The Consulting Growth Podcast

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What happens when business partners who once shared a vision find themselves at odds over an exit strategy? The consequences can be financially devastating and emotionally draining—yet most consultancy owners postpone these crucial conversations until it's too late.

Bill Bierce, managing attorney and co-founder of Beers Kenerson Attorneys, brings decades of experience resolving business partnership disputes to this eye-opening conversation about preparing for successful exits. Having witnessed countless "corporate divorces," Bill shares practical wisdom on how consultancy owners can protect themselves and their equity value through proper planning.

At the heart of Bill's approach is a simple yet profound concept: start with the end in mind. From establishing veto rights and force majeure provisions to creating governance structures that survive personality conflicts, he outlines the essential legal frameworks that prevent catastrophic disputes. These aren't just legal technicalities—they're the foundation of healthy business relationships that preserve value for everyone involved.

The discussion delves into the psychology of partnership, comparing business relationships to marriages that require shared values and clear expectations. Bill reveals how minority shareholders can protect themselves, how to maximize valuation during sale preparation, and why knowledge management systems dramatically increase a firm's attractiveness to buyers. His insights on Delaware corporate law, earnout structures, and due diligence processes provide a masterclass in exit planning.

Whether you're just starting a consultancy or have been operating for years, this conversation offers invaluable guidance on structuring your business for maximum equity value. Take the first step toward a smarter exit strategy by learning from someone who's seen what happens when partners fail to plan—and how dramatically different the outcomes can be when they do.

Prof. Joe O'Mahoney helps boutique consultancies scale and exit. Joe's research, writing, speaking and insights can be found at www.joeomahoney.com

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Robert Garner's journey from KPMG partner to successful consultancy entrepreneur offers a masterclass in professional services growth and value creation. Drawing on his experience founding Avail Consulting (which he successfully sold) and later serving as Group CEO of Tribal Group, Garner shares the strategic frameworks that transformed his businesses from startups to multimillion-pound enterprises.

At the heart of Robert Garner's approach is a disciplined focus on what he calls the "four-by-four matrix" – aligning four specific service offerings with four target markets to create sixteen strategic focal points. This clarity of purpose allowed his team to methodically track progress and avoid the common trap of unfocused expansion. "Too many smaller organisations spend too much time working IN and not enough time working ON," Robert Garner explains, revealing how he and his co-founder limited themselves to 40% utilization to preserve crucial time for business development.

For consultancy owners preparing for eventual sale, Robert Garner offers invaluable insights into what buyers truly value. He emphasizes the importance of developing annuity revenue streams where possible, building robust operational systems well before they're critically needed, and cultivating leadership teams that extend beyond the founder. His operational due diligence work with Garwood Solutions has given him unique visibility into the common pitfalls that diminish consultancy valuations.

Perhaps most reassuringly, Robert Garner challenges the widespread fear that growth inevitably dilutes company culture. His experience demonstrates that with intentional leadership, strong values can be maintained through significant scaling. The real threat to culture isn't size but rather leadership that fails to create appropriate frameworks – or as Garner puts it, "It's okay to take risks; it's not okay to take uncontrolled risks."

Whether you're growing a boutique consultancy or preparing for eventual acquisition, Garner's systematic approach to professional services growth provides a blueprint for building firms that deliver exceptional client value while commanding premium valuations in the market. His insights reveal why some consultancies plateau while others achieve remarkable exits.

Prof. Joe O'Mahoney helps boutique consultancies scale and exit. Joe's research, writing, speaking and insights can be found at www.joeomahoney.com

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What makes a consultancy truly valuable to potential buyers? It's far more than just impressive EBIT DA figures and client lists.

David Blois, a certified accountant with 25 years of M&A experience in the professional services sector, reveals the three critical boxes every successful acquisition must tick: chemistry between the parties, cultural alignment in working practices, and an outstanding combined business proposition. His insights challenge the conventional wisdom that focuses solely on financials.

"Buyers are fairly simple creatures," Bloys explains, highlighting their preference for straightforward acquisitions that align with strategic objectives without requiring complex restructuring. This reinforces why niche-focused consultancies typically attract more interest and higher valuations than generalist firms.

For consultancy owners planning an exit, timing is everything. Engaging with M&A specialists 2-3 years before your intended sale allows you to systematically address value-limiting factors. Common weaknesses include absence of second-tier management, inadequate margins, poor systems, and over-reliance on referral business. By understanding what creates premium factors versus discount factors in your valuation, you can strategically enhance your firm's worth.

Perhaps most valuable is Bloys' practical advice on earnouts - keep them to 2-3 years maximum and ensure targets are realistically achievable. The success of these arrangements hinges on that initial chemistry and cultural fit established at the deal's outset.

Whether you're running a £5 million or £50 million consultancy, these principles apply. The gap in valuation multiples between smaller and larger firms isn't as dramatic as many believe, particularly when smaller firms find buyers who recognize strong synergistic benefits.

