Life after selling a business – what our clients did next
Making the decision to sell is probably the biggest call you will ever make as a business owner, and many entrepreneurs are understandably concerned about the ‘great unknown’ of life after sale.
Our clients decide to sell for a variety of reasons, but interestingly, the most common motivation is not commercial, it’s personal. Overwhelmingly, our clients choose to sell for lifestyle reasons. That, of course, means different things to different people, from a better work/life balance, to full retirement, or funding a new venture.
The theory sounds great. But what does it really feel like to sell a business you have built and grown? Here some former clients explain what they went on to do next.
Martin Philips, Recommended Hotels: “Running your own business is hard work, with long 14-hour days, six-to-seven days a week. I was on call after 9pm on weeknights and usually in at 10:30am on a Saturday. Once I sold, I was not tied into the business I didn’t feel obligated or pressured. I did exactly what BCMS (now known as Initium) taught me – I told the new owners if you need me, I’d be happy to do so at a daily rate and they accepted that. I popped into the office every ten days or so, really just to give a few steering points.”
Hugh Graham, Inverclyde Biologicals: “I stayed in the business for six months, and I was relieved to sell. I had no more energy or ideas. My daughter Fiona stayed for a year and then decided to exit too. I bought an aeroplane and did a bit of flying. Fiona and I went to an event in Edinburgh to find out about currency trading, and we were both very intrigued. We wanted to buy an art gallery, but we ended up as currency traders…”
David Fennell, Kent Social Care Professionals: “For eight years, I was running a company that was private-equity backed. I learned a key principle: develop a business well, and then sell it on to somebody else. When I chose to sell, it was because I saw an appeal for the business in the marketplace. I have fully retired now and moved to a quiet little fishing village on the north Norfolk coast. Life is wonderful; just being part of the community there and making new friends. It’s an absolute delight not to have the pressure. I might look for a non-executive role, and who knows?”
Tim Gray, TCL Transport: “Selling the business was a strange feeling, akin to sending a child to university. They’ve grown up and left you, and you’re not responsible in the same way anymore. I took a year off and bought a Georgian mansion, a 46-foot yacht in Greece and explored the Mediterranean. I also passed my Association of Racing Driver Schools qualification at Silverstone, to teach motorsports at events up and down the country. Before too long, I found myself back running a business…”
Further post-sale adventures…
Former business owner Kathryn Hughes, one half of husband-and-wife team behind Wesco, a novelty gift and gadget provider, has unleashed her creative side. Wesco was sold to leading UK watch manufacturer Zeon Ltd in 2010, and in 2013 she self-published her first novel, The Letter. After almost 10,000 downloads and a place at number one on Amazon’s best-seller list, her book was taken up by major publishing house Headline, and hit the shops in 2015. Since then she has published further bestsellers The Key, The Secret, Her Last Promise and The Memory Box.
Marc Wileman, founder of science-party company Sublime Science, sold in 2018. Since then he has been working for the acquirer as a consultant, and has since been on the other side of the table – as part of the acquisition team. He is finding dealing with a sale from a buyer’s perspective fascinating, and having already helped on two deals, hopes to continue with the company in the future. Buying a business is a very different experience to selling one, and Marc is particularly enjoying unleashing his scientific side and observing the range of professional and interpersonal skills involved in a transaction. This time, from a less emotionally-involved perspective: “When you’re a consultant it really gives you the empirical evidence – how much of the business sale process is reality versus psychology.”
John Ward, a serial entrepreneur, sold his aerospace and defence components company Fasteq in 2012. The company had sponsored Livingston Football Club for four years, and when John acquired Krafty Brew in 2014, he felt that this was the perfect business to resume the sponsorship. But the club was struggling financially. Because of his background in running and fixing businesses, John was the ideal person to help the club out, and he started getting involved in its finances and accounts. In 2017, he was appointed a director of the club with his consortium colleagues, later becoming CEO.
Alison Cooper sold her in-flight catering business, En Route International, to dnata, part of the Emirates Group. Retaining a minority stake in the business, Alison helped the company grow from £14m in 2012 to £42m in 2017. Since leaving En Route in 2017, Alison has turned her considerable talents to a number of other ventures, including an interior design company, a property investment company, and most recently a concierge service for special jewellery, Alicia J Diamonds. This new venture helps young people navigate the pitfalls of buying special items, such as engagement rings.
This blog was originally published in 2019. To read more stories of life post sale, click here.