Regional search support

by a searcher from Harvard University - Harvard Business School

5 years ago

Hi all! I am looking into kicking off a regional search. The materials I've found publicly are a little light on the topic. I know it will limit my pool of opportunities. Which when combined with the stats on funds that don't find acquisitions presents a daunting hurdle. That being said, living in my metro area is more important to me than a deeper opportunity pool.

At current, my plan would be to self fund a phase 0 of initial scans to (1) determine the depth of the pool and (2) high-level viability of the search prior to continuing any fund raising or intern recruiting. I also realize that the narrow focus could be limiting in raising a fund, and prepared to self fund fully if needed going through SBA or F&F equity based on deal size.

That being said, any other practical advice, articles or books you'd recommend?

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19 comments

searcher from Harvard University - Harvard Business School

Tom, my advice is go big or go home. The nature of your post sounds like you're only halfway in, and from my experience unless you're 100% committed to acquiring a business and make it your only job it's not going to work. You can't dabble at it while you work at McKinsey, and honestly the process is so scary that if you can fall back on a job at McKinsey you're unlikely to actually pull the trigger. If you're all in, then you can figure out the rest of the details. A regional focus certainly means you have to either be more open to industry/size and you'll likely take far longer to find a target--definitely increasing the search costs.

4 years ago | like reply | 1 like

professional from University of Southern California

Tom:

Contact me privately and I will share with you something the savviest buyers do to create deal flow.

4 years ago | like reply | 0 likes

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