📊 The Truth About MSP Valuations & Exit Strategy
In this episode of Cogent Conversations, Rick Murphy, CEO of Cogent Growth Partners, delivers straight talk on IT mergers and acquisitions for MSPs and technology service providers serious about growth, acquisition, or an eventual exit.
If you’re asking:
• Do I really know my EBITDA?
• Are my “add-backs” realistic — or just hopeful math?
• How sticky is my recurring revenue?
• Is my company a business… or a consultancy?
This conversation breaks down the financial realities buyers evaluate before writing a check.
🔎 Top 3 Highlights
💰 EBITDA vs. Reality – Why inflated add-backs create scrutiny and reduce buyer confidence.
📑 Contracts & Recurring Revenue – The true value of strong MSAs, sticky MRR, and low churn.
🏢 Owner Dependency Risk – The difference between a scalable business and a personality-driven consultancy.
Whether you’re planning to sell in 2 years or 20, this episode helps MSP owners build a company that’s attractive, transferable, and valuable.
Perfect for MSP founders, IT service providers, and technology entrepreneurs preparing for acquisition strategy, valuation optimization, and liquidity planning.
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🔷 About Cogent Conversations
Cogent Conversations is a straight-talk podcast focused on IT mergers and acquisitions for Managed Service Providers (MSPs) and technology services firms.
Hosted by Rick Murphy, CEO of Cogent Growth Partners, the show dives deep into the realities of MSP growth, valuation, acquisition strategy, leadership transitions, and exit planning. 💼📈
This is not theory. It’s practical, real-world insight from years of buy-side and sell-side experience in the IT services space.
Whether you're:
✔️ Scaling your MSP
✔️ Preparing for a future exit
✔️ Exploring mergers or acquisitions
✔️ Looking to increase EBITDA and enterprise value
Cogent Conversations delivers clarity on what buyers actually look for — and how to run your business today so you’re ready tomorrow.
If you’re serious about growth, valuation, and long-term strategy in the MSP industry, this podcast belongs in your regular rotation.
🎥 YouTube: https://www.youtube.com/channel/UCfQZUgOM_11e6AHcS-dlqYg
🌐 Web: https://cogentmergers.com/
🔗 Company LinkedIn: https://www.linkedin.com/company/cogent-growth-partners-llc/
👤 Rick Murphy LinkedIn: https://www.linkedin.com/in/ramurph/
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