Podcast
Shoot the Moon with Revenue Rocket
Hosted by Revenue Rocket Consulting Group · EN
The Shoot the Moon podcast is for IT business owners and executives. The Revenue Rocket leadership team brings their 25+ years of experience with M&A and growth strategies to IT Services company leaders worldwide.
20episodes
Episodes
Newest firstAll episodes
What Nobody Tells You About Selling a Founder-Run Business
6d ago00:32:10Tap to summarizeOwner dependency is the quiet risk that caps valuations in IT services M&A. If every decision, client relationship, and process runs through the founder, buyers see a single point of failure and pay less for it. In this episode of Shoot the Moon, we break down how to get the business out of your head before you sell. We cover why buyers discount founder-run companies, what to document first, how AI has made process documentation far easier, and how a documented, transferable business can earn a higher multiple. This is core IT services M&A preparation, and it makes your company more valuable whether or not you ever go to market. CHAPTERS 0:00 Intro: Getting the business out of your head0:53 A job with employees, not a company2:36 Why buyers discount owner dependency6:29 Why IT services founders get stuck11:41 What to document first16:36 AI, repeatability, and productized services20:43 How documentation lifts enterprise value24:08 Building a culture of documentation27:45 The one thing to start this month KEY TAKEAWAYS • Owner dependency is concentration risk. When decisions bottleneck through the founder, buyers see a single point of failure and discount the price. • If the answer to everything is “ask the owner,” you own a job not a company. Continuity is what buyers pay for. • Start documenting where the customer sits: the sales motion first, then service delivery, followed by how you hire and develop people. Bring the team into the process. • AI has collapsed the cost of documentation. Capture the real process, optimize it, and build agents around it. • Documented, transferable businesses can earn higher multiples because buyers underwriting scale need a company they can integrate without depending on the founder. RESOURCES AND LINKS • Read more from Revenue Rocket: https://www.revenuerocket.com/blog/ • Value your business: https://www.revenuerocket.com/valuation-calculator/ • Schedule a confidential conversation: https://www.revenuerocket.com/contact-us/ • Listen on Apple Podcasts: https://podcasts.apple.com/us/podcast/shoot-the-moon-with-revenue-rocket/id1478519505 • Listen on Spotify: https://open.spotify.com/show/6y7u9KuOjaplhScHtINGZU • Explore more Shoot the Moon episodes: https://www.revenuerocket.com/series/shoot-the-moon/ • Visit Revenue Rocket: https://www.revenuerocket.com/ ABOUT REVENUE ROCKET Revenue Rocket is a sell-side and buy side M&A advisory firm focused exclusively on IT services companies, including MSPs, cybersecurity firms, cloud service providers, custom application development companies, and VARs. For more than 25 years, Revenue Rocket has helped founders grow, position, buy, and sell tech-enabled services firms. Thinking about your own exit? Schedule a confidential conversation with our team:https://www.revenuerocket.com/contact-us/ #MergersAndAcquisitions #ITServices #MSP #ShootTheMoon #RevenueRocket #ExitStrategy #FounderDependency #EnterpriseValue Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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Owner-Dependent vs Owner-Optional: Which Firm Sells for More?
1w ago00:27:13Tap to summarizeIn IT services M&A, owner dependency is one of the biggest hidden discounts on your company’s value. This episode shows how to build an owner optional firm that buyers pay a premium for without pretending leadership does not matter. Revenue Rocket kicks off a new Shoot the Moon masterclass on reducing founder dependency before a sale or recapitalization. We break down why buyers price owner dependency as concentration risk, what an owner-optional firm actually looks like, and the leadership layer, sales transfer, and key-employee retention strategies that protect your multiple. If you are thinking about an exit, this is the IT services M&A preparation that pays off long before you go to market. CHAPTERS 0:00 Introduction: The owner-optional firm3:44 What owner dependency costs you at exit5:26 Replaceable, not optional10:06 The one-percenter salesperson problem13:40 The minimum leadership layer buyers expect18:29 Keeping your key people through a sale21:11 One move to make this quarter25:30 What is next in this masterclass series IN THIS EPISODE • Buyers price owner dependency as concentration risk, much