A lender and a searcher explain how to quickly identify a business you should NOT buy, saving you months of wasted time. Themes from Ryan & Heather's interview: Killer #1: Valuation Killer #2: Stupid Margins Killer #3: Going Too Small Killer #4: Bolt-on vs. Platform Killer #5: Competing with Private Equity Killer #6: Geography Killer #7: Red Flags Killer #8: Needs to Support Leverage Links & mentions: 15 Time Killers in SMB Search - full document from Live Oak All of Live Oak Bank's sear...
Jun 28, 2022•1 hr 7 min
Alex Michael bought a wallet brand doing $650k on Amazon. Alex delves into how FBA works & what the growth levers are. Themes from Alex's interview: Why ecommerce? Difficulty competing to buy an ecommerce business Process of a ecommerce acquisition with a Quiet Light listing Anatomy of the first call with a seller How to be a good buyer What to say to a seller in a competitive environment Diligencing an ecommerce business Cost breakdown of an FBA business Supply chain risk in ecommerce Promo...
Jun 21, 2022•59 min
Multiples for ecom businesses jumped 50% since 2018, but Quiet Light's Joe Valley says that trend is about to reverse. Themes from Joe's interview: The ecommerce buying mania of 2021 2 pieces of advice for acquisition entrepreneurs looking at ecommerce How ecommerce multiples will change How ecommerce deal terms will change Seller financing in ecommerce Future of the ecommerce aggregators History of the ecommerce aggregators Reach Joe at: LinkedIn joe at quiet light dot com **** Register here fo...
Jun 20, 2022•58 min
How James Maxwell & his partner found a 22-year-old janitorial biz & successfully installed a GM in a city of 100,000. Themes from James' interview: Searching in a small market Choosing NOT to outsource due diligence Janitorial business pros & cons Partnered search What deal flow looks like in a 100k city Hiring a general manager Does an MBA help with buying a business? Why self-funded over traditional? Reach James at: LinkedIn Twitter jmaxwell 814 @ gmail dot com Get complimentary d...
Jun 14, 2022•1 hr 11 min
Business broker Clint Fiore explains how to most effectively work with brokers to find good businesses to buy. Themes from Clint's interview: Brokers' pet peeves about acquisition entrepreneurs... ...and how to avoid them Most important thing you communicate to a broker Life cycle of a business for sale Searcher branding The reality of the "silver tsunami" Seller psychology The master skill right now for buying businesses Reach Clint at: Twitter LinkedIn Get complimentary due diligence on your a...
Jun 07, 2022•1 hr 10 min
Alex Mears draws on years of experience at Carlyle & Blackstone to support and invest in searchers (70 & counting). Themes from Alex's interview: The most valuable businesses of all Attractiveness (or not) of home service businesses Seller integrity When to require speaking with key employees Thesis-driven search Search accelerators New accelerator The Brydon Group Alex's pivot to entrepreneurship: why now? Reach Alex at: alexander dot mears @ brydon dot com LinkedIn Twitter The Brydon G...
Jun 02, 2022•1 hr 8 min
Jason Andrews paid $250k to a buy-side advisor to help find & acquire his first business — and would 100% do it again. Themes from Jason's interview: Paying a premium for a good business Working with a buy-side advisor: price, value, what they do Speaking to 30 sellers Buying a business in your 40s Taking a big swing Where he invested his time during due diligence Whether he was "buying a job" The consulting agreement he structured with the previous owners Buying big or buying small Going fr...
Jun 01, 2022•1 hr 6 min
Chelsea Wood has worked with 250+ business buyers & identifies 7 challenges that commonly interfere with their success. Themes from Chelsea's interview: The irrational need to be an expert on every part of your acquisition Incessant need for more, more, MORE information Good ol' imposter syndrome You don't brand yourself You're too rigid You're too loose, get desperate You don't put in the effort for deal flow Reach Chelsea at: chelsea at buythenbuild dot com LinkedIn Get complimentary ...
May 23, 2022•47 min
How Chris Munn runs his first acquisition, a $800k cleaning business in Tampa, while being based in LA. Themes from Chris’s interview: Real estate vs. small business acquisition The importance of getting reps — modeling deals as practice for the real thing Running an acquired business remotely Buying a business that’s too small Being an African-American man and dealing with “pattern matching” from banks How Chris gained 30k followers in six months Reach Chris at: On LinkedIn: Chris Munn On Twitt...
