Successfully Exiting Your Business: A Conversation with Mahmood Chaudhri, Founder of Datrix
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template Successfully Exiting Your Business: A Conversation with Mahmood Chaudhri, Founder of Datrix Acquisition Strategy, Strategic review, Technology December 2, 2025 Cloud-based networking, communications, and cyber-security solutions expert Datrix was acquired by AdEPT Technology Group in April 2021. Evolution Capital talks to Mahmood Chaudhri about the motivations, lessons and key factors that enabled his successful outcome. EC: “Why did you start Datrix and what was your mission?” MC: I started Datrix out of frustration really. The organisation I was working for in my 20’s seemed to care less about our customers than I did, and I felt that with the right team around me I could offer a much better experience for our customers. Consequently, I left and founded Datrix. So, 27 years later I am here, having achieved the outcome that I always wanted for myself. EC: How has the market changed since you founded Datrix and have you adapted your strategy to respond to the changing landscape? In the early days of 1994, we were selling computers and peripherals through magazines. The technology was moving at quite a pace and taking huge leaps every few years. We were supplying leading-edge solutions across several private and public sectors. This required us keeping abreast of relevant technologies and entering new areas. For example, we worked in data centres with cloud provision and SaaS related solutions very early on which meant we had to punch well above our weight. We still must maintain that leadership position as the landscape is constantly changing and highly dynamic. Companies wanting to emulate our success have to find their ‘sweet spot’. Today, there is not a single IT supplier that has solutions to fit all requirements. It is essential to find the customers that are right for you, not just the other way around. EC: What is unique about Datrix? Datrix has been a privately-owned business for over 25 years and most of our customers have been with us for well over 10 years. We work in several private and public sectors; however, our core focus is on healthcare. We have an extensive healthcare property portfolio across the whole of the UK and provide enterprise technology solutions on a 24/7/365 basis. This means that the barrier to entry for competitive organisations is high which by default significantly reduces quality competition. EC: What was your first experience of Evolution Capital and how would you rate their performance in the process? Datrix was first contacted by Evolution Capital in 2016 and they have kept in touch ever since. Recently they came to us when we were ready to sell – representing a potential buyer. Their overall attitude and demeanour when I met them was completely different from other similar organisations that had contacted me, and Evolution Capital instantly got my undivided attention. They demonstrated a clear understanding of our requirements and articulated a pragmatic way forward. Evolution Capital’s proposition was compelling enough for me to proceed, and I presented it to Datrix’s advisors. The rest, as they say is history..!! EC: Why was AdEPT a good fit for Datrix? I have come across many organisations over the years that have seen Datrix as a good fit, but the timing, business culture and synergies with any of them was questionable. It was never enough to persuade me to sell my business to any of them. Evolution Capital’s initial presentation of AdEPT together with all the associated benefits and deliverables was accurate and compelling and guided us toward making the right decision. Meeting the Chairman, CEO & FD of AdEPT was enough to convince me and my team at Datrix that this was a perfect fit. EC: What do you believe were the key factors in achieving a successful outcome for the shareholders? I have always retained the majority shareholding at Datrix, which actually shrunk from 75% to 55% over the years as I rewarded and incentivised key members of my management team and staff. My advice to any business owner wanting to achieve a successful outcome would be this, “If you can’t achieve the outcome you want by yourself, bring people into your business on a healthy salary and also offer them a stake in the game. Give up some of your shares for that purpose or privilege.” The other shareholders, of course, needed the right financial outcome, but most importantly I wanted a good cultural fit with the new owner. They would need to share my drive and ambition to offer leading edge technology to their customers and to develop a bigger enterprise client base. It was also important that most of the other shareholders at Datrix retained senior positions as part of the new AdEPT management team. EC: What has the process taught you and what would your advice be to owners considering selling their business? I wish someone who had been through my recent learning curve had knocked on my door and advised me 15 years ago; I could so easily have prepared myself for a sale of the business then. But the only value in speaking with anyone is if they have actually gone through the experience of selling a business themselves. Attending seminars and reading relevant articles and books is of help, but there is nothing like going through the process personally and taking listening to the advice of people who have. Importantly, owners selling their business need to engage with organisations like Evolution Capital, who will give them essential advice. They will guide them through the process in an honest, credible, and professional manner and without the agony that often accompanies a business disposal. EC: What do you see as the biggest challenges in the industry right now? IT businesses need to accelerate their adaption and adoption of SaaS and cloud services. Additionally, there are an increasing number of cyber-attacks threatening our industry and suppliers need
Life after a sale: interview with ICOM founder John Donoghue
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template Life after a sale: interview with ICOM founder John Donoghue Acquisition Strategy, Strategic review, Technology December 2, 2025 Life after a sale: interview with ICOM founder John Donoghue In the second of our Evolution Capital Alumni series, we speak to John Donoghue, founder and owner of Aylesford-based Icom Holdings, about how selling a stake in his business has given him a new lease of life. John Donoghue sold a majority stake in his business to award-winning BDR Voice & Data Solutions back in January 2018. But unlike many in his situation, Donoghue is still very much involved in the business. Indeed, he says the deal has given him a renewed sense of purpose. He explains: “To be brutally honest I was quite sick of the business by the time it came to sell it. However, the transaction has completely revitalised the old management team – and me. I receive a lot of support from the new owner and the whole thing has given me a new lease of life. In fact, we both have our sons working in business, which is a testament