Want to maximize your consultancy's value? Focus on building a distinctive, specialized business with robust fundamentals rather than prematurely orienting your strategy around potential buyers. When sale time arrives, work with specialists who can connect you with multiple potential acquirers - finding not just the highest price, but the right match for long-term success.

Prof. Joe O'Mahoney helps boutique consultancies scale and exit. Joe's research, writing, speaking and insights can be found at www.joeomahoney.com

Richard Brackstone, the managing partner of Moorhouse Consulting, and I talk about growing consultancies. We talk about his time at Andersen Consulting and spearheading projects in the Blair-Brown government era to leading major projects at Lloyds.

We'll explore the interesting evolution of Moorhouse Consulting, tracing its rise from Dom Moorhouse's vision to the fast-paced expansion that followed their management buyout. We explore how leadership changes, a commitment to diversity, and service line transformations fueled the firm's expansion to a powerhouse of nearly 300 dedicated professionals. 

Richard also offers an insider's perspective on the nuances of ownership transitions in the consultancy sector, illuminating the management buyout process when BT sold Morehouse. He discusses the strategic decisions that shaped the firm's future, from choosing between private equity and independent ownership to the cultural shifts that ensued. We delve into the importance of a robust operational structure, highlighting the role of a strong leadership team and strategic systems to support sustained growth. 

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Prof. Joe O'Mahoney helps boutique consultancies scale and exit. 

Follow Joe on LinkedIn:
https://www.linkedin.com/in/joeomahoney/

Follow Joe on Twitter:
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Visit Joe’s Website:
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Chris Tomlinson, the founder and CEO of Muuto, is reshaping his firm by embracing AI. Learn how Chris and his team are leveraging the power of generative technologies to shift their consulting practices.

Chris shares his insights on how boutiques can outpace larger organizations by harnessing the agility to innovate without the usual constraints. We explore the potential of AI agents in modeling and refining work processes, transforming traditional consulting models to be more adaptive and efficient. 

Chris and I discuss the critical role of leadership in this transformation and share strategies for fostering a culture of experimentation. Whether you're in the camp of early adopters or cautious observers, this episode offers valuable perspectives on the organizational change needed to harness the exciting opportunities presented by AI and digital transformation.

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Prof. Joe O'Mahoney helps boutique consultancies scale and exit. 

Follow Joe on LinkedIn:
https://www.linkedin.com/in/joeomahoney/

Follow Joe on Twitter:
https://twitter.com/joeomahoney

Visit Joe’s Website:
https://www.equitysherpa.com

Any business school student will tell you about the S-curves that most companies encounter when they scale: when what got you to point A will actively prevent you from getting to point B. Anticipating these leads to smoother growth, happier employees, less stressed CEOs/owners, and keener investors / buyers.

Here, we learn from the growth journeys of Richard Goold (ex-CEO of Moorhouse) and Mark Palmer (ex-CEO of GoBeyond and OEE Consulting) - both of whom grew and exited their firms around the £40m mark.

The episode explores the critical inflection points that consultancies must navigate during their growth journeys: the importance of external perspectives, and strategies to sustain entrepreneurial spirit while scaling their firms. 

• Defining inflection points and their significance in growth 
• Emotional challenges faced by consultancy leaders 
• Importance of engaging external advisors for fresh perspectives 
• Balancing growth without losing entrepreneurial spirit 
• Understanding client needs to define value propositions 
• Diversifying client bases to mitigate risks 
• Necessity of rigorous systems and processes for effective scaling 
• Strategies for overcoming challenges at various growth milestones 
• Importance of strong governance and succession planning 
• Role of brand positioning in achieving competitive advantages

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Prof. Joe O'Mahoney helps boutique consultancies scale and exit. 

Follow Joe on LinkedIn:
https://www.linkedin.com/in/joeomahoney/

Follow Joe on Twitter:
https://twitter.com/joeomahoney

Visit Joe’s Website:
https://www.equitysherpa.com

Why do senior hires fail so often in consulting? What can we do to minimise this?

Join me as I sit down with Gary Lanz from Wilton Bain to explore the intricate art of talent acquisition and development within the consulting industry. We discuss finding the strong senior hires who can generate business, fit culturally, and harmonize with existing teams. We also tackle the ongoing debate between being a trusted advisor and the necessity of becoming a visible expert in today's content-driven world.

Navigating the complexities of partner recruitment, Gary and I explore lateral hiring in consulting and shed light on strategic growth strategies for small to medium-sized consultancies, like diversification into new markets, and the evolving landscape of consulting leadership.

We debate how smaller, agile firms can capitalize on these shifts, balancing business development with talent retention and strategic succession planning. We also explore innovative approaches to professional development, questioning the traditional value of universities and championing concepts like the "junior board" to empower the next generation. Listen in to hear how firms can foster a thriving culture and secure client longevity in competitive markets.

Send us Fan Mail

Prof. Joe O'Mahoney helps boutique consultancies scale and exit. 

