In most M&A deals, the decision between offers comes down to price, structure, and culture. Thor Myhrstad had two strong offers; both competitive, both reasonable, both aligned. And none of those things is what decided it.
I recently closed another transaction where Shield Technology Partners acquired Box IT out of San Francisco.
This was not a situation where the seller had to take what he could get. Thor built a strong business. Box IT has been around for over 20 years, with solid margins, high customer retention, and no meaningful customer concentration. Most customers were under 7% of total revenue, which is exactly what buyers want to see in today’s market.
We had options. Real options. We narrowed it down to two strong offers that were comparable in price, structure, and cultural alignment.
But the decision didn’t come down to any of those things.
It came down to one question: who did Thor trust to take the business further after the deal closed?
That is where most founders get it wrong.
They focus on price, deal structure, and culture. All important. But if you are rolling equity, you are not done. You are reinvesting. And your outcome isn’t based on what you built. It depends on what they build next.
What stood out about Shield wasn’t just their capital. It was their leadership. Both Thor and I spent time with Co-Founder Jake Sloane, and he made an impression. His background, the way he thinks about building platforms, and his experience coming out of firms like Carlyle and Blackstone gave Thor confidence that this was not a group figuring it out as they go.
For a founder rolling equity, that distinction is the difference between a promising second outcome and an uncertain one.
That matters more than most founders realize.
Just as important was the addition of Jim Siders as CEO. After nearly thirteen years at Palantir, where he ultimately served as CIO, he brings real operating experience inside a complex, high-growth technology environment. That is very different from financial engineering. This is someone who has actually built and run systems at scale.
And that makes a huge impact, because a business like Box IT is not static. It is a platform.
And the question becomes: who is actually capable of building what comes next?
Who is going to identify the right tuck-in acquisitions, integrate them properly, and evolve the offering as the market shifts? Who has done it before at scale, and who is learning on your equity?
The idea of the “second bite of the apple” gets thrown around a lot in private equity. It sounds great, but it is not guaranteed. It only happens if the team running the platform executes.
Multiple expansion does not come from a model. It comes from disciplined growth, strong integration, and a clear strategy.
That is leadership.
And that is exactly what Thor saw.
As he put it:
“There are some things in life you have to get 100% right the first time. Taking on an equity investment for your business easily falls into this category. The ‘lived experience’ Linda is able to provide is truly invaluable during such a complex process, from locating a partner that fits with your culture and employees to negotiating. Her depth of understanding from having gone through the process herself is hugely impactful, both from a professional and personal perspective.”
– Thor Myhrstad, CEO, Box IT
In the end, both offers worked financially. But one offered something more important: a team Thor believed could take the business further than he could on his own.
That is not just a deal decision. That is a bet on what comes next.
Because once you roll equity, you are no longer just selling your business.
You are betting on a team.
And the only question that matters is this:
Is this the team you trust to build your second outcome?
As Featured on Investing.com: The Biggest Misconceptions Founders Have When Selling Their Business