Smoke Alarm Testing Services (SATS) specialises in providing a compliance service to real estate agents and property managers. It has been operating for more than 10 years across Australia and New Zealand.
Daniel Kramarzewski joined the business in its formative years. He helped build the business with the founder. He developed a deep understand of what it takes to continually search for excellence. When the business was bought by PieLAB Capital, Daniel was appointed CEO.
In this episode Daniel talks about his experiences of being in a business from its beginning through to its purchase. He describes how he and the team navigated the buyout. Daniel also discusses what he thinks it takes for leaders to be and do their best for the people they lead. He provides his view about what it takes to build a great business, including the introduction of EOS, the Entrepreneurial Operating System.
Transcript
Murray Smith: Scott O’Neill, thanks for joining me on Gripping Business Tales.
Scott O’Neill: Thanks, Murray. It’s good to be here.
Murray: Looking forward to today’s chat—we’re going to talk about the journey of scaling a business with an exit in mind, and how EOS helped along the way. But first, let’s start with your personal and professional bests.
Scott: Alright. Personal best—my wife and I recently celebrated 30 years together. It’s not our 30th wedding anniversary, but 30 years since we met, which is pretty cool. We’ve also just finished renovating our house, so we’re enjoying it now.
Professionally, my best is stepping away from the day-to-day operations of SATS and seeing the business still running really well—probably even better than when I was hands-on. That’s really satisfying.
Murray: That’s huge. It’s hard to let go and not get dragged back in.
Scott: It is. There are moments where I still need to jump in occasionally, but we’re well structured now.
Murray: Let’s rewind. For those who don’t know SATS—Smoke Alarm Testing Services—can you tell us what you do?
Scott: We test and maintain smoke alarms, mainly for rental properties. We work with real estate agencies to ensure their landlords are compliant with legislation. We’ve expanded our services in recent years to include things like water efficiency, blind cord compliance, and safety switches. But smoke alarms are still our core.
Murray: And you’re Australia-wide now?
Scott: Yes. We started in Brisbane and are now national. We’ve got staff and technicians right across the country.
Murray: Where did the idea for SATS come from?
Scott: It actually came from a friend in New Zealand who was running a similar business. I looked into it, and at the time Queensland was about to introduce legislation requiring smoke alarms in rental properties. So I jumped on it, and we’ve grown steadily ever since.
Murray: How long ago was that?
Scott: We started in 2009. So, 14 or 15 years ago now.
Murray: What was your background before starting the business?
Scott: I came from a corporate background—banking, property development, and a stint in government. I’d always wanted to run my own business but didn’t know what that would be. This opportunity came along, and I thought, why not?
Murray: You’ve been on a big journey since then. When did you realise you needed something like EOS?
Scott: About four years ago. We’d grown to the point where we had a leadership team and were doing okay—but we were flying blind in some areas. Everyone had their own way of doing things, and it was messy. I read Traction, and it made so much sense. I started implementing parts of it myself but quickly realised we needed help, so we brought you in.
Murray: What were some of the key changes or results you saw after implementing EOS?
Scott: Accountability was the big one. We got clearer on roles, responsibilities, and priorities. The Level 10 meetings were a game changer—suddenly, we had structure. Also, the Scorecard helped us track performance better. It stopped being about gut feel and started being about real data.
Murray: I remember in one of our early sessions, you said, “I want to work myself out of this business.” That’s not a typical founder mindset.
Scott: That was the goal from day one. I’ve always been open that this wasn’t a legacy business for me. I wanted to build it, get it running well, and eventually step back or sell. EOS helped us make that transition in a structured way.
Murray: And now you’re on the other side. What did the exit look like?
Scott: I sold the business earlier this year to a larger company in the same space. We’d been talking with them for a while, and when the time was right, it all came together. I’m still involved for a period to support the transition, but the day-to-day is no longer on my shoulders.
Murray: That’s a great outcome. What advice would you give someone who’s trying to scale their business and set it up for a potential exit?
Scott: Get clarity on what you want. Are you building a business to keep or to sell? The two require different strategies. If you want to sell, you need systems, processes, and people who can run the business without you. EOS was critical for us in achieving that.
Murray: What’s next for you?
Scott: I’m taking a break! Spending time with family, doing some travel. I’m also mentoring a couple of small business owners, which I really enjoy. Long term, who knows—I’ll probably get involved in another business at some point.
Murray: You’ve got too much energy to sit still! One last question—what was the hardest part of stepping away?
Scott: Letting go. You build this thing from scratch, put everything into it, and then you have to trust others to take it forward. That’s not easy. But seeing the team step up and do a great job has been incredibly rewarding.
Murray: Scott, thanks so much for sharing your story. It’s been great working with you, and I know your journey will resonate with a lot of listeners.
Scott: Thanks, Murray. Appreciate the opportunity.
“Every time we doubled our revenue, you couldn’t just keep adding more an more people and identical infrastructure. You need to stop, pull it apart and put it back together.”