to the belief we have in the future – and provides us with a good deal of succession planning.” Icom was advised by Evolution Capital, which was engaged to prepare and structure the deal. Evolution was also tasked with finding a suitable and complementary buyer against some exacting criteria. Icom’s strong contracts and relationships in the public sector, and particularly their status as a Government Framework Supplier, made them particularly desirable. Donoghue adds: “I took a great deal of care and diligence in choosing the right buyer, who had to be a like-minded business partner. There were plenty of good advisers out there, but we needed one who knew our marketplace and were sensitive to our aspirations. Evolution Capital understood our requirements and came up with a shortlist of six potential buyers of which three were shortlisted. Additionally, I had an incredibly loyal management team which had been with me since the mid-90s and any decision I made had to be right for all of us. It was a great result all round.” Given that John had worked tirelessly on the business since its inception since 1990, how has life changed since the sale? Donoghue continues: “The disposal of a large part of the business was very rewarding, both commercially and strategically, and has certainly provided us with the necessary financial security for the future. However, as far as my time is concerned, I probably have even less time than I used to. The time savings I have made on the operational side have been swallowed up on the strategy of the new group.” However, he claims he is enjoying his new role in the larger business. Indeed, he has no personal exit plan and sees ICOM “going on forever”. He adds: “The business has doubled since the disposal and its general direction has pleased all concerned.” In his spare time, 55-year-old Donoghue is as competitive a sportsman as he is an entrepreneur. He is an accomplished cyclist, triathlete and golfer who has always encouraged a competitive attitude in his children. He continues: “Sport is analogous to life. In football, for example, there are lots of average players who have transformed themselves with the right attitude. With a combination of determination, hard work and honesty, anything is possible. Take a look at Gary Neville when he was playing for Manchester United – there were arguably much better players than him around but he had an attitude that transformed not only himself but all those playing around him – truly inspirational. Business is very similar – the right attitude can be transformative.” Donoghue, who started his first business from the garage of his house, learned to perfect the process during his journey and a lot of water has passed under the bridge since those early days. The company has changed considerably since the sale and there has been a process of symbiosis within both businesses, with methodologies and best practices osmotically seeping into each. “We are a lot more sales led these days and there is far more process and structure involved in the commercial side of the organisation. It’s amazing what a new set of eyes and a fresh approach can achieve,” he explains. The deal has clearly injected the whole business with a renewed sense of energy. Plenty of restructuring has taken place and there are centralised benefits coming through as well as a simplification of much of the commercial process. There have also been lots of opportunities for cross-selling and up-selling between the two groups of customers. Donoghue adds: “As a business we are investing heavily and expanding, which is having a very positive effect on our bottom line. We are also considering the next acquisition, which I am very involved in personally. My main challenge these days is managing my time effectively in what is essentially a brand new role. ”For most business owners, there is no formal training programme to prepare for creating and executing a successful business plan other than lots of heuristic training, learning quickly and not repeating costly mistakes. John is no exception and feels there were a lot of things that he would do differently with the benefit of hindsight. He continues: “I would definitely pay more attention to the cash flow and particularly the P&L. In hindsight, I would also ensure I had a flexible management team that could evolve as the company changed. However, top of my list would be to get expert advice from industry experts like Evolution Capital so that by the time I was ready to sell I would be completely prepared. I could not have done what I did without their advice and assistance and would recommend them to anyone. ”The telecoms space has been subject
Evolution Capital advises on the sale of Between the Lines Communication to Arrow
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template Evolution Capital advises on the sale of Between the Lines Communication to Arrow Acquisition Strategy, Strategic review, Technology December 2, 2025 Evolution Capital, the leading mid-market corporate finance boutique specialising in bespoke advice for the technology, media and telecommunications (TMT) market, is delighted to announce it advised on the sale of telecoms business Between the Lines Communication to Arrow Communications. The business sale offered a clean exit for Between the Lines Communication’s majority shareholder, founder and chief executive Rob Lamden. Between the Lines Communication is a successful, Bracknell-based, mid-market business that provides recurring mobile, voice and connectivity for a strong customer base of approximately 450 unique business-to-business customers across the UK. The business was established in 2002 and has grown organically under the direction of its founder to become a leader in its field. Initially it operated exclusively in the telecoms sector, primarily offering landline and broadband services, before expanding into cloud telephony and IT services.More recently, Between the Lines Communication entered into a lucrative partnership with CityFibre, the UK’s largest alternative provider of wholesale fibre network infrastructure and the builder of Gigabit Cities. This successful collaboration allowed for greater expansion into connectivity in the Thames Valley, helping the business drive a strong growth in profit and local identity. Evolution Capital was mandated to work with Between the Lines Communication to develop an exit strategy for the company’s shareholders and prepare the business for sale. Following a detailed and thorough strategic review, Evolution Capital identified a buyer in Arrow, the leading UK business providing a full-telecoms, IT, energy consultancy and service proposition. Arrow’s management team found the deal proposition attractive and that the business fitted into their vision and portfolio. Evolution Capital’s transaction team then worked with Between the Line Communication’s management, preparing the business for sale, using in-house business sale processes and unique valuation methodologies. This included ensuring the company’s customer and supplier contracts showed a strong pipeline of growth, that the business structure was clean