Episode 35: Entrepreneurs at Scale : Dan Silverston founder of The Soho Sandwich Company

In this episode of Entrepreneurs at Scale, Dan Silverston, founder of The Soho Sandwich Company, shares how he turned a failing North London coffee shop into a premium sandwich manufacturer, survived a CVA after the 2008 crash, scaled through focus and culture, and ultimately exited the business. Dan talks candidly about what it really takes to grow in food and hospitality, the power of people‑first leadership, how to get your company “exit‑ready” years in advance, and the emotional reality of selling the business that’s become your identity.Key points from Dan’s story: From coffee shop to manufacturer: Soho Sandwich began as a premium coffee shop in North London; after multiple failed experiments (airline food, catering, retail), Dan focused on manufacturing sandwiches for wholesale, spotting a gap for “coffee‑shop quality” sandwiches in the foodservice market. Lessons from early failure: The original business failed post‑2008 crash due to lack of focus, too many experiments, and over‑reliance on small, risky customers. Dan’s biggest learning: pick one thing, do it well, then move on. Finding a market gap: Dan identified space between cheap, drab, value sandwiches and ultra‑premium offerings like Daily Bread; he built a premium, differentiated product and brand instead of competing purely on price. Bootstrapping and cash discipline: The business was bootstrapped with no external investment, survived a CVA, and rebuilt through strict cash discipline—watching creditors, debtors, and cash at bank “like a hawk”, pricing for margin, and keeping overheads low. People, culture, and key hires: Dan built a people‑first, family‑style culture, celebrating milestones and walking the floor daily. Hiring for culture, not just skills: As the company grew, they formalised a robust hiring process with diverse interview panels, multiple stages, and a non‑negotiable focus on cultural fit—“hire for attitude, train for aptitude”—even when highly qualified candidates looked attractive on paper. Becoming exit‑ready early: Years before a sale, Dan and his advisors improved governance, management autonomy, meeting structures, and data readiness, making the business less dependent on him and more attractive and “exit‑ready” even before a deal was on the table. Hard truths about selling your business: Dan shares the reality of the exit process—limited competitive tension between buyers, underestimating the impact of taxes and debt on the “headline” number, and the importance of having a tough negotiator solely in your corner rather than just relying on general advisors. Emotional aftermath and loss of purpose: Post‑sale, Dan experienced an unexpectedly flat, underwhelming, and emotionally difficult period, with loss of role, purpose, and control as new owners made changes. He stresses the need to plan not just the deal and the number, but your life, role, and purpose after the exit. VALUABLE RESOURCESEntrepreneurs at Scale Podcast - https://www.podomatic.com/podcasts/scalingupScale Up Your Business, coaching/consulting: https://www.scalingup.co.uk/work-with-a-scale-up-coach