David Powell joined a family — and then a business. After marrying his wife, Tami, David joined his father-in-law and brother-in-law to run the Southeast Lineman Training Center (“SLTC”). For over 20 years, the family has run SLTC as a vocational trade school that equips individuals with the skills they need for a successful career in the electrical and telecommunications industry. 

David’s father-in-law, George Nelson, was a serial entrepreneur, and he heard about the potential for a training center in this industry through a friend. Electrical companies didn’t know how they would meet a growing demand without a new generation of well-trained linemen — and George saw an opportunity. 

George purchased the first campus property of 19 acres and classes began in 2000. Now, SLTC has expanded to three campuses on over 100 acres of land, making it one of the largest trade schools of its kind in the country. 

David had previously navigated a minority investment in the company from private equity firm Sovereign’s Capital, but when he was ready to make a bigger transition, he turned to FourBridges to guide him through the process. We sat down with David to hear first hand about his experience as a business owner and the ups and downs of the sale process. 

What was your experience like as a business owner? 

It’s been really interesting, especially being part of the foundation of the business. When I first got here, I was the only person in the office running the day-to-day tasks of recruiting students and marketing. 

I was young, leaving a big corporate job to work out of a triple wide trailer in north Georgia — so naturally my parents wondered if I knew what I was doing. But I was excited by the prospect of being involved in a business from the ground floor. 

As we grew, I was able to relinquish some of those roles and take on a bigger leadership role. For me, that was setting the tone and crafting our vision for the future, rather than managing daily operational tasks.  

There’s high risk but also high return with ownership. There’s a lot riding on your gut instincts and decisions, and ultimately, every win or loss falls on your shoulders. I’ve never been a lineman, and I can’t train the guys to do this work, but it’s my responsibility to hire good people and build a strong program. 

What were some of your proudest achievements at SLTC? 

I’m very proud of my own evolution as a leader. I knew I couldn’t just keep running things as I had early on. To be effective, you have to develop new skill sets and really a whole new mindset. 

I was also proud when we got to the point where we were no longer concerned about whether or not we would be able to keep the doors open. Most startups fail in the first five years of business, so feeling established was a major accomplishment. Eventually we maxed out our classes and had to expand to a second location, which really proved our success and promised more growth in the future. 

Our partnership with Sovereign’s Capital was another exciting business venture. We sold them a minority share in the business, and it felt huge that another business sees your value and wants to be part of what you’re building. It was a moment where I was able to step back from the day-to-day problems that come with business ownership and see that what we’d built was pretty special.

Why did you take on Sovereign’s as a minority shareholder? 

We’ve always had strong cash flow  once we reached critical mass , and we’ve continually  reinvested in the business. Since there were no issues with cash, we really just sought a thought partner. We wanted to bring in an experienced team to help us scale and craft a bigger vision. 

Our partnership with Sovereign’s began through a personal relationship with Michael Tremain, whom we’ve known for years. We officially sold the minority share in early 2020, which we didn’t know would be such a tumultuous time. Thankfully, we navigated that season very well, thanks to having such a solid team behind us to support our decisions. 

How did you know it was time to sell SLTC?

Every year we evaluate what we’re doing well and how we can continue to grow the business. I felt like we were doing a good job and people were impressed with the school, but I also wanted to make sure that the business had longevity. We are just stewards of this business, and we were willing to change things in order to add more horsepower. 

We were moving toward a certain direction but wanted to get there faster. To achieve our goals at an accelerated pace, it made sense to explore another partner where we’d have strategic alignment. That way we could continue to build on SLTC’s success while also looking at opportunities for acquisitions in related industries. 

Initially, we just wanted to test the market. We knew SLTC would be attractive to buyers, but we didn’t know how the final deal would shake out. 

What were your goals going into the sale? 

We definitely had an expectation for what our ideal price would be and what other terms we would need to move forward with a partner. We also hoped for the same value alignment that we experienced with Sovereign’s and potentially a team with industry experience. 

Did you consider selling the business without an advisor? 

We entered our initial engagement with Sovereign’s without much help, other than legal guidance. It was really more of a gentleman’s agreement because of our prior relationship with Michael and our faith alignment. 

But now, I would never consider selling our business without help. I have friends who’ve been approached by private equity about their businesses, and I’ve encouraged them to find advisors that understand the process — because it’s hard to know what you’re getting into. 

There’s so much documentation required, and I can’t imagine that a business owner would have the time or energy to compile it all without some guidance from a team like FourBridges.

Is there anything you wish you knew before initiating this process? 

I wish I knew how frustrating the due diligence process would be. When you’ve spent most of your adult life building a business, it’s hard to watch it be picked apart. I can appreciate that the other party was doing their job to ensure our business was solid, and they weren’t trying to devalue us. That part of the process requires patience, but it’s ultimately worth it.

And of course, I didn’t realize just how much documentation we would need to dig up. I was pulling documents from the formation of the company, including things from 24 years ago that I never thought I’d need to see again. As a business owner, you’re just working to keep the doors open and not thinking about putting those things in a safe place. 

FourBridges did a great job of preparing us for this process and keeping us in check, especially from a timeline standpoint. 

What was the biggest challenge throughout the sale? 

When you’ve been intimately involved with the business for such a long time and always been the one setting the tone, it can be challenging to trust that your new partner has the same long-term goals. The school is really like another one of my children, and our team has devoted so much time and energy to it. I just really wanted to continue to protect it. 

So for me, I think relinquishing control was the biggest challenge. You have to let go and trust the next partner to value the business like you have for all those years.

How did FourBridges help you face the challenges?

First of all, they gave us a lot of transparency into how the process would work and what the timeline would look like. But most importantly, they showed a lot of excitement about our business and were encouraging throughout the process. 

They operate with a high level of professionalism and got to know our circumstances to give us the best possible advice. It gave me peace of mind that they were honest about the value of our business and the timing of our decision. They over delivered on our expectations and we came out of the other end completely thrilled with the result. 

Why did you choose to work with FourBridges over other firms? 

We don’t have any experience for this, so we based our decision on their reputation. We knew we were looking for a local firm, and FourBridges has done prior work with Michael and Sovereign’s Capital. He gave us his first hand experience with how they operate. Once we got to know the guys, we loved working with them and felt like we made the right move. 

What was the best part of working with the FourBridges team? 

Number one, their professionalism and knowledge of the process. They’re just so thorough at each step, helping us gather documentation and putting together the CIM (Confidential Information Memorandum) and a video clip. And even when I felt frustrated during the due diligence process, they understood how to get me through that and not let my emotions get in the way. I absolutely recommend working with them.

What advice would you give to a business owner who is considering selling? 

Don’t even think about doing it alone. You need someone in your corner to represent you and get the most value out of your business while also walking you through the process. There are probably a lot of business owners who go it alone and don’t get the full value for their organization.

A lot of times, being a business owner becomes an identity, and you have a lot of attachment to your business. A company like FourBridges is able to guide you step by step through that transition and relieve your stress. During those high-stress, emotional parts of the process, they can calm your nerves and keep you from reacting too strongly and ruining a good deal. 

What’s next for you? 

Even though there’s a new partner, it’s still business as usual for me, and I intend to see SLTC grow and thrive. The only difference now is that I have a huge weight lifted off my shoulders, because I’ve got the backing of a strong organization that’s focused on that goal, too. 

Now, our main focus is solidifying SLTC as an industry leader. We’ve got the capital and the team behind us, and I’m so excited about the future.