Business Buying Strategies from The Dealmaker's Academy

Every week I interview someone from the world of mergers and acquisitions so we can find out their approach to buying businesses. This week I talk with Bill Snow, author of M&A For Dummies, one in the famous yellow series of books. Business Buying Strategies is the leading podcast for people who want to buy a business. Each week I interview deal makers who've been on my business acquisition Mastermind program and find out about their deals and behind the scenes of their acquisitions. If you want to know how to get started in mergers and acquisitions, then take my free online course. You can find it at www.dealmakerspodcast.co.uk Key Highlights [01:33] Bill Snow introduces himself [03:10] Working on the sales side for an investment banker [06:26] Bill's dummies approach to buying a business [11:22] Going direct to the seller [13:30] Bill's favourite negotiating approaches [19:43] Profitability vs perceived value [22:05] The strategic imperative [25:01] The perfect company? Notable Quotes It is hard to stand out as a buyer. You got to realize everybody is saying the same thing. So if you really want to buy a company, you got to realize how much competition you have when you're buying a company Use your personality because a big part of winning these mandates is the personality. Pay attention to the working capital in the business and what's going on with the working capital, understand what you're acquiring.It's the take it or leave it. It's not thinking through what the other side might react to or what they might respond Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information. If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

Darren Jacobs, a serial entrepreneur focusing on the salon industry, shares his incredible journey of acquiring 25 businesses in just eight months. He reveals the strategic shift from IT to salons and the disciplined approach to selecting targets. Darren discusses the challenges of restructuring post-pandemic, how he financed transactions, and the importance of understanding seller motivations. He also highlights key lessons learned about negotiation practices and navigating employee emotions during acquisitions, as he aims for his audacious goal of completing 100 deals.

In this episode, Jo Bell joins us to talk about her business acquisition journey and the lessons that she has learnt. We talk about how being a doer impacts the business and how it can affect your next acquisition. Jo explains that looking at deals as pure numbers can be extremely helpful when you are not sure what a business is worth. She also discusses some of the ways sellers sometimes lie about deals or place too much emphasis on things that really don't matter in terms of pricing your business correctly. Jo also shares some words of advice to potential business buyers. Key Highlights [01:42] Jo's interesting business acquisition [02:38] Impacts of being a doer in the business [09:04] Do you feel that people believe in you? [10:20] Driving the business and getting onboard with the structure [11:51] Buying the perfect business [12:34] What was the next deal? [15:09] Perfect way of earning money without spending yours [20:51] Business sellers fabricating customer lists [23:03] What business buyers should look for when buying a business [24:12] Seeing deals in factual numbers [27:27] Balancing positive personalities and realities of business buying [31:40] Things that business sellers don't tell you [32:53] How do you keep yourself positive [37:06] Advice to people thinking of buying a business [40:25] Bell's next plans Notable Quotes I think learning for me is just to do a lot more due diligence actually because I think, where I'd always gone for the model of buying goodwill and assets, not companies, I didn't see the need to do as much goodwill. Over the years, I've become a lot more selective; you know, I've realized that there are a lot of practices out there for sale and many businesses for sale. And it's more about the ones who say no than the ones who say yes, whereas maybe previously, I just saw everything as an opportunity. You know, I'm a fixer. So I enjoy the challenge of fixing something, but you then have to question why, you know, when there's stuff there that doesn't need fixing, maybe just needs tweaking or just improving. No matter whether you're buying goodwill and assets or companies do that, due diligence and an accountant can help. So I think, first and foremost, its profitability. That's ultimately the reason why we're all doing this. So you want to ensure that if it's not profitable, now, you sure as hell know how you'll get it profitable. Resources If you are looking for a lawyer in the UK to help you get the deal over the line, then use my guy, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: https://www.dealmakersvideo.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

HR director Phil Hunt shares how he acquired two hairdressing salons using strategies from Dealmakers Academy. He discusses negotiating with sellers, creative funding, building relationships, and plans for future growth. Highlights include insights on deal sourcing, negotiating with landlords, benefits of having a sounding board, and navigating perfectionism in HR vs. acquisitions.

