From Startup to Successful Exit: How A Business Owner Built a Business Worth Buying
Updated: 4 days ago
Building a successful company is no small feat. But building a business that attracts serious buyers and can keep growing after the founder steps aside? That’s a whole different level of achievement.
Steven Van Ooyen did both.
Steven founded the software company that became Rhino Fleet Tracking in 2007. The company developed cloud-based technology that helped commercial businesses monitor vehicles, equipment, drivers, and other mobile assets.
Those early years demanded patience and grit. Rhino Fleet Tracking didn’t hit profitability until 2010, but Steven and his team kept their focus, refining the technology and building a business model that delivered real, measurable value to customers.
By 2020, Rhino Fleet Tracking served customers in all 50 states and 15 countries. That year, the technology-focused private-equity firm Accel-KKR acquired a majority interest in the company.
With that transaction, Steven joined the ranks of the 17% Club - the select group of owners who actually achieve a successful business transition.
When Steven joined me on the Maximize Business Value Podcast, we discussed the journey from startup to exit and what other owners can learn from it.
His story reinforces an important point:
A successful exit is rarely created at the negotiating table. It is built into the business over many years.
Profitability Took Time
Steven started the company in 2007, but it did not become profitable until 2010.
Three years can feel like forever when you’re pouring in time, money, and energy without knowing when, or even if, you’ll see a return.
Many owners look at a successful company after the fact and see an apparently straight path from startup to growth to sale. The actual path is rarely that clean.
Businesses go through periods of experimentation. Products change. Markets evolve. Customers teach you what they value, sometimes by telling you what they do not want. The owner must decide which opportunities to pursue and which distractions to leave behind.
Steven’s experience proves that early profitability isn’t the only sign of potential. What really matters is whether the business is learning, improving, and building toward a repeatable, scalable model.
When Rhino finally turned profitable, Steven didn’t see it as the finish line. Instead, profitability became the launchpad for the next phase of growth.
Tom’s Take
I have met many owners who built good companies but never developed a repeatable growth engine. These businesses might generate income for the owner, but every new sale depends on the owner’s personal involvement. Growth only happens when the owner is pushing the boulder uphill. That is difficult to transfer. A buyer wants to see more than evidence that the business has made money. The buyer wants to understand how it makes money, whether that process is repeatable and whether the company can continue doing it under new ownership.
Customers Had a Reason to Stay
Rhino Fleet Tracking operated in a recurring-revenue software model. But one aspect of its approach made that recurring revenue especially meaningful: customers were not forced to stay through long-term contractual penalties.
They continued using the service because it helped them operate more effectively.
For a buyer, that sends a powerful signal.
A contract might keep a customer on paper, but strong retention without contractual handcuffs shows that customers are choosing, again and again, to stick with your solution.
That does not mean every business should abandon customer contracts. Contracts can protect both the company and its customers. The lesson is that an agreement alone does not create loyalty.
The underlying value of the customer relationship still matters.
Buyers want to know:
Why do customers initially choose the company?
Why do they continue buying?
What problem does the product or service solve?
How difficult would it be for customers to switch?
Does the company retain customers because of contractual friction or because it consistently delivers value?
Rhino’s steady growth proved that customers saw real, practical value in the product and service.
That kind of customer confidence is exactly what gives buyers confidence, too.
Tom’s Take
Owners sometimes believe buyers are purchasing their product, equipment, or customer list. Buyers are really purchasing the expectation of future performance. Customer behavior helps them evaluate that expectation. Strong retention, recurring revenue, and continued demand provide evidence that the company’s success isn't limited to one good year.
Here’s the bottom line: don’t just give customers a reason to buy, give them a reason to stick around.
The Business Extended Beyond Its Founder
Founder dependence is one of the most common obstacles we see in privately held businesses.
The founder might be the one managing key relationships, making all the big decisions, leading sales, overseeing product development, and putting out every fire. The business can be profitable, but its success is tied to a single individual.
That creates a difficult question for a buyer:
What happens when the owner leaves?
Rhino had leadership beyond Steven.
When the transaction with Accel-KKR completes, the company’s president and chief operating officer prepare to move into the CEO role. Steven remains connected as an advisor and board member, but the company was not left without capable leadership.
That kind of continuity doesn’t happen by accident. It takes a deliberate effort from the owner to share knowledge, delegate real authority, and let other leaders step up and make decisions that matter.
It can be uncomfortable.
Entrepreneurs are used to moving fast and trusting their own judgment. Building a leadership team means letting others lead, even when they take a different approach.
But if every important decision must still pass through the founder, the owner has created a dependency rather than an organization.
