First ECommerce Acquisition In the Books!
We closed last Wednesday! Sharing our search story for anyone who needs a little encouragement (I found these so helpful while I was searching!)
I started searching full-time in Jan: looking at companies, building and refining my buy box, and deciding along the way that my husband and I would do this together.
We found a business we liked, went under LOI, worked through diligence, and got as far as redlines on a purchase agreement. Then the seller decided he didn’t want to sell.
I gave myself 48 hours to be really bummed. Then I started rebuilding my pipeline.
And yes, I had read all the posts telling me not to let my pipeline dry up while under LOI. I knew the advice. But as we got further into diligence, I let it happen anyway. Consider this one more vote for keeping yours going.
We eventually found Worth Home Products. redacted An ecommerce home products business based in Texas, with a 3PL and manufacturing already set up, a few patents, and (most importantly for me after a failed deal, a husband-and-wife team who really wanted to sell. Their first grandchildren were on the way. They really liked us, and we really liked them.) I cannot overstate how much this relationship mattered!
Several times, we got stuck on a legal point and weren’t making progress between the lawyers. Being able to pick up the phone, call the sellers directly, and talk through what each of us was trying to accomplish helped us keep moving.
We also financed the acquisition with a traditional bank loan rather than an SBA loan. For our deal, the rate was much more competitive, and we got to build a direct relationship with a local bank. (Happy to chat about that approach if helpful!)
Last Wednesday, we finally made it to the finish line. Life now is full of bank transfer updates, 2FA codes, and reminding myself to slow down before I break an already-working process or scare away the employees.
There’s plenty ahead of us, but I wanted to share this milestone while it’s fresh.
And a connection I’d love to make here: we sell luxury wood HVAC vent covers that hold a filter and air return vent covers (in addition to pendant light conversion kits that do not require electrical work). Customers love them, and plenty want a professional to handle installation. They’re a great upsell for HVAC businesses (and electricians), and I know many of you own and are scaling companies in that space. Give me a shout if you’d like to explore working together!