In 1992 Stephanie Breedlove started a payroll company to make it easier for parents to pay their nannies. By 2012 they had hit $9 million in annual sales when she got a call from the CEO of venture-backed Care.com.
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In 1992 Stephanie Breedlove started a payroll company to make it easier for parents to pay their nannies. It began small and she self-funded their growth, which averaged 20% per year.
By 2012 they had hit $9 million in annual sales when she got a call from Sheila Marcelo, the CEO of venture-backed Care.com. Marcelo wanted to buy Breedlove’s company and offered her almost $40 million—more than four times Breedlove’s revenue, an astronomical multiple that only serves to underscore Breedlove’s audacity when she turned it down.
Breedlove wanted more and ultimately settled on a price of $55 million for her $9 million business. In this episode, you’ll learn:
Breedlove’s story illustrates the importance of having a unique point of differentiation—we call it The Monopoly Control. Breedlove had created a special niche in paying caregivers. It was a powerful point of difference that would have been difficult for Care.com to replicate on their own, which is why they paid such a high premium for Breedlove’s company. To find out how you’re doing on The Monopoly Control value driver, complete the Value Builder questionnaire now.
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Stephanie Breedlove has been a successful entrepreneur for over 20 years. After launching a career in corporate America with Accenture, she found her true calling as co-founder and CEO of Care.com HomePay (previously Breedlove & Associates), the nation’s largest and most comprehensive household payroll and tax firm. Her startup grew to national leadership, was later acquired for $55 million, and plays a vital role in the quality and professionalism of the in-home care industry. Breedlove’s deep experience along with her rare ability to combine scale, profitability and quality has made her a sought-after business expert, thought leader and speaker.
John Warrillow: Hey guys. This is John Warrillow. This episode of Built to Sell Radio is brought to you by The