should act as partners, not just service providers.
• The future of retail media agencies is evolving rapidly.
• AI can significantly enhance operational efficiency in marketing.

Chapters

01:01 Introduction & Why Omnichannel Commerce Matters

02:40 Jeff Cohen’s Journey

04:46 The Growth of Commerce Talent

05:58 Defining Omnichannel Commerce

07:39 Are Brands Underutilizing Amazon’s Potential?

11:58 Balancing In-House and Agency Collaboration

14:21 Audience Planning: The Core of Retail Media

18:31 How Retail Media Agencies Differentiate and Mature

22:00 The Future of Agencies with AI & Tech

34:07 Inside Skai: AI Tools and Omnichannel Evolution

37:25 Platform Strategy & The Broader Tech Landscape 

40:40 Closing Reflections & Takeaways

Connect with Christian and Ayelet

Ayelet’s LinkedIn: https://www.linkedin.com/in/ayelet-shipley-b16330149/

Christian's LinkedIn: https://www.linkedin.com/in/hassold/

Web: https://www.inorganicpodcast.co

In/organic on YouTube: https://www.youtube.com/@InorganicPodcast/featured

Connect with guest Jeff Cohen

https://www.linkedin.com/in/jeffreycohen/

Hosted on Acast. See acast.com/privacy for more information.

Summary

In this episode of the In/organic Podcat, co-hosts Christian Hassold and Ayelet Shipley welcome guest Matt Bodnar, founder and managing partner at Eidolon Capital. Matt is a business owner and investor with substantial experience using M&A as a lever to acquire and grow businesses. In this episode, Matt discusses how he has leveraged his intellectual interest in valuations and deal structuring to execute creative and accretive deals. Further, Matt discusses the importance of understanding earnings and multiples in business valuation, the impact of size on valuation, and the challenges of customer concentration. Additionally, he provides strategies for sellers to maximize their exit value, emphasizing the need for thoughtful analysis and potential acquisitions to enhance business value.

Takeaways

• Valuation can be simplified to earnings and multiples.
• Size significantly impacts business valuation multiples.
• Customer concentration can negatively affect valuation.
• Sellers should consider adding businesses to increase value.
• Earnings adjustments can significantly influence business valuation.
• Understanding market perceptions is crucial for sellers.
• Agencies offer unique opportunities for cross-selling and growth.

Chapters

00:00 Coffee Preferences and Brewing Techniques

02:54 Restaurant Business Insights and Challenges

05:42 Valuation Philosophy and Business Insights

14:44 Valuation Fundamentals: Understanding Multiples

22:12 Earnings and Adjustments: The Art of Valuation

34:20 The Size Premium: Why Bigger is Better

38:12 Customer Concentration: Risks and Strategies

41:53 Maximizing Exit Value: Key Strategies for Sellers

Pepperdine Capital Markets Report discussed on the podcast

https://digitalcommons.pepperdine.edu/gsbm_pcm_pcmr/

Connect with Christian and Ayelet

Ayelet’s LinkedIn: https://www.linkedin.com/in/ayelet-shipley-b16330149/

Christian's LinkedIn: https://www.linkedin.com/in/hassold/

Web: https://www.inorganicpodcast.co

In/organic on YouTube: https://www.youtube.com/@InorganicPodcast/featured

Connect with guest Matt Bodnar

https://www.linkedin.com/in/mattbodnar/

Hosted on Acast. See acast.com/privacy for more information.

Summary

In this episode of the Inorganic Podcast, co-hosts Ayelet Shipley and Christian Hassold discuss the complexities of earnouts in agency acquisitions in the context of discussions covered at DealCon 2025. In this episode, Ayelet and Christian explore the reasons earnouts are used, the difficulties in negotiating them, and the importance of maintaining operational control and alignment between buyers and sellers. The conversation emphasizes the need for clear expectations and mutual understanding to navigate the intricacies of earnouts effectively.

Takeaways

• Earnouts are often used to bridge valuation gaps in acquisitions
• Buyers typically dislike the complexity of earnouts but find them necessary
• According research, significant percentage of earnouts (>55%) are never paid
• Negotiating earnouts should ideally happen early in the deal process
• Operational controls are necessary for buyers and sellers to achieve earnout targets
• Cultural alignment between buyers and sellers is essential for success
• Earnouts should generally not exceed 15-20% of the total transaction value
• Protracted earnout negotiations can lead to deal fatigue, which can pose risk to deal timeline or completion

