Business Buying Strategies from The Dealmaker's Academy

HR director Phil Hunt shares how he acquired two hairdressing salons using strategies from Dealmakers Academy. He discusses negotiating with sellers, creative funding, building relationships, and plans for future growth. Highlights include insights on deal sourcing, negotiating with landlords, benefits of having a sounding board, and navigating perfectionism in HR vs. acquisitions.

In this episode, Jonathan Jay interviews John Richardson, an expert in the coffee shop sector. John has been involved in numerous coffee shop acquisitions and in building coffee shop chains through acquisition. They discuss the current state of the coffee shop market, particularly following the pandemic, and the differences between business owners and entrepreneurs in this industry.  John highlights the opportunities in neighborhood coffee shops and the potential for community-centered coffee shops with added services like yoga classes or meeting rooms. They also explore the importance of having clear processes and management systems for successful growth in this sector. The episode concludes with John offering valuable advice for those considering buying a coffee shop business, emphasizing the need for careful analysis and understanding the complexity of running a coffee shop effectively. Key Highlights [00:50] About John Richardson and what he does [03:02] The distinction between being a business owner and being an entrepreneur [03:40] Different approaches for people in the food and beverage businesses [05:35] Challenges posed by lease agreements for food business owners [08:27] The criteria for a successful acquisition in the food and beverage [14:20] Different versions of coffee shops, according to John [16:15] Benefits of increasing average transaction value and using add-ons in coffee shops [17:19] The exit strategy for someone with a chain of coffee shops [21:58] The importance of creating and following processes in business [24:04] John’s words of wisdom for people looking to invest in the coffee industry [25:21] What people should know before getting into the coffee industry Notable Quotes So you can set the value of a new company that then controls that at whatever level you want. You could set it at a hundred pounds; You could set it at ten grand. And then all the new partners come in, and they put in that amount of money. And then, you go to the bank to fill in the rest of the gap as long as one of the original parts pays the partner who's either staying or leaving. It's very hard to fight the ego of more locations because that's just, I can remember when we would get the business cards, and our big excitement was putting more, putting a cringe at it. Now, this is 25 years ago, but the excitement was getting new business cards with your new, with your new location. Yeah. Rather than the excitement of sitting down and going, we are going to have a process for everything. The opportunity is bigger than ever because people will sit in coffee shops. We were doing it 150 years ago. We will do it 150 years today. It'll be slightly different, better coffee, or whatever. And maybe some form of robot stuff will happen in terms of the, but this piece is what it's all about. If you don't know what you're doing, yes, and you think it's going to be easy, don't do it. Or have somebody who genuinely knows what they're doing. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information.  If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast  Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

In this episode, Jonathan Jay interviews successful entrepreneur Nick Manuel, who shares his journey of buying and building businesses. Nick started his entrepreneurial journey by attending Jonathan's course and listening to this podcast. He explains how he acquired a balloon printing company and turned it into a lead generator for his existing business.  Nick shares valuable insights into his acquisition strategy and the importance of taking action, not overthinking, and focusing on deal flow. He also discusses his plans for further acquisitions and the potential for significant business growth.  Tune in for Nick's business buying journey. Key Highlights [00:46] Nick’s background [01:49] How Nick undertook his first deal [03:57] How Nick agreed on the price [05:59] How John Andrews helped Nick with his first acquisition [07:05] The benefits of acquiring a business with finance-free assets [09:53] How Nick knows that he is being realistic with himself [11:26] How Nick found the upcoming deal [12:05] Steps followed by Nick to agree on the price [15:43] Benefits of viewing business acquisitions as strategic opportunities [16:56] What Nich has learned from being part of the Mastermind Group [18:38] Benefits of quickly integrating the acquired business into the existing one [19:29] Nick’s word of wisdom based on his experience  [22:19] What has changed from when Nick met Jonathan] [22:43] Common trait among successful business acquirers Notable Quotes One thing is getting going and not spending a week thinking about it, not taking a week to think about it. No. And yeah, I suppose being quite aggressive with the negotiation and your terms. If they're that desperate, it's your terms, or you walk away, that's it. There's no messing around with their comebacks on not wanting certain warranties and things in the contract.  You have to enjoy the process. Like you say, what's the worst thing that can happen? And once you start doing it, you realize it's not scary. It's fun. You have to get on and do it. As you grow, putting a solid team in place is the main thing. And I suggest trying and scribbling on salaries sparingly because you want people coming in from where you want to be, not where you've been. The main stumbling block I had originally was around the letters and overthinking. You've got to start sending them out. Yes, they have a cost to them, but you've only gotta find one deal, which is completely irrelevant.  You can be the visionary, the leader, and the guy that goes out finds the deals, and needs someone behind you who's, uh, implementer. But you can hire that person, pick up the pieces, and do all the operations. Yeah. I couldn't do what I'm doing now at the size I'm doing it if I was doing it myself. I just couldn't. I remember sitting there like you guys when I was sitting there, and you just go away, send the letters out, and have the conversations. Some people put the phone down, and some won't, and then you just end up laughing, and you just go out there and take action first, and the rest will fall into place. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information.  If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast  Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

