In this episode of Independence by Design™, I sit down with Matt Bodnar to explore what it truly means to be an owner versus an operator. Matt’s journey—from being deeply entrenched in the day-to-day operations of his IT firm to becoming a strategic investor and capital allocator—perfectly illustrates the shift in mindset necessary to move from "doing" to "owning." Starting out by handling every detail, Matt gradually worked his way out of the operator role and learned how to structure his company to run without him.

We dive into the key steps Matt took to delegate operations, build systems, and free himself from the daily grind, ultimately allowing him to focus on long-term strategy and investing in multiple companies through his holding company, Eidolon Capital. This episode provides a clear path for business owners ready to make the transition from operator to owner, focusing on how to unlock sustainable cash flow, build equity, and design real independence—what I call the Independence by Design™ ownership mindset.

1. Matthew Bodnar is the Founding Partner at Eidolon Capital. As a “Forbes 30 Under 30” alumni and partner in multiple “Inc Fastest Growing Companies,” Matt is a private equity sponsor who has scaled businesses across multiple industries. He is the major investor and Chairman of Ozark River Manufacturing, ProRack Systems, Fresh Technology, Inc and Highland Industrial Staffing. He is also the Creator and Host of The Science of Success Podcast with more than 5mm downloads. Bodnar previously worked as a consultant in Nanjing, China and spent several years at Goldman Sachs in New York.[Text Wrapping Break]

Chapters:

• 00:00 Introduction and Background - Matt Bodnar
• 02:30 The Struggles of Being an Operator: Matt’s Early Days
• 07:45 The Turning Point: Transitioning from Operator to Owner
• 13:07 Life Purpose and What Drives Matt, Influential Books
• 17:30 Everything is Connected, Navigating Reality
• 25:31 Being ‘Roughly Right’ and Examining Operations
• 28:49 The Owner’s Mindset: How Matt Changed His Approach
• 30:53 Delegating and Building a Leadership Team
• 37:45 Case Studies and Real Life Examples
• 48:00 Statistics on U.S. Businesses, Employment, and Revenue Levels
• 51:57 Advice for Owners on Shifting to a Capital Allocator Mindset
• 54:00 Buying Companies and Investment Criteria, ‘Baking the Perfect Deal’
• 1:00:03 Empowering Company Teams, Distributing Equity
• 1:01:00 Closing Thoughts, Subscribe to Matt’s Newsletter
• Share with the owner/operators you know!

Ryan Tansom is a seasoned entrepreneur, speaker, and the founder of Independence by Design™, a transformative ownership framework for growth-oriented business owners. After turning around and selling his family business in an eight-figure exit, Ryan spent over a decade dissecting the lessons learned from his journey. His mission is to help other business owners avoid the pitfalls he encountered by providing them with the tools and knowledge to align their business operations with their personal and financial goals.

With a deep understanding of the challenges faced by owner-operators, Ryan developed Independence by Design™ to empower owner-operator...

In this episode of Independence by Design™, I sit down with Ken Sanginario, a top turnaround and valuation expert and creator of the Value Opportunity Profile, to dive deep into the fundamental drivers behind business valuations. We explore how the multiple in a business valuation is directly tied to the sustainability, predictability, and transferability of your cash flow—and why understanding this is the key to more than doubling the value of your company.

Throughout our conversation, we unpack the often-overlooked details that can either make or break your company’s financial future. Ken breaks down critical concepts like the cost of equity, the buildup methodology, deal structures, and how reducing risk plays a major role in increasing your enterprise value. By looking at valuation from both the owner’s and buyer’s perspectives, we provide a comprehensive understanding of what truly drives value and where the multiple comes from.

One of the most important takeaways is that this entire process is within your control: by reducing risk and improving operational quality, you can take actionable steps to increase the multiple applied to your business’s cash flow, doubling the value of your business giving you more freedom and options.

We also explore how making your cash flow more predictable can significantly enhance your company’s potential for reinvestment, growth, or future opportunities. Additionally, Ken and I discuss the challenges of business ownership, the complexities of scaling, and how you can strategically grow your company's value.

By the end of this episode, you’ll have a clear roadmap for taking control of your business’s financial future, with practical insights on how to create sustainable growth through the derisking process.

