#41 – From the Trenches: Lawsuits, Lessons & a Copier-Dealer Exit (David Prince – Data Branch)

In this From the Trenches episode, David Prince—longtime MSP owner and former CEO of Data Branch—joins Josh Peterson to unpack nearly four decades of lessons from building, protecting, and ultimately selling an MSP. David walks through the shock of being served with an unexpected lawsuit after acquiring a distressed IT business, how the case unfolded over several years, and why the real cost was the distraction and emotional toll rather than just the legal bill. Along the way, he explains how that experience reshaped his approach to contracts, partner vetting, and risk management as he matured Data Branch from hardware-centric work into a recurring-revenue managed services provider.

From there, the conversation shifts to exit readiness: strengthening margins, formalizing leadership beyond the owner, and preparing the business for a successful sale to a copier dealer without losing the culture or brand that clients trusted. David shares practical guidance on arbitration clauses, dispute-resolution language, and the operational systems that make an MSP both resilient to shocks and attractive to buyers—themes that echo BMK’s own perspective on why copier dealers are stronger competitors than many MSPs realize and the role of strategic MSP financial consulting in revenue growth and exit value. For owners thinking about valuation, legacy, or life after a transaction, this episode pairs legal and financial realism with a grounded, human perspective on what it means to keep caring about the business without carrying all the worry. If you want help putting structure around these same decisions, explore how the BMK Vision operating system can support your next chapter.

For MSPs navigating small-business growth and innovation, explore these related articles: how to build profitable service agreements, creating a people-first MSP culture, and improving MSP financial operations through better data.

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Episode Highlights

• 00:06:00 – David shares the shock of being served with a lawsuit after acquiring a distressed IT business.
• 00:10:35 – Breaking down the true cost of the lawsuit—legal fees, distraction, and emotional strain.
• 00:12:52 – Why David now insists on arbitration clauses and clearer dispute-resolution language in contracts.
• 00:17:26 – Selling his MSP to a copier dealer and what that revealed about copier dealers as serious MSP competitors and buyers.
• 00:25:36 – The multi-year process of doubling profitability, building management, and systematizing the business for exit.
• 00:33:48 – Navigating deal uncertainty as the COVID-19 pandemic emerged and how the transaction ultimately came together.
• 00:41:31 – Life after the sale—staying engaged in a reduced role while letting go of day-to-day worry.
• 00:45:10 – Shifting from money as the primary motivator to purpose, impact, and meaningful work.

About the Guest

David Prince is the former owner and CEO of Data Branch, a respected MSP serving Western New York for decades. After navigating an unexpected lawsuit early in his career and adapting through multiple waves of industry change, David transformed Data Branch into a profitable, highly stable managed services provider. In 2020, he sold the company to a copier dealer that retained the Data Branch brand and team, and today he continues to support the organization in an advisory capacity while mentoring the next generation of MSP leaders.

🌐 Connect with David on LinkedIn →

About the Host

Josh Peterson is the CEO of Bering McKinley and host of the BMK Vision Podcast. Through the From the Trenches series, Josh highlights MSP leaders who redefine growth through creativity, resilience, and genuine client connection.

🌐 Connect with Josh on LinkedIn →

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