[Podcast] Episode 13: Buying Out Your Business Partner with Rick Goldstein
Business partnerships are a foundation that so many of our R/A Roundtables Members have built their remodeling businesses on… Whether it’s a family or a group of professionals coming together to form a business, each has its own story along the way.
In episode 13 we take a closer look at a scenario where one partner wants to buy another out and take sole ownership of the business. Victoria and Mark welcome Rick Goldstein of Mosaic Design + Build to the podcast and discuss the process that Rick went through recently to buy his partner out of their firm in Atlanta, GA.
Rick has been the Co-Owner, and now sole owner, of Mosaic for more than 12 years and has been an avid member of the Remodelers Advantage family for many years. Rick and his partner made the decision to move toward a buy-out years ago and Victoria and Mark discuss and ask about the challenges they ran into and lessons-learned along the way.
Victoria, Mark and Rick talk more about:
- Developing a shareholders agreement – covering ownership transitions, scenarios, exit strategies, etc.
- Obstacles to overcome (timing, emotional steps, valuation, etc.)
- Bringing in consultants such as a business valuation firm to get an agreed-upon base line
- Factors that are calculated in the valuation process
- How roles and responsibilities play-in to the buy-out process
- Getting accountants and attorneys involved to hammer out how to physically make the transition
- Communicating to the company’s leadership and team regarding the process
- Top three pieces of advice for any owner looking to make this transition
Whether you are considering this move for your remodeling business or not, Rick’s story is fascinating and definitely worth a listen!
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