by Eric J. Gall
I helped a metal fabrication company go from an initial offer of $5.6 million to $15.6 million by changing just one thing:
Three years ago, two young owners of a metal fabrication company came to me to sell their business. It was already a great business. Two years ago, it made just over $1 million in EBITDA. This year, it will make over $3 million.
They wanted to sell, but said: “If you get us $8 million, we’ll sign with you”
So, I took the business to market at $8.6 million. However, we didn’t receive any offers above $5.6 million. Not good enough. After months of listening to buyers' objections, I realized exactly what was holding the business back.
So, I asked the owners to change just one thing: "Remove yourselves from the day-to-day grunt work. Stop working in the business and start working on the business.”
They took the advice and hired two highly qualified people. Six months later, the owner’s day-to-day involvement was significantly reduced, all while revenue continued to grow! The owners were so thrilled that they raised the bar again. “If you can get us $13 million, we'll sign the offer.”
But this time, when we took the business back to market, the buyers could finally see a business with growth potential, one that could keep growing without its owners. I got them an offer for $15.6 million. Almost three times its original price!
After 11+ years of selling over 360 businesses, I've learned one important lesson above all else: The less your business relies on you, the more valuable it becomes to someone else.
You can reach Eric Gall at 239.738.6227 or [email protected]
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Mon, Aug 17, 2026Share Article
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A Simple Change Can Add Exponential Value
