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Rob Chepak, Partner & Jeff Piersall, Founder and CEO The road to entrepreneurship is exciting and filled with unexpected detours and roadblocks. Entrepreneurs’ sleepless nights and perseverance turn a great idea into a thriving business that can make a positive impact. They must have a grasp on the real value of their company to ensure no financial opportunities are left untapped when seeking investment to grow, passing the baton to successors, or selling the business. “A robust succession plan or exit strategy takes form only when the owners understand the stakes at play,” says Jeff Piersall, founder and CEO of TREP Advisors.
Business valuation is an integral part of the process, helping determine a company’s worth, its position in the market, and its potential for the future. It is the key element that matters the most for businesses and the best tool for owners to make qualified decisions for their business and personal future. This is especially true for mid-market owners; typically the business represents their largest personal asset.
Valuing a company accurately presents significant challenges, as owners often lack an understanding of where to begin and rely heavily on guesswork. While plug-and-play valuators may offer estimates, these one-size-fits-all solutions disregard essential factors, such as goals, employees and key KPIs, that significantly impact the company’s worth.
A seasoned advisor serving the mid-market space for decades, Piersall learned that entrepreneurship is synonymous with freedom. Entrepreneurs start and exit a business for one or more of the four pillars of Freedom—Time, Relationship, Economics, or Purpose (TREP). This, combined with the lessons learned from his prior endeavors as a business owner, enabled Piersall to establish TREP Advisors, a leading advisory firm focused on succession solutions for business owners.
TREP Advisors layers a deep understanding of the entrepreneurial mindset over its financial know-how to help clients make critical decisions regarding the next phase of their business. It strives to find the correct answer to the crucial question, ‘hold or sell.’ Especially in the mid-market, its valuation functions as a reality check for owners looking to sell their greatest asset. A track record of assisting many clients in finding deals that benefit both sellers and internal stakeholders helps TREP Advisors stay a step ahead of the competition.
Navigating the Business Valuation Landscape
TREP Advisors adopts a hands-on approach to guide business owners through the entire valuation journey.
In instances where the results fall short of expectations, the TREP team devises a plan to elevate business value. For example, an owner might perceive that their business should be valued at $10 million while the real market price is $7 million. The advisory team assesses the best way to bridge these gaps—whether it’s prior to go-to-market strategies or post-transaction rollerover equity. TREP scripts a strategy for maximizing the intrinsic value.
“As a team of advisors who have walked the path of business ownership, we focus on matching clients with buyers that meet their expectations both from a financial and company culture standpoint,” says Rob Chepak, partner at TREP Advisors.
Anchoring to this commitment, significant strides are made to understand the foundational ethos and current work culture. TREP recognizes that astute entrepreneurs seek to preserve and perpetuate the intangible value inherent within their creations. For them, the value lies not merely in the financial outcomes but in their legacy. TREP always goes the extra mile to ensure client culture ranks as a priority to any transaction and that client employees’ best interests are valued. Employees’ major concern is what is in it for them and TREP ensures the security and stability of employees during the transition post transaction.
A robust succession plan or exit strategy takes form only when the owners understand the stakes at play
Client-Centricity at Its Finest
TREP Advisors’ services do not end with a letter of intent (LOI). It stays with buyers and sellers throughout the duediligence and post-sale process. This unwavering dedication to superior service has earned it a stellar reputation among its client base. It boasts a high referral rate, and the majority of its clients are recommendations provided by highly satisfied former clients.
Its value proposition was best demonstrated in a recent client success story. A second-generation manufacturing facility co-owned by two women was looking for an advisor to help navigate the sale of their business. They had a solid customer base, but their outdated accounting processes presented a lack of visibility in tracking inventory versus cash flows, complicating the acquisition process during an 18-month ordeal.
One of the owners wanted to retain a partial stake in the company, while the other wanted a complete buy-out. TREP helped them find the right prospect and guided them, from LOI through the due diligence process into a successful post transaction transition.
Collaborative Mindset Fuels Success
A strong focus on building trust and loyalty, and the motivation to maintain long-term relationships with its client base is the fuel that drives the TREP engine. Its emphasis on company culture has fostered a nurturing environment where every stakeholder is valued, bringing accountability that translates to client-centricity.
“Collaboration, cooperation and communication are our ethos. At TREP Advisors, everyone participates. We place cardinal importance in operating cohesively and transparently to fulfill client requirements,” says Piersall. “Our unwavering commitment is rooted in the belief that when one person triumphs, it cascades into a collective triumph for all.”
TREP Advisors practices high availability to promptly address client inquiries and effectively resolve unforeseen obstacles. A client in duediligence will have questions and concerns daily thus, TREP answers the phone and responds to email immediately. It always ensures a narrow turnaround time for addressing needs, whether inperson or via online meet-ups. Chepak emphasizes upholding the same commitment to exceptional service when the time comes for him to take the company’s mantle. Practicing what they preach. TREP has a robust succession plan already in place. TREP Advisors aims to help more owners in the mid-market segment move into the next stage of their business lifecycle.
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Company
Trep Advisors
Management
Rob Chepak, Partner & Jeff Piersall, Founder and CEO
Description
TREP Advisors guides business owners in the middle market through the complexities of succession planning, business valuations and M&A initiatives. The firm has paved the path for many mid-market owners to find ideal deals that benefi benefit sellers including the internal stakeholders, and buyers.