In this episode, Jonathan Jay interviews John Richardson, an expert in the coffee shop sector. John has been involved in numerous coffee shop acquisitions and in building coffee shop chains through acquisition. They discuss the current state of the coffee shop market, particularly following the pandemic, and the differences between business owners and entrepreneurs in this industry. John highlights the opportunities in neighborhood coffee shops and the potential for community-centered coffee shops with added services like yoga classes or meeting rooms. They also explore the importance of having clear processes and management systems for successful growth in this sector. The episode concludes with John offering valuable advice for those considering buying a coffee shop business, emphasizing the need for careful analysis and understanding the complexity of running a coffee shop effectively. Key Highlights [00:50] About John Richardson and what he does [03:02] The distinction between being a business owner and being an entrepreneur [03:40] Different approaches for people in the food and beverage businesses [05:35] Challenges posed by lease agreements for food business owners [08:27] The criteria for a successful acquisition in the food and beverage [14:20] Different versions of coffee shops, according to John [16:15] Benefits of increasing average transaction value and using add-ons in coffee shops [17:19] The exit strategy for someone with a chain of coffee shops [21:58] The importance of creating and following processes in business [24:04] John's words of wisdom for people looking to invest in the coffee industry [25:21] What people should know before getting into the coffee industry Notable Quotes So you can set the value of a new company that then controls that at whatever level you want. You could set it at a hundred pounds; You could set it at ten grand. And then all the new partners come in, and they put in that amount of money. And then, you go to the bank to fill in the rest of the gap as long as one of the original parts pays the partner who's either staying or leaving. It's very hard to fight the ego of more locations because that's just, I can remember when we would get the business cards, and our big excitement was putting more, putting a cringe at it. Now, this is 25 years ago, but the excitement was getting new business cards with your new, with your new location. Yeah. Rather than the excitement of sitting down and going, we are going to have a process for everything. The opportunity is bigger than ever because people will sit in coffee shops. We were doing it 150 years ago. We will do it 150 years today. It'll be slightly different, better coffee, or whatever. And maybe some form of robot stuff will happen in terms of the, but this piece is what it's all about. If you don't know what you're doing, yes, and you think it's going to be easy, don't do it. Or have somebody who genuinely knows what they're doing. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information. If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

In this episode, Jonathan Jay interviews successful entrepreneur Nick Manuel, who shares his journey of buying and building businesses. Nick started his entrepreneurial journey by attending Jonathan's course and listening to this podcast. He explains how he acquired a balloon printing company and turned it into a lead generator for his existing business. Nick shares valuable insights into his acquisition strategy and the importance of taking action, not overthinking, and focusing on deal flow. He also discusses his plans for further acquisitions and the potential for significant business growth. Tune in for Nick's business buying journey. Key Highlights [00:46] Nick's background [01:49] How Nick undertook his first deal [03:57] How Nick agreed on the price [05:59] How John Andrews helped Nick with his first acquisition [07:05] The benefits of acquiring a business with finance-free assets [09:53] How Nick knows that he is being realistic with himself [11:26] How Nick found the upcoming deal [12:05] Steps followed by Nick to agree on the price [15:43] Benefits of viewing business acquisitions as strategic opportunities [16:56] What Nich has learned from being part of the Mastermind Group [18:38] Benefits of quickly integrating the acquired business into the existing one [19:29] Nick's word of wisdom based on his experience [22:19] What has changed from when Nick met Jonathan] [22:43] Common trait among successful business acquirers Notable Quotes One thing is getting going and not spending a week thinking about it, not taking a week to think about it. No. And yeah, I suppose being quite aggressive with the negotiation and your terms. If they're that desperate, it's your terms, or you walk away, that's it. There's no messing around with their comebacks on not wanting certain warranties and things in the contract. You have to enjoy the process. Like you say, what's the worst thing that can happen? And once you start doing it, you realize it's not scary. It's fun. You have to get on and do it. As you grow, putting a solid team in place is the main thing. And I suggest trying and scribbling on salaries sparingly because you want people coming in from where you want to be, not where you've been. The main stumbling block I had originally was around the letters and overthinking. You've got to start sending them out. Yes, they have a cost to them, but you've only gotta find one deal, which is completely irrelevant. You can be the visionary, the leader, and the guy that goes out finds the deals, and needs someone behind you who's, uh, implementer. But you can hire that person, pick up the pieces, and do all the operations. Yeah. I couldn't do what I'm doing now at the size I'm doing it if I was doing it myself. I just couldn't. I remember sitting there like you guys when I was sitting there, and you just go away, send the letters out, and have the conversations. Some people put the phone down, and some won't, and then you just end up laughing, and you just go out there and take action first, and the rest will fall into place. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information. If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

Former professional footballer turned dealmaker, Sam Turner, shares his journey from the corporate world to acquiring businesses. He emphasizes the importance of credibility and clear focus in the acquisition process. Sam discusses finding his first deal through networking and the timeline of the process. He also highlights the challenges of cost savings and the risks of oversimplifying back-office synergies.

