Colin Keeley – How to Buy a Small Business

Learn How to Buy Your First Small Business

What you’ll leave with

1. A Concrete Plan

Understand your skills, decide on what your target deal looks like, and set up your legal entity to be ready for your acquisition.

2. Streamlined Search Process

Finding the perfect business to buy is hard. We will start to build top-quality deal flow together. You don’t have to settle. By the end, you will have contacted brokers, owners, and marketplaces in your space.

3.First Deal Analyzed

How do you know if you’ve found a great deal? We go through how to diligence your deal qualitatively and quantitatively with financial modeling templates and diligence checklists.

4. Lifelong Community / Network

Searching is more fun with friends. Your acquisition peers will hold you accountable in your search. And our ever-expanding list of trusted service providers will give you the confidence to close a deal.

5.Creative Finance Options

We go through creative ways to fund and structure your deals for maximum returns and minimum money upfront. You don’t need as much money as you think you do.

6. Confidence to Close

When you find the right business to buy, you will have the resources, tools, service providers, and network needed to close quickly.

What You’ll Learn In How to Buy a Small Business

Getting Started

• Why Buy then Build
• Setting Up a Legal Entity (US)
• Choosing Your Niche
• Q&A: Do I Search Solo or With a Partner?
• Q&A: Do I Need a Technical Co-Founder?
• Q&A: Uneven Capital Contributions with a Partner

Sourcing

• Sourcing Overview
• Dealflow Sources – List of Marketplaces, Brokers, etc.
• Proprietary Sourcing: List Building & Emailing Guide
• Outbound Email Scripts
• Paying Finder’s Fees
• Building Outbound Target List Example Live
• Building Outbound Target List Notes
• Outbound Acquisition Targets Template
• How to Find a Local Business to Buy
• Live Sourcing Session + Q&A

Diligence

• Qualitative Diligence
• Qualitative Deal Analysis Template
• Financial / Quantitative Diligence
• Financial Terms to Know
• Financial Model Template (Quantitative Deal Analysis)
• Due Diligence Questions
• Legal Templates – NDA, LOI, APA, etc.
• Diligence Checklist (Asset Sale)
• Diligence Checklist (Equity Sale)
• Due Diligence Q&A
• Good Reasons for Selling
• Green & Red Flags in a Deal
• Live Deal Analysis & Growth Planning
• Q&A: How Do I Protect Myself Against Fraud?

Valuation & Negotiation

• Negotiation Walkthrough
• Negotiation Flowchart
• Valuing a Business
• How to Value a Software Business
• Revenue vs Profit Multiples
• Valuation by Company Size
• Managing Seller Expectations
• Negotiation & Deal Structure Q&A
• Deal Breakdown: Ottomatik
• Deal Breakdown: Scout
• Margin of Safety
• SaaS at a Low Price
• Q&A: Seller Wants a Crazy High Price. How to Talk Them Down?
• Q&A: Should I Renegotiate After Learning Something in Diligence?
• Q&A: How Do You Value a Business With No Revenue?
• Q&A: How Do You Factor Technical Debt Into Your Valuation?
• Q&A: How Do I Buy a Cash-Heavy Business?
• Q&A: Should I Make a Deposit for the LOI?
• Q&A: Should I Personally Guarantee a Seller Note?

Financing & Closing

• Structuring a Deal
• Structuring a Deal with Outside Investors
• How to Find Investors
• Building a Track Record
• Real Sample PE Deal Structures
• Transfer Worksheet Template Walkthrough
• Asset & Login Transfer Template
• Closing Mechanics & Escrow
• General Transition Guide
• How to Get a SBA Loan
• How to Get Non-Dilutive Acquisition Financing (Guest Lecture)
• SBA Loan for SaaS
• Asset Purchase vs Equity Purchase
• Planning to Exit
• Financial Modeling for an Acquisition Deal (Guest Lecture)

Growth

• Hiring & Managing Developers / Product Team
• Hiring SEO Writers
• SEO Writer Sample Job Description & Form
• Constellation Software – Largest SaaS HoldCo
• Minimizing Taxes on Exit
• Structuring a Holding Company
• Finding Your Competitive Advantage
• Q&A: Should All Companies Be Separate or Together?
• Q&A: Berkshire Inspired Private Equity Models
• Partner Deals & Discounts
• Supercharge Your Growth

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