Acquisitions Anonymous - #1 for business buying, selling and operating

Brokering metal for $47mm a year? - Acquisitions Anonymous 270

Feb 9, 2024

Discover the operations of a $47 million scrap metal brokerage business and its high operational efficiency. Explore the challenges of transitioning such a business to new ownership and the potential for acquisition through apprenticeship. Learn about an unconventional strategy for acquiring a business through gradual takeover of operations and relationships. Discuss the absence of salespeople in metal transactions and the workload involved. Delve into the services and support provided by Acquisition Lab for individuals interested in buying a business.

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Introduction

00:00 • 2min

Reflections on Recording and Posting about Being Laid Off

02:19 • 2min

Scrap Metal Brokerage and Operational Efficiency

03:58 • 12min

Exploring Business Acquisition and Profit Margins

16:05 • 2min

The Absence of Salespeople in Metal Transactions

17:49 • 12min

A Unique Approach to Buying a Business

29:40 • 3min

In this episode of Acquisitions Anonymous, Michael and Heather discuss a successful $47 million scrap metal brokerage business that connects suppliers of scrap metal from various sectors with buyers, eliminating the need for inventory storage. They highlight the company's high operational efficiency, strong supplier and customer relationships, and steady financial growth. The conversation also touches on the challenges of transitioning such a business to new ownership and the potential for acquisition through apprenticeship. The hosts conclude that the business's model, focusing on networking and service, makes it an attractive opportunity for strategic buyers or individuals looking to enter the industry through innovative pathways.

Today's deal comes from Axial. Axial is a trusted deal-sourcing platform serving professional acquirers in the American lower middle market.

Thanks to this week's sponsors!

Acquisition Lab and their team have been longtime supporters of the pod.

Created by Walker Diebel author of Buy Then Build: How to Outsmart the Startup Game, is an accelerator with a highly vetted cohort-based educational and support community for people serious about buying a business.

Acquisition Lab exists to help people buy a business and navigate all the complexities of the process, as well as provide a trusted framework, tools, and resources to support you from search to close.

If you are serious about buying a business, check out acquisitionlab.com or email the Lab's director Chelsea Wood, chelsea@buythenbuild.com.

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