In this episode, Jonathan talks with Richard Bundock, a successful entrepreneur who shares his journey of buying and growing businesses. Richard's story begins with his early entrepreneurial ventures, when he sold stick-on tattoos at school. He recounts his experience making three successful acquisitions, detailing the differences between asset and share purchases. Inspired by his success, Richard plans to make around 18 more acquisitions to become one of the top five independent agency groups by 2026. He encourages listeners to take risks and push forward in their acquisitions, reminding them that time is precious and that they should seize opportunities to create positive change. Key Highlights [00:44] Richard's background [01:21] How Richard got into entrepreneurship [02:53] The nature of organic growth [04:46] The sector that Richard specializes in [06:24] The most stressful deal for Richard [09:46] The difference between asset and share purchase [11:36] Richard's plan for the future [15:30] The commonalities learned from fellow entrepreneurs [16:18] Advice to people interested in buying a business but have not made the first step Notable Quotes I think the main thing is that you have to kiss a lot of frogs before you find your prince, which is the classic thing. You got to put the work in to get the result. And we've done that. And we've made three acquisitions this year; that has been something that has turned things around. I think sitting around and talking in a group appears with others that have made acquisitions as well. You start to realize that the only thing holding you back is yourself. Doing a good acquisition is feasible. It's just how hard you are prepared to push and work to get that done. I think they need to get an uncomfortable fence because they're too comfortable sitting on that fence. They put cushions on it and everything, and they need to get a little bit uncomfortable. And they need to realize that if they're sitting on the fence, stuff is just happening around them, and they're not going to move forward, they're not going to get anywhere because they're going to stay on that fence. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information. If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy

Former insurance broker, Akram Abdullah, shares his journey of selling his insurance brokerage and acquiring a commercial cleaning business. He emphasizes the importance of seller's motivation and highlights the benefits of buying an existing business rather than starting from scratch. Akram discusses the negotiations, fixing the acquired business, and ultimately selling it. He provides valuable tips and advice for aspiring business buyers.

In this episode, Jonathan Jay interviews Aled Davies, who runs a clothing and textiles printing business. Aled shares his journey of seeking organic growth for his family business, facing challenges such as a fire and the pandemic. Inspired by the podcast, Aled explores the acquisition route and becomes one of Jonathan's clients. He shares how he completed his first acquisition of a smaller business and seamlessly integrated it into his existing company, leveraging the acquired website, customer base, and sales opportunities. He also shares some of the tips he has acquired along the way. Key Highlights [00:45] About Aled Davies [01:21] How Aled got into business [04:16] How the Podcast motivated Aled [05:00] Lessons learned after joining the fast-track program [06:09] How Aled handled his first call [08:09] How the negotiations for the deal went through [15:05] The kind of due diligence one can do when buying a digital marketing company [19:11] Tips learned by Aled along the way Notable Quotes I had feedback and stopped because I didn't add for whatever you guys didn't fully commit to. But once you fully commit to it, there's no reason why if a deal doesn't feel right or it doesn't look, it will not be right for you. You can always walk away if you don't want to do it anyway. Get started and give it a go. But you never know what's going to come upon it. Resources Buying a business is only the start, which is why we are now teaching what happens next on the Mastermind program. Now, if you've already bought a business, you should be part of my Inner Circle group where we discuss raising capital, integration management, and exiting. Email Maria on hello@thedealmakersacademy.com for more information. If you are looking for a lawyer in the UK to help you get the deal over the line, then use my own lawyer, John Andrews. You can phone his office at (0345) 2412494 or email him at johnandrews.deallawyer@jmw.co.uk. If you would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at: www.dealmakerspodcast.co.uk Watch my Webinar Training Video: https://www.dealmakerspodcast.co.uk You can also request a free copy of my book at: https://www.thedealmakersacademy.com/free-book-giveaway/ If you want to jump straight to my live Zoom FastTrack course, please go to: https://www.thedealmakersacademy.com/fast Connect with Jonathan Jay at: Website: https://www.thedealmakersacademy.com/ LinkedIn: https://www.linkedin.com/in/jonathan-jay-3556b230/ YouTube: https://www.youtube.com/c/TheDealmakersAcademy