Client had acquired a competitive CRM platform with the vision of deepening customer relationships and solving sales challenges for their network. While the tool was strong from a product standpoint, it quickly ran into challenges:
Market Perception Issue
Client was not known as a technology company, making it difficult to gain traction with customers in their core market
Internal Resistance
The sales team viewed the CRM as a distraction from Client's core offerings and did not actively support it
Growth Stagnation
Without internal advocacy and brand alignment, the customer base did not expand
Market Perception Issue
Client was not known as a technology company, making it difficult to gain traction with customers in their core market
Internal Resistance
The sales team viewed the CRM as a distraction from Client's core offerings and did not actively support it
Growth Stagnation
Without internal advocacy and brand alignment, the customer base did not expand
The result: CRM business was losing $2.4 million annually, with no clear path to profitability
Client engaged Lighthouse Value Partners to evaluate strategic options for their CRM acquisition, reduce operating losses, and find a viable exit path.
Our process included:
Scaled back expenses to reuce the burn rate from $2.4M to $1.4M annually
Pinpointed a technology company in the industry with an existing CRM platform that could integrate Client's CRM to drive effeciences
Framed the acquisition as an opportunity for the buyer to accelerate product development and expand market reach without starting from scratch
Designed and marketed the deal to maximize interest while incorporating safeguards for both buyer and seller
Managed negotiations and due diligence to secure an optimal outcome
Lighthouse Value Partners turned what was perceived as a costly misstep into a strategic win—proving that even in challenging acquisitions, the right combination of operational discipline, market insight, and buyer alignment can unlock substantial value
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John leads the Optimization Team responsible for addressing operational and strategic weaknesses of businesses that may result in a sub-optimal exit valuation or prevent a successful sale altogether. John is a resilient, sales-oriented, hands-on operator with extensive experience leading both large and small enterprises through challenging market environments. In his most recent CEO role of a $100 million financial services company, he turned around a failing business, rebuilding the company's business model and diversifying its revenue streams.
Shields Legal is a third-generation Texas law firm representing national clients who seek innovative and uncomplicated advice for complicated situations. Our team of professionals is committed to providing the highest standard of legal services to public and private enterprises facing opportunities or challenges in complex commercial matters.
We represent business owners and leaders—people who take ultimate responsibility for their enterprise’s impact and results. Our clients are builders, operators, investors, financiers, and founders who put their own and their organization’s time, effort, and resources at risk. Our team members treat all matters with the highest level of discretion, attention, and communication representative of the niche care of private client services.