and tax efficient and that all aspects of the company would pass through buyer expectations. This innovative and bespoke process, which has been developed in-house by Evolution Capital following decades of transactional experience, ensured the acquisition went ahead despite a number of internal challenges and market uncertainty in the run-up to the 2019 General Election. Lamden added: “Evolution Capital identified a few potential problems at the beginning of the sale process, which did indeed occur, however the firm’s tenacity at working through these issues was exemplary. The team managed a difficult situation with great sensitivity and ensured the deal got done. ”Nigel Cook, managing director and founder of Evolution Capital, commented: “I am proud of the time and effort that went into the completion of this deal. When a company proposition is strong, the match to the buyer is good and the adviser is highly experienced and is trusted by both sides you can work through the challenges. We put a lot of work into the deal behind the scenes and I am delighted for the shareholders of Between the Lines Communication, who are now free to explore new ventures. ”Arrow’s executive chairman Chris Russell added: “We’re thrilled to welcome Between the Lines Communication into our business and look forward to developing a strong partnership going forward. The synergies between the two firms were clear from the start.” More than 2 results are available in the PRO version (This notice is only visible to admin users) Categories Acquired (2) Acquisition (8) Acquisition Strategy (10) Analytic Services (3) Blog (11) Business Acquisition (1) Business Aquired (2) Business Sale (23) Business Valuation and Research (1) Buy-Side (1) Buy-side M&A advice (1) Buyside M&A (3) Case Studies (59) Disposal (5) Financial Due Diligence (2) Fund raising and listing (1) Fundraising and M&A advice (2) ICT (2) IT (2) IT Managed Services (2) IT MSP (1) M&A Managed Buy and Build Programme (5) Managed Service and Mobile (1) Managed Services (2) MBO Management Buyout (1) Media (1) Merger (1) Multiple R&D Tax Claims (1) Sell-Side (2) Sell-side M&A Advice (1) Software (1) Strategic review & business sale (1) Strategic Review & partial sale (1) Technology (6) Telecoms (30) Telephony (1) Transaction Support (1) Unified Comms (3) Valuation and fundraising (1) Social Media Our Blog Related Articles View all blog posts Acquisition Strategy, Blog Evolution Capital advises on the sale of Between the Lines Communication to Arrow December 2, 2025 Acquisition Strategy, Blog Weathering the Covid 19 Storm, Reinforcing The Value December 2, 2025 Acquisition Strategy, Blog Analysis: will the reduction in Entrepreneurs’ Tax Relief motivate or deter deals? December 2, 2025 Acquisition Strategy, Blog Preparation is Key During the Covid-19 Crisis December 2, 2025 Acquisition Strategy, Blog Preparation is Key During the Covid-19 Crisis December 2, 2025 What does Evolution Capital do? We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. What types of companies do you work with? We work exclusively with owner-managed and mid-market businesses in the Technology, IT, Telecoms and Managed Services sectors. Our clients typically generate between £2m–£50m+ in annual revenue. When is the right time to start planning a sale? We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. What does Evolution Capital do? We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. What does Evolution Capital do? We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. We work exclusively
Analysis: will the reduction in Entrepreneurs’ Tax Relief motivate or deter deals?
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template Analysis: will the reduction in Entrepreneurs’ Tax Relief motivate or deter deals? Acquisition Strategy, Strategic review, Technology December 2, 2025 The reduction of Entrepreneurs’ Tax Relief announced in the 2020 budget was not a surprise. However, for many of Evolution Capital’s clients who we advise throughout the complete business disposal process, there has been a very real effect as a result of reducing the incentive. An owner disposing of their qualifying business today at a gain of £10 million will now pay an additional £900,000 in capital gains tax. The ‘overnight’ loss of such a generous relief emotes strong sentiment among the business community, particularly those serial entrepreneurs with a record for creating and disposing of TMT businesses in the mid-market. Anne Stokes, CEO and founder of award winning technology consulting services business ST2 said: “My view is very simple, they should not have reduced it for existing owners. There are plenty of entrepreneurs that have ploughed everything into their businesses, taken all the risk and have received next to nothing by way of help from those who could have provided it most. We have worked 7-day weeks to make the business what it is and have worried ourselves senseless at times to make sure that our staff get paid – often before us. This is the thanks we get.” And yet, whilst the Government’s reduction in the terms of the incentive is not particularly welcome, many believe the move is not sufficiently pejorative to dampen the entrepreneurial spirit. Although the lifetime allowance has been drastically reduced, many experts believe that £10m was always too high a threshold to serve its original purpose and encourage new ventures to come to market. Glen Thomas, Evolution Capital’s Tax Advisor, said: “The previous limit of £10m was probably too high to encourage the entrepreneurial behaviour for which the incentive was designed. A figure of between £2m to 3m might have achieved the goals of the scheme a little more successfully. An alternative could have been to extend the qualifying period of ownership to five years or even more to encourage the sustainable growth of a business over an extended period of time. The government is gambling that such a move will not adversely affect entrepreneurial behaviour on the basis that a standard rate of Capital Gains Tax of 20% is still relatively low compared to historical rates.” The relief allows business owners to pay a reduced 10% rate of capital gains tax on the sale of their businesses instead of the normal 20% rate. With immediate effect, the lifetime limit of qualifying gains, which can qualify for the relief, is reduced to £1m from the previous lifetime limit of £10m. This results in a potential loss of tax relief equivalent to £900,000. The original purpose for introducing Entrepreneurs’ Tax Relief was to create an incentive for new business owners to set up and grow trading businesses. However, evidence suggested the incentive did not, in fact, encourage those mid-tier business owners but was broadly viewed as a tax break for the wealthy. During his maiden budget speech earlier this month, new chancellor Rishi Sunak told the House of Commons the incentive was “expensive” and “unfair” in its existing format and that 75% of the benefit, worth about £2.4bn a year, was shared by only 5,000 individuals. A 10% rate of capital gains tax is nothing new and was originally introduced by the Labour government