like they treat a client representing 50% to 70% of revenue. • Owner-optional does not mean owner absent. No CEO is optional; the goal is to make critical roles replaceable. • The founder’s sales role is usually the highest-value dependency to transfer first. • Buyers expect a real leadership layer, including finance, delivery, and technical depth beyond the founder. • Plan key-employee retention before the deal not during it. RESOURCES AND LINKS • Read more from Revenue Rocket: https://www.revenuerocket.com/blog/ • What is your firm worth? https://www.revenuerocket.com/valuation-calculator/ • Schedule a confidential conversation: https://www.revenuerocket.com/contact-us/ • Listen on Apple Podcasts: https://podcasts.apple.com/us/podcast/shoot-the-moon-with-revenue-rocket/id1478519505 • Listen on Spotify: https://open.spotify.com/show/6y7u9KuOjaplhScHtINGZU • Explore more Shoot the Moon episodes: https://www.revenuerocket.com/series/shoot-the-moon/ • Learn more about Revenue Rocket: https://www.revenuerocket.com/ ABOUT REVENUE ROCKET Revenue Rocket is a sell-side and buy-side M&A advisory firm focused exclusively on IT services companies, including MSPs, cybersecurity firms, cloud service providers, custom application development companies, and VARs. For more than 25 years, Revenue Rocket has helped founders grow, position, buy, and sell tech-enabled services firms. Thinking about your own exit? Schedule a confidential conversation with our team:https://www.revenuerocket.com/contact-us/ #MergersAndAcquisitions #ITServices #MSP #ShootTheMoon #RevenueRocket #ExitStrategy #OwnerOptional #FounderDependency Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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The Mistake IT Founders Make When Private Equity Calls
1w ago00:34:58Tap to summarizeIT services M&A is in one of its most active stretches in years. We explain how private equity defines the market, the platform and tuck-in roll-up strategy behind most deals, and how AI is separating premium platforms from commoditized providers. You will also hear which segments are hot, which are cooling, and the exact questions to ask when an investor calls. Timestamps & Chapters 0:00 – Why private equity keeps calling 1:13 – How we define the IT services market 4:11 – The long tail: ~50,000 firms and three channels 7:03 – Why PE targets IT services: growth and recurring revenue 12:31 – Predictability drives investment 13:48 – Platform and tuck-in roll-up strategy (the math) 16:32 – AI and the services-as-software shift 18:27 – Raising the bar: AI-enabled service delivery 24:06 – Go AI-first or fall behind 26:28 – Hot vs cooling segments (specialize, verticalize, productize) 29:13 – What to do when private equity calls 33:18 – Closing thoughts Key Takeaways Predictable Cash Flows: Private equity favors IT services because recurring and repeat revenue make future cash flows highly predictable. The Roll-Up Strategy: The dominant model relies on buying a platform company around 5–7x EBITDA, scaling via tuck-ins, and exiting near 8–12x. The New Minimum: Recurring revenue above 50% used to impress investors—today, it is the bare minimum expectation. Market Temperature: Hot: Cybersecurity, AI & Machine Learning, regulated cloud, OT/industrial, and vertically focused MSPs. Cooling: Pure staffing and generalist break-fix providers. When PE Calls: Prepare beforehand: know your numbers inside out and engage a specialist M&A advisor. Links & Resources Blog Post: Read the full article Valuation Tool: Free Valuation Calculator Schedule a Consultation: Book a confidential conversation Podcast: Listen on your favorite podcast platform Official Website: Revenue Rocket About Revenue Rocket Revenue Rocket is a sell-side and buy-side M&A advisory firm focused exclusively on IT services companies, including MSPs, cybersecurity, cloud, custom application development, and VARs. #MergersAndAcquisitions #ITServices #MSP #ShootTheMoon #RevenueRocket #ExitStrategy #PrivateEquity#AIinITService Getting calls from private equity? Do not wing it. Schedule a confidential conversation with Revenue Rocket to understand your options and your value. Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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Why Waiting for “One More Year” Wrecks Your IT Services Exit
