In self-funded searches, broken deal costs can quickly add up. For those who have faced this challenge, what strategies have worked best for you to reduce these costs? How do you approach due diligence and negotiations to minimize risks without cutting corners? Practical tips on handling these expenses would be greatly appreciated.
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Searchfunder is an online community and toolkit for searchfunds. Over 80% of those involved in searchfunds maintain a Searchfunder.com account to help them network, problem solve challenges, and keep up with the industry.
We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.
We maintain partnerships with database providers that make searching more effective, efficient and affordable along with features that help searchers find deals and investors and vice versa.
Things I've done:
- Pre-DD In-house. Get a good feel for Seller and Business before paying outside advisors
- Hire advisors only where needed. Use them to supplement your skillset/ to teach you how to do it versus actually doing it
- Use interns where you can
- Recently found advisors that will either reduce costs if the deal breaks OR roll costs into the next deal = more palatable