MY DAD SOLD HIS BUSINESS NOW I'M GOING TO BUY ONE.
My dad sold his Landscaping business that has provided well for our family for 42 years.
Over the years, he has received many phone calls and email of people wanting to buy his business.
He ended up selling it to one of his best managers.
He knew that the owner to be successful they would have to earn the respect of the employees. The same employees that wear Car-hart not cardigans. That never dreamed of college let alone the Ivy League.
I've met with the new owner and he is way over his head. In dept and overwhelmed with how to bring a 40+ year-old company into the future.
I can't help but think my dad would have been better off with an MBA graduate.
Why...because that's what I am.
I'm a previous tech CEO and MBA graduate looking to start my own search fund. My last company's business model was endorsed then closed down by state regulatory. Leaving me a jack of all trades looking for a project.
Since then I've freelanced for startups and blue-collar companies like my fathers.
Now, I'm starting my own search fund and thinks of ways to avoid the worst parts.
OK...before I talk about how I'm thinking of doing things differently, let's just summarize what I think is going to suck about this journey…
- Not running out of money when searching.
- Convincing an owner I'm the right fit.
- Working with an owner to transition.
- Avoiding a deal falling through.
Got it...now let see what could be an out of the box solution.
Introduce my self as a partner today and a purchaser tomorrow.
As a freelancer, I am amazed by how bad owners know their business. After doing a minimal amount of work for an owner I frequently know as much or more then they do about the TRUE health or sickness of their company.
- Makes me money while I search.
- Allows me to find companies that are healthier or sicker then the owner knows.
- Convinces the owner I'm a good fit.
- Begins the transition before we even sign the paperwork.
- Potentially, reduces the risk of a deal falling through.
HOW THIS COULD WORK
"I'm looking to buy a blue-collar business. If your interested, I would love to find a small project I can help you with."
"Hi, I was born blue collar, trained white collar and ready to weld the two."
"I've helped businesses increase new customers, retain existing, and increase margins. I do this by teaching you the trick of the trade that I learn in the tech startup world and my MBA training."
"This way I get a feel for your business, you get a feel for me, and at the very least you will be better off after working with me."
"I learned a lot on our last project. Based on this learning, these things need to change for me to make sense of purchasing..."
"I understand you are not ready to sell. I hope you think of me when you do."
Those Ivy League'ers never got a chance to prove themselves to my dad. If they offer consulting or even a re-created a website, maybe he would trust them.
I know that the owners I work with trust me exponentially more after I've worked with them.
I also know exponentially more about them.