Chapters

0:26 Introduction to Earnouts

1:05 Why Earnouts Are a Key Topic

1:34 The Purpose and Function of Earnouts

02:21 Common Uses of Earnouts in M&A

3:45 Challenges in Structuring Earnouts

5:58 Pipeline Credit and Control in Earnouts

10:24 Negotiating Earnouts & Deal Fatigue

12:05 Maintaining Seller Control for Earnout Success

15:15 Cultural Alignment in Earnout Negotiations

14:41 Structuring Earnouts Strategically

16:29 Key Takeaways on Earnouts

Connect with Christian and Ayelet

Ayelet’s LinkedIn: https://www.linkedin.com/in/ayelet-shipley-b16330149/

Christian's LinkedIn: https://www.linkedin.com/in/hassold/

Web: https://www.inorganicpodcast.co

In/organic on YouTube: https://www.youtube.com/@InorganicPodcast/featured

Hosted on Acast. See acast.com/privacy for more information.

Summary

This conversation explores the insights and experiences gained at DealCon, an event focused on agency founders and owners looking to grow through mergers and acquisitions (M&A). The speakers discuss the importance of understanding the intricacies of deal-making, the role of capital in acquisitions, and the dynamics of cultural integration. They also touch on the common feelings of imposter syndrome among those in the M&A space and the various paths to success in this field.

Takeaways

• DealCon is a platform for agency founders to learn about M&A.
• Many agency founders are interested in inorganic growth.
• Understanding market multiples is crucial for agency exits.
• Cultural fit is essential in M&A success.
• Pressure testing cultural alignment can prevent future conflicts.
• Access to capital is vital for agency acquisitions.
• Risk-taking is inherent in entrepreneurship and M&A.
• Imposter syndrome is common among M&A practitioners.
• There are alternative paths to success in M&A.
• The human element in M&A is often more challenging than the financial aspects.

Chapters

00:43 Opening & DealCon Overview

01:37 Why Founders Are Chasing Acquisitions

02:42 The Backstory: How DealCon Began

05:14 Access to Capital & Funding Options

07:37 Challenges of M&A

08:24 Culture Fit: The Real Test of M&A

13:47 Risk-Taking Founders vs. Cautious Teams

16:16 Non-traditional Paths & Beating Imposter Syndrome

19:57 Deal Math vs. The Human Element

20:28 Wrapping Up 

Connect with Christian and Ayelet

Ayelet’s LinkedIn: https://www.linkedin.com/in/ayelet-shipley-b16330149/

Christian's LinkedIn: https://www.linkedin.com/in/hassold/

Web: https://www.inorganicpodcast.co

In/organic on YouTube: https://www.youtube.com/@InorganicPodcast/featured

Hosted on Acast. See acast.com/privacy for more information.

Hosted on Acast. See acast.com/privacy for more information.

Hosted on Acast. See acast.com/privacy for more information.

Summary

In this episode, co-hosts Ayelet Shipley and Christian Hassold welcome guests Erik Morton, former EVP of Corporate Development for Rithum (formerly CommerceHub & ChannelAdvisor), and Chris Barnes, former SVP of Corporate Development for Syndigo, to discuss the announced acquisition of 1WorldSync by Syndigo. In this episode, the guests discuss the origin of both Syndigo and 1WorldSync, the deal rationale, as well as some of the reasons why the acquired business had some potential barriers to finding the right acquirer over the course of its year long sale process. The discussion highlights the dynamics of M&A in the e-commerce sector, the competitive dynamics between major players like Syndigo, Bazaarvoice, and Salsify, and the prospects of inorganic growth following years of aggressive M&A activity. 

Takeaways

• Syndigo’s growth trajectory from Gladson to a materially sized platform in the commerce ecosystem
• 1WordSync’s origin and significance in the product information space
• The competitive dynamics between 1Worldsync, Syndigo, and Salsify in the commerce market
• The significance of geographical expansion in M&A strategies.
• The importance and benefits of strong alignment between sponsors and holding company executive leadership on M&A strategy

Chapters

0:12 Deal Context  

1:43 Guest Backgrounds 

5:48 Syndigo Founding and Acquisition Strategy  

9:32 Investor View on Syndigo’s M&A Thesis  

13:47 1WorldSync Origins and Strategy  

18:07 PowerReviews and Strategic Misalignment  

22:09 Syndigo Deal Execution and Private Equity Dynamics  

24:04 Running Out of Targets  

25:40 Industrial Logic Behind the Merger  

27:39 Competitive Landscape and Salsify  

30:49 Future Outlook on Marketplaces and IPO  

38:38 Wrap-Up and Final Thoughts

Connect with Christian and Ayelet

Ayelet’s LinkedIn: https://www.linkedin.com/in/ayelet-shipley-b16330149/

Christian's LinkedIn: https://www.linkedin.com/in/hassold/

Web: https://www.inorganicpodcast.co

In/organic on YouTube: https://www.youtube.com/@InorganicPodcast/featured

Connect with our guest Chris Barnes on LinkedIn

https://www.linkedin.com/in/chris-barnes-a0a7022/

Connect with our guest Erik Morton on LinkedIn

https://www.linkedin.com/in/erikimorton/

Hosted on Acast. See acast.com/privacy for more information.