Former professional footballer turned dealmaker, Sam Turner, shares his journey from the corporate world to acquiring businesses. He emphasizes the importance of credibility and clear focus in the acquisition process. Sam discusses finding his first deal through networking and the timeline of the process. He also highlights the challenges of cost savings and the risks of oversimplifying back-office synergies.

In this episode, Jonathan talks with Richard Bundock, a successful entrepreneur who shares his journey of buying and growing businesses. Richard's story begins with his early entrepreneurial ventures, when he sold stick-on tattoos at school. He recounts his experience making three successful acquisitions, detailing the differences between asset and share purchases. Inspired by his success, Richard plans to make around 18 more acquisitions to become one of the top five independent agency groups by 2026. He encourages listeners to take risks and push forward in their acquisitions, reminding them that time is precious and that they should seize opportunities to create positive change. Key Highlights [00:44] Richard's background [01:21] How Richard got into entrepreneurship [02:53] The nature of organic growth [04:46] The sector that Richard specializes in [06:24] The most stressful deal for Richard [09:46] The difference between asset and share purchase [11:36] Richard's plan for the future [15:30] The commonalities learned from fellow entrepreneurs [16:18] Advice to people interested in buying a business but have not made the first step Notable Quotes I think the main thing is that you have to kiss a lot of frogs before you find your prince, which is the classic thing. You got to put the work in to get the result. And we've done that. And we've made three acquisitions this year; that has been something that has turned things around. I think sitting around and talking in a group appears with others that have made acquisitions as well. You start to realize that the only thing holding you back is yourself. Doing a good acquisition is feasible. It's just how hard you are prepared to push and work to get that done. I think they need to get an uncomfortable fence because they're too comfortable sitting on that fence. They put cushions on it and everything, and they need to get a little bit uncomfortable. And they need to realize that if they're sitting on the fence, stuff is just happening around them, and they're not going to move forward, they're not going to get anywhere because they're going to stay on that fence. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information.  If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast  Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

Former insurance broker, Akram Abdullah, shares his journey of selling his insurance brokerage and acquiring a commercial cleaning business. He emphasizes the importance of seller's motivation and highlights the benefits of buying an existing business rather than starting from scratch. Akram discusses the negotiations, fixing the acquired business, and ultimately selling it. He provides valuable tips and advice for aspiring business buyers.

In this episode, Jonathan Jay interviews Aled Davies, who runs a clothing and textiles printing business. Aled shares his journey of seeking organic growth for his family business, facing challenges such as a fire and the pandemic. Inspired by the podcast, Aled explores the acquisition route and becomes one of Jonathan's clients. He shares how he completed his first acquisition of a smaller business and seamlessly integrated it into his existing company, leveraging the acquired website, customer base, and sales opportunities. He also shares some of the tips he has acquired along the way. Key Highlights [00:45] About Aled Davies [01:21] How Aled got into business [04:16] How the Podcast motivated Aled [05:00] Lessons learned after joining the fast-track program [06:09] How Aled handled his first call [08:09] How the negotiations for the deal went through [15:05] The kind of due diligence one can do when buying a digital marketing company [19:11] Tips learned by Aled along the way Notable Quotes I had feedback and stopped because I didn't add for whatever you guys didn't fully commit to. But once you fully commit to it, there's no reason why if a deal doesn't feel right or it doesn't look, it will not be right for you. You can always walk away if you don't want to do it anyway. Get started and give it a go. But you never know what's going to come upon it. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information.  If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast  Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

