Luke Tobin, Founder of Tobin Capital and the Unusual Group, on Scaling Agencies and Achieving Better Exit Multiples
Luke Tobin, Founder of Tobin Capital and the Unusual Group, on Scaling Agencies and Achieving Better Exit Multiples
Luke Tobin, entrepreneur, investor, and ex-founder and CEO of Digital Ethos, that sold for 8figures in late 2022, discusses his latest venture, theUnusual Group. Designed to help agencies scale more effectively and achieve stronger exit multiples, the Unusual Group combines investment, operational expertise, and strategic guidance. In this interview, Luke shares what makes his approach different, the challenges agencies face today, and his perspective on the current mergers and acquisitions (M&A) landscape.
Can you tell us what inspired you to launch the Unusual Group, and how it connects with your work atTobin Capital?
Unusual Group was born while I was building Digital Ethos. We achieved one of the fastest agency growth-to-exit stories in UK history, from inception to an eight-figure exit in under five years. After the sale, I became Co-CEO of the larger group, leading 900 staff across eight international markets.
It was clear to me that a big part of that company’s success came from having access to institutional-grade back-office services, the kind of finance, operations, and tech infrastructure most independent agencies can’t afford. That’s when it clicked: if I could give ambitious, hungry founders access to that same level of infrastructure, plus the right guidance and peer network, we could make waves.
Too many founders lack the tools to scale for sale. Unusual Group exists to fix that, building acquirer-ready businesses while founders retain control.
The name itself is intriguing. Why “Unusual Group”? What makes your approach unusual compared to traditional investors or accelerators?
We’re unusual because we don’t extract value, we multiply it. Traditional private equity firms buy majority stakes and strip out costs. Accelerators give advice but little operational muscle.
Unusual Group takes minority stakes and instantly plug agencies into shared services, AI-readiness programmes, and enterprise-grade infrastructure. Founders keep control while reducing overheads and gaining access to a peer community solving the same problems.
Having built and sold multiple agencies, and run a 900-person global business, I know what actually moves the dial. We’re operators who’ve lived it. That’s what makes us unusual, and why agencies choose us over traditional investors.
Agencies often hit a ceiling when trying to grow. What are the biggest challenges you see, and how does the Unusual Group help them overcome these barriers
The ceiling is predictable, it hits around £1–2m revenue. At that point, the founder is still selling, delivering, and managing. They can’t afford a proper FD, ops director, or the tech stack needed to scale.
At Digital Ethos, and later in a global group, I saw firsthand how institutional-grade back-office services break that ceiling. With Unusual Group, our agencies share CFOs who specialise in agency metrics, access enterprise tools at startup prices, and most importantly, learn from peers. When one agency cracks AI-powered workflows, all twenty benefit immediately. That network effect accelerates growth and de-risks the journey.
A lot of founders are focussed on the exit journey. What factors separate a standard exit from one with a higher multiple?
What separates a standard exit from a standout one isn’t just strong fundamentals. It’s differentiation. In today’s agency landscape, buyers want to see what makes your business scalable in a disrupted sector.
That might mean a standout client experience, processes that reduce reliance on headcount, or smart use of AI to cut inefficiency. These are the signals that tell buyers your agency can outpace the market.
The fundamentals still matter: recurring revenue, a balanced client base, and operational maturity. But those are the minimum every buyer expects. The premium multiple comes when you go beyond the basics and prove you can scale differently.
That’s the work we do with founders: building resilience, creating distinct advantages, and making agencies irresistible to buyers.
How does the Unusual Group specifically prepare agencies for acquisition?
We look at the agency through a buyer’s lens. That means tightening financial reporting, ensuring strong governance, and building a management team that can lead.
We also help sharpen market positioning so the agency is seen as an expert in its niche. The combination of operational discipline and strategic clarity is what buyers want to see, and it is what drives stronger outcomes at exit.
What are acquirers looking for in agencies right now, and how does your model help align founders with market expectations?
Buyers today want agencies that are more than service providers, they want strategic partners. Digital capabilities are in high demand, as is expertise in areas like AI, data, and specialist verticals. Acquirers are looking for predictable growth and a clear value proposition.
The Unusual Group helps agencies align with that by embedding technology, building strong processes, and refining their niche. It is about making them stand out as a must-have acquisition.
Let’s talk about the broader market. How would you describe the current climate for agency M&A? Is it more of a buyers’ market or a sellers’ market?
It is balanced, but buyers are definitely more selective than they were a few years ago. There is still strong appetite from private equity and networks, but they are no longer paying inflated multiples for average businesses.
Agencies with solid fundamentals, recurring revenue, leadership strength, and differentiation, are still seeing healthy valuations. For sellers, that means preparation and positioning matter more than ever.
Have you seen a shift in valuations or multiples over the last few years? Where do you see them trending?
Yes, valuations have cooled since the highs we saw during the pandemic. Generalist agencies are struggling to achieve what they once did, but specialist agencies, whether in performance marketing, healthcare, or e-commerce, are still commanding strong multiples.
We will see continued demand in high-growth, niche areas. Buyers are happy to pay more when an agency demonstrates expertise and resilience.
Are there specific sectors or verticals within the agency world that you expect to see consolidation in?
Consolidation is happening most in areas with high demand and fast-moving technology. Performance marketing and e-commerce remain hot, and we are seeing a surge of interest in AI-driven creative and data-focussed agencies.
Regulated industries like healthcare and finance are also attracting attention because the barriers to entry are high. Buyers want capability and scale, and acquiring specialists is often the fastest route.
How are macro factors such as AI adoption and economic uncertainty affecting deal flow?
AI is reshaping client expectations and agency models. Buyers are looking for agencies that are ahead of that curve, not playing catch-up. On the economic side, uncertainty means acquirers are more cautious. They want to see resilience, diversified revenue, strong leadership, and clear positioning.Agencies that can prove those qualities are still getting deals done and often at impressive valuations.
If an agency founder is interested in getting support, how can they engage with or join the Unusual Group?
We are always open to conversations with ambitious agency founders. The first step is usually a discovery discussion where we learn about their goals, challenges, and vision for the future. From there, we can assess whether partnership makes sense, whether through investment, strategic support, or access to the wider ecosystem we are building.
Agencies do not need to wait until they are ready to sell. In fact, the earlier they start preparing with us, the more value we can help them unlock.
Finally, what advice would you give to agency founders today who want to achieve a successful exit in the next three to five years?
I would focus on four things. First, build a leadership team that can run the business without you, buyers pay for independence.Second, diversify revenue and lock in recurring income streams where possible. Third, own your positioning. Agencies that try to be everything to everyone rarely achieve strong multiples. Niche focus, predictable revenue, and leadership depth are crucial. Fourth, Balance AI with human experience, embrace AI to improve efficiency and margins, but never lose the personal client relationships that make agencies sticky and valuable.
If you get these right, you will scale faster and achieve a far stronger exit.
The Unusual Group exists because scaling an agency is hard, and exiting well is even harder. Too many founders leave value on the table because they do not prepare early enough. Our mission is to change that. By combining investment with hands-on expertise, we help agencies unlock their full potential and achieve exits that reflect the true value of what they have built.
For agencies seeking to drive growth, enhance resilience, and secure stronger exit multiples, the Unusual Group is now open to conversations. Find out more atwww.unusualgroup.com.
