Decision
Leaning toward not selling Megaphone to the current buyer. Final call tonight after ZKW delivers financial review.
Context
A buyer made an offer on Megaphone. After reviewing the financials and strategic options, Michael and Blake concluded it makes more sense to grow the agency for 9-12 months and sell to a larger SBA buyer pool at a higher multiple. The bird-in-hand argument was weighed: if Carly and Michael end up carrying two mortgages, walking away from a current deal could sting. But if the agency holds value, a bigger deal later wins.
No NDA expected; Michael plans to write about the process publicly once wrapped.
Options Considered
- Accept the current offer now: Cash out sooner; lower risk if personal liquidity tightens.
- Decline and grow 9-12 months: Expand buyer pool (SBA lenders), potentially much higher multiple; risk is Megaphone performance or personal cash needs.
Consequences
- Megaphone continues operating under Rye Valley.
- Reinvest margin gains from team restructuring into growth (underinvested for 1+ year).
- Public write-up of the process is a planned content asset.
- Monitor closely if liquidity situation changes.
Source
Follow-up (2026-08-01 monthly synthesis)
Status line says “pending ZKW financial review confirmation tonight” (night of Jul 30). No later meeting, decision, or inbox item confirms the final call landed. The Aug 1 decision deadline referenced in the earlier megaphone-acquisition-status decision has now passed with no recorded resolution. Dropped ball: confirm with Michael whether the hold decision is final and, if so, file the closing note here.