of Tony Blair and Gordon Brown in 1998. The 1998 version was expanded by the Conservative government later in 2010. There has been a considerable amount of reaction to the Chancellor’s changes to Entrepreneurs Relief, much of it vociferous, but it remains to be seen as to whether it will be enough to stall owners’ plans for business disposals. Thomas continues: “I don’t think the changes will materially affect many disposal points that were set before this year’s budget. Entrepreneurs might be a little disappointed with the cut in relief but I don’t think it will be a show-stopper.” Tom Carroll, founder of Our IT and an entrepreneur who sold his business under the previous tax relief system, said: “I sold my MSP business in 2018 and I can honestly say that the reduction in relief would not have adversely affected my decision to sell the business. An exit happens when there is a confluence of events that create favourable conditions for a sale and the right ‘tax’ environment is just one of them. Obviously, every owner would prefer the higher threshold of £10 million but most successful entrepreneurs do not start their business by deciding on the date when they will dispose of them. I am sure there were businesses in a hurry to conclude their sale ahead of the budget but the right deal does not always arrive when you want it to and you just have to be pragmatic about things. Changing market conditions are just the nature of the beast and you need to deal with them.” At a macro level, the Chancellor maintains that he listened to both sides of the argument before making his deliberations. However, he felt that there are overriding factors for keeping it, although he had listened to representations for the tax break to be scrapped completely.Sunak also committed £130m in new funding to extend loan facilities to 10,000 start-ups in the next two years. Perhaps this will not be sufficient to assuage the depth of feeling from those entrepreneurs who have lost out directly by the cut in relief but it might be enough to engender some positivity from the small-business lobby.Is your glass half-empty or half-full regarding the cut in Entrepreneurs’ Relief? For those of us working with entrepreneurial business owners in the mid-market, only time will tell. More than 2 results are available in the PRO version (This notice
Preparation is Key During the Covid-19 Crisis
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template Preparation is Key During the Covid-19 Crisis Acquisition Strategy, Strategic review, Technology December 2, 2025 For many businesses, COVID 19 took away the fundamental tool that management teams rely upon heavily to make sound business decisions – the ability to plan and prepare effectively. With so many unknown elements affecting businesses in the ICT sector, decision-making and agile management have taken on a far more fluid dynamic as company owners attempt to blend pragmatism with their growth ambitions, and for some enterprises – survival. As mergers and acquisitions advisors to mid-market companies in this sector Evolution Capital is working with a number of businesses either preparing to sell or looking to acquire. Evolution has evidenced some innovative and highly proactive decision-making that is delivering value and creating favourable conditions for ‘bounce back’ when the crisis is over. The turmoil in the wake of the lock-down in March 2020 has left many owners in no doubt of the need to have an agile executive process to complement a robust business model. The more obvious decisions were taken first, accelerated by the requirement for home-working, increased vigilance on cyber-security and flexible support programs. However, for some traditional industries order books have been destroyed over-night whilst for many ICT businesses, demand, particularly during the first month, skyrocketed. What has been obvious, and particularly within Evolution’s group of clients, is that prescient management decisions are vital to combat the effects of the crisis. In all cases, consequential business decisions need to be made or dynamically changed to fit the vagaries of the current marketplace. It is comparatively early to second-guess what happens next but organisations with strong recurring revenues, long term contracts and stable revenue streams are in a strong position to emerge with their value intact. As owners struggle to get a sense of the new normal and attempt to return to pre-pandemic conditions management teams need to assess all the potential scenarios as they are presented. “We reacted quickly to counter the effects of the pandemic and initially had to cope with a large influx of orders. This was an expected spike in business and our decision to increase our investment in lead-generation to ensure the sales-funnel was full when we most needed it is paying off. Mobile apps, softphones and MS Teams are all selling well. We also decided to ‘upskill’ all our staff in the complete business cycle from sales to project management to accounts to ensure they had a greater awareness of our internal process as a business. This has helped us take a much more consultative approach with our customers, which is always good for customer loyalty. It’s obviously been an unsettling time but with 100% staff retention and a sympathetic customer approach, we anticipate coming out of the crisis in good shape. We have always worked hard to create a robust business model and with 80% of our business coming from recurring revenues we are in a stronger position than some of our competitors who have relied on large, single capital payments as a revenue model. In April we bought Info-sec Cloud which has proved incredibly timely and the early responses to our cybersecurity webinars have been overwhelming providing us with early validation of our acquisition strategy. As veterans of the traditional ‘calls and lines’ business, we have focused on creating a flatter, repeatable business model which we believe will ensure we emerge from the crisis in a strong position.” Ralph Gilbert, Joint Managing Director of Focus Group an award-winning telecoms provider Despite the chaos caused by the crisis preparation and planning have been a key factor in plotting a successful path through the emergency and not only by retaining value but in many cases unlocking hidden value in the business. “Despite the current climate, life has to go on and as 70% of our business is managed services on long contracts our business model has proved resilient. Running a company under lock-down is a bit of a roller coaster within which we have to work hard to make some swift, impactive decisions ensuring we do not lose any business. We are focused on vertical markets like Banking, Insurance and Logistics and get a unique view of the effects on these markets. Budgets are now truncated as most of the new projects have been shelved. However, there is an increasing reliance on legacy equipment and we decided early on that we should focus on offering our customers vital support in this area. After the first month of turmoil, things continue to stabilize as we assist our clients in adopting the best