Search Update - October Recap

As October wraps up, I wanted to share a quick update on my search: what’s been happening, what I’m learning, and what’s next as we head into November. Search Status The search is progressing well. Feedback from brokers, bankers, and others in the M&A space has been positive. A7 is punching above its weight, and once I’m in the door, the story resonates. Getting a deal done requires shots on goal — but like most things in life, it’s about balance. Over the past few weeks I’ve leaned back into the Special Operations mindset that quality is more important than quantity. That doesn’t mean slowing down; it means focusing on doing things well. Pipeline Snapshot October was steady and productive. I reviewed 44 new opportunities; down roughly 18% from September by design. The new pace feels much more sustainable. If all I did was review CIMs, I could probably handle 20 new deals per week, but 10–15 per week feels more realistic. It gives me time to focus, think clearly, and make better decisions without letting things slip Common pass reasons: - Geography: Many teasers only list the “region,” and when the CIM shows that the business isn’t in WA or FL, it’s a quick pass. - Valuation: The second theme is valuation. The market feels split — lower-quality companies either don’t sell or sell cheap, while higher-quality ones are getting expensive fast. One recent example: a math tutoring business with about $700K in sellers discretionary earnings — the owner’s “take-home” economics (profit plus owner pay/perks) — got 18 offers. Most were around 3.5–4x SDE, and the winning buyer paid all cash at closing. It’s a good business, but that’s a very full price. The lesson: great businesses are out there, but the best ones often come with a crowd. Patience and discipline still matter. I’m also still losing a few deals because they’re under contract/LOI before I see them, so I’m exploring an automated tool to flag new listings faster. What’s Working This month reinforced that the A7 story resonates. Brokers and owners are responding, not because I am selling hard, but because the mission, the story, and the approach make sense. One fellow veteran owner I spoke with in Denver even offered to take a meaningful discount to work together. It was a good reminder that connection matters. Now, it’s about channeling this toward the right opportunity. What I’m Adjusting I stood up a new cold outreach domain to separate proprietary campaigns from my main domain. In doing so, I made a few setup mistakes that temporarily broke my website — that’s now fixed. Configuration issues with my email outreach platform are now fully resolved. I plan to relaunch outreach in December once the domain is properly warmed. It’s frustrating to still be offline on proprietary sourcing, and I’m weighing whether to restart at very low volume from my main domain just to keep momentum going. Looking Ahead November will focus on: - Restoring outbound deliverability and proprietary outreach - Maintaining a sustainable sourcing pace of 10–15 new deals per week - Advancing three active proprietary opportunities - Continuing to evaluate quality of revenue — revisiting AJ Wasserstein’s On the Nature of Revenue was a useful reminder of what “good” looks like 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