Hi Reader When private equity professionals move into SMB acquisitions, they often find it frustratingly “unprofessionalized.” I couldn’t agree more. Beyond brokers, you’ll encounter a range of advisors—from real estate agents to side-hustling lawyers to certified M&A intermediaries—each with their quirks. And seller teams can bring unusual demands. Here’s how to handle some of the more surprising ones: 1. PA Up Front Demand: “Only serious buyers submit a Purchase Agreement (PA) upfront, not...
28 days ago • 3 min read
Hi Reader As you stand on the brink of acquiring a new business, the checklist of due diligence items can seem endless. Yet, there's one area that could make or break your investment: cybersecurity. In an era where digital threats loom large, understanding the cybersecurity landscape of your target company is not just advisable; it's essential. I'm definitely no cybersecurity expert, so today I'm excited to share some wisdom from my friend and colleague Josh Moulin, founder of Natsar, a...
about 2 months ago • 6 min read
Hi Reader Have you considered buying a licensed home services business like HVAC, electrical, or plumbing? If so read on. This issue is for you! How to Handle License Continuity When Buying a Home Services Business with SBA Financing Home services businesses are some of the best “boring” businesses to buy. Margins are solid, supply is low, barriers to entry are high, and demand is strong—possibly getting stronger if the economy weakens. But, there’s a catch: licensing. If you’re not already...
3 months ago • 3 min read
Hey Reader Happy Saturday! Here's what I've been cooking up for you. Yesterday I got together with a couple of good friends and colleagues in the SMB acquisition space (Matthias Smith from Pioneer Capital - one of the best SBA brokers in the space; and Chris Barrett of Midwest CPA - a top QoE provider) for an unscripted chat. We shared recent deal experiences, intel, and tips on topics including: Net Working Capital SBA underwriting Diliigence traps Getting under LOI What has been killing...
3 months ago • 1 min read
"10 out of 10 searchers say that broken deal fees are a serious damper to their acquisition efforts." Would you agree? There’s nothing like a deal breaking after you’ve spent $30K, $40K, or even more, to make you question the ETA process. Fortunately, with a bit of careful planning, we can drastically reduce the chances of incurring broken deal fees. After successfully closing over 80 deals and advising on many more (including many that died partway), I’m sharing my best tips for minimizing...
4 months ago • 4 min read
"We will only entertain an offer if you agree to provide an 'earnest money deposit'," says the broker. You really like the business but don’t like the idea of risking $10K, $20K, or even $50K out of the gate. What do you do? This short, sweet issue is your playbook for handling this scenario. Learn how to keep the deal, protect your money, and do it all with a straight face. Here are my recommendations on how to deal with a request for a deposit by a business broker. These are provided in...
4 months ago • 4 min read
Hi Reader I'm sure you've heard the phrase that "time kills deals." Well it does. Especially in the summer when sellers can easily get annoyed and decide to go golf and vacation instead. Today I'm going to share 12 of the craziest obstacles that have actually delayed my deals. I'm also going to give you the best tips to avoid these obstacles. Ready? Here they are. 1. Landlord Waiver When using an SBA loan to fund your acquisition, securing a landlord waiver can be tough. If the business...
5 months ago • 5 min read
Hi Reader Buying a Business: Tips for Protecting Your Investment Buying a successful business is still the best way to leave the rat race and write your own ticket. But it's not without risk. One major risk is underperformance. The best way to set your purchase price is by reviewing the business’s past performance. Problem is, if business declines—whether due to faulty data or other factors like economic downturn—you could end up in a tight spot. Luckily, there are powerful deal techniques to...
5 months ago • 3 min read
Hi Reader Have you ever considered hiring overseas talent? Whether you have or haven’t, you’re going to want to read today’s issue. I’ve teamed up with my friends at Vintti, one of the top up-and-coming recruiting agencies that helps US-based business recruit talent from South America. I’m very picky about my partnerships - which is why I’m thrilled to partner with Vintti. I recently used their services to hire a paralegal from Argentina. My experience - both the timeframe and the results,...
6 months ago • 6 min read
