Why do search fund deals die?

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August 30, 2021

by an investor from INSEAD in Singapore

If a buyer and seller agree on a price, the deal should close right? Unfortunately not. As seasoned searchers will know, there are many potential killers between agreeing on price and closing, and I've put together a few buckets of the most common causes. I'm sure I've missed some, so please feel free to add.

https://www.smeventures.com/insights/the-5-serial-killers-of-search-fund-deals

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Reply by a searcher
from INSEAD in Sydney NSW, Australia
I love this Jake, thanks for the content. You state at the beginning that almost every deal you ever entered has died at some point. How do you go about reviving those deals? Does that just happen organically over time, or is there a systematic way to keep desirable 'dead deals' in the pipeline?
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Reply by a lender
in Yorba Linda, CA, USA
Great post! I especially like the emotions grid. In my recent experience, I've seen good deals die from a mix of emotions and time. Deal fatigue can bring up emotional issues that the seller might have moved past had the deal closed more quickly.
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