Search Update - December Recap

I hope everyone and their families had a great holiday season. Wishing you all a strong start to the New Year and an exceptional 2026. I wanted to share a year-end snapshot: how December closed out, the patterns that stood out in 2025, and the adjustments I’m making going into Q1 2026. Search Status (December) December was quieter (seasonality), but the search machine is progressing in the right direction. Momentum continued to build across brokers, lenders, and owners. Key reality: on-market brokered deals remain highly competitive. Winning the best opportunities typically requires either a higher price or accepting quality compromises. I’m not willing to do either, so proprietary sourcing will be the strategic center of gravity for A7 in###-###-#### While this channel was inconsistent in 2025 due to technical setup and testing, the focus is paying off: I am currently tracking two proprietary opportunities that have the potential to progress toward an IOI/LOI in Q1. Learning that’s proving predictive: seller motivation drives the process. Retirement-driven sellers often optimize for certainty/stewardship; younger owners typically need a premium outcome for selling to make sense. 2025 Highlights (since launch in July) - Volume and reps: ~400 brokered deals reviewed since launching in July (on pace). Pattern recognition is sharper. - Raising the bar: In Q3, 37% of CIMs advanced to pre-IOI diligence. In Q4 that dropped to 16% after tightening screening. This was an intentional focus on higher-probability fits. - Relationships compounding: Introductions and repeat intermediaries are becoming a consistent source of deal flow. Common pass reasons (themes from 2025): - Under LOI/Contract already - Valuation expectations too high - Customer concentration risk What I’m Adjusting – Heading into Q1 - Closing the speed gap by implementing a daily broker/deal-site scrape and report system to reduce response time. - Testing proprietary messaging (subject lines, copy, sequencing) to improve engagement. - Moving from "lumpy" outbound to a consistent, weekly cadence of email and direct mail (new channel). How you can help (my only ask) If you see a business in WA or FL that provides essential goods/services and generates $750k-3mm in EBITDA or pre-tax profit, I’d greatly appreciate an introduction. Thanks for your continued support—your feedback and introductions truly move the needle. Alex