2w ago00:30:59Tap to summarizeRevenue Rocket’s Mike Harvath, Ryan Barnett, and Matt Lockhart break down the real reasons founders delay an exit, and why the safest-feeling choice is often the most expensive. This episode of Shoot the Moon covers the “one more year” trap, founder dependency, succession planning, derisking customer concentration and contracts, and why knowing your valuation is the first move in IT services M&A. If you run an MSP, MSSP, cloud, dev, or VAR business, this is the timing conversation to have before the market decides for you. CHAPTERS 0:00 Cold open and welcome 1:56 Why founders delay a sale (the “one more year” trap) 5:46 Run it forever, but stay ready to sell 6:26 Owner dependency and building a machine 12:27 What succession planning really looks like 16:07 Enjoy what you have built vs. the window to sell 21:30 De-risking: customer concentration and contracts 22:23 Know your number: the case for annual valuations 24:40 One move to make this week 28:45 Closing thoughts: have a plan KEY TAKEAWAYS ● Waiting one more year can lower value, not just raise it. You carry 100% of the downside. ● Buyers pay for a business that runs without you. Build the bench and reduce founder dependency. ● Real succession planning is documented and executable, not a someday idea. ● De-risk before you go to market: diversify clients, fix contract assignability, deepen the team. ● Know your number. An annual valuation is good corporate hygiene and a stage gate for timing. LINKS ● Blog post: [BLOG LINK] ● Valuation calculator: revenuerocket.com/valuation-calculator ● Schedule a confidential conversation: [SCHEDULING LINK] ● Website: revenuerocket.com ABOUT REVENUE ROCKET Revenue Rocket is a sell-side and buy-side M&A advisory firm focused exclusively on IT services companies, including MSPs, cybersecurity, cloud, custom application development, and VARs. HASHTAGS #MergersAndAcquisitions #ITServices #MSP #ShootTheMoon #RevenueRocket #ExitStrategy #SuccessionPlanning #BusinessValuation Thinking about your own timing? Schedule a confidential conversation with Revenue Rocket at revenuerocket.com/contact-us. Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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3 Moves That Make Your IT Services Firm Worth More to Buyers
2w ago00:32:04Tap to summarizeVertical specialization is one of the most reliable ways to raise both growth and valuation in IT services M&A. In Episode 254 of Shoot the Moon, we break down how focusing on one or two industry verticals, and building the sales team to match, makes an IT services firm worth more to buyers. Most IT services firms start as generalists because it is the fastest path to revenue. But in a market where AI is commoditizing technical skill, domain expertise is what buyers and clients pay for. We cover why vertical focus shortens sales cycles and lifts valuation, how the hunter and farmer sales roles work, and how to compensate and hire for a vertical model. We close with three practical steps you can take this week to find and commit to the right vertical. CHAPTERS Timestamps are approximate and must be verified against the final edit. 0:00 Cold open and intro 4:05 Specialize, verticalize, productize: the framework 7:00 Why vertical expertise matters more in the age of AI 9:30 Why most IT services firms default to generalist 12:30 What verticalizing takes, and the payoff 16:50 The sales team: hunters, farmers, and support roles Revenue Rocket Consulting Group | Shoot the Moon Episode 254 20:40 Hiring for a vertical: fish where the fish are 24:10 Compensating hunters vs farmers 28:00 What buyers see: vertical focus and valuation 32:40 Where to start this week 35:30 Wrap-up KEY TAKEAWAYS AI is commoditizing technical skill, so domain expertise is the differentiator buyers pay for. A vertical focus shortens sales cycles, sharpens marketing, and tends to lift valuation. Selling is a team sport: hunters win new logos, farmers grow accounts, with a handoff inside the first 12 months. Concentrating in a vertical is a strength; depending on a few clients is a risk buyers discount. Start by analyzing where your revenue already concentrates, then commit to a market you are passionate about. LINKS Blog: [BLOG LINK] Valuation calculator: revenuerocket.com/valuation-calculator Schedule a confidential conversation: [SCHEDULING LINK] Listen on your favorite platform: [LINK] Website: revenuerocket.com ABOUT REVENUE ROCKET Revenue Rocket is a sell-side and buy-side M&A advisory firm focused exclusively on IT services companies, including MSPs, cybersecurity, cloud, custom application development, and VARs. #MergersAndAcquisitions #ITServices #MSP #ShootTheMoon #RevenueRocket #ExitStrategy #VerticalSpecialization #HunterFarmer Thinking about your own growth or exit? Schedule a confidential conversation. Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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How Do You Know When You Need an M&A Advisor to Sell?