practices to manage their businesses effectively such as running their projects remotely.” Daren Bland, CEO of Recarta ITA sound continuity plan appears to be another key to allowing companies like Recarta to focus on faster collaboration and compressing cycle times in each part of their organisation, which in turn allows them to support the customers dynamically. Bland continues, “We have worked even harder at improving our customer communications and decided, wherever possible to increase the frequency of our service desk calls. If there is a silver lining, I believe we are seeing some efficiency gains from remote working. Ultimately, if you have a team of smart, intelligent staff you can replicate that environment remotely.”Despite the problems the crisis has posed for companies, life and business continues, mandating a need for thorough preparation and meticulous planning. This strategy has enabled many organisations to react to changing conditions facilitated by proactive decision-making. “SMEs in the ICT space are well placed to react quickly to changing market conditions ensuring continuity of vital services to their customers. Like many companies, we experienced a flurry of activity as our clients moved toward home-working and into the cloud. The first thing we had to decide was how to support their new environments. We took the
Adept acquires IT MSP Shift F7 in deal advised by Evolution Capital
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template Adept acquires IT MSP Shift F7 in deal advised by Evolution Capital Acquisition Strategy, Strategic review, Technology December 2, 2025 The deal will expand AdEPT’s IT capabilities and customer base, bringing expertise in outsourced managed IT and telecoms solutions, including IT support, hosted IT, cyber security, data connectivity and next generation IP telephony services. Dorking-based Shift F7 reported £5m in turnover for the year ended 31 May, 2018. Following the acquisition, AdEPT’s revenues will grow by 10% to circa £54m and, depending on the trading performance of Shift F7 in the year post-acquisition, a further £2.9m may be payable in cash. Shift F7 was founded in 1995 and provides IT support services and technology solutions to 200 mid-market customers. Its key suppliers include Citrix, Microsoft, HP, Cisco, Ericsson LG and VMWare. The company also operates hosted platform environments in London Docklands and Heathrow. The companies are well known to each other having collaborated on projects over a ten year period, during which both organisations displayed an appetite for building recurring margin while pursuing capital asset light strategies that are highly cash generative. Approximately 75% of Shift F7’s gross margin is generated from recurring products and services.Shift F7’s Dorking premises will be retained, along with the senior management team responsible for strategy, technology development and general business operations. AdEPT CEO Ian Fishwick commented: “Shift F7 enhances our market position in IT, particularly in London, and complements AdEPT’s acquisition of OurIT in February 2017 which also focused on London and south east commercial customers. Following the Shift F7 acquisition more than 70% of AdEPT’s revenue will be generated from managed services including IT support, unified communications and data networks.” More than 2 results are available in the PRO version (This notice is only visible to admin users) Categories Acquired (2) Acquisition (8) Acquisition Strategy (3) Analytic Services (3) Blog (4) Business Acquisition (1) Business Aquired (2) Business Sale (23) Business Valuation and Research (1) Buy-Side (1) Buy-side M&A advice (1) Buyside M&A (3) Case Studies (59) Disposal (5) Financial Due Diligence (2) Fund raising and listing (1) Fundraising and M&A advice (2) ICT (2) IT (2) IT Managed Services (2) IT MSP (1) M&A Managed Buy and Build Programme (5) Managed Service and Mobile (1) Managed Services (2) MBO Management Buyout (1) Media (1) Merger (1) Multiple R&D Tax Claims (1) Sell-Side (2) Sell-side M&A Advice (1) Software (1) Strategic review & business sale (1) Strategic Review & partial sale (1) Technology (6) Telecoms (30) Telephony (1) Transaction Support (1) Unified Comms (3) Valuation and fundraising (1) Social Media Our Blog Related Articles View all blog posts Acquisition Strategy, Blog Adept acquires IT MSP Shift F7 in deal advised by Evolution Capital December 2, 2025 Acquisition Strategy, Blog Preparing for exit is key December 2, 2025 Acquisition Strategy, Blog Entrepreneurs’ Relief reform – the Evolution Capital take on the 2020 budget December 2, 2025 Acquisition Strategy, Blog Entrepreneurs’ Relief reform – the Evolution Capital take on the 2020 budget December 2, 2025 Acquisition Strategy, Blog Entrepreneurs’ Relief reform – the Evolution Capital take on the 2020 budget December 2, 2025 What does Evolution Capital do? We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. What types of companies do you work with? We work exclusively with owner-managed and mid-market businesses in the Technology, IT, Telecoms and Managed Services sectors. Our clients typically generate between £2m–£50m+ in annual revenue. When is the right time to start planning a sale? We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. What does Evolution Capital do? We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. What does Evolution Capital do? We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. We work exclusively with owner-managed and mid-market businesses in the Technology, IT, Telecoms and Managed Services sectors. Our clients typically generate between £2m–£50m+ in annual revenue. We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. We specialise in advising Technology, IT and Telecoms business owners on business sales, acquisitions and strategic growth. Our work includes valuation, exit planning, due diligence, market intelligence and full end-to-end transaction support. FAQ Frequently Asked Questions Request a Confidential Consultation Discover Your Business Value Start with a strategic assessment to understand your maximum potential valuation in the current market. 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Preparing for exit is key