May 16, 2022•1 hr 3 min
Ex-cop John Hubbard bought a $5m trailer manufacturing biz from an absentee owner & expects to grow to $12m by 2024. Themes from John’s interview: Learning how to run a business, hands-on, before acquiring one Transferring military skills to business acquisition Raising money on Searchfunder.com Asking “dumb questions” to learn quickly Choosing self-funded over a traditional search fund to achieve the lifestyle he wanted Firing half his customers in the first month of ownership Why your sear...
May 09, 2022•49 min
Digital business buyer Dom Wells shares where he looks for opportunities today in the shifting sands of online business. Themes from Dom's interview: Affiliate, e-commerce, and SaaS businesses and each one's pros/cons Online course and content businesses Where Dom sees opportunities in digital acquisition How to source deals Leading brokerages of digital businesses Flippa & MicroAcquire How to approach the digital space as an outsider Connect with Dom: Twitter: @DomWellsOnfolio LinkedIn: Dom...
May 02, 2022•51 min
Mike Loftus started his landscaping business from scratch, then began buying others to accelerate growth to $4m/yr. Themes from Mike’s interview: Growing a landscaping business organically from the ground up Acknowledging your weaknesses and handing them off as soon as you can The advantages familiarity with technology bring despite a lack of experience Finding acquisition opportunities through unconventional methods The importance of recurring revenue in landscaping The potential exit opportuni...
Apr 25, 2022•57 min
Lively debate between Greg Geronemus & Robert Graham about the 2 most common models searchers use to acquire a business. Covered in the debate: Quick definitions of each model How the economics differ Why are traditional search fund terms so fixed? CEO vs. Owner Accountability, governance, boards, mentoring Flexibility & optionality Relative risk of both models Probability of close Probability of success Assembling the board as a self-funded searcher Is either model preferable for partic...
Apr 18, 2022•59 min
How Keith Leimbach paid 6 figures for a business he saw on QuietLight, then exited for 8 figures two years later. *** Register for live episode here: https://bit.ly/3r6P1bD *** Themes from Keith’s interview: The difference between buying and starting a business It’s never “just add marketing,” even when it seems like it is Growth by creating new products that customers are telling you they want Not being afraid to outsource or delegate Why Amazon FBA businesses aren’t for everyone The Smash My T...
Apr 11, 2022•1 hr 13 min
Due diligence expert Elliott Holland looks at industry & owner/seller risk, and exactly what you can do to address them. *** Register for live episode here: https://bit.ly/3NGoSKa *** How to reach Elliott: Guardian Due Diligence LinkedIn
Apr 07, 2022•27 min
After big success with affiliate marketing online, @Gundwolf sought to acquire & build a more durable business. *** Register for live episode here: https://bit.ly/3tXHIEH *** Themes from @Gundwolf’s interview: Appeal of durable offline businesses vs. online marketing businesses Getting up at 4am to work 4 hours before going to day job Achieving success in the affiliate marketing world @Gundwolf’s personal philosophy of goals Not being taken seriously as a 24-year-old Protracted acquisition p...
Apr 04, 2022•1 hr 5 min
Nathan Lenahan acquired an HVAC company with ~$1.2m in revenue for $400k. He's aiming to double sales in 2022 to $2.72m. Themes from Nathan’s interview: The appeal of HVAC over other businesses in the trades All the numbers behind Nathan's acquisition Benefits of “buying small” in the SMB acquisition world High professional satisfaction for skilled trades Acquiring an HVAC business without industry knowledge The importance of first-rate customer care Leveraging multiple acquisitions to create a ...
Mar 28, 2022•46 min
This is the rebroadcast of a panel that Acquiring Minds recently moderated at the annual ETA Summit at MIT. MIT's panel description: "First do no harm, then pull on the growth levers." Should you wait to make changes? Or take every opportunity you see? How and when should you make changes to your team or to your organizations that will help you get the most out of your organization? Speakers: Trish Higgins - Partner, Chenmark Holdings; CEO, Cap’n Fish Holdings. Trish Higgins is a founding partne...
Mar 24, 2022•54 min
Having witnessed the power of clean books, Patrick Dichter was driven to buy a $1.2m bookkeeping & accounting business. Themes from Patrick’s interview: The appeal of bookkeeping for acquisition entrepreneurs Seeing the power of clean books to transform a small business Messaging used to reach out to owners of accounting & bookkeeping firms Definition of bookkeeping vs. accounting What it’s like to acquire a bookkeeping business when you’re not a CPA Industry- and geography-specific sear...
Mar 21, 2022•58 min
George Vallone unpacks how he used cold outreach to find an off-market cleaning biz doing $1m and buy it for 2x EBITDA. Themes from George’s interview: Prioritizing recurring revenue in the search criteria The importance of messaging when approaching business owners Using a funnel approach in the search The differences between residential cleaning and commercial cleaning The economics of apartment turnover Using customer service as a marketing tool Getting a good deal by betting big How to avoid...
