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Feb 5, 2017 · 21m · top-founders

EP 561: He Did $1b in 2016 Transactions (Takes on avg 3%) at his M&A Firm Marlin and Associates with CEO Ken Marlin

Ken Marlin · 12m spoken Nathan Latka · 6m spoken
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gold bands on the timeline = statements, start to end. Hover to read, click to jump. CC turns on captions

Host Nathan Latka interviews Ken Marlin, founder of Marlin & Associates, about running a boutique tech M&A firm that closed $1 billion in transaction volume, exploring advisory fee structures, deal execution risks, and military-derived business strategies.

How this conversation actually went

Every chapter scored 0–10 on four independent dynamics. Hover any point for the reasoning behind the score. Nathan holds 34.3% of the talking time here. How this is scored →

Nathan as informed peer 3.6 Guest teaching 2.8 Guest disagreement 1.2 Nathan pushing back 1.6
05100:0010:0020:001:27–4:14 · Nathan as informed peer 3/10 Introducing Ken Marlin and His Military-to-Wall Street Background Nathan introduces Ken's military and Wall Street background and probes into how Marlin & Associates charges clients. Ken playfully jokes about not working for 'crass money' before explaining their typical 3-4% advisory take rate.4:14–7:32 · Nathan as informed peer 4/10 Consultative M&A Advisory and Managing Negotiation Risk Ken reframes Nathan's question about transaction volume, emphasizing that their boutique M&A work is highly consultative rather than volume-driven. Nathan contributes to the dialogue by noting how independent advisors protect against irrational counterparties.7:32–11:50 · Nathan as informed peer 5/10 Deal Cadence, Slippage, and the Psychology of Year-End Deadlines Ken explains how inaccurate financial projections destroy credibility and blow up M&A transactions. Nathan demonstrates sharp deal-making expertise by proposing an under-projection strategy, which Ken enthusiastically validates.11:50–15:22 · Nathan as informed peer 4/10 Applying Marine Corps Strategy to Tech Acquisitions and Market Moves Ken applies the Marine Corps principle of taking the long view to corporate acquisitions, critiquing Microsoft's purchase of LinkedIn as lacking strategic fit. Nathan tests Ken's position by asking if it was a defensive hedge against Salesforce.15:25–20:31 · Nathan as informed peer 2/10 Sponsor Segment: Efficient Interview Batching with Acuity Scheduling Following a mid-roll ad read for Acuity Scheduling, Nathan runs through the standard Famous Five rapid-fire questions. Ken playfully sidesteps giving his exact age by listing the stages of his career.1:27–4:14 · Guest teaching 2/10 Introducing Ken Marlin and His Military-to-Wall Street Background Nathan introduces Ken's military and Wall Street background and probes into how Marlin & Associates charges clients. Ken playfully jokes about not working for 'crass money' before explaining their typical 3-4% advisory take rate.4:14–7:32 · Guest teaching 3/10 Consultative M&A Advisory and Managing Negotiation Risk Ken reframes Nathan's question about transaction volume, emphasizing that their boutique M&A work is highly consultative rather than volume-driven. Nathan contributes to the dialogue by noting how independent advisors protect against irrational counterparties.7:32–11:50 · Guest teaching 4/10 Deal Cadence, Slippage, and the Psychology of Year-End Deadlines Ken explains how inaccurate financial projections destroy credibility and blow up M&A transactions. Nathan demonstrates sharp deal-making expertise by proposing an under-projection strategy, which Ken enthusiastically validates.11:50–15:22 · Guest teaching 4/10 Applying Marine Corps Strategy to Tech Acquisitions and Market Moves Ken applies the Marine Corps principle of taking the long view to corporate acquisitions, critiquing Microsoft's purchase of LinkedIn as lacking strategic fit. Nathan tests Ken's position by asking if it was a defensive hedge against Salesforce.15:25–20:31 · Guest teaching 1/10 Sponsor Segment: Efficient Interview Batching with Acuity Scheduling Following a mid-roll ad read for Acuity Scheduling, Nathan runs through the standard Famous Five rapid-fire questions. Ken playfully sidesteps giving his exact age by listing the stages of his career.1:27–4:14 · Guest disagreement 1/10 Introducing Ken Marlin and His Military-to-Wall Street Background Nathan introduces Ken's military and Wall Street background and probes into how Marlin & Associates charges clients. Ken playfully jokes about not working for 'crass money' before explaining their typical 3-4% advisory take rate.4:14–7:32 · Guest disagreement 1/10 Consultative M&A Advisory and Managing Negotiation Risk Ken reframes Nathan's question about transaction volume, emphasizing that their boutique M&A work is highly consultative rather than volume-driven. Nathan contributes to the dialogue by noting how independent advisors protect against irrational counterparties.7:32–11:50 · Guest disagreement 1/10 Deal Cadence, Slippage, and the Psychology of Year-End Deadlines Ken explains how inaccurate financial projections destroy credibility and blow up M&A transactions. Nathan demonstrates sharp deal-making expertise by proposing an under-projection strategy, which Ken enthusiastically validates.11:50–15:22 · Guest disagreement 2/10 Applying Marine Corps Strategy to Tech Acquisitions and Market Moves Ken applies the Marine Corps principle of taking the long view to corporate acquisitions, critiquing Microsoft's purchase of LinkedIn as lacking strategic fit. Nathan tests Ken's position by asking if it was a defensive hedge against Salesforce.15:25–20:31 · Guest disagreement 1/10 Sponsor Segment: Efficient Interview Batching with Acuity Scheduling Following a mid-roll ad read for Acuity Scheduling, Nathan runs through the standard Famous Five rapid-fire questions. Ken playfully sidesteps giving his exact age by listing the stages of his career.1:27–4:14 · Nathan pushing back 1/10 Introducing Ken Marlin and His Military-to-Wall Street Background Nathan introduces Ken's military and Wall Street background and probes into how Marlin & Associates charges clients. Ken playfully jokes about not working for 'crass money' before explaining their typical 3-4% advisory take rate.4:14–7:32 · Nathan pushing back 2/10 Consultative M&A Advisory and Managing Negotiation Risk Ken reframes Nathan's question about transaction volume, emphasizing that their boutique M&A work is highly consultative rather than volume-driven. Nathan contributes to the dialogue by noting how independent advisors protect against irrational counterparties.7:32–11:50 · Nathan pushing back 2/10 Deal Cadence, Slippage, and the Psychology of Year-End Deadlines Ken explains how inaccurate financial projections destroy credibility and blow up M&A transactions. Nathan demonstrates sharp deal-making expertise by proposing an under-projection strategy, which Ken enthusiastically validates.11:50–15:22 · Nathan pushing back 2/10 Applying Marine Corps Strategy to Tech Acquisitions and Market Moves Ken applies the Marine Corps principle of taking the long view to corporate acquisitions, critiquing Microsoft's purchase of LinkedIn as lacking strategic fit. Nathan tests Ken's position by asking if it was a defensive hedge against Salesforce.15:25–20:31 · Nathan pushing back 1/10 Sponsor Segment: Efficient Interview Batching with Acuity Scheduling Following a mid-roll ad read for Acuity Scheduling, Nathan runs through the standard Famous Five rapid-fire questions. Ken playfully sidesteps giving his exact age by listing the stages of his career.

