Acquiring Minds

Two brothers took over a 110-year-old business in a stagnating industry. 7 acquisitions later, the future is bright.Key points from Ben's story:Ben Grossman & his brother pivoted their 110-year-old family business from printing to promotional products.The strategy was executed by acquisition: 7 of them from 2013 through 2021.Ben discusses the importance of treating sellers well to build a list of happy sellers that he can show future sellers as a reference.He explains how he uses suppliers to source leads on potential acquisitions.He also explains how to effectively work with business brokers.Reach Ben Grossman at:Follow Ben on Twitter at @bigrossman.He also maintains a personal website that lists all of Grossman Marketing Group's acquisitions at bengrossman.info.LinkedInOfficial episode page & full show notes at AcquiringMinds.co:Pivoting to Swag in 7 Acquisitions

How an online entrepreneur teamed with a family office to acquire & grow a portfolio of 15 websites for over $2 million.Key points from Paul's story:Paul Lemley teamed with a family office to source, acquire, and grow a portfolio of websites.They ultimately acquired 15 sites across 3 acquisitions, spending between $2 and $3 million in total.Paul highlights 5 lessons from this recent foray into the website deal world.Reach Paul Lemley at:@palemleyThe flagship of his acquisition, RunnerClick.comLinkedInOfficial episode page & full show notes at AcquiringMinds.co:5 Lessons from Acquiring a $2m Portfolio of Websites

Rick Schmitz was an inexperienced 22-year-old with no money when he acquired a run-down ski resort and turned it around.Key points from Rick's story:Rick Schmitz was a 22-year-old graduating senior uninterested in pursuing a career in finance.He saw a small ski resort for sale in his native Wisconsin. It had been on the market (and losing money) for 5 years.Negotiated the original list price down from $1m to $625k.Most banks rejected him outright for a loan, but gradually he cobbled together the purchase price.17 years later, Rick has acquired and operates 2 other resorts in the upper Midwest.Reach Rick Schmitz at:LinkedInHis first acquisition, ‍Nordic MountainOfficial episode page & full show notes at AcquiringMinds.co:How to Buy a Ski Resort at Age 22

In just 9 months, Mike Botkin decided to acquire a business, negotiated a great deal, and dramatically improved profits.Key points from Mike's story:B & B Landscaping was generating around $800k in annual revenues.Acquired it for 2x of SDE.Paid 50% cash up front, then the remaining 50% was seller financed with a 4-year loan at zero interest.Turns out a third of customer accounts are unprofitable, costing the business money & weighing down margins terribly. Money-losing customers are let go, and prices raised for many others.In 9 months, acquisition entrepreneur Mike Botkin has the idea to buy a small business, negotiates a great deal, learns the business, and boosts profits dramatically.Reach Mike Botkin at:@MikeBotkin_LinkedInHis acquisition, B & B LandscapingOfficial episode page & full show notes at AcquiringMinds.co:How to Buy a Landscaping Biz & Boost Profits Quick

Nick Haschka left a Silicon Valley career and bought an office plant service in 2017, then acquired 9 more through 2021.Key points from Nick's story:The Wright Gardner was doing $1-2m in annual revenue, with margins in the 20% range.Acquired the business in 2017 for ~3x of SDE.Used SBA for 65-70% of the purchase price, 15% seller financing, and cash for the rest.Four months after acquisition, SBA banker came to them with another indoor plant services business looking to sell. Acquired that business, plus 8 others since then.Acquired businesses average a couple hundred thousand dollars in annual revenue, though some as small as $100k. All asset purchases.Reach Nick Haschka at:@nickhaschkaLinkedInHis first acquisition, The Wright GardnerHis community for entrepreneurially-minded SMB operators at https://operators.mn.co/.Official episode page & full show notes at AcquiringMinds.co:How One Small Acquisition Led to 9 More in 5 Years

How first-time acquirer Philippe Vanderhoydonck found a 30-year-old trade media business & bought it in under 3 months.Reach Philippe Vanderhoydonck at:LinkedInHis acquisition, PETS InternationalKey points from Philippe's acquisition:PETS International is a 30-year-old trade publication that publishes 6 magazines and hosts 2 conferences per yearGenerates 20-35% margins on low-seven-figure revenuesOpportunity is to expand online presence and product offeringAcquired for low seven figures, a 3x multiple of annual earningsAcquisition went very quickly, only about 10 weeksOfficial episode page & full show notes at AcquiringMinds.co:How to Acquire Your First Business in 3 Months

How former management consultant Scott Whitt acquired and grew a small clinical trials business into the millions.Key points from Scott's acquisition:Triad was generating $850k in revenues & large 70% marginsScott acquired it in 2015 for 3.5x earningsUsed ROBS for part of the acquisition financingGrew revenues to $3m in 5 yearsPredicts business can grow to $6-7mReach Scott Whitt:[email protected] acquisition, Triad Clinical TrialsOfficial episode page & full show notes at AcquiringMinds.co:Buying a Clinical Trials Firm & Growing It to $3m

Tyler Deike bought a small manufacturer for the cost of property & equipment, making the business itself almost free.Key points from Tyler's acquisition:Blackhawk Fiberwerx was doing $500k in sales with $100k in profitSeller was a retiring and overwhelmed 80-year-oldTyler couldn't due-diligence the deal to death — had to "cross fingers and dive in"Huge margin of safety. Business was selling for the combined value of its assets, so if business collapsed Tyler could recoup loan by selling assets.SBA wouldn't make a loan without soil testing the land, so Tyler got a loan from a small regional bankReach Tyler Deike:LinkedInTyler's acquisition, Blackhawk FiberwerxOfficial episode page & full show notes at AcquiringMinds.co:Buying a Manufacturer for Just the Value of Assets

Mike Yarmo bought a struggling distributor & turned it into a local powerhouse in a different niche — then sold for 5x.Key points from Mike's acquisition:Owner was disengaged, retiring, and looking to sell his food distribution companyCompany was 25 years old but had terrible marginsMike & team acquired for low 7 figures, or ~2x earningsPivoted the company, grew aggressively over next few yearsSold 5 years later for 5x earnings, and 5x original acquisition priceReach Mike Yarmo:On Twitter: @michaelyarmoSubscribe to his newsletterOfficial episode page & full show notes at AcquiringMinds.co:How to Buy a $2m Dying Business Then Sell It for 5X

How a 9-month search was rewarded by the discovery of 2 tiny e-commerce companies primed for growth.Key points from Justin's acquisitions:Acquired first company for $160k, or about 3x earningsGenerated $200k in revenues during first 6 monthsRepresented more than a 3x year-over-year increaseAcquired 2nd co with 100% seller financingPlans to 10x both cos value in 3 yearsReach Justin Harris:LinkedInJustin's two acquisitions:Walter & RosieSTACK CandlesOfficial episode page & full show notes at AcquiringMinds.co:Doubling Revenue 6 Months after Acquisition