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template Preparing for exit is key Acquisition Strategy, Preparing for exit, Strategic review, Technology December 2, 2025 Preparation for exit is clearly key to success, but how many company owners genuinely practice this when embarking on selling their business? We see so many companies in the TMT sector make the decision to sell only to be disappointed after a long and arduous sale process in which the final price has been chipped again and again by savvy buyers. Selling your company is arguably the most important event of your business career. It would be foolish not to prepare fully for it. -Where to start? The sales process is a multi-event sequence and requires learning a multitude of technical skills and abilities. While most entrepreneurs have plenty of passion and commitment it is unlikely that they will become an expert in the different aspects of selling a business, or even assemble a team that can deliver such a multi-skilled process. A first step would be to find the right M&A advisory firm with an in-depth knowledge of the sector to take you through the entire process. -When to sell and who to? When to sell is a personal decision. Some entrepreneurs have a target value in mind, others might have to sell for personal reasons. There is no right or wrong time, as long as your business is ready for sale it will attract buyers. The TMT sector continues to expand and there are plenty of mid-market players looking to merge with like-minded businesses. Knowledge of the sector and the personalities behind it is paramount as due diligence advisers are known to be canny. -Get fit for sale This can take time. Learning new skills is always hard, and only with total commitment to trial and error do we acquire new abilities to a reasonable standard. All the events or phases in a sales process are crucial. A platform of quality information and reporting needs to be designed and populated so the business will score the highest points through each event, and most importantly arm business owners with the right tools to defend buyer investigations in the transaction phase. Business owners who are determined to achieve maximum value must understand a buyer’s perspective of their individual propositions, strengths and weaknesses, before embarking on value improvement. -Strategic review A full strategic review of your business is crucial. Most companies will want to raise KPI performance before populating an information memorandum template. It is critical for business owners to improve these metrics and remove any obstacles to a sale. Sale processes that do not commence with a strategic review, that have no robust due diligence platform to support the process through to completion, nor commit to a value improvement program from the beginning, are unlikely to achieve maximum value at transaction.Simply squeezing your business into a template to attract offers without any bespoke analysis and metric training is not an option. In fact, research by Evolution Capital has found the biggest challenge facing a business ill-prepared for the sales process is not the lack of reasonable offers, it is achieving a value at transaction that has any semblance to the value agreed when entering exclusivity with a buyer. -Start early Most processes lose more value than they gain in price maximisation through marketing and negotiation than they do in the period between signing heads and entering exclusivity to completion. Why not enter that phase in full knowledge that your business is fighting fit? It is not uncommon to see reductions of over 20 per cent achieved by competent buyers with specialist advisors. During due diligence, difficulties often arise with defending claims made in the company information memorandum document and this generally points to a lack of preparation in the beginning and due provision for specialist guidance in the final phase.Professional adviceWhile brokers claim expertise with transactions, many lack the experience or fail to commit these expensive resources in the final phase of the project. Business models heavily contingent on success require high levels of transactions, which in turn necessitates resources being spread too thinly to deliver outstanding outcomes for shareholders. In many cases, the need for experienced transaction support is critically delivered over a demanding four week period, when business owners are most challenged to defend value. Our experience is that a successful mid-market business sale absorbs many hours of professional advice much earlier in the process, typically between 500 to 1,000 hours of professional advice. Of this at least 30 per cent is set aside for preparation.Transaction dayIt can all still fall apart if you don’t have the right team around you. While training and preparation are of equal importance to achieving ultimate success in a sales process, all can still be lost at the final crucial moment. A good M&A advisory organisation will manage the arduous transaction process, field questions and deliver the right information to buyers, ensuring the right price is achieved.[This was first printed in Comms Dealer Magazine in February 2019] More than 2 results are available in the PRO version (This notice is only visible to admin users) Categories Acquired (2) Acquisition (8) Acquisition Strategy (2) Analytic Services (3) Blog (3) Business Acquisition (1) Business Aquired (2) Business Sale (23) Business Valuation and Research (1) Buy-Side (1) Buy-side M&A advice (1) Buyside M&A (3) Case Studies (59) Disposal (5) Financial Due Diligence (2) Fund raising and listing (1) Fundraising and M&A advice (2) ICT (2) IT (2) IT Managed Services (2) IT MSP (1) M&A Managed Buy and Build Programme (5) Managed Service and Mobile (1) Managed Services (2) MBO Management Buyout (1) Media (1) Merger (1) Multiple R&D Tax Claims (1) Sell-Side (2) Sell-side M&A Advice (1) Software (1) Strategic review & business sale (1) Strategic Review & partial sale (1) Technology (6) Telecoms (30) Telephony (1) Transaction Support (1) Unified Comms (3) Valuation and fundraising (1) Social Media Our Blog Related Articles View all blog posts Acquisition Strategy, Blog Preparing for exit is key December 2, 2025 Acquisition Strategy, Blog Entrepreneurs’ Relief reform – the Evolution Capital take on
Entrepreneurs’ Relief reform – the Evolution Capital take on the 2020 budget
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template Entrepreneurs’ Relief reform – the Evolution Capital take on the 2020 budget Acquisition Strategy, Blog December 2, 2025 Yesterday’s budget signalled just how serious a threat to the British economy the coronavirus crisis has become. New chancellor Rishi Sunak’s announcement of the biggest budget giveaway for almost 30 years, including £12bn of immediate measures for the NHS, public services and small businesses in a coordinated move with the Bank of England, had to be funded by something and it seemed entrepreneurs were to pay the price. One of the most significant revenue raisers came from the decision to limit Entrepreneurs’ Relief, which Sunak described as “expensive, ineffective and unfair”. He said the lifetime limit would be reduced from £10m to £1m, a move that will raise £6bn. Paul Davies, M&A adviser at Evolution Capital, commented: “The reform to Entrepreneurs’ Relief was expected as the benefits fell to very few people. Indeed, for larger businesses, the relief has effectively been removed. From our research at Evolution Capital, we do not feel that there will be a material impact on business valuations at the point of sale. M&A activity in the TMT sector remains buoyant and we have a number of buyers who continue to be interested in acquiring high quality businesses with strong recurring revenues. Such businesses are still in short supply and remain attractive to potential purchasers.”The tax break had previously been heavily criticised by economic think tanks including the Institute for Fiscal Studies and the Resolution Foundation, who said it was not well targeted