Summary

In this episode of the Inorganic Podcast, hosts Christian Hassold and Ayelet Shipley, along with guest Anthony Costanzo, delve into the topic of becoming a “platform”, that is, an agency that becomes the foundational business for additional add-ons to expand service offerings or grow into new client categories. They discuss the characteristics of successful platforms, including company behaviors, leadership attributes, and the important role of investors. The conversation highlights real-world examples of successful platforms and emphasizes the need to align the vision and investment strategy between founders and investors. The episode concludes with insights into the future of platforms and the opportunities for growth through add-ons.

Takeaways

• The concept of a platform in M&A serves as a foundation for broader investment strategies.
• Many successful platforms exhibit platform behavior before becoming sponsor-backed and expanding rapidly (Croud, Brainlabs, Wpromote)
• Qualities of CEO’s that are prepared to lead a platform often have a good bench of leadership and a C-team that fills in their own capability gaps (CFO, COO, etc)
• There is no shortage of private equity investors willing to back agency platform scaleups, but you need to choose 
• The right investor can not only provide capital, they offer strategic guidance and can help with the search for add-on businesses
• Agency founders/owners should determine the kind of investor they desire (active or passive, for example) and what role they want investors to play in the business (board level only, or operating advisors).
• The future of platforms is promising, with increasing opportunities for growth and consolidation.

Chapters

1:24 Anthony’s Story & Approach to M&A

6:08 What It Means to Be a Platform

8:54 Key Criteria: EBITDA, Clients, Teams

15:46 Traits of Strong Platform Leaders

20:34 The Investor–Founder Relationship

27:17 Should You Really Be a Platform?

31:36 The Reality of Becoming a Platform

36:36 Real-World Examples of Platforms

44:23 Market Trends in Platforms & Add-Ons

47:34 Rethinking the Role of Add-Ons

49:22 Closing & Takeaways

Connect with Christian and Ayelet

Ayelet’s LinkedIn: https://www.linkedin.com/in/ayelet-shipley-b16330149/

Christian's LinkedIn: https://www.linkedin.com/in/hassold/

Web: https://www.inorganicpodcast.co

In/organic on YouTube: https://www.youtube.com/@InorganicPodcast/featured

Connect with our guest Anthony Costanzo

https://www.linkedin.com/in/anthony-costanzo-08062318/

Hosted on Acast. See acast.com/privacy for more information.

Summary

In this episode of the Inorganic Podcast, co-hosts Christian Hassold and Ayelet Shipley discuss the critical aspects of preparing an agency for sale. They explore the importance of understanding sellability, the perspectives of both buyers and sellers, and the traits that make a business attractive to potential buyers. The conversation emphasizes the need for operational excellence, financial management, and emotional readiness when navigating the sale process. Key takeaways include the significance of starting preparations early, the risks associated with client concentration, and the value of having a strong team in place to support the sale.

Key Takeaways

• Start thinking about your exit strategy from day one.
• Agency owners often lack an understanding of sellability timelines.
• A sellable business has clear financials and operations.
• Client concentration can significantly impact business value.
• Diverse client portfolios are more attractive to buyers.
• Operational excellence is crucial for agency success.
• Sales teams should not rely solely on founders for client relationships.
• Emotional readiness is key when selling a business.
• Engage professionals early for financial management.
• Small steps can lead to significant improvements in sellability.

Chapters

00:00 "When Should I Start Thinking About Selling?"

02:15 Signs You Might Be Ready to Sell

06:40 What Buyers Are Actually Looking For

11:47 Traits of a Sellable Business

13:12 Revenue Risk, Red Flags & Value Drivers

22:53 Building the Team: Ops, Finance & Sales

25:55 Founder Clarity: Post-Exit Life & Financial Reality

30:57 What Due Diligence Actually Feels Like

32:41 Starting Small and Other Takeaways

36:53 Wrapping Up 

Connect with Christian and Ayelet

Ayelet’s LinkedIn: https://www.linkedin.com/in/ayelet-shipley-b16330149/

Christian's LinkedIn: https://www.linkedin.com/in/hassold/

Web: https://www.inorganicpodcast.co

In/organic on YouTube: https://www.youtube.com/@InorganicPodcast/featured

Hosted on Acast. See acast.com/privacy for more information.