Acquiring Minds

James and Palmer Higgins, co-founders of Chenmark, made the leap from successful Wall Street careers to acquiring small businesses. They discuss the power of delayed gratification and the intellectual trade-offs between corporate life and entrepreneurship. With insights from over 30 acquisitions, they share lessons learned, strategies for navigating increased competition, and the risks involved in buying small versus big. Their diversified approach to holding companies highlights the advantages of investing across various industries, while underscoring the importance of fit and values in long-term success.

Justin Turner, co-founder and managing partner of Traction Capital, shares insights from his journey in building a permanent equity fund with four acquisitions since 2018. He discusses why $4-5M businesses can be easier to acquire than smaller ones and the unique benefits of holding companies long-term. Justin reveals the surprising appeal of paving companies as solid investments and emphasizes the importance of nurturing seller relationships. He also outlines strategies for successful acquisition processes and the significance of building a diversified business portfolio.

In this podcast, the speaker shares their experience of buying a $760k appliance repair company. They discuss their specific search criteria, the decision to buy instead of starting a business, and the importance of choosing a steady industry. They also talk about the established sense of community in the business, the choice between using investors or not, and the focus on improving the business rather than day-to-day operations. The speaker emphasizes the importance of having fun and building trust with employees who don't work in the office.

Knowing zero about manufacturing, Josh Paulson found purpose when he bought a small & struggling producer of pet cages. Themes from Josh's interview:Owning the business saved his lifeWhat manufacturing is likeFiring all but 1 employee (who spoke little English)Reducing the product line from 2000 SKUsRebuilding a business with limited resourcesReach Josh at:Quality Cage

Devin Wanzor went from a corporate gig with 50 employees to buying a $3M liquor store and playing golf 3 times a week. Themes from Devin's interview:What makes Devin's liquor store so profitableThe major risk involved in acquiring a liquor storeThe self-image shift from corporate manager to liquor store ownerBoosting revenue with an easy price cleanupMaintaining a 15-hour workweekReach Devin at:@DevinWanzor

Mike Curry bought a business only to struggle for years as its new CEO. He shares the lessons that unlocked 2x growth. Themes from Mike’s interview:Entrepreneurship through acquisition (ETA) isn’t just for MBAsBuying a business is art and scienceThe perks of the traditional search fund modelBuilding a strong community of fellow entrepreneursBecoming CEO of an established companyEarning your employees’ trustThe need for diverse business leadersReach Mike at:mcurry at apex physics dot comOfficial episode page & full show notes at AcquiringMinds.co:It's All Your Fault: How to Become CEO of Your Acquisition

JD Klein, a seasoned entrepreneur who navigated the ups and downs of owning a Minuteman Press franchise, shares his cautionary tale of small business ownership. He discusses the hidden risks associated with seemingly low-risk acquisitions. JD emphasizes the importance of hiring a financial planner and adapting strategies to overcome unforeseen obstacles. He also explores the printing industry’s unique challenges, the effects of urban disruption on local businesses, and the value of resilience and community support in tough times.

Geoff Oliver bought 2 laundromats in rural Texas. He shares his numbers & what to consider when acquiring a laundromat. Themes from Geoff's interview:How working as an SBA lender lit a fire for acquisitionsLooking for a real estate investment and finding a great business insteadWhat makes laundromats competitiveSelf service vs. full serveWhy quality of laundromat equipment can matter more than earningsUnderstanding your customers’ preferences before making changesThe growth potential of asset-heavy businessesThe appeal of “zombiemats”How to hire a manager for your laundromatReach Geoff at:@GeoffOliverATX on Twitter

Michael Ledecky, Co-president of Harvard’s Entrepreneurship Through Acquisition Club, shares insights from the recent ETA conference. He emphasizes the importance of acquiring businesses in thriving industries and introduces the 4+1 search model. Ledecky discusses the growing role of women in acquisition entrepreneurship and mental health challenges faced during searches. He highlights success stories, like Thai Lee's billion-dollar journey, and offers predictions for the future of search. This engaging conversation is rich with resources and names for aspiring entrepreneurs.

Having searched, acquired, and exited a business himself starting back in 2007, today Mark Sinatra invests in searchers. Themes from Mark's interview:Running a traditional search fundHow search has changed over the last 15 yearsThe challenge of staying optimistic during a traditional searchThe capacity of small and mid-sized companies to absorb changeClient management during a recessionDealing with clients’ attachment to familiar processesWhat a search investor looks for in searchersImportance of bringing a deal to investors sooner than laterReach Mark at:mark [at] etaequity dot comLinkedIn