and caused distortions in the tax system. Entrepreneurs’ Relief, which halves the capital gains tax paid when people sell their businesses, was introduced by Gordon Brown’s Labour government in 2008 in a bid to incentivise people to create new businesses and was expanded by the Conservative government after 2010. However, it is said to benefit just 4,000 business owners a year, who tend to use the tax relief as a retirement pot, rather than stimulating new start-ups. It costs the Exchequer an estimated £2.7bn a year to operate without stimulating start-up business. Under Sunak’s revamp, the relief on capital gains tax when selling a business was significantly scaled back. Business sellers will pay 10% on lifetime gains of up to £1m, compared with the previous upper limit of £10m. Above £1m, business owners will be charged standard capital gains tax rates, which is 20% for higher-rate taxpayers.Sunak said fewer than one in 10 claimants said the relief had acted as an incentive to set up their business, and almost three-quarters of the cost went to 5,000 people. Indeed, it is said some 80% of small business owners would be unaffected by the change. The money raised by the Entrepreneurs’ Relief reform will be used towards other measures to help businesses, including an increase in the tax relief available for businesses investing in research and development, or buildings and structures. The employment allowance, which small businesses can apply for and put towards employer national insurance contributions and first introduced by George Osborne in 2014, will be increased by a third to £4,000.The tax reform was praised by Mike Cherry, the chairman of the Federation of Small Businesses as a “sensible compromise”. However, many business owners will find the decision a tough one to accept. Some argue there is a risk the reform will dis-incentive business owners to sell and would deny any reward for entrepreneurs who have taken risks and experienced hardship during the set-up phases of running their businesses. Miles Dean, head of international tax at Anderson Tax UK, claimed Entrepreneurs’ Relief was an “easy target” and that it sent out a negative message to people setting up new businesses.“Politicians must consider what this means commercially and what it will do for an economy that relies very heavily on entrepreneurs. It is a great shame. The message is loud and clear from this government: take all the risk you like in setting up a new business, it doesn’t count for anything,” he told Citywire.co.uk. Meanwhile, IPSE (the Association of Independent Professionals and the Self-Employed) welcomed Sunak’s “historic Coronavirus stimulus package” but criticised the government’s plans to extend the changes to IR35 to the private sector, claiming it would undermine the contracting sector. Chris Bryce, CEO of IPSE, said: “This Budget is a mixed but overall still gloomy event for most of the self-employed. The measures to support the self-employed and small businesses through the coronavirus outbreak are very welcome – and in-line with what IPSE has been calling for. However, just as the government tries to protect freelancers’ incomes with these measures, it destroys their work by forging ahead with the disastrous changes to IR35, despite heavy criticism.” Elsewhere across the business sector, the budget was broadly welcomed as a positive. Ian Stewart, chief economist at Deloitte, said: “Major shocks to economies need to be resisted with a swift, aggressive and co-ordinated policy response. Mark Carney and Rishi Sunak have produced a forceful and convincing response to the crisis. In economic policy terms, they just deployed the big bazooka.” Evolution Capital prides itself on offering bespoke M&A advice to clients in the TMT sector. Our carefully chosen tax experts are on hand throughout the transaction process to ensure all outcomes are as tax-efficient as possible. If you’re a business owner looking to buy, sell or accelerate, please get in touch with our transaction team. 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What I learnt – Tom Carroll, founder of Our IT
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template What I learnt – Tom Carroll, founder of Our IT Blog, IT December 2, 2025 In the first of our Evolution Capital Alumni series, we speak to Tom Carroll, founder of Our IT and an avid cyclist, about the lessons learnt following the sale of his business. Deal stories make headlines. As a sector we’re obsessed with what our rivals are doing; who is selling, who is buying, who the movers and shakers are. But what happens once the deal is done? What do entrepreneurs do once they have parted company with the business they have created, nurtured and grown? Two years on from the sale of ICT support firm Our IT, a business he built up over a period of 15 years, Tom Carroll is smiling. It is thanks to the advice from Evolution Capital, which paved the way for a successful exit back in February 2017, that Carroll has been able to fulfil his lifelong passion for cycling. “Financially the sale of the company was very rewarding and gave me plenty of time and choice for deciding my next move. The first thing I did was to cycle from Chile to Argentina which gave me lots of space for meditative thought. I then went on another cycling adventure from Lasa (India) to Kathmandu (Nepal) and then onto the Everest Base Station – traversing about 20 different mountains as I did so. When I came back I took intensive French lessons and then went on some more big trips – this time in Australia and the US. Thankfully, Carroll has now got rid of the wanderlust and is considering his next move. He remains on the hunt for businesses to buy. Looking back on the deal of his life, Carroll says there were numerous lessons learned and challenges met along the way, but ultimately the decision and subsequent execution of the company’s disposal was based more on serendipity than planning. He explains: “I had no plans to sell the business but I was highly active on the acquisition trail and had purchased and integrated a couple of businesses into Our IT. It was not until Evolution Capital approached me that I realistically considered selling the business. My one takeaway from this process is the time to transact is only when you have the right counter party in the room at the right time. Until that happens, the rest is just hot air.” He believes that in the increasingly frenetic M&A marketplace there are actually very few credible buyers. This might well explain the disproportionality between market activity and execution. Tom continues: “You can of course increase the chances of making something happen by doing the fundamental things well and presenting the company confidently, but most of the offers I received had little credibility and it made no sense to follow through with them. ”In hindsight, what were some of the unexpected bonuses learned on the way? Carroll continues: “Running and driving your own business is a lonely path to take. Like many owners in the same position, I did feel incredibly isolated at times. Of course employees and consultants, all with their own agenda, are