🎙️PODCAST REVIEW: Cash Flows Over Exits: Buying for the Long Term | Mark Olivito Interview -Acquiring Minds
Featured this week 11–28- 23 in TheHub Mainstreet M&A news and events:
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The Hub Short Take:
Mark Alvito shares his journey from working in the food industry to becoming an entrepreneur and buying his first business. He discusses the challenges and successes he experienced in growing and selling his previous business, and how he came across PaverArt and decided to invest in it. Mark also talks about the importance of long-term thinking and the value of compounding investments over time. He emphasizes the need for entrepreneurs to be mentally prepared for the challenges of running a small business and highlights the importance of building a strong management team.
Key Takeaways:
- Mark’s career in manufacturing and consumer products led him to become an entrepreneur and buy his first business.
- He tripled the revenue of his previous business and successfully sold it, but realized that he wanted to continue working and growing a business.
- Mark bought PaverArt because he saw the potential for growth and the opportunity to create a unique product in the market.
- He believes in the value of long-term thinking and compounding investments, and is committed to holding and growing PaverArt for the long term.
- Entrepreneurs should be mentally prepared for the challenges of running a small business and have a strategy to deal with the mental stress.
- Building a strong management team is crucial for the success of a small business.
Quotes:
- “If you can’t go without a paycheck for three or four weeks, this is not the right business for you.” — Mark Alvito
- “The burning flame in your belly to do something beyond just an exit is important.” — Mark Alvito
- “You get more enjoyment from doing a thing than cashing out the thing and then doing some leisurely activity.” — Mark Alvito
- “People are buying pizza ovens and investing in their outdoor living spaces, creating an opportunity for growth in the industry.” — Mark Alvito
The Guest:
Mark Alvito is an experienced entrepreneur and business owner with a background in manufacturing and consumer products. He has successfully grown and sold multiple businesses and currently owns and operates PaverArt, a niche services business specializing in turning pavers into art.
The Host:
Acquiring Minds is meant to open your mind to the possibilities of buying a business with host Will Smith. Will has been an entrepreneur for most of his career, primarily building online media brands.
The Article:
The Long-Term View: Building and Growing a Business
In this thought-provoking interview, Mark Alvito shares his journey as an entrepreneur and the lessons he has learned along the way. Alvito, a seasoned business professional with a background in manufacturing and marketing, has successfully acquired and grown multiple businesses. His most recent venture, PaverArt, is a niche services business that specializes in turning pavers into works of art. In this article, we will delve into the main themes discussed between Mark and Will Smith and explore the implications and potential impact of these ideas.
The Path to Entrepreneurship
Alvito’s journey into entrepreneurship began after a successful run in the food industry. With a career that spanned over 20 years in manufacturing and marketing, Alvito started at large food companies like Kraft Foods and gradually moved towards smaller, more entrepreneurial ventures. His desire to own a company led him to acquire his first business, a food manufacturing company in New Jersey. After a successful exit from this business, Alvito set his sights on a new venture: PaverArt.
The Acquisition of PaverArt
PaverArt, a small business with around $100,000 in sales, may not have seemed like an obvious choice for Alvito. However, he saw the potential in the unique services offered by PaverArt and the opportunity to grow and expand the business. Despite the challenges associated with the niche market, project-based nature of the business, and keyman risk, Alvito was willing to take the risk and invest in PaverArt. He believed in the product and saw the potential for growth in various markets, including residential, commercial, and institutional.
The Importance of Marketing and Awareness
One of the key themes that emerged from the interview was the importance of marketing and creating awareness for a niche business like PaverArt. Alvito recognized that many potential customers were unaware of the possibilities and opportunities offered by PaverArt’s unique services. He saw the need to increase awareness and reach the end consumer directly. By leveraging digital marketing strategies, such as social media and search engine optimization, Alvito aimed to showcase the beauty and versatility of PaverArt’s products. He believed that by getting the images of PaverArt’s projects in front of potential customers, they would be captivated by the artistry and craftsmanship and be more likely to make a purchase.
The Value of Long-Term Holding
Alvito’s approach to business ownership is rooted in a long-term view. He believes in building and growing a business over time, rather than seeking a quick exit. While he acknowledges the allure of a substantial financial windfall from an exit, he also recognizes the value of holding onto a business and reaping the rewards of long-term success. He cites the example of a previous business he owned, which grew from $2.5 million to $4.6 million in sales within a few years. If he had held onto that business, it would have generated significant dividends and provided a stable source of income. For Alvito, the joy and satisfaction of building something meaningful and impactful outweigh the desire for a quick financial gain.
The Role of Passion and Purpose
Another important theme that emerged from the interview was the role of passion and purpose in entrepreneurship. Alvito believes that to be successful as an entrepreneur, one must have a burning desire to make a difference and create something of value. He emphasizes the importance of finding joy in the process and being motivated by more than just financial gain. For Alvito, the opportunity to take a small business and transform it into a thriving enterprise is a source of fulfillment and purpose. He sees his role as not only a business owner but also a leader who can inspire and motivate his team to achieve greatness.
Conclusion and Future Outlook
In conclusion, Mark Alvito’s journey as an entrepreneur offers valuable insights into the world of business ownership and growth. His emphasis on the long-term view, the importance of marketing and awareness, and the role of passion and purpose provide a roadmap for aspiring entrepreneurs. By focusing on building and growing a business over time, creating awareness through effective marketing strategies, and finding joy in the process, entrepreneurs can set themselves up for long-term success. While the allure of a quick exit may be tempting, the true value lies in the satisfaction of creating something meaningful and impactful. As Alvito continues to grow and expand PaverArt, he remains committed to his vision of building the greatest little business in America, one that brings joy and beauty to customers across the country.
Join us next week as we continue to sift through the wealth of information out there, helping you understand what it takes to excel in today’s dynamic business environment.
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Written by the team at How2Exit.com
