As Vermillion Systems expanded, the internal culture didn’t evolve by accident. In the beginning, the small team was unified by shared values. But maintaining that cohesion as the company grew required conscious effort and tough decisions.
“We got off track a few times and had to make hard decisions to remove people who were good at their work, but bad for the team,” Vermillion said. “It’s important to remove toxic people from any team as quickly as possible.”
To guide hiring and business decisions, they formalized core values: serving others, doing the right thing, having fun, a can-do spirit and candor. Upholding these values wasn’t just a matter of internal harmony, it proved to be a competitive differentiator.
“The deepest and most loyal customer relationships that we had were, in many cases, strained at some point,” he said. “It really isn’t about the mistakes you make, but how you respond and fix them.”
Over time, the company became defined not by a specific technology or business model, but by its unwavering commitment to doing the right thing. Vermillion emphasized that what truly set them apart was how they handled challenges, especially when customer relationships were tested.
That philosophy required taking ownership even in difficult situations. Whether the issue stemmed from internal missteps or unmet expectations, the company focused on making things right, regardless of who was technically at fault.
In one notable access control project, Vermillion’s team was several hundred labor hours in when a technician realized they had installed a cable that didn’t meet the project specifications. Although the system would have functioned properly and the customer was unaware of the issue, the team chose to disclose the mistake and redo the work. What could have been a serious blow to their credibility instead became a defining moment that reinforced the company’s core values of honesty and integrity.
“Sometimes it was painful and costly,” Vermillion admitted, “but I knew it was our responsibility to make it right and we made every effort to do so.”
A turning point: Seeking the next challenge
After 25 years, Vermillion found himself at a professional crossroads. He loved the industry, but the time felt right for a new challenge and more personal freedom. Still, he wasn’t about to sell the company to just anyone: “I wanted to find a buyer who would be able to build on what I started and provide opportunities for my team beyond what I was able to offer on my own.”
That search ultimately led to a deal with Pye-Barker Fire & Safety, which acquired Vermillion Systems in May 2024. The move marked a defining milestone in the company’s journey and set the stage for a new chapter, not just for Vermillion, but for his entire team.
Vermillion spoke with several local, regional and national firms active in security M&A before making his decision. What ultimately set Pye-Barker apart wasn’t size or market share. Nearly everyone he interacted with had come from a family-owned, entrepreneurial background, and the conversations were marked by a level of candor he hadn’t experienced elsewhere. That cultural alignment, paired with a shared commitment to customer care and employee opportunity, made the decision clear.
“It has been awesome to join a team that not only values but encourages continuing to do business like a family-owned entrepreneurial operation, not a large corporate entity,” he expressed. “I knew 25 years earlier that I didn’t enjoy working in that kind of environment and didn’t want that for my team or customers after I decided to exit the business.”
Like many business owners, Vermillion was deeply invested in how the acquisition would impact his team. Some employees voiced concern that the unique culture they had built would be lost in the transition. But more than a year in, the change has largely validated his trust in Pye-Barker’s approach.
“It’s been great to see several on the team take advantage of growth opportunities within the company that could have never happened without being part of a bigger team,” he said.
Helping other owners navigate M&A
Now serving as vice president of business development on Pye-Barker’s M&A team, Vermillion finds himself on the other side of the table, advising owners who are contemplating the same kinds of decisions he faced not long ago.
“I now get to work with other business owners who are considering an exit from their business and share my story,” he said. “It’s been awesome to hear the same concerns that I had and walk them through the process and my experiences.”
He offers guidance on due diligence, integration, employee and customer transition and — perhaps most importantly — what life can look like after letting go of day-to-day operational responsibilities.
“I understand the business, the challenges and rewards of owning and operating the business, and the concerns around selling their business,” he expressed. “I have lived it and can tell my story with full candor and genuine excitement.”
Lessons from the trenches
For other integration company owners who may be eyeing growth, sale or succession, Vermillion offered several key takeaways.
“Focusing on building a capable team and then getting out of their way is the first step to successfully building a business that has value,” he said.
Buyers are often hesitant to acquire businesses where the owner handles all the decision-making, Vermillion explained. Building a strong, self-sufficient team and streamlining operations can significantly enhance the company’s value when it’s time to sell.
He also emphasized understanding financial fundamentals, especially recurring revenue and EBITDA. “It’s very important to build value,” he noted. “The diligence requests will include corporate, contract, financial, legal, insurance, HR, IT and other business information as well as a quality of earnings assessment.”
Vermillion urges owners to find a mentor or someone who has been through the M&A process, stressing how valuable it can be in preparing for what’s ahead. “The process can be daunting if you’re not prepared,” he said, “and it is very helpful to work with someone who can provide guidance.”
The role of independent integrators
While consolidation continues to reshape the security and life safety ecosystem, Vermillion remains optimistic about the future for independents.
“There will always be opportunities for independent integrators who can deliver a more personal experience if they are willing to work hard and are committed to quality and service,” he said. “When large companies make acquisitions poorly, new opportunities arise to gain market share in those markets and are most easily acquired by the established independent integrators who are already there.”
For those who aim to grow, his advice is clear: focus on your strengths, build a strong team, and don’t try to be everything to everyone.
“Integrators should commit to doing what they are best at and stay focused on that business,” he advised. “Too often integrators try to do too much and end up not being very good at any of it. Adjusting to changes in industry trends is also very important.”
