Reflecting on my journey from a small West Texas town, where I worked various jobs—from loading hay under the scorching Texas sun to climbing the ranks from fry cook to manager—I’ve made some key observations. First, there’s a striking difference between the hard-working entrepreneurs who’ve built their businesses from the ground up (many of whom may or may not have graduated from Texas A&M) and a new generation of MBAs. These young professionals, often with clean hands, tend to underestimate the dedication, maturity, and operational expertise required to successfully acquire and run a legacy business. 

Family-owned businesses, despite their size, can compete fiercely with larger corporations. Many of these large companies have grown complacent, relying on their established brands instead of innovation and hard work—the very traits that have fueled the success of smaller enterprises. According to Deloitte, 51% of business leaders believe their companies are too slow to adapt to change, and 42% acknowledge resistance to it. Our capital partners have recognized this and are eager to invest alongside Rexcoda in acquiring and partnering with family-owned businesses. 

Inspired by Ezekiel 22:30, which speaks of standing in the gap, I founded Rexcoda in response to that calling. Rexcoda is more than just a private equity firm; it’s a movement grounded in humility, intelligence, wisdom, and grit. Our mission is to lead the next generation of businesses that are not only technologically advanced but also anchored in strong moral and ethical principles. We aim to be a beacon for those who believe in the power of hard work and the importance of treating people well. 

Small businesses are vital to the U.S. economy, contributing 44% of the nation’s economic activity. By leveraging the latest technology, these businesses can streamline operations, reach new markets, and enhance customer engagement. Automation tools can take over repetitive tasks, freeing up time for strategic growth and innovation. However, technology alone isn’t enough. The true differentiator is the work ethic and resilience forged over years of hard work—qualities that have turned ideas into successful enterprises. This philosophy is at the heart of Rexcoda: work ethic and resilience will define the future of family-owned businesses. 

While large corporations may have vast resources, small businesses are nimbler, more resourceful, and often more motivated. By embracing technology and maintaining a strong work ethic, these businesses can seize the opportunities presented by today’s rapidly changing business landscape. 

One significant challenge many small businesses face today is generational transition. Family-owned businesses, the backbone of the American economy, are at a critical crossroads as their founders approach retirement. According to PwC’s Family Business Survey, 58% of family business owners expect to retire within the next five years, yet only 34% have a documented succession plan. This lack of planning can lead to failed transitions or struggles to adapt technologically, causing these businesses to close their doors. However, this juncture also presents an opportunity for owners to diversify their investments and transform their companies into regional or market leaders by selling, in whole or in part, to the right management team. 

I invite like-minded individuals, families, and organizations to join us in this mission and partner with Rexcoda. The future belongs to those who are willing to put in the effort, embrace innovation, and never lose sight of the principles that laid their foundation. For those considering selling or transitioning your business, Rexcoda is committed to honoring your legacy with shared values that serve as the bedrock of our firm, ensuring your business thrives for decades to come.