2w ago00:29:58Tap to summarizeSelling an IT services company is far more likely to close and typically sells for about 20% more when you use a specialist M&A advisor instead of going it alone. Here is what the data shows and what an advisor actually does to improve the outcome. In this episode of Shoot the Moon, the Revenue Rocket team breaks down the real economics of IT services M&A: why most owner-led sales never close, how an advisor adds roughly 20% to the sale price, and what makes selling an MSP, cybersecurity, cloud, or software firm different. We cover pre-market preparation, competitive tension, and today’s market including the silver tsunami of boomer-owned businesses now heading to market. If you are weighing an exit in 2027 or beyond, this is where to start. CHAPTERS 0:00 Cold open and intro0:35 Do you really need an advisor to sell?3:00 What the data says: close rates and the ~20% premium6:15 Why deals die when founders go it alone10:45 The wrong-advisor trap12:00 How an advisor moves the numbers17:30 What makes IT services M&A different23:00 Market conditions and the silver tsunami27:00 The emotional side of selling29:00 What founders should do right now KEY TAKEAWAYS • Owner-led sales close under 10% of the time; top specialists close 80% to 95%. • An advisor adds roughly 20% to the sale price on average, with studies ranging from 6% to 25%. • In IT services, recurring revenue and a well-distributed client base drive value. • The silver tsunami of boomer-owned businesses—12 million firms representing $10 trillion in assets—is bringing a wave of supply to the market. • If you are considering an exit in 2027 or later, start a conversation now—not a commitment. LINKS • Value your firm: https://www.revenuerocket.com/valuation-calculator/ • Schedule a confidential conversation: https://www.revenuerocket.com/contact-us/ • Listen on Apple Podcasts: https://podcasts.apple.com/us/podcast/shoot-the-moon-with-revenue-rocket/id1478519505 • Listen on Spotify: https://open.spotify.com/show/6y7u9KuOjaplhScHtINGZU • Explore more episodes: https://www.revenuerocket.com/series/shoot-the-moon/ • Website: https://www.revenuerocket.com/ ABOUT REVENUE ROCKET Revenue Rocket is a sell-side and buy-side M&A advisory firm focused exclusively on IT services companies, including MSPs, cybersecurity firms, cloud service providers, custom application development companies, and VARs. For more than 25 years, Revenue Rocket has helped founders grow, position, buy, and sell tech-enabled services firms. Thinking about an exit? Schedule a confidential conversation with our team:https://www.revenuerocket.com/contact-us/ #MergersAndAcquisitions #ITServices #MSP #ShootTheMoon #RevenueRocket #ExitStrategy #MandAAdvisor #SilverTsunami Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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Channel and Vendor-Partner Dependency in IT Services M&A | SHOOT THE MOON
Jun 1900:30:14Tap to summarizeIn IT services M&A, depending on a single platform or channel partner is a valuation risk, not a strength. This episode breaks down what happens to your firm's value when a vendor changes its pricing, partner tiers, or lead flow, and what the most acquirable IT services firms do instead. Chapters (verify exact times against the final cut) 0:00 Cold open 0:30 Why channel partners matter, and why dependency is risky 3:30 Vendors act in their own interest first 8:00 The "$5M consultancy" problem: when the rules change overnight 11:30 Specialize or diversify? The verticalization hedge 17:30 When the leads dry up 20:00 The future partner role: final-mile and the "service garage" 23:30 "My partner program just changed": what to do first 27:30 What program changes mean for M&A and consolidation 34:00 Services as software: the opportunity ahead In this episode • Vendors optimize for vendors; partner programs have trended toward fewer partners and lower payouts for 20+ years • Buyers discount single-vendor dependency the way they discount customer concentration • Verticalized expertise naturally makes you multi-vendor and harder to disrupt • The durable partner role is implementation, integration, and ongoing service • Program upheaval accelerates consolidation; well-run, profitable firms stay attractive Links • Read more on our blog: https://www.revenuerocket.com/blog/ • What's your firm worth? Valuation calculator: https://www.revenuerocket.com/valuation-calculator/ • Schedule a confidential conversation: https://www.revenuerocket.com/contact-us/ • Listen to Shoot the Moon on your favorite platform: https://www.revenuerocket.com/podcast/ • More from Revenue Rocket: https://www.revenuerocket.com/ About Revenue Rocket — Revenue Rocket is a sell-side and buy-side M&A advisory firm focused exclusively on IT services companies, including MSPs, cybersecurity, cloud, custom application development, and VARs. For 25+ years we have helped founders grow, position, and sell their firms. Thinking about your next move? Schedule a confidential conversation: https://www.revenuerocket.com/contact-us/ Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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Got an Unsolicited Offer to Buy Your IT Services Company? Do This First | Shoot the Moon
