Acquiring Minds – Episode Summary

Episode Title: How to Buy a Generational Brand with $20m in Sales
Date: December 18, 2025
Host: Will Smith
Guest: Philip Hussey, CEO of Thomas Moser (Acquired by Chenmark)

Overview

This episode delves into the acquisition of Thomas Moser, an iconic, high-end furniture manufacturer in Maine, by Chenmark—a holding company known for its "buy and hold forever" philosophy. Host Will Smith talks to Philip Hussey, who sourced the deal and now leads the company. The conversation covers Chenmark's unique approach to acquisitions, the history and legacy of Thomas Moser, nuances of managing a premium legacy brand, and the strategic plan for operational improvement and growth.

Key Discussion Points and Insights

1. Chenmark's Philosophy and Structure

• Long-Term Hold: Chenmark differs from traditional private equity by intending to hold businesses indefinitely, eschewing exit valuations entirely. ("When we acquire business we do so with the intention to hold it forever... we actually never plan to derive value from that business from selling it to somebody else." — Philip Hussey, 07:33)
• No Outside Investors: This allows Chenmark to make operational and investment decisions dictated by long-term health, not external ROI timelines.
• Decentralization: Operating companies independently; value and brand are built at the business level, not "holding company" level.
• GVP Program: Chenmark trains generalists to lead or acquire new businesses, fostering a pipeline of entrepreneurial leaders.

2. Philip Hussey's Background and Approach

• Native Mainer, with deep roots in family manufacturing.
• Progressed through Chenmark's leadership program—held executive sales and CEO roles elsewhere before moving to lead Thomas Moser.
• Sourced the deal for Thomas Moser via personalized and local connections. ("I tried to draw the main family business connection, and the more personal an email is, the more likely you know, somebody’s going to respond to it." — Philip Hussey, 21:20)
• Emphasizes humility in leadership, focusing on empowering craftspeople rather than dictating operations.

3. The Story & Brand of Thomas Moser

• Founded in 1972 by Tom and Mary Moser in Maine. Tom brought craftsmanship; Mary was a marketing innovator.
• Known for high-quality, handcrafted pieces—"the sort of desk Steve Jobs would buy."
• Serving both residential (75%) and prestigious institutional ("contract") clients (25%), e.g., Harvard, Yale, New York Public Library.
• Craftspeople sign and date every piece, instilling deep pride and a personal standard of quality.
• Vertically integrated—owns every step from lumber selection to finished product.
• Brand Significance: "Tom believed our furniture should last longer than the life of the tree that it came from." (34:01)

4. Acquisition Process

• Personalized outreach led to a warm introduction and organic deal conversation with the Moser family.
• Structure: Traditional multiple of EBITDA (about $20M in revenue, 5% EBITDA margin), with upside for the seller via earnouts if improvements materialize.
• Philip admits the brand value represents "asymmetric upside"—not explicitly paid for but highly strategic.

5. Operational Plan & Vision

• Focus on Flywheel:
  • Make world-class product → command premium pricing, high margins → continually reinvest in craftspeople → elevate both product and customer experience.
  • "If there's one thing we do really well, that's make world class products...presidents have sat in them, Popes have sat in them." (48:44)
• Limit discounting—historically used to drive volume, but viewed as dilutive to brand.
• Customer Experience: Striving for "luxury at every touchpoint." Ideas included proactively sending Maine maple syrup, automating payment processes, and personalizing every step.
• Operational Efficiencies: Back office is as hand-crafted as the product; improving these processes frees staff to better ‘wow’ customers.
  • Example: Automating payment reminders to enable white-glove customer service (53:15).

6. Challenges and Opportunities in Manufacturing

• Capacity is limited by skilled labor: Training programs established to onboard and grow next-gen craftspeople.
• Scaling up: Room to expand into more luxury markets with new showrooms, but growth constrained by artisanal capacity rather than factory throughput.
• Online is less than 1/3 of sales; most customers want in-person, high-touch experience.

