Invest and Scale
EP38 A Deal Where Both Sides Won: Miller Hilliard on Creative Financing and Preserving a 40-Year Legacy
Welcome to another episode of Invest & Scale! Gabriel Murillo sits down with Miller Hilliard of Surety Bond Solutions, a Baton Rouge surety agency serving construction companies across the Gulf South. Miller wasn’t looking for a deal. It found him through a weekly lunch table of business owners he’d joined with his grandfather since he was a teenager. Miller explains why he walked away from owning a State Farm agency and breaks down his owner-financed earn-out: join as an employee, double the company in five years, then acquire it with no debt overhead. He also covers two years of cold outreach that went nowhere, the COVID-era pivot that broke it open, and how he rewrote his own job description. If you’re an acquisition entrepreneur interested in creative deal structures, seller relationships, or growing through reputation instead of price, this one is for you. 00:55 Growing up around business owners 03:23 Choosing the State Farm path 04:19 Running an agency six months out of college 05:58 The deal finds Miller 06:49 Why retention changed everything 11:00 Luck and being in the right rooms 11:57 The seller’s heart in the deal 15:46 Double the company in five years 17:50 Leaving State Farm 19:29 Telling the team from day one 21:45 Mentors, doubters, and advisors 26:17 Imposter syndrome and constant learning 29:34 COVID and changing the sales approach 35:07 Redefining the owner’s role 39:01 Industry groups and peer networks 41:01 Lessons for the next acquisition 44:35 Final advice for acquisition entrepreneurs 1. Early Exposure to Ownership – From age 15, Miller joined his grandfather’s standing lunch with business owners decades older, and sold RVs through college. 2. The State Farm Route – He worked for a State Farm agent at LSU and entered agent training. When the owner’s daughter died unexpectedly, Miller ran the agency for about a year with no formal authority. 3. An Unexpected Opportunity – His grandfather mentioned Miller’s plans at lunch. The next day, a man from that table called: he wanted Miller to buy his company. 4. Why Surety Stood Out – State Farm lost about 10% of its book yearly. Randy’s agency lost two or three clients in a decade, because surety runs on relationships, not price. 5. The Seller’s Heart in the Deal – Randy had sold once and bought the company back when the buyer failed his clients and employees. This time, protecting them mattered more than the check. 6. An Earn-Out Structure – Miller had five years as an employee to double the company. Then Randy would owner-finance 100% of the sale through an earn-out, terms agreed upfront. No big debt for Miller, and likely a better return for Randy. 7. Transparency With the Team – Employees knew from day one Miller would buy the company. Randy framed it as long-term job security and still serves on the leadership team. 8. Mentors and Advisors – Some called it too good to be true. Miller leaned on mentors, his banker, CPA, and attorney: the paperwork should simply say what both parties already agreed to. 9. Two Hard Years and a Pivot – Large contractors all said “I’ve had my guy for 40 years.” During COVID he targeted brand-new small contractors instead, and the company doubled in about two and a half years. 10. Redefining the Owner’s Role – A new salesperson, a VP, outsourced accounting, and AI automations freed Miller to be the magnet that draws people to the business. 11. Building Through Networks – Miller is active in AGC, the Louisiana Surety Association, EO, Alpha Strategic Partners, and Bros with Goals. He rarely asks for business, focusing on being useful. 12. Looking Ahead – Next he’s targeting local competitors, building creative offers around what matters most to each seller. 13. Final Advice – Borrowing from Alex Hormozi: fear is a mile wide and an inch deep. Take the leap, lean on advisors, and trust your gut.