speaking balance: gold is Nathan, purple is the guest (3 minute bins)

0:00 · Nathan 88.7% · guest 11.3%0:00 · Nathan 88.7% · guest 11.3%3:00 · Nathan 5.8% · guest 94.2%3:00 · Nathan 5.8% · guest 94.2%6:00 · Nathan 15.7% · guest 84.3%6:00 · Nathan 15.7% · guest 84.3%9:00 · Nathan 15.6% · guest 84.4%9:00 · Nathan 15.6% · guest 84.4%12:00 · Nathan 5.5% · guest 94.5%12:00 · Nathan 5.5% · guest 94.5%15:00 · Nathan 51.3% · guest 48.7%15:00 · Nathan 51.3% · guest 48.7%18:00 · Nathan 45.6% · guest 54.4%18:00 · Nathan 45.6% · guest 54.4%21:00 · Nathan 100% · guest 0%21:00 · Nathan 100% · guest 0%
Sharpest disagreement ▶ 14:30 Ken dismisses Microsoft's strategic justification for LinkedIn

Ken forcefully rejects corporate PR, asserting that Microsoft's multi-billion dollar acquisition of LinkedIn had zero genuine strategic fit.

 Hardest push from Nathan ▶ 14:50 Nathan challenges Ken with the Salesforce defensive thesis

Nathan pushes back against Ken's dismissal of the LinkedIn deal by suggesting it was a strategic defensive maneuver against Salesforce.

 Biggest teaching moment ▶ 9:50 Ken explains why missing optimistic projections kills deals

Ken breaks down the psychology of M&A negotiations, teaching that failing to hit optimistic projections destroys buyer trust rather than just impacting spreadsheet valuation.