Jun 1600:27:40Tap to summarizeMost first acquisition offers are not the best offers. If a buyer has approached your MSP or IT services company out of the blue, this episode walks through how to evaluate that offer, what a letter of intent actually binds you to, and why bringing in an advisor before you sign protects both your price and your optionality. CHAPTERS 0:00 Why most first offers are not the best offer 1:45 What changed: a seller's market and nonstop inbound offers 4:45 "I already have an offer" — what an LOI really binds you to 7:00 Why the first offer usually is not optimized 10:15 Mistakes founders make running their own deal 14:50 When to bring in an M&A advisor 18:00 Deal facilitation vs. a full sell-side process 22:00 Control vs. leverage: what an advisor actually does 24:15 The first thing to do when an offer lands 26:30 Wrap-up KEY TAKEAWAYS Most first offers are not optimized. Without competitive tension, you usually leave price, terms, and strategic fit on the table. In an LOI, the no-shop clause is typically the only binding provision. The number can still move significantly in diligence. There are roughly 150 things to negotiate between LOI and close, from working capital to earnout structure to reps and warranties. "Deal facilitation" meets you where you already are with a buyer or signed LOI, and helps you get to close at a lower scope than a full process. An advisor does not take control. They add leverage, while you make every final decision. Before you respond to any offer: don't engage emotionally, validate the buyer's credibility and certainty to close, and protect your optionality. LINKS Read more on our blog: https://www.revenuerocket.com/blog/ Estimate your company's value with our Valuation Calculator: https://www.revenuerocket.com/valuation-calculator/ Schedule a confidential conversation: https://www.revenuerocket.com/contact-us/ Listen on Apple Podcasts: https://podcasts.apple.com/us/podcast/shoot-the-moon-with-revenue-rocket/id1478519505 Listen on Spotify: https://open.spotify.com/show/6y7u9KuOjaplhScHtINGZU More episodes: https://www.revenuerocket.com/series/shoot-the-moon/ Website: https://www.revenuerocket.com ABOUT REVENUE ROCKET Revenue Rocket is a sell-side and buy-side M&A advisory firm focused exclusively on IT services companies, including MSPs, cybersecurity, cloud, custom application development, and VARs. Based in Bloomington, Minnesota, the firm has advised technology and IT services founders on mergers, acquisitions, and exits for 25+ years.Shoot the Moon is hosted by Revenue Rocket partners Mike Harvath, Ryan Barnett, and Matt Lockhart. 📞 Received an offer and not sure what it is really worth? Talk to an advisor before you respond: https://www.revenuerocket.com/contact-us/ Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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5 M&A Myths That Cost IT Services Founders the Most | Shoot the Moon
Jun 1600:28:25Tap to summarizeYour friend sold for a great multiple. PE pays more than strategics. Earnouts are a trap. Wait for the right market. You're too small to sell. Here's what's actually true. ━━━━━━━━━━━━━━━━━━━━━━━━ TIMESTAMPS 00:00 Intro 00:20 Welcome and Episode Setup 02:00 Myth 1: "My Friend Sold for X EBITDA, That's My Benchmark" 07:30 Myth 2: "PE Always Pays More" (Or "Strategics Always Win on Price") 13:00 Myth 3: "Earnouts Are a Trap" 18:30 Myth 4: "I Need to Wait for the Right Market Conditions" 24:00 Myth 5: "I'm Too Small to Sell" 28:30 The Common Thread and What to Do Instead ━━━━━━━━━━━━━━━━━━━━━━━━ LISTEN AND SUBSCRIBE Podcast: https://www.revenuerocket.com/series/shoot-the-moon/ Website: https://www.revenuerocket.com Talk to us: https://www.revenuerocket.com/contact-us/ LinkedIn: https://www.linkedin.com/company/revenue-rocket-consulting-group ━━━━━━━━━━━━━━━━━━━━━━━━ Revenue Rocket is the premier M&A advisor to IT services companies, helping owners in the lower middle market navigate sell-side and buy-side transactions with specialized expertise and hands-on deal management. Shoot the Moon is their weekly podcast covering M&A strategy, valuation, and growth for IT services leaders including MSPs, cybersecurity firms, cloud providers, VARs, and digital transformation companies. Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
Transcribe →The Sell Side Masterclass for Tech Services Founders: What Not to Do
Apr 1400:29:24Tap to summarizeOTHER EPISODES IN THIS SERIES: Part 1. Knowing When It’s Time to Sell: Listen now >> Part 2. Get Your House in Order: Listen now >> Part 3. Valuation Drivers: Listen now >> Part 4. What is my Take Home? Listen now >> Part 5. It Takes a Village. Listen now >> Part 6. The First 30 Days of a Process. Listen now >> Part 7. Finding the Right Buyer. Listen now >> Part 8. Deal Structures 101. Listen now >> Part 9. Due Diligence. Listen now >> Part 10. Definitive Agreements and the Final Stretch. Listen now >> Part 11. What Happens After the Deal Closes. Listen now >> Listen to Shoot the Moon on Apple Podcasts or Spotify.Buy, sell, or grow your tech-enabled services firm with Revenue Rocket.
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