Sarasota entrepreneurs buy three Florida companies in six years

For Gavin Broadfoot and Morne Hobson, three just might be their magic number. 

The business partners and natives of South Africa bought their first Florida business, The Upholstery Shoppe of Sarasota, in 2018. In 2022, they purchased Yarnall Moving and Storage Solutions in Sarasota. And just recently, the partners acquired Carpet Source in Winter Park.

The three legacy businesses — which have a collective history of more than 150 years — bring with them not only scores of devoted customers but also the opportunity for reinvention and a cohesive strategy. Each entity might be separate, but Broadfoot, 60, and Hobson, 63, have a plan for how the trio can work together. 

It started with expanding the services provided by The Upholstery Shoppe to include custom furniture, drapery, carpeting and flooring. That meant the shop’s trade clients like interior designers and builders could purchase multiple products from a single outlet.

But the business’s name didn’t convey everything the shop now offered. “We had a lot of customers who had been on our books and been supporting us for many years who had a muscle memory that kept defaulting to upholstery,” says Broadfoot. “To make sure they utilized us for other products, we decided to change the branding to encompass the different items that we presented.”

So the business rebranded to Designer’s Resource of Florida. “We felt the name would give us the edge in terms of being more of a one-stop shop,” says Broadfoot.

In operating that business, the partners were already dealing with the delivery and storage needs that went along with upholstery services. With limited space on the work floor, the company had to make frequent pickups and deliveries and obtain storage units to hold the furniture being upholstered.

They had begun looking into starting their own business to deal with this issue when the opportunity to purchase Yarnall Moving and Storage Solutions became available. Instead of starting from scratch, they would have a ready-made fix for their storage and delivery issues in the form of a well-respected local business.

“It solved our problem of storage, our problem of pickup and our problem of delivery,” says Broadfoot. “We became one of the biggest players in the Sarasota area for receiving, storage, pickup and delivery.”

And When Carpet Source in Winter Park, in Orange County, recently became available for acquisition, Broadfoot and Hobson were ready to make another move. They were already working in the premium carpet and flooring space at Designer’s Resource, which is a Stark Carpet Premium Partner. Acquiring Carpet Source would allow them to expand their reach in that realm across Central Florida and over to the east coast of the state.

Photo by Lori Sax

Each business purchased has required a thorough look at staffing and systems to ensure everything is functioning as efficiently as possible and at the high level desired. When they purchased The Upholstery Shoppe, “we reorganized the place,” says Broadfoot. “I employed a very simple philosophy that was just speed — speed of answering phones, speed of getting proposals out, speed of making contact and speed of getting jobs out. That started to give the market confidence in the new owners.”

At Yarnall, they’ve focused on improving the flow of receiving and dispatch through some equipment upgrades. The owners are also evaluating a new computer system to bar-code items for greater quality control and efficiency.

Purchasing legacy companies comes with benefits and challenges. “We were very fortunate in getting these companies, because due to their longevity they’re firmly entrenched in their various markets,” says Broadfoot, who previously owned an automotive parts manufacturing business in South Africa. “They’re very well-known companies and very well-respected.”

That comes with a bit of pressure to continue those legacies. But lengthy histories also present opportunities for reinvention — and all the challenges that go along with making changes to longtime methods and practices.

“All three businesses require some new blood and some new energy,” says Broadfoot. “But we feel with their foundations and our energy and enthusiasm, we can really grow these businesses and increase our presence.” (They declined to share any financial information or what they paid for the businesses.)

The three companies collectively employ about 60 people, and staffing is the biggest challenge. “We are experiencing some difficulty in finding the right person for the right job,” says Broadfoot.

The pair right now are focused on finding high-quality employees and on linking the three businesses together to streamline costs, efficiencies and service quality. “The acquisition of Carpet Source is quite a big one,” says Broadfoot. “We’ve got a lot of buttoning down to do before we look at anything else. That’s not to say we wouldn’t look at the right projects. But right now, our main concern is for these businesses to talk to each other and make sure the market is fully aware of our capabilities.”

If another acquisition presents itself that’s a good fit, the partners have learned a lot over the years about how best to seize it. “If you do your homework and make sure you’ve got a great transition period with the previous owners, you can have a successful setup,” says Broadfoot. “The ability to see the opportunity, the speed at which you move and the ability to keep the previous owners involved for as long as possible is the secret to your success.”