Tom’s Take
One of the best measures of business value is what happens when the owner is not there. Does the team keep moving? Can customers get answers? Are decisions made at the appropriate level? Does the company continue producing results? A business that runs smoothly without its owner gives buyers real confidence—and gives the owner more freedom and options, even before a sale is on the table.
The Right Buyer Offered More Than a Check
The 2020 deal wasn’t just a change in ownership. It connected Rhino with a technology investor who knew how to grow software companies.
That distinction matters.
A lot of owners think picking a buyer is all about getting the highest price. Price matters, but it’s just one piece of the puzzle.
The right buyer may also bring:
Industry or operating expertise
Capital for future investment
Access to additional markets
Technology resources
Acquisition opportunities
Leadership support
Experience scaling the company’s business model
At the time of the deal, Rhino was gearing up to launch the third generation of its application. The new investment brought in the resources and expertise needed to keep innovating and expand the customer base.
The company’s story also continued after the initial transaction. Rhino later became part of a larger combination of fleet-management and field-service technology businesses.
Steven’s exit did not end the company’s growth story. It helped position the company for its next stage.
Tom’s Take
Business owners sometimes see a sale as an ending. Buyers often see it as a beginning. Buyers aren’t investing in what the company was—they’re investing in what they believe it can become. That’s why alignment with the buyer is so important. The right buyer understands what made the business successful and has a real plan to build on that foundation. The goal isn’t just to find someone willing to buy—it’s to find a buyer who can take the company forward.
Steven Did Not Simply Disappear
After the transaction, Steven continued contributing as an advisor and board member.
That’s another reality of selling a business: an exit doesn’t always mean the owner hands over the keys and disappears overnight.
The buyer might need the seller’s experience, industry know-how, customer insights, and strategic guidance during the transition. And the seller may want to stay involved in shaping the company’s future, without the day-to-day grind.
Owners should get clear on what role they want after closing.
Do you want an immediate departure? Are you willing to remain for a defined transition? Would you enjoy serving on the board? Do you want to retain an ownership interest and participate in future growth?
There’s no one-size-fits-all answer here. But you need to know your preferences before offers come in, because they’ll shape which buyer and deal structure make sense for you.
What Owners Can Learn From Steven’s Exit
Every deal is unique, but Steven’s story highlights a few key lessons for owners who want to create more options for their future.
1. Build patiently
Rhino didn’t turn a profit overnight. The company grew through steady improvement and disciplined execution over time.
2. Create measurable customer value
Recurring revenue is at its best when customers stick around because you’re consistently solving a real problem for them.
3. Build leadership before you need it
The time to reduce founder dependence is not after a buyer begins due diligence. Developing people who can lead the company with confidence takes time.
4. Choose a buyer for the next chapter
The right buyer brings more than capital. The buyer should have the ability and resources to help the company achieve what comes next.
5. Decide what role you want after closing
A successful exit should support both your personal goals and the company’s future.
A Successful Exit Is Built Into the Business
Steven started Track What Matters in 2007. Thirteen years later, it had become Rhino Fleet Tracking, serving customers nationwide and internationally, building a strong leadership team, and attracting a private-equity partner ready to fuel the next phase of growth.
That’s not an overnight success story.
It’s a story about building a company that delivered real value, created recurring results, and could keep moving forward without its founder at the helm.
In my research for Maximize Business Value, I found that only about 17% of businesses that go to market actually transition successfully. Owners like Steven join the 17% Club because they’ve done more than just build a profitable company.
They’ve built something another organization believes is worth carrying forward.
If you want to join the 17% Club, don’t wait until you’re ready to sell to start preparing.
Build a company customers want to stick with. Develop leaders who can run it. Know what the right buyer could bring. And get clear on what you want your next chapter to look like.
The sale may happen at the closing table.
A successful exit is built over the years that come before it.
Want to see more stories about the 17% Club? Check it out here.
About NorthStar Mergers & Acquisitions
Based in Dallas, Texas, NorthStar Mergers & Acquisitions guides business owners through one of the most significant financial and emotional journeys of their lives—the sale of a company. Specializing in lower middle-market transactions across multiple industries, NorthStar combines deep valuation expertise, strategic marketing, and buyer engagement to ensure every client achieves their dream exit.
Visit NorthStar-Mergers.com to learn more about how NorthStar helps business owners navigate their ideal transition.
About Tales From the 17% Club
Tales From the 17% Club is a special series from the Maximize Business Value Podcast featuring candid conversations with owners who successfully transitioned their companies. In this episode, Tom Bronson speaks with Steven Van Ooyen about building Track What Matters, growing the company into Rhino Fleet Tracking, and completing a majority-interest sale to Accel-KKR.
Comments