How an owner sold a plumbing company on his terms & focused on his interests
Aubree Munar
June 27, 2024 ⋅ 3 min read
About the business
🗂️ Industry: Plumbing
📍 Location: Columbus, OH area
💰 Revenue: $4.7M
🏢 Size: 11-50 employees
The challenges
Over 14 years, Matt Thompson had helped build the family plumbing business, Doc Thompson Plumbing LLC, up to the top-rated in Columbus, OH. A co-owner was set to exit the business fully, and restructuring was inevitable. Matt aimed to shed some of the professional “hats” he no longer wanted to wear and focus more on the ones he did. With a solid business opportunity to offer the market, and a plan in place, Matt signed on with a traditional business broker to manage the sale. The problem? “He didn’t do anything and spun us along.” Unfortunately, the “spinning on” went on… and on.
After a year and a half, it was time for Matt to cut his losses. He knew there had to be a better way to sell a successful plumbing business.
Why Baton?
Matt and his business could not afford to lose any more time to an unmotivated broker. Baton’s clearly defined processes and contract/pricing structure gave him confidence that the experience would be different.
From “hello” to close
Matt formally launched his sale with Baton in October of 2023. Here’s what his Baton journey looked like:
Matt received our proprietary, data-backed valuation and expert analysis of Doc Thompson Plumbing, LLC.
Matt and his M&A Advisor, Dylan, outlined the terms Matt wanted for the deal.
We launched our “no-stone-unturned” buyer outreach to multiple marketplaces, Baton’s own qualified buyer pool, and competitors. We called, texted, and emailed prospective buyers until the top candidates emerged.
Matt said that the amount of interested activity from buyers: “way exceeded my expectations.”
In the process of meeting with candidates and providing documents, Matt felt he was well-coached through a stressful process.
By the beginning of March, Dylan had presented Matt with 3 LOIs from prospective buyers — each able to deliver on the terms at various levels.
Ultimately, the best-fit owner was able to meet all the terms Matt had outlined at the onset.
By March 25, 2024, the deal closed, and Doc Thompson Plumbing had gained a new owner.
“They said they’d get us multiple buyers and have the whole process done within six months, and that’s what they did.”Baton collected less than 1/3 of the fees a traditional broker would have charged, making up for some of the lost time and retainers without results from the first broker.
In the process of restructuring the business, Matt was able to take some hats off and focus on the parts of the business he enjoys and can excel at growing. His only regret was not “getting with [Baton] sooner than we did.”
“Baton is a great company to deal with. Dylan made a lot of promises that sounded too good to be true and they delivered on everything. I would use them over and over again if I was selling businesses, and I would recommend anyone else use them."
- Matt Thompson, Former Owner, Doc Thompson Plumbing, LLC
Thinking about selling your business? Learn about our process and your business’s worth today.