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Take Five #044: The blueprint to acquiring a 3.7M business without putting any money in

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Take Five #044: The blueprint to acquiring a 3.7M business without putting any money in

Top five must-reads this week in the world of SMB acquisitions and operations

KUMO | withkumo.com
Feb 22
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Take Five #044: The blueprint to acquiring a 3.7M business without putting any money in

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Subscribe to Take Five to get our top 5 quick weekly reads on the world of SMB, M&A, and EtA from the team at Kumo. Kumo aggregates hundreds of thousands of deals into one easy-to-use platform so that you can spend less time sourcing, and more time closing deals.

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Take Five #044: The blueprint to acquiring a 3.7M business without putting any money in

1. How to leverage PPP data as a SMB buyer

Twitter avatar for @bentigg
Ben Tiggelaar 🟠 @bentigg
PPP Data is a goldmine for a small business buyer - I shouldn't be telling you this... In less than 10 minutes, I found 95 'Flooring Contractors' in Texas, estimated their revenue & EBITDA based on their PPP loan data 6 steps: 1. Get PPP Payroll data for the specific NAICS… https://t.co/RG0JV8P240
Image
5:16 PM ∙ Feb 19, 2023
2,228Likes168Retweets

2. Blueprint to acquiring a 3.7M business without putting any money in

So based on:
1. A purchase price with a reasonable multiple
2. A 15% Seller Note
3. Strong Debt Service Coverage
4. Same industry
5. Existing management experience
6. A growing business in a growing industry

That this was a very strong transaction

Twitter avatar for @sbabmarks
Bruce Marks, MBA, CM&AA @sbabmarks
WSS: Bruce, I am looking to acquire this business for $3,700,000 I heard I might be able to do so without putting any money into the deal Is that true? YES ! Really:
11:39 AM ∙ Feb 11, 2023
346Likes26Retweets

3. Send it to an owner you know: “How to sell a business in 2023”

Over the last three years, sellers, buyers, and investors have been weathering outsized uncertainty and wild market swings – from disruption to record investment to slowdowns. What can we expect from the market in 2023? The following are excerpts from Tim Hanson and Emily Holdman’s discussion on Permanent Podcast, where they outline where we’ve been, what they’re seeing in the SMB market now, and what those trajectories suggest about the year to come. 

Twitter avatar for @PermanentEquity
Permanent Equity @PermanentEquity
Wondering how to navigate market uncertainty & swings? 🧵 8 takeaways from @timhanso and @emilyleldridge's convo on the pod, "Selling Your Business in 2023": 1. "A lot of the deals that got done in 2021 are likely flashes in the pan...they probably won't be done in the future."
Image
2:01 PM ∙ Feb 17, 2023
3Likes1Retweet

4. “Raising capital can make or break you.”

Twitter avatar for @max_gagliardi
max gagliardi @max_gagliardi
We have raised hundreds of millions of dollars using: Private equity (from a sponsor) Our own PE fund (from LPs) Debt financing Angel investors Joint ventures Self-funded ventures A thread on what I’ve learned
7:02 PM ∙ Feb 16, 2023
135Likes19Retweets

5. 6 proven steps to close your 1st internet business in 2023

Twitter avatar for @itsDanny_V
Danny V @itsDanny_V
Anyone can: - Earn $200,000+ per year - Love what they do - Work remotely They just need to buy ONE cash flowing internet business. 6 proven steps to close your first deal in 2023 👇🏻
8:49 PM ∙ Feb 21, 2023
24Likes4Retweets

6. Bonus thread that was circulating the SMB community:

Twitter avatar for @Camp4
Kevin Dahlstrom @Camp4
Ignore the hustle porn. You don't have to sacrifice your health, family, or happiness to crush your career. You can make it all work without feeling tapped out. Here's how... (WARNING: Mega-🧵 with unpopular takes)
Image
1:00 PM ∙ Feb 15, 2023
2,340Likes282Retweets


Upcoming Events in the SMB & Business Acquisition Space

(A ✨new✨ section in our newsletter: we’ll be adding to this list weekly, so send over any events you think we’ve missed!)

Twitter avatar for @AgeofHoffman
Andrew Hoffman @AgeofHoffman
Search Fund Coalition February Panel - 2/22! sfctales223.splashthat.com Free Searcher / Discount Code: CAYNE223 Tales From the Search - From Searcher to Operator ft: @patrickdichter @HockJohannes & Betsy Brandt cc @bylinebank @Chris_CayneQofE @Derek_CayneQofE @TomG_GKG
5:28 PM ∙ Feb 10, 2023
3Likes1Retweet
Twitter avatar for @LisaGForrest
Lisa Forrest @LisaGForrest
SMB Twit / EtA Searchers in the Philly area on 3-22-23 and want to meet up for drinks? Some of us will be in town for the Wharton EtA conf with time on our hands. @JordanPCarter @SMB_ash @SMB_Attorney DM with RSVP and we'll organize around the interest level
5:29 PM ∙ Feb 14, 2023
Twitter avatar for @jacubwilliamson
Jacob Williamson @jacubwilliamson
🚨Florida SMB Meetup 🚨 Grab your spot at the #SMB meetup at the Sun N Fun Airshow with @FlyingMagazine on March 30. Meet & learn from SMB twitter friends. The meetup is free, but the airshow has admission (can't help it) eventbrite.com/e/544428729987
eventbrite.comFlorida SMB Meetup ✈️ 3/30The DFW meetup went so well! So, let’s get everyone together again in sunny Central Florida.
12:03 AM ∙ Feb 20, 2023
Twitter avatar for @Sam_Rosati
Sam Rosati @Sam_Rosati
Golfers of SMBTwit: My buddy @rondebarber and I are on the Board of the @ValsparChamp, the PGA Tour event in March in Tampa. We are hosting a SMBTwit meetup to watch the tournament, and a separate "Monday after the tournament" round of golf on the course the pros are playing...
1:49 PM ∙ Dec 14, 2022
Twitter avatar for @SMB_ash
SMBash @SMB_ash
🚨SMBash ‘23 Announcement🚨 We’re excited to share the theme for SMBash ’23! This year, we’re zeroing in on search with two days devoted to finding, acquiring, and investing in SMB/Micro-PE deals. Here’s a quick summary:👇
3:37 PM ∙ Nov 22, 2022
34Likes3Retweets
Twitter avatar for @PursuantCapital
Pursuant Capital @PursuantCapital
Applications are OPEN for the first two Search Fund Bootcamps of '23: -February 8-10 -May 17-19 @PursuantCapital's Bootcamp is a 3-day, intensive, in-person training course with Pursuant, its Deal Team (SBA lender, QofE, Legal, Insurance, Tax), ETA investors & Searcher CEOs.
10:58 AM ∙ Dec 5, 2022

Loved what you read? Subscribe to Take Five to get our top quick reads every week from the team at Kumo. Kumo aggregates thousands of sources into one easy-to-use platform so that you can spend less time sourcing, and more time closing deals.

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Take Five #044: The blueprint to acquiring a 3.7M business without putting any money in

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