This week Jonathan talks to Chris Stone, a hearing healthcare specialist based in Glasgow. Chris is a client of Jonathan’s, and having already bought one competitor, he is now on the hunt for further acquisitions. In fact, right now he is the fastest growing hearing healthcare provider in Scotland. The conversation begins with how COVID has affected the business.  Key Highlights [01:14] The effects of the pandemic [02:40] Setting turnover targets [03:36] The first acquisition [12:00] The role that peer groups can play [14:54] Possible additional acquisitions [19:10] Structuring the next potential acquisition [22:52] The strategy moving forward [24:05] Advive for new business buyers Notable Quotes Very quickly after we had hit heads of terms with that first acquisition, we got approached by another two or three businesses to sell to buy them out So we took that business on eight years ago. We got it to a million turnover. It took us four and a half, five, four and a half years to get 10 million turnover And I think if things keep going the way that they're going, we've probably got a strong enough management team now structure offering that we can start growing organically very quickly With five years of history behind it, management team in place, And I just thought, if they can do it, I can do it Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information.  If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast  Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

This week Jonathan talks with Ray Burke, who started a business in the transport and haulage sector which he grew to a £500,000 turnover operation after six years. However, after three acquisitions in eighteen months, he has increased his group business turnover to £3.4 million. Key Highlights [01:26] Ray Burke's business background [04:21] How Ray looked for and shortlisted potential business to buy [05:05] Ray's first acquisition [12:01] What has changed for Ray since the first acquisition? [13:10] The second acquisition [18:20] The third acquisition [20:58] The mindset of running a group rather than a single business [27:05] What advice would Ray give to new business buyers? Notable Quotes So I structured a deal that I could use invoice, finance and cash in the bank to make that completion payment. If you want to buy a business you need to try and buy five, and then you might end up with two or three maybe if you're lucky. So the benefit of being the owner of a larger group is that you've now got a bigger team to do the strategy and operational stuff. So I suppose with growing the businesses and adding locations, sometime next year I'll be at 5 million turnover.  Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information.  If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast  Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

In this episode, Jonathan Jay is interviewed by Greg of the Empire Flippers Podcast, and they talk about the complexities of structuring deals and provide valuable insights into the world of acquisitions. Jonathan and Greg discuss the importance of looking for the right characteristics in an acquisition target. They talk about ensuring a smooth transition by having a management team in place. They recommend targeting larger, established businesses with positive cash flows for greater profitability and financing ease. They also discuss ways to increase business valuation by making oneself redundant, making it more attractive to potential buyers. They explain the no-money-down approach, particularly in situations with limited funds, and shed light on leveraged buyout strategies. Mitigating financing risks is addressed, with Jonathan advocating for acquiring businesses with positive cash flows to support debt and cautioning against distressed businesses. Key Highlights [01:46] How Greg met Jonathan Jay [03:36] A brief background of Jonathan and what he does [05:59] Structures and systems Jonathan would put in place if he was to buy 48 businesses again [08:16] Characteristics to look out for in a business [09:00] The importance of having the right management team [11:11] How Jonathan’s strategy is different from others [14:29] How Jonathan structures LBOs [15:25] Why buying distressed businesses is a trap for newbies [23:55] How Jonathan exited the nursery schools [29:31] The letter system for finding retiring business owners [32:29] Common mistakes that people make while buying businesses [35:50] Businesses that are hard to finance [38:30] Best advice ever received by Jonathan [40:16] How to connect with Jonathan Notable Quotes The ideal business to buy always has management in place already. I always tell people to go for the bigger businesses because you'll make more money, they're easier to finance, they're easier to buy, and they run themselves better. They don't need you. Making yourself redundant in your business is the fastest way to increase value. And it just makes your business easier for someone to buy from you. A beginner should be looking for a business that has made money day in and day out for the past five years, has predictable cash flows, can support any debt you put into the business, and still has enough profit to take money out. Buying a business is not about the business you will own but the person you become. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information.  If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast  Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy