<img src="//bat.bing.com/action/0?ti=5060742&amp;Ver=2" height="0" width="0" style="display:none; visibility: hidden;">
Lake_Crisotbal2-511878-edited.jpg
  • Fresh Herbs-562617-edited-787091-edited.jpg
  • Entrepreneur
Focus on Quality Leads to Exponential Growth

Our Entrepreneur case study highlights how focusing on providing the highest quality product in your category can lead to domination. Our client started his business on nothing more than a belief that he could provide better value than his competitors in the Quick Service restaurant business. With this belief in mind, he pursued his dream by opening a restaurant in a Michigan strip mall.

As his restaurant began to flourish, a chance conversation inspired our client to launch a packaged food product. With an eye towards expansion and a curiousity about just how big his company could grow, our client took his focus on high quality and applied it to his new packaged food product.  Growth came soon after.  At its peak, his company had seen annualized revenue growth of more than 25%. Unexpectedly, he was confronted with an offer he couldn't refuse. 

Liquidity Event

For his company to reach its full potential, our client believed that a sale to a Fortune® 500 company with a vast distribution network and marketing power was a great fit. Once the business sold, the real financial work began for us. Our client encountered the classic dilemma that entrepreneurs face when they sell a company - how to replace their regular business income with income from their investment portfolio.

Post-Exit Strategies

The first priority after the sale was to set up a portfolio to achieve a dual purpose. One portion of the portfolio needed to be rock solid and produce monthly income without taking too much risk. Our investment strategy walked a fine line between generating income and avoiding unnecessary risk in a low interest rate environment.

The second portion took a long-term approach. This piece of his investments was built to grow with the market, having the ability to add greater return while taking less risk than the benchmark. This is our Growth model, and it uses a variety of well-studied investment philosphies and opportunistic investment strategies.  

Future Challenges

It's no secret that entreprenerurs rarely quit after one successful exit. This is certainly the case with our client.  Not long after the sale of his first business he set off on the next business challenge.  Our focus is on continuing to generate the income his family needs to live on while growing his asset base for the future.

This client may have additional cash needs as business opportunities present themselves. In the past we have helped this client find alternate means of financing his business ventures that do not require him to bear his startup risks entirely himself. 

We have a great deal of respect for our clients and their accomplishments.  We work to extend their successes with an equally strong dedication to excellence and delivering valuable solutions to them. 

Mark Starosciak, CFP®
-  Founder, Managing Partner | Infinium Investment Advisors, LLC

The Skinny

Begin Date: June 2001
Family: married 
Net Worth: +$25M
Company: restaurants and consumer packaged goods
Initial Objective: growth for long-term
Post-Exit Challenge: replacing business income with portfolio income + liquidity for new ventures

Share This

    
Infinium Advisors

Schedule a Get-to-Know-You Web Call

Effective client-advisor relationships start off on the right foot -- Let's spend 20 minutes on a web call to get to know each other and see if there is a fit.

Schedule Web Call