How to Build a Holdco Around Company Culture

March 13, 2023
Listen in Apple Podcasts appListen in SpotifyListen in Apple Podcasts appListen in SpotifyRSS address of the Acquiring Minds podcast feed
C

ulture... Company culture.

A nebulous concept, and one sometimes greeted with eye rolls by spreadsheet-oriented types.

But my biggest takeaway from today's interview with Michael Arrieta is how much I have been overlooking it.

Michael was an early employee at DocuSign and grew with that company's rapid rise and eventual IPO.

After such a successful run, rather than stay in tech and reach for the next rung of the Silicon Valley ladder, he decided to step out and buy small businesses.

The result is holdco Garden City, started in 2020, which has since acquired 3 businesses.

We hear about those acquisitions today, and we spend a lot of time on Michael's philosophy of how to implement change and what changes to prioritize.

The question I'm now asking myself is, whether the biggest opportunity in buying small businesses is not getting rid of the fax machine and putting in cloud software tools — but rather, bringing in a new culture.

Because in the same way that the previous owner may not have had the time or awareness to focus on the fax machine, he may not have had time to focus on culture, either.

And so over the years a culture developed at the business you buy without much direction or intention around it.

And so by you bringing intention & direction to that legacy culture, and elevating it, you can improve the organization in much deeper ways than just tossing out the fax machine.

See if you agree. Here is Michael Arrieta, founder & CEO of Garden City.

Read MoreStories

How to Build a Holdco Around Company Culture

Michael Arrieta's holdco has made 3 acquisitions since 2020. Sales & culture, not tech, have proven to be the key levers

Jump to:

Disclaimer: We've made every effort at accuracy on this page, but errors sometimes slip through. If you spot one, please let us know, and we'll get it fixed.

Key Takeaways

Introduction

Listen to the introduction from the host
C

ulture... Company culture.

A nebulous concept, and one sometimes greeted with eye rolls by spreadsheet-oriented types.

But my biggest takeaway from today's interview with Michael Arrieta is how much I have been overlooking it.

Michael was an early employee at DocuSign and grew with that company's rapid rise and eventual IPO.

After such a successful run, rather than stay in tech and reach for the next rung of the Silicon Valley ladder, he decided to step out and buy small businesses.

The result is holdco Garden City, started in 2020, which has since acquired 3 businesses.

We hear about those acquisitions today, and we spend a lot of time on Michael's philosophy of how to implement change and what changes to prioritize.

The question I'm now asking myself is, whether the biggest opportunity in buying small businesses is not getting rid of the fax machine and putting in cloud software tools — but rather, bringing in a new culture.

Because in the same way that the previous owner may not have had the time or awareness to focus on the fax machine, he may not have had time to focus on culture, either.

And so over the years a culture developed at the business you buy without much direction or intention around it.

And so by you bringing intention & direction to that legacy culture, and elevating it, you can improve the organization in much deeper ways than just tossing out the fax machine.

See if you agree. Here is Michael Arrieta, founder & CEO of Garden City.

About

Michael Arrieta

Michael Arrieta

Show Notes

Michael Arrieta's holdco has made 3 acquisitions since 2020. Sales & culture, not tech, have proven to be the key levers. 

Topics in Michael’s interview:       

  • How he built the holding company Garden City
  • Why he is drawn to service businesses
  • His experience with fast-growth startups in Silicon Valley
  • How he almost doubled EBITDA in less than a year
  • The mistakes he made with his first acquisition
  • The 3 ways he finds companies to buy
  • How he improves workplace culture in the service industry
  • How Garden City adds value to their companies
  • How to carefully add new technology after acquisition
  • Why he is recruiting searchers to run businesses

References and how to contact Michael:

Connect with A-players who can run your business remotely:

Overhaul your website with ongoing support & unlimited edits, all for a flat monthly fee:

Connect with Acquiring Minds:

Listen Instead of Watch

Episode Transcript

Show Transcript