7. Relationship with Chenmark: Financial and Strategic Benefits

• Access to reinvestment capital with patience for long-horizon returns.
• Cross-company learning, especially operational best practices such as working capital management.
  • Example: Reducing lumber inventory freed up hundreds of thousands of dollars in working capital (62:42).
  • Refining payment collection further boosted efficiency.
• The strength of Chenmark's balance sheet unlocks flexibility, such as easier deposit management with credit card processors.

8. Memorable Quotes and Moments

• On the power of sales in SMBs:
  "Sales is a contact sport. The best way to do it is to do it. And you can't over engineer your way to success."
  — Philip Hussey (15:19)

• On Thomas and Mary Moser's partnership:
  "Mary… was AB testing ads in the New Yorker… before that was even a thing, which just blows my mind."
  — Philip Hussey (29:05)

• On brand and legacy:
  "I am decidedly not Thomas Moser. My name is Philip. I'm not a furniture designer. And so I've had to do a lot of thinking about how I can steward and champion this company and this brand without having it be as personal to me as it was to Tom."
  — Philip Hussey (42:24)

• On championing the team:
  "If you were to ask what the secret sauce is here, it's our team building the furniture. As soon as a piece of furniture gets out into the world, it has to last because that's what your brand rests on."
  — Philip Hussey (73:19)

• On Chenmark's acquisition philosophy:
  "We are very much in the early innings of, of the Chenmark story."
  — Philip Hussey (08:23)

Timestamps for Important Segments

• Chenmark's unique "buy and hold" approach: 07:33 – 09:53
• Philip Hussey's introduction and background: 04:06 – 12:28
• Approach to sales in small business: 14:27 – 17:31
• Sourcing and personalizing the Moser deal: 18:45 – 23:51
• History and legacy of Thomas Moser: 26:22 – 30:54
• Brand philosophy, craftsmanship, and manufacturing model: 33:28 – 36:39
• Financials and acquisition structure: 37:08 – 40:14
• Operational flywheel and customer experience plan: 48:20 – 54:42
• On craftsmanship and management humility: 44:14 – 46:21
• Manufacturing strategy and scaling challenges: 66:48 – 69:38
• Chenmark’s value and working capital management: 61:05 – 66:28
• Talent pipeline and training for craftsmen: 74:06 – 75:17

Notable Quotes (with Timestamps)

• On the fit between Chenmark and Moser:
  "Durability is what Chenmark cares most about and Thomas Moser the company has demonstrated that. And when you consider that the craftsmanship of Thomas Moser products is intended that they might endure 100 years, you see how the spirits of the two companies rhyme." — Will Smith (00:09)

• On authentic outreach:
  "The more personal an email is, the more likely you know, somebody’s going to respond to it." — Philip Hussey (21:20)

• On growth vs. operational optimization:
  "The best lever of all to pull is just growing sales like any business." — Will Smith paraphrasing interview themes (14:30)

• On quality assurance:
  "We have craftsmen sign the piece, the pieces with their signature, and they date it when they make it." — Philip Hussey (33:48)

• On what makes it all work:
  "If you were to ask what the secret sauce is here, it’s our team building the furniture." — Philip Hussey (73:19)

Summary

This episode provides an in-depth look at not just the process of acquiring a unique business, but also the stewardship required to carry a generational brand forward. Philip Hussey’s approach—personalized outreach, humility, reverence for the brand’s legacy, and focus on incremental operating improvements—offers a playbook for anyone seeking to buy and elevate a company with deep roots and tradition. The Chenmark structure enables long-term investment, patience to optimize for craftsmanship and culture, and strategic improvements that honor the core of what makes a brand enduring.

This interview is a must-listen (or a must-read!) for acquisition entrepreneurs interested in legacy businesses, high-end manufacturing, and values-driven leadership in SMBs.