always around but it was not until I joined The Supper Club that I discovered like-minded people. These business men and women were all under similar business pressures as me; the same HR, growth and cash flow issues that we face every day. It was comforting to learn and share similar experiences with my peer group. ”Many business owners, when they leave their companies behind, particularly those that have taken many decades to build and grow, feel a certain sense of loss when then finally decide to give the reins to another. Carroll explains: “Most people who dispose of businesses suffer some sort of sellers’ remorse. When you have created a thriving organisation, something that is not only a profitable business but one that has a flourishing spirit and ethos, it is hard to leave it all behind. One minute you are at the very centre, a self- determining, respected business leader who is looked upon for advice and guidance and the next you are not. It’s almost as if you are half the person you were, albeit with a much more healthy bank balance. ”One thing Carroll doesn’t miss is the stress. “I don’t miss the constant pressure of running a business or the trials and tribulations of driving a growing one. What I really don’t miss is the need to be in constant touch with the business and never being able to turn off. For the first time in years, I recently left my lap-top at home went I went on my holiday – contrast that with the panic I experienced when I forgot it on one vacation from Our IT.” Being an entrepreneur is certainly tough; even when the deal is done. Carroll recalls finding the so-called earn out period the least enjoyable part of being a seller of a business. “Although I was still there, managing the business and fully accountable, I was no longer in control. It was a sterile, semi existence and I completed it quick as I could – well within the allotted earn out period. I would advise others doing an earn-out to complete it as quickly as they can,” he explains. As someone who has lead and run a business for more than fifteen years Carroll has plenty of advice for entrepreneurs. “The one major lesson that I learned is that there is no silver bullet. All businesses are a sum of the parts, and owners need to make marginal gains in every area of their business to be successful. This is where Dave Brailsford’s Marginal Gains philosophy comes in – every company has to think like the British Cycling Team and try to apply small gains to
Adept Technology Group
Home Contact Us Home-version 2 Service page About Us Office Location Post template Home Contact Us Home-version 2 Service page About Us Office Location Post template M&A Managed Buy and Build Programme Technology, Telecoms 2005 – 2021 Background AdEPT Technology Group was founded in 2003 and provides managed services and telecoms solutions to over 12,000 commercial customers, both domestic and business, across the UK. Since 2005, Evolution Capital have developed and provided strategic business advice which have delivered outstanding outcomes for the shareholders of AdEPT Technology Group. To date, we are proud to have advised AdEPT Technology Group through sixteen successful business acquisition transactions. The Challenge Through a series of bespoke, value-enhancing programmes,strategic business advice combined with our unique understanding of the sector,derived from decades of experience and the tireless work undertaken by our analysts, dealmakers and chartered accountants, Evolution Capital have worked closely and consistently with AdEPT Technology Group, to ensure optimal outcomes for the shareholders and management teams, whilst delivering verified prospects to the acquisition criteria, with focus on synergy with acquisitions through value growth initiatives Advice, Planning and Preparation Meticulous planning is our forte, and through a bespoke methodology, combining a schedule of prospecting presentations developed by our deal originators, to ongoing understanding and analysis of the acquisition criteria and value-enhancement programmes, the Evolution Capital team advised the shareholders of Adept through an array of acquisitions of varying value,including the most recent acquisition of Datrix. The services our team provided included: · Weekly presentations to the shareholders and managements teams · Teasers and snapshots of businesses verified and qualified against the acquisition criteria · Ongoing analysis and market landscaping · A review of relevant financial and management information · A detailed risk analysis report · The preparation of all appropriate documentation Ian Fishwick, CEO of AdEPT commented: “The Datrix acquisition is the fourteenth transaction that we have completed with the advice and guidance of Evolution Capital. The best recommendation that I can give anyone when considering whether to engage with a professional adviser is that we continue to use Evolution Capital regularly and keep paying for them to deliver their services.” Maximising the value through business acquisition Throughout the 15+year relationship with Evolution Capital, AdEPT have completed north of 16 transactions with the advice and guidance of Nigel Cook and the team at Evolution Capital. Our unique approach, which combines the collaborative nature of our team of chartered accountants, transaction experts, sector specialists and analysts, is what sets us apart and allows us to deliver outstanding outcomes for our clients. More than 2 results are available in the PRO version (This notice is only visible to admin users) Latest Posts Case Studies Adept Technology Group Buyside M&A Excalibur Acquisition Ridgewall Categories Acquired Acquisition Analytic Services Business Acquisition Business Aquired Business Sale Business Valuation and Research Buy-Side Buy-side M&A advice Buyside M&A Case Studies Disposal Financial Due Diligence Fund raising and listing Fundraising and M&A advice ICT IT IT Managed Services IT MSP M&A Managed Buy and Build Programme Managed Service and Mobile Managed Services MBO Management Buyout Media Merger Multiple R&D Tax Claims Sell-Side Sell-side M&A Advice Software Strategic review & business sale Strategic Review & partial sale Technology Telecoms Telephony Unified Comms Valuation and fundraising Social Media Our Blog Related Case Studies View all Case Studies, M&A Managed Buy and Build Programme Adept Technology Group December 2, 2025 Buyside M&A, Case Studies, Managed Service and Mobile Excalibur December 2, 2025 Acquisition, Case Studies, Telecoms Ridgewall December 2, 2025 Business Sale, Case Studies, ICT Pescado December 2, 2025 Acquired, Case Studies Datrix December 2, 2025 Request a Confidential Consultation Discover Your Business Value Start with a strategic assessment to understand your maximum potential valuation in the current market. Contact us now Company About Us Blogs Our Location Careers Our Services About Us Sell Side Buy Side Data Work Resources Faq Client Dashboard Support Our Location Contact Us (020) 3696 2810 Info@evolutioncapital.com 68 King William Street, London, EC4N 7HR The Granary, Oak Lane, Chichester, PO20 7FD Subscribe Subscribe to our newsletter