Brandon Hall is the founder of BGH Valuation Services, LLC, is a seasoned valuation expert with over 2,000 business valuations under his belt. Based in Saint Michael, MN, Brandon holds a B.S. in Accounting from Saint Cloud State University and has extensive experience from his roles at Polaris Industries and Best Buy Corporate. A Certified Valuation Analyst® and Certified Machinery & Equipment Appraiser, Brandon is dedicated to helping businesses understand and maximize their value.[Text Wrapping Break]

Chapters:

• 00:00 – Introduction and Background - Ken Sanginario
• 08:00 – Why Business Owners Must Focus on Cash Flow Valuation
• 15:00 – How Your Cash Flow Increases the Multiple
• 19:30 – Breaking Down the Buildup Methodology
• 27:00 – Strategies to Grow the Enterprise Value of Your Business, Reducing Risk
• 35:00 – Cost of Capital, Understanding the Role of Debt in Business Growth
• 48:00 – Equity Risk Premiums
• 54:00 – Quality vs. Value and the Multiple, Pension Funding through Private Equity
• 59:00 – Cost of Debt
• 1:11:30 – Understanding Company Valuation Metrics
• 1:17:00 – DISC for Business, 8 Primary Functional Categories in a Company
• 1:29:08 - Strategic Ownership Accelerator Discussion

Ryan Tansom is a seasoned entrepreneur, speaker, and the founder of Independence by Design™, a transformative ownership framework for growth-oriented business owners. After turning around and selling his fa...

In this episode of Independence by Design™, I sit down with Brandon Hall, an expert who has conducted over 1,500 business valuations across a wide range of industries. We dive deep into the importance of understanding and controlling the value of your business. Brandon shares his journey from a corporate accountant to a trusted advisor in the valuation space, reflecting on the lessons he’s learned from his extensive experience, especially in working with small to medium-sized businesses.

We break down the three primary valuation methods: income-based valuations (with a focus on cash flow), asset-based valuations (looking at tangible assets), and market-based valuations (comparing similar businesses in the market). I place particular emphasis on cash flow valuations, which are the most actionable and controllable by business owners like you. We discuss why understanding and managing your cash flow is crucial—not just for keeping the lights on but for driving long-term growth, strategic planning, and maximizing the equity value of your business.

By the end of this episode, you'll have a clearer understanding of how to take charge of your business’s valuation, why cash flow is such a critical metric, and how you can use it to make informed decisions that will help you achieve the independence you’re striving for.

Brandon Hall is the founder of BGH Valuation Services, LLC, is a seasoned valuation expert with over 2,000 business valuations under his belt. Based in Saint Michael, MN, Brandon holds a B.S. in Accounting from Saint Cloud State University and has extensive experience from his roles at Polaris Industries and Best Buy Corporate. A Certified Valuation Analyst® and Certified Machinery & Equipment Appraiser, Brandon is dedicated to helping businesses understand and maximize their value.

Chapters:

• 00:00 Introduction and Background - Journey from Corporate Accounting to Business Valuation

• 06:00 The Importance of SBA Valuations in Business Transactions

• 10:45 Understanding Cash Flow Risk in Business Valuations

• 17:20 Mapping Out Ten Year Loans, Common Misconceptions About Business Valuations

• 21:24 Strategic Considerations for Business Owners: Equity and Cash Flow

• 29:13 Real-Life Examples of Business Valuation Challenges

• 35:20 The Role of the Government and Banks in SBA Loans

• 40:00 Assets and Proactively Managing Your Business’s Value

• 47:00 The Cash Conversion Cycle, Market Approach in Strategic Evaluations

• 52:00 Owner Involvement and Cash Flow

• 1:05:00 Splitting Assets in Divorces

• 1:12:00 Investments - Ryan and Brandon

• 1:22:00 Final Thoughts and Practical Advice for Business Owners

Ryan Tansom is a seasoned entrepreneur, speaker, and the founder of Independence by Design™, a transformative ownership framework for growth-oriented business owners. After turning around and selling his family business in an eight-figure exit, Ryan spent over a decade dissecting the lessons learned from his journey. His mission is to help other business owners avoid the pitfalls he encountered by providing them with the tools and knowledge to align their business operations with their personal and f...