Acquisition
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Acquisition

Available for Acquisition

 

(March, 2021) The Founder of Tenacity Inc., and his lead equity Partner, are offering for acquisition, 85% of the outstanding equity and controlling interest in the firm due to their impending planned retirement and personal health issues.

Tenacity was founded in 1986 and is exclusively a key account management and client retention consulting firm.  Using their proprietary IP (The Clients for Life® Client Retention Process), Tenacity guides service management companies, particularly those who provide outsourced services, in improving retention and renewal rates that delivers superior client loyalty and engagement.

Since inception, Tenacity has served over 70 clients, including some of the world’s largest service management companies, and worked in 13 countries.  We have demonstrated that our IP is universal in its application and has no cultural or geographic limitations.

Four additional Partners remain active; however, they are licensees and not employees. Each of the Partners have always considered the firm as a “lifestyle vocation”, never intending to build a large company but to serve clients well and earn income independently and self-directed.

The Key Components of the Offering are as Follows:

Intellectual Property: Tenacity owns 6 Federally Registered Trademarks, 9 active Service Marks and multiple copyrights covering books, podcasts, blogs and process documentation.  In total, these comprise the “Licensed System” (Clients for Life®).

Book Sales and Rights: Tenacity has written three books which introduce and document Clients for Life®: 1) What Your Clients Won’t Tell you and Your Managers Don’t Know, 2) Why Good Clients Fire Great Companies, and 3) Clients Do Dumb Stuff Too.  The firm self-publishes the books and, collectively, they have sold more than 340,000 copies (generating over $4.3 million in revenue).

Digital Online Learning: Tenacity, under a partnership with Kennesaw State University (the second largest and fastest growing university in the Georgia state system), has developed and launched a cutting-edge fully virtual online key account management curriculum / mobile platform.  The 20 – 24 hour intensive course is fully gamified and culminates in a recognized micro-credential in the form of a Digital Badge awarded and certified by KSU at completion.  To date, over 600 participants from eleven major corporations have successfully completed the course.

Direct Revenue Stream: Tenacity’s Partners pay the firm 25% of all License Fees charged to clients who internalize the process, and 7.5% in Royalties for their own consulting fees.  Additionally, there is a revenue sharing formula in place with KSU for the online learning.  The potential to grow these income sources is significant.

Internet Domain Ownership: Tenacity owns multiple internet domain names directly relevant to the firm’s IP.  These include tenacity.com, clientretention.com, clientloyalty.com, tenacity.media, accountmanagementinstitute.com and tenacitycenter.com.  The firm owns various other URL’s in the .com, .org, .media and .us categories, along with .edu in the KSU partnership.

The Opportunity: Tenacity, as a firm, or Clients for Life as packaged IP, has tremendous potential for future growth in several areas.

New ownership could choose to expand Licensees to targeted geographies, or to selected vertical markets (Financial Services, IT Outsourcing, Advertising, Facilities Management, etc.) and grow revenues significantly by building a large organization.

An acquiring company, already in the business of consulting or training, could choose to integrate the Clients for Life IP as a line extension to their current offerings, generating additional revenue from existing clients and helping attract new ones.

The Digital Online Learning platform could be expanded to other university-based Executive Education programs or licensed to other commercial training organizations.

New ownership could decide to pursue traditional commercial publication of Tenacity’s three books (either separately or combined into one), both as a means to generate additional revenues but also as a lead marketing and awareness tool.

What we’re looking for:

The Partners are asking $2.9 million in cash for the acquisition of this equity, including full control of the corporation and rights to all Intellectual Property.  Only serious and qualified acquirers are asked to respond to info@tenacity.com.  Once an NDA is signed, we will be happy to share detailed historical financial data and current client information.