From bankruptcy to the third largest distributor in the promotional products industry – that’s the transformation of HALO Branded Solutions (asi/356000) under CEO Marc Simon. It’s a phoenix-rising-from-the-ashes story that’s earned Simon universal respect in the market and unceasing praise from his staff.

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Chris Ruvo talks with the 2019 Counselor Person of the Year about acquisition strategy, his business influences and the keys to smart negotiations.

“Our fast-paced growth can largely be attributed to Marc’s roots as an accomplished lawyer, CPA and corporate executive,” says Dale Limes, senior VP of sales at HALO. “His keen ability to see the future, understand opportunities and deliver on them is extremely unique in any industry.”

It is, in fact, so unique that Simon is the first industry executive to ever be awarded Counselor’s Person of the Year award for a second time.

The Ace of Acquisitions
In recent years, Simon has operated on a scale that’s arguably unmatched by other promo industry C-suiters, especially when it comes to spearheading high-profile, revenue-building purchases. “You want your CEO to be the smartest person in the room, and in the 18 years I’ve worked with him, Marc has been just that,” says Terry McGuire, HALO’s senior VP of vendor relations.

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ASI's Andy Cohen interviews Marc Simon, the 2019 Counselor Person of the Year.

Ranked number one on Counselor’s 2018 Power 50 list, which showcases the promo industry’s most influential people, Simon led the negotiation that saw HALO acquire Boost Promotional Branding in January 2019. The prominent Virginia company had been among the larger distributor members of Facilisgroup, a promo industry tech and consulting organization.

The Boost acquisition came fast on the heels of Simon orchestrating HALO’s purchase of two former Top 40 distributors in 2018 – Caliendo Savio Enterprises and Sunrise Identity. HALO also added Chamberlain Marketing Group in 2018 – the year after which HALO acquired American Pacific Promotions, Catalyst Marketing and Michael C. Fina Recognition.

Of the 2017 deals, the Fina purchase was particularly notable, representing an essential step in Simon’s plan to position HALO as a market leader that can provide a gamut of promotional products, recognition items and uniform apparel solutions to customers – all through an integrated offering. Moves like these show a lot has changed over the last two decades at HALO.

“When Marc came to HALO, it was in existential crisis,” says Jonathan Isaacson, president of Top 40 supplier Gemline (asi/56070). “HALO is now a well-respected leader in the industry with a clear value proposition. It’s hard to be anything but impressed with what Marc has accomplished.”

From Near Ruin to Prosperity
As Isaacson alludes to, Simon needed all the business acumen that colleagues attribute to him to thrive at HALO. When he stepped into the CEO role in February 2001, he inherited a company on the skids – a result of mismanagement and related factors that occurred before he was at the firm. Even Simon admits that, at the time he agreed to take the job, he didn’t understand the full scope of HALO’s dire position. Tough decisions had to be made. Simon wasn’t afraid to make them, bulwarked by the belief that the ultimate end would be HALO ascending not just to viability, but prosperity.

He was proven correct. By May 2002, Simon had returned HALO to profitability. In May of the following year, he led the company’s emergence from the Chapter 11 bankruptcy it had entered in July 2001, and negotiated a deal that saw the Illinois-based distributorship acquired by private equity powerhouse HIG Capital.

Beneficial for HALO and HIG, the PE partnership was ahead of its time, foreshadowing what, in recent years, has turned into a proliferation of promo firms turning to private equity investment. Simon has led HALO into subsequent partnerships with other PE firms – the most recent of which with TPG Growth, a California-based company with $14 billion in assets.

“It’s hard to be anything but impressed with what Marc has accomplished.” — Jonathan Isaacson, Gemline

Indeed, members of HALO’s extended management team have received meaningful distributions upon each PE sale – a fact that swells Simon’s heart. “One of the most satisfying achievements has been our success in changing the lives of the families of our management team through the multiple private equity investments made in HALO,” says Simon.

A deep sense of caring for HALO’s people is characteristic of Simon, a north side of Chicago native who had such values instilled in him by his parents – a mother who was an educator and a hardworking father who owned a taxicab company. “Marc always puts his people first,” says Limes. Adds HALO Executive VP Jim Stutz: “Marc’s passion to be certain that each salesperson has the tools they need to be successful – and to align this with corporate goals – is his genius,” says Stutz, who offers a personal anecdote as evidence of Simon’s character. “My father passed away in January,” says Stutz. “When my family saw that Marc made the trip from Chicago to Toledo, OH, on a snowy day to attend the funeral, we all recognized that leadership extends well beyond just achieving business objectives.”

Looking ahead, Simon is eager to build on the gains that have seen HALO increase sales by 114% between 2016 and 2018 while maintaining the family feel that permeates the company. “The more we grow, the more attention we pay to the people who create this growth,” says Simon. “The successes our teams are enjoying inspire me to remain engaged and to continue to support their efforts to continue healthy growth.”