 Nathan holds their own ▶ 10:48 Nathan outlines the intentional under-projection tactic

Nathan demonstrates sharp practical M&A insight by proposing that founders slightly sandbag forecasts so they can beat expectations during final diligence.
the scores for every segment, with the reasoning behind each
ChapterTopicNathan as informed peerGuest teachingGuest disagreementNathan pushing backWhy
Introducing Ken Marlin and His Military-to-Wall Street Background 3211 Nathan introduces Ken's military and Wall Street background and probes into how Marlin & Associates charges clients. Ken playfully jokes about not working for 'crass money' before explaining their typical 3-4% advisory take rate.
Consultative M&A Advisory and Managing Negotiation Risk 4312 Ken reframes Nathan's question about transaction volume, emphasizing that their boutique M&A work is highly consultative rather than volume-driven. Nathan contributes to the dialogue by noting how independent advisors protect against irrational counterparties.
Deal Cadence, Slippage, and the Psychology of Year-End Deadlines 5412 Ken explains how inaccurate financial projections destroy credibility and blow up M&A transactions. Nathan demonstrates sharp deal-making expertise by proposing an under-projection strategy, which Ken enthusiastically validates.
Applying Marine Corps Strategy to Tech Acquisitions and Market Moves 4422 Ken applies the Marine Corps principle of taking the long view to corporate acquisitions, critiquing Microsoft's purchase of LinkedIn as lacking strategic fit. Nathan tests Ken's position by asking if it was a defensive hedge against Salesforce.
Sponsor Segment: Efficient Interview Batching with Acuity Scheduling 2111 Following a mid-roll ad read for Acuity Scheduling, Nathan runs through the standard Famous Five rapid-fire questions. Ken playfully sidesteps giving his exact age by listing the stages of his career.

Statements from this episode (11)

Insight
Marlin: M&A advisory fees range from under 1% to 7%
“You know the bigger the deal, the smaller the percentage. So when you're talking about deals that are a couple of hundred million dollars, you're at under one percent. And when you're talking about smaller transactions, then it could be as much as seven percen…”
Ken Marlin Feb 5, 2017 ▶ 3:54
Disclosure
Marlin & Associates averages 3% to 4% in advisory fees
“For us, I'd say we probably average around three to four percent.”
Ken Marlin Feb 5, 2017 ▶ 4:10
Assertion Not publicly verifiable
Marlin & Associates handled $1B in transaction volume in 2016
“For us in 2016, if I think about it was probably someplace around a billion dollars”
Ken Marlin Feb 5, 2017 ▶ 4:27
Disclosure
Marlin & Associates caps workload at 8 to 10 clients yearly
“We typically work with eight to 10 clients a year. That's about all we can handle. We try to give each one of them a lot of senior level attention.”
Ken Marlin Feb 5, 2017 ▶ 4:39
Assertion Not publicly verifiable
Marlin & Associates closed six deals in 2016
“That one was pretty close six.”
Ken Marlin Feb 5, 2017 ▶ 7:40
Insight
Marlin: M&A sellers should over-disclose potential deal-breakers early to build trust
“These transactions are based on trust, and both sides need to trust the other, but part of building that trust is being honest with the people on the other side, and so we tell them to over-disclose if there is a, if there's something that You know, could poss…”
Ken Marlin Feb 5, 2017 ▶ 9:26
Insight
Marlin: M&A sellers should underestimate financial projections if uncertain
“Perfection is to give people a set of forecast, a forecast that you're going to meet and to meet it because it shows a certain level of competence and management control that is impressive when people are going to do that. But you're absolutely right. I tell t…”
Ken Marlin Feb 5, 2017 ▶ 11:19
Opinion
Marlin: Verizon buying Yahoo is a smart move at a smart price
“But I would argue that Verizon buying Yahoo is a smart move that does advance them towards a clear, clear strategic objective, given the fact that, that Verizon had already bought AOL and had announced an objective of making AOL into the leader in consumer ori…”
Ken Marlin Feb 5, 2017 ▶ 13:39
Opinion
Marlin: Microsoft acquiring LinkedIn has zero strategic fit
“I contrast that with Microsoft buying LinkedIn, and I should say that I love LinkedIn. I'm one of the first thousand users of LinkedIn. We use it extensively in my company. I think it's a great service, and yet I think it has zero strategic fit with Microsoft …”
Ken Marlin Feb 5, 2017 ▶ 14:29
Opinion
Marlin: Fred Wilson is the smartest person at identifying new trends
“Right now, the guy I'm paying the most attention to, I suppose, is a CEO, but he's the CEO of a venture capital firm, and his name is Fred Wilson. And I think he is the smartest guy I know in terms of identifying new trends and taking advantage of.”
Ken Marlin Feb 5, 2017 ▶ 17:33
Opinion
Marlin: Joe Mansueto is one of the smartest CEOs in business
“I think Joe Mancueto is one of the smartest CEOs out there. He's done a tremendous job with Morningstar and so I would never bet against him. The particular strategic fit with Morningstar is going to be interesting to watch.”
Ken Marlin Feb 5, 2017 ▶ 18:31
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