Think Big, Buy Small Season Three Questions and Answers with Rick and Royce
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Dec 1, 2025 This conversation dives into how age and finances impact risk in entrepreneurial acquisitions. Hosts tackle the relevance of an MBA and share tips on overcoming search-related loneliness. Discover common pitfalls new searchers face and why quality businesses matter. They debate franchising versus independent deals, the real impact of owner dependency, and what red flags to watch while conducting due diligence. Finally, they stress that the timing of the market shouldn't deter aspiring entrepreneurs from pursuing opportunities.
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Offset Personal Guarantee Risk
- Manage personal-guarantee risk by buying high-quality, enduringly profitable businesses and using a prudent capital structure.
- Reduce guarantor exposure by ensuring senior debt is a small share and adding seller equity so severe downturns are required before guarantees bite.
There Is No Perfect Age To Start
- Waiting for the 'perfect' age to start a search is often an excuse that prevents action.
- Focus on solving the real barrier beneath age anxiety rather than using age as a reason to delay.
Translate Experience For Investors
- You can buy and run companies without an MBA, but funded-search investors often prefer MBA candidates or accomplished mid-career executives.
- Non-MBAs must translate experience into investor-friendly language and demonstrate clear commercial results.