Julie Cole and her partners built Mabel’s Labels into a $10 million business before acquisition in early 2016. Cole and her partners were able to add hundreds of thousands of dollars to their sell price using this negotiation technique.
Part of what made Mabel’s Labels attractive to Avery was the brand Cole and her partners had created. To see how your brand will impact the value of your business, get your Value Builder Score and turn to the section in the report titled “Monopoly Control”.
About Julie Cole
Cole is a co-founding VP of Mabel’s Labels, the leading provider of labels for the stuff kids lose! Mabel’s Labels started as a basement start-up and was grown into an award-winning, celebrity-endorsed and international phenomenon. As company spokeswoman, Cole is well-known amongst North American entrepreneurs and her dynamic personality has led to numerous speaking engagements, from university business classes to TV appearances, including NBC’s The Today Show, HLN’s Raising America, Canada AM, Breakfast Television, The Marilyn Denis Show, Metro Morning, CH Morning Live, Better TV, The Mom Show, Fox 5 San Diego and WGN’s Midday. She is a syndicated blogger for The Huffington Post, modernmom.com, PTPA Media, Yummy Mummy Club, and her company’s Mabelhood blog. Her writing has also appeared in Chicken Soup For the Soul: Power Moms. Mabel’s Labels has been featured everywhere from The View to Forbes.com.
Some Highlights of the Show
Business: Mabels Labels
3:25: “We were young parents and we noticed a product missing from the market.”
3:55: Breaking all the rules in a four-person, family-and-friends partnership.
6:01: “We had to manage a few things in the early days. No micromanaging or keeping tabs on how much the other is working… Communication is a skill that’s learned and we’re still practicing.”
7:19: “From the get-go we had a very good sense that this had some legs. We were bringing a product to market that wasn’t there.”
9:15: Proprietary technology, the brand and the community behind it.
10:15: “I personally have been blogging for 10 years. I blog so that our customers feel connected to our brand and they think, ‘Oh look, the people who run that company are just like me.’”
11:50: The sale of $12 million.
12:20: “Out of the blue we get a call from Avery [about an acquisition].”
16:05: “Our EBITA wasn’t great this year, we were in a growth year and we weren’t in a position to sell.”
17:35: Normalization of one-time expenses explained.
18:10: “My first piece of advice, do not negotiate for yourself, especially in a situation like ours, because we were staying on. You don’t really want your relationship to go from doing hard negotiations to reporting to that person.”
20:35: “We had other people give us offers, at the end of the day we didn’t [go with them]. They weren’t going to give us what we wanted. No flexibility in price and location [they wanted to relocate the business].”
22:15: “Depending on personal financial situations and maybe their spouses’ jobs, everyone had a different bottom dollar.”
22:30: “One of the things that was a little bit tricky was that Avery wanted a GM.”
25:15: Telling the team in small town Ontario.
27:34: “We thought maybe there would be some negative feedback… The meeting finished with one of the directors standing up and saying, ‘You four, huge congratulations for what you’ve done.’”
28:19: “We’ve stayed on with a one-year contract.”
30:30: Twitter @JulieCole | Instagram @Cole.Julie | Julie.Cole@MabelsLabels.com
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