Mar 14, 2022•1 hr 8 min
Before embarking on his search, Alex Glasner interviewed 50 searchers & uncovered 2 key attitudes necessary for success. Themes from Alex’s interview: Wanting to run a business, but not knowing where to start Learning from people whose searches failed The importance of moving quickly with sellers Buying a mission and not just a job The value of being decisive in a search Merging proprietary and brokered search styles Pausing to understand the business before making another acquisition Reach ...
Mar 07, 2022•45 min
Looking to buy a part-time online biz as he neared retirement, Dave Bramlett found it in a resume service doing $1.5m. Themes from Dave's interview: Making a career of buying small businesses Buying a functioning business allows for immediate cash flow Finding businesses on BizBuySell Bring in the experts for due diligence Maintaining a positive relationship with the seller Know your strengths as a buyer Always be open to new businesses for sale Reach Dave at: dave at resume writing group dot co...
Mar 03, 2022•33 min
Brandon Adams bought a $850k EBITDA ice delivery company only to discover he'd be doing deliveries himself for 6 months. Themes from Brandon's interview: Doing a local proprietary search Identifying brokers you can trust Managing purchase price after an anomalous year The silver lining of a due diligence oversight Being a great leader as a new owner The appeal of owning businesses in various industries Reach Brandon at: brandon at k4inv dot com...
Feb 28, 2022•57 min
Damon Chlarson had 3 key criteria, and he found them in an insulation supplier doing $380k EBITDA and selling for $1.1m. Themes from Damon’s interview: Defining your acquisition criteria Finding your niche in the market Imagining yourself doing the job before buying the business Tapping into people’s talents Mental health and business success Finding opportunities in times of crisis Looking back and growing ambition Reach Damon at: @LumberyardDamon...
Feb 22, 2022•49 min
Frustrated after losing 3 jobs, Bruce Vann used savings to acquire a 25-employee, 7-figure curtain manufacturer for 2x. Themes from Bruce’s interview: Paying 2x for a growing 70-year-old business Buying a business to pull out of a career rut Why finding a business is like a full court shot The need for persistence Abandoning a proprietary search because of seller overvaluations Chasing down leads and not becoming complacent The importance of documenting business processes in case of sudden staff...
Feb 14, 2022•54 min
After seeing 9-figure businesses built through acquisition, Adrian Pinto bought a landscaping biz to build one himself. Themes from Adrian’s interview: Buying a $3-5M landscaping business with 15-20% margins Paying 3x, but rapid growth making it more like 2x What a buy-side advisor is and when it might make sense to work with one How COVID helped his search process Why doing his own search was less stressful than a traditional search would have been The excitement versus the reality of acquiring...
Feb 07, 2022•1 hr 12 min
The 3 founders of Chenmark left promising corporate careers to pursue a multi-decade path of acquiring small businesses. Themes from the interview with James & Palmer Higgins: Why the Chenmark founders decided to do this Lessons learned from 30+ acquisitions How the founding thesis is performing 7 years in The value of an "extreme delayed gratification muscle" Intellectual stimulation in corporate life vs. small business Buying big vs. buying small How has competition in search evolved over ...
Jan 31, 2022•1 hr 16 min
With 4 acquisitions since starting in 2018, Justin Turner explains how his team is building a permanent equity holdco. Themes from Justin’s interview: The appeal of holding on to companies for a longer period Why buying a $4-5M business might be easier than buying a $1M one Letting the seller relationship develop naturally Why paving companies make great acquisitions Waiting to finalize the equity until after the deal is in hand Setting acquisitions up in a holdco structure Reach Justin at: j tu...
Jan 24, 2022•44 min
@Fundof1 was searching for a business in a tight geography, and found a great fit in a $760k appliance repair company. Themes from John’s interview: Buying a $760k appliance repair company How to balance very specific search criteria Choosing a steady industry Walking into a business with an established sense of community Deciding between using investors or not Focusing on improving the business rather than day-to-day operations Remembering to have fun Building trust with employees who don’t wor...
Jan 18, 2022•46 min
Knowing zero about manufacturing, Josh Paulson found purpose when he bought a small & struggling producer of pet cages. Themes from Josh's interview: Owning the business saved his life What manufacturing is like Firing all but 1 employee (who spoke little English) Reducing the product line from 2000 SKUs Rebuilding a business with limited resources Reach Josh at: Quality Cage...
Jan 13, 2022•50 min