Follow Joe on LinkedIn:
https://www.linkedin.com/in/joeomahoney/

Follow Joe on Twitter:
https://twitter.com/joeomahoney

Visit Joe’s Website:
https://www.equitysherpa.com

In this episode of the Consulting Growth Podcast, we sit down with pricing strategy maestro Ethan Williams, who transitioned from real estate investment banking to becoming an authoritative voice in global pricing strategy. 

Here is Ethan's AI Pricing Advisor: https://chatgpt.com/g/g-MNWgcA4wX-value-based-pricing-advisor

Here's Ethan's LinkedIn: https://www.linkedin.com/in/ethan-williams-8567278/

We dive deep into Ethan's experiences at GE Digital, PwC, and McKinsey, and his transformative work at FGS Global. Ethan unveils the secrets behind moving from traditional time-and-materials pricing to value-based models, shedding light on how these shifts not only elevate client value but fundamentally alter business models. Learn about the art of leading pricing transformations and the most common objections consultants face when adopting value-based pricing.

Ethan also discusses the impact of AI and automation on consulting practices, making the case for abandoning time-based pricing in favor of more efficient models. Get practical advice on implementing value-based pricing, including strategies for maintaining confidence during negotiations and presenting clients with engaging scope options. We wrap up with heartening insights into how AI and low-code solutions are democratizing advanced tools, leveling the playing field for smaller consultancies. This episode is a must-listen for anyone eager to stay ahead in a rapidly evolving consulting landscape.

Send us Fan Mail

Prof. Joe O'Mahoney helps boutique consultancies scale and exit. 

Follow Joe on LinkedIn:
https://www.linkedin.com/in/joeomahoney/

Follow Joe on Twitter:
https://twitter.com/joeomahoney

Visit Joe’s Website:
https://www.equitysherpa.com

What does great thought leadership look like for boutique consultancies? Join us on the Consulting Growth Podcast as we engage with Athena Peppes, a luminary in thought leadership and artificial intelligence. Drawing from her stellar career at Accenture and her current role as an independent consultant, Athena unveils what makes thought leadership effective.

In this episode, Athena demystifies how boutique firms can leverage AI to distill valuable insights from existing client relationships. Discover strategies to produce impactful annual statement pieces that can strengthen your firm's market position. Athena also explores the transformative power of generative AI in professional services, emphasizing the importance of high-end thought leadership amidst an oversaturated content landscape. She delves into emerging technologies like gen AI and synthetic data, which are making advanced analytics more accessible than ever.

Our conversation doesn’t stop there. We navigate the complex landscape of AI and robotics, reflecting on the multifaceted expectations surrounding AI’s capabilities. Inspired by insights from economist Anton Koronek, we discuss how businesses can better anticipate and adapt to disruptive AI applications. Learn why addressing specific business pain points is crucial for successful AI integration, and hear Athena’s thoughtful analysis on the future challenges and opportunities that AI presents. This episode is packed with invaluable insights for anyone looking to stay ahead in the rapidly evolving world of technology and consultancy.

Athena's website: https://www.athenapeppes.com/

The Thought Leadership-as a Service consultancy: https://www.beaconthoughtleadership.com/ 

Send us Fan Mail

Prof. Joe O'Mahoney helps boutique consultancies scale and exit. 

Follow Joe on LinkedIn:
https://www.linkedin.com/in/joeomahoney/

Follow Joe on Twitter:
https://twitter.com/joeomahoney

Visit Joe’s Website:
https://www.equitysherpa.com

Productization offers considerable opportunities to consultancies as the cost of development has collapsed. Eisha Armstong is the world's leading expert on how this is achieved in consultancies, co-founder of Vecteris and celebrated author. Chris Dando is a member of the Boutique Leaders Club and founder / CEO of Reinvigoration - an operations consultancy which has recent successfully productized some of its offerings. 

Eisha,  brings her expertise in helping service companies reinvent their business models to thrive in today's market. Meanwhile, Chris shares insider knowledge on developing a software spin-off aimed at facilitating operations transformation and building recurring revenue streams.

Transitioning from consultancy to software business can be riddled with pitfalls. Learn how to avoid common mistakes by ensuring you have the right people in strategic roles and conducting thorough market validation. Discover why a market-minded product leader can make all the difference in commercialization success. We also discuss how focusing on urgent and expensive problems can guide product development, along with the importance of co-designing with your target market segment for best results.

We explore actionable methods like the Van Westendorp price sensitivity meter and the 10x value rule, essential for aligning pricing with perceived value. Explore the future of productization, including how AI and automation are revolutionizing service delivery by enhancing standardization and efficiency. Join us as we provide a comprehensive framework for optimizing your consultancy’s offerings and staying competitive in a rapidly changing landscape. Don't miss out on these invaluable insights from Eisha and Chris!

You can download Productize free here: https://www.vecteris.com/complimentaryproductizebook

Send us Fan Mail

Prof. Joe O'Mahoney helps boutique consultancies scale and exit. 

Follow Joe on LinkedIn:
https://www.linkedin.com/in/joeomahoney/

Follow Joe on Twitter:
https://twitter.com/joeomahoney

Visit Joe’s Website:
https://www.equitysherpa.com