Mergify has a successful strategic partnership with Artemis APAC— Asia’s leading agency transformation consultancy. Here, Rebecca Maxwell, Artemis founder, talks about a critical yet often overlooked aspect of agency acquisition.

We See:

That many agencies attempt to optimise EBITDA to target the ideal 25-30% profitability that buyers seek, by:

• Strip out "non-essential" functions
• Reduce investment in team development

But we Know:

Digital-first agencies are seeing valuations of 3-5x EBITDA, and your team's performance directly impacts your agency's value.

Why?

Because your people are critical to maximizing your agency's value during a sale by:

• Converting all potential revenue opportunities
• Delivering service excellence to existing clients
• Maintaining your carefully cultivated culture
• Being collaborative, energetic, and demonstrating expertise
• Ensuring strong client retention rates (a key valuation driver)
• Supporting operational efficiency during due diligence

The Human Factor in Valuations:

The Kubler-Ross Change Curve (below) shows us that significant changes - like preparing for acquisition - trigger emotional responses, even when managed discreetly.

These natural reactions can impact:

• Team productivity
• Client relationship management
• Innovation and creativity
• Revenue generation
• Operational efficiency

Drawing from our extensive experience consulting with agencies through major transitions (acquisitions, leadership changes, significant client shifts), here are our key recommendations for maintaining peak team performance:

1. Master change management principles and strategic communication
2. Empower every team member to identify and convert growth opportunities
3. Build a resilience-focused culture where innovation thrives, and people feel secure enough to go the extra mile
4. Develop scalable service models that attract higher valuations
5. Maintain strong operational processes that appeal to PE firms and strategic buyers

The Artemis + Mergify Advantage:

We've helped numerous agencies across Asia-Pacific navigate these challenges while:

• Maintain team performance
• Unlock team-led growth opportunities
• Build scalable, buyer-friendly operations
• Achieve higher multiples through retention and recurring revenue streams

Want to learn more about preparing your team for a successful transition?

We offer specialized programs designed to help you navigate these challenges while maintaining team performance and protecting company value.

Our approach aligns with current market demands, where buyers are actively seeking agencies with strong team retention and operational excellence.