Dealing with detours

It started storybook: a smart, dedicated couple building a healthcare service company into a thriving, $2.5M yearly revenue business, valued at $8M. Now in their forties with three young children, our “Dynamic Duo” was positioned to plan their next chapter personally and professionally—with lots of exciting options.

Having grown up with midwestern values, they lived modestly. And like true Midwesterners, they wanted to give their children the best educational options. But they also wanted to teach them financial independence.

The business was almost an extension of their family—a healthy culture with 12 employees and 18 contractors working together. Of course, they wanted to let their employees buy into the company as equity partners. The husband could be more hands-off, while the wife could stay fully engaged.

A dose of advice

They had a clear vision and only needed some help to implement it. So they asked E-Wealth to help them craft a plan that aligned with their goals—yet considered their unique perspectives.

Working closely with both entrepreneurs, the E-Wealth team developed a detailed plan—with varied partner participation levels and employee vesting options customized to key employees. But when they presented their big idea to the company, the response wasn’t what they expected.

To their great surprise, some employees didn’t want to become owners. One key employee left the business for family reasons, and another couldn’t cut the training required. Their road to the future had become a dead end.

High-quality problems are still problems

They say that when one door closes, another opens. They received a private equity offer that could infuse millions into their business. But while it created amazing opportunities, the offer presented complex technical, strategic, and personal questions. Heads spinning, they turned to their trusted advisor: E-Wealth.

“We stayed with them, accompanying them to meetings and serving as advisors as they entertained the funding offer. There were lots of conditions and complexities,” says Brian Adamek.

E-Wealth served as a sounding board and safe haven during negotiations. More importantly, they were able to advise the therapists on the best path forward to align their different business involvement desires and family goals.

The ending is unwritten

“They want my advice on the best choice that fits their goals,” comments Brian. Will they cash out, expand, or stay with a lifestyle business? “Their story is still being written, but we’re here to walk beside them to ensure the best possible ending.”

Ready for a financial planner who navigates the detours with you? Schedule a 15-minute conversation with us.