Dan Pender and his Dublin-based public relations and communications firm, PR360, had been working with the American communications firm FINN Partners to represent a European client when the firm approached him about a different kind of partnership: FINN wanted to buy PR360 and bring their team in-house.
FINN had been expanding through strategic acquisitions since 2011, but Pender hadn’t seriously considered selling his company — to anyone — until they approached him about the opportunity.
As the talks became more serious, Pender had to consider what the move would mean not only for his customers and his team, but also for him personally.
“The chemistry dance between you and your buyer is as important as any commercial consideration,” said Pender. “Is this an environment in which I can continue to develop, grow and have new experiences? These things matter for the next phase of your career.”
How colleagues turned into buyers for PR360
Pender began his career in Irish politics and government, serving as a campaign advisor and then a press and policy advisor for various government agencies.
He set off on his own in public relations in 2007 and founded PR360 in 2011. The firm served businesses in the technology, food and beverage, financial services, manufacturing and health sectors, with a growing focus on data analytics, digital and video that were becoming vital in the field.
The company had about 50 customers each year, the majority on retainer contracts, when FINN approached about an acquisition.
“Our track record of consistent year-on-year revenue growth — with a strong profit margin — were important factors underpinning our sale,” said Pender. “We had established ourselves as a tier one player in the local market.”
The companies had some degree of familiarity with each other because of their previous work together. But as the sales process intensified, Pender also made a point to get to know decision makers and leaders at FINN. He knew he was vetting not only a potential buyer but his potential future employer and colleagues.
“You have to maintain a degree of distance and be prepared to walk away — all easier said than done,” Pender said. “This is when having good commercial and personal support around you proves invaluable.”
The sales process didn’t give Pender any reason to walk away, and in December 2021, he sold the firm in a 7-figure deal.
How the strength of the team played in
Pender had bootstrapped the company for 10 years with a distinct focus on building a strong team.
“No one person can do it alone,” Pender said. “Culture is a powerful, unquantifiable thing that resonates inside and out. It creates an energy that drives and sustains growth.”
By the time of the sale, the company employed a team of 20, including Pender, four senior leaders and several executives. Pender owned 93% of the company, whose assets totaled €1.1 million (US $1.2 million), according to the Irish Times.
The firm was rebranded as 360 and Pender stayed on as a senior strategic advisor with FINN Partners, “while also pursuing other opportunities.” He was happy for the opportunity to sell, because it let the business continue to evolve and expand to more markets with more services.
“For me personally,” he said, “the sale was a metric of success, an endorsement of the value we had created and a mental milestone in my journey.”
Pender credited the company’s early emphasis on creating clear procedures and practices as invaluable to a smooth sale.
“Good commercial processes and practices — contracts, financials, business development, professional development, team handbook and more — are central to value,” he said. He also noted the chemistry between the two firms was key to a successful acquisition.
As for his advice for other founders, he emphasized the importance of a team filled with varied strengths and non-executive advisors to counsel you through any business decisions. “Surround yourself with people who have distinct skills while sharing your ethos,” he said.