Think Big, Buy Small An Acquisition Entrepreneur’s First Months As CEO
23 snips
Aug 12, 2024 
Nick Wheeler, an acquisition entrepreneur and the new CEO of NSCA & Tra-Cal, shares his journey through the whirlwind of his first months in leadership. He discusses the challenges of managing broken deals during his search, what drew him to this profitable small business, and the importance of building strong relationships with sellers. Nick reflects on his strategic approach to Day One, navigating the complexities of working capital, and the steep learning curve of leading a niche industry. His story highlights the excitement and fulfillment of entrepreneurship.
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Negotiate Working Capital Early
- Negotiate working capital early, ideally at the LOI phase or right after, before engaging legal and accounting.
- This can save you on due diligence fees if the deal falls through due to working capital disagreements.
Broken Deal: Landscaping Company
- Nick Wheeler pursued a commercial landscaping company with recurring revenue but faced challenges with the seller's wife.
- She owned 51% despite limited involvement, hindering the deal due to misaligned motivations.
Multiple Equity Owners: A Red Flag
- Be wary of multiple equity owners, especially if their motivations are misaligned.
- Meet with each seller individually to gauge their commitment and avoid surprises during the process.