In this episode of The Private Equity Podcast, Alex Rawlings speaks with Brian Bishop, an electrical engineer and experienced Chief Executive with a background in embedded systems, product development, business building, and successful company exits.

Brian shares lessons from leading businesses through seven- and eight-figure exits, including the importance of structuring deals to align the interests of owners, employees, and acquirers.

They explore Brian’s approach to leadership and why the most effective business plans are shared plans—not simply strategies created by a CEO and communicated downwards.

Brian also discusses his move into the startup world and the significant differences he has observed between startup and private equity environments. While private equity typically maintains a strong focus on financial performance and EBITDA, startups can face competing non-economic priorities, technological milestones, and investor expectations.

The conversation also covers practical ways executives can improve EBITDA. Brian explains why businesses must look beyond unit costs and understand the total lifecycle cost of a product, including the opportunity cost of engineering and product-development resources.

Finally, Brian explains how his engineering background has shaped his leadership style, particularly his habit of repeatedly asking one fundamental question: “What is the problem we’re trying to solve?”

Key Highlights

00:00 – Brian Bishop’s Background
Brian discusses his engineering career, embedded systems expertise, product development experience, and seven- and eight-figure exits.

01:26 – Lessons From M&A and Liquidity Events
Structuring acquisitions, managing earn-outs, retaining critical employees during transitions, and aligning stakeholder interests.

03:18 – Getting Teams Aligned With the Strategy
Why great leaders build a shared plan rather than simply communicating their own vision.

04:29 – Moving From Private Equity Into Startups
Brian explains what attracted him to startups and the surprising influence of non-economic considerations.

07:23 – Burn Rate vs. Financial Performance
How startup expectations around growth and product development can conflict with customer needs and profitability.

08:40 – What Startups Can Learn From Private Equity
Preparing businesses for the point where margins and EBITDA become more important than technological milestones.

09:58 – Advice for PE Portfolio Leaders
Bridging the gap between employees motivated by purpose and investors focused on financial returns.

11:53 – Improving EBITDA and Margin
Why understanding total lifecycle costs and the opportunity cost of engineering resources can transform profitability.

13:45 – Getting Engineers and Accountants on the Same Page
How cross-functional understanding can improve decision-making, margins, and customer outcomes.

14:38 – Engineering as a Leadership Advantage
Brian explains the power of returning teams to the fundamental question: “What is the problem we’re trying to solve?”

16:01 – What Brian Reads
From the Wall Street Journal to engineering content, Brian discusses how reading broadly helps him connect ideas across disciplines.

16:49 – Connecting With Brian
Brian shares how listeners can reach him following the episode.

Raw Selection partners with Private Equity firms and their portfolio companies to secure exceptional executive talent. We focus on de-risking executive recruitment through meticulous search and selection processes, ensuring top-tier performance and long-term success.

🔗 Connect with Alex Rawlings on LinkedIn https://www.linkedin.com/in/alexrawlings/
🌐 Visit Raw Selection www.raw-selection.com

From Founder-Led to Exit-Ready: How CEOs Build Buy-In, Grow EBITDA and Deliver Successful Exits

The Private Equity Podcast, by Raw Selection

From Founder-Led to Exit-Ready: How CEOs Build Buy-In, Grow EBITDA and Deliver Successful Exits