Before You Buy or Sell a Business

At the heart of entrepreneurship is the responsibility to create value. Not just for yourself, but for employees, customers, and the community.In this episode of Before You Buy or Sell a Business, Jared Johnson sits down with Munashe Makava, an NYU MBA graduate who began his career at Deloitte and Goldman Sachs before stepping into entrepreneurship through acquisition.Born and raised in Zimbabwe, Munashe shares how his parents instilled an entrepreneurial mindset early on, why the birth of his first child was the push to finally buy a business, and what he learned transitioning from Wall Street to owning two concrete companies in the U.S.Munashe breaks down how he evaluated opportunities, why geography mattered more than industry, and what he wishes he had done differently during negotiation. He also talks about team building, mentorship, and why the hardest part of being an entrepreneur is people—not the numbers.Main Takeaways:Entrepreneurship isn’t only startups: ETA reduces some risk but still demands leadershipGeography can guide your search just as much as industryBuild your deal team early, including tax strategy support, to avoid missed opportunitiesStrong seller and broker relationships can unlock deal structures others overlookEmployees who think like owners are the key to long-term successMentorship and networks multiply opportunities and help overcome self-doubtEpisode Highlights:[03:42] Growing up in Zimbabwe, working at Deloitte, and moving to the U.S. for an MBA[09:25] How becoming a father pushed Munashe to pursue entrepreneurship[15:17] Why entrepreneurship isn’t the “holy grail” for everyone and the difference between being an entrepreneur vs. entrepreneurial[22:04] Narrowing a search by geography and being industry-agnostic[28:40] Finding two concrete businesses on BizBuySell and spotting hidden value[36:55] Negotiating the deal structure, seller note, and lessons on tax allocation[43:28] Raising capital through classmates, friends, and crowdfunding platforms[51:02] Transition challenges: losing operators and rebuilding the team quickly[57:41] Discovering more value post-acquisition and surpassing year-one expectations[01:04:30] The importance of people, culture, and creating ownership mentality among employees[01:12:05] Why mentorship matters, building a pay-it-forward network, and revamping mentors as your stage evolves[01:19:15] Purpose as the ultimate motivator: enabling others through entrepreneurshipConnect with Munashe:https://www.linkedin.com/in/munashe-makava-fcca-2728372a/More from Jared:If you have questions for Jared, visit: https://jaredwjohnson.comhttps://www.linkedin.com/in/jaredwjohnson/DISCLAIMER:The views and opinions expressed in this program are those of the guests and host. They do not necessarily reflect the views or positions of my employer.Keywords:entrepreneurship through acquisition, ETA, buying a construction business, concrete pumping business, asset sale vs stock sale, SBA acquisition financing, seller notes, raising capital for acquisitions, building an entrepreneurial team, immigrant entrepreneurship, mentorship networks, employee ownership mindset, small business transition, growth after acquisition, business acquisition strategy

What kind of person should actually buy a business, and who should not?In this episode of Before You Buy or Sell a Business, Jared Johnson talks with David Barnett, former business broker, author, and small business advisor, about what buyers need to know before stepping into business ownership.They cover who should and shouldn’t buy a small business, how the acquisition landscape has changed, and the mistakes new buyers make by relying on online content instead of real experience. David explains why he left the brokerage world, what many buyers get wrong about business financials, and how to approach deals with clarity, caution, and the right strategy.David shares his background in finance and brokerage, how online hype has led to a wave of underprepared buyers, and the red flags they often miss, like ignoring balance sheets, underestimating CapEx, and failing to plan for operating capital. He breaks down the risks of over-leveraging, why not all boomer-owned businesses are good targets, and gives practical advice for new buyers: build capital, get experience, and avoid rushing into the wrong deal.Main Takeaways:Buying or selling a business requires experience and due diligenceMost first-time buyers underestimate risk and overestimate deal qualityFinancial understanding must go beyond the profit and loss statementNot all listings are good opportunitiesMistakes can be avoided with the right guidance and preparationEpisode Highlights:[03:13] The realities of working as a business broker[12:10] Red flags in financials, including missing balance sheets and CapEx[13:08] Why operating capital is often ignored during valuation[15:46] The CapEx trap: why SDE and EBITDA don’t tell the whole story[17:07] How to budget for equipment replacement[22:24] What to watch for with deferred maintenance[24:59] Why understanding what you're buying is more important than price[27:37] Risk varies with the buyer; no one-size-fits-all deal[32:21] Why there’s no such thing as a risk-free acquisition[39:40] Who should actually buy a businessConnect with David:https://www.businessbuyeradvantage.com/https://www.linkedin.com/in/davidbarnettmoncton/More from Jared:If you have questions for Jared, visit: https://jaredwjohnson.comhttps://www.linkedin.com/in/jaredwjohnson/DISCLAIMER:The views and opinions expressed in this program are those of the guests and host. They do not necessarily reflect the views or positions of my employer.Keywords:how to buy a small business, buying a business with SBA loan, David Barnett, business buyer advice, entrepreneurship through acquisition, ETA, SDE vs EBITDA, CapEx planning, business due diligence, small business acquisition, buying vs starting a business, operating capital, over-leveraging risk, small business finance, business valuation, search fund, business acquisition strategy, red flags in buying a business

In this episode, Jared Johnson sits down with Michael Seitz, CEO & Chairman of EarthWise Pet, for a wide-ranging conversation on entrepreneurship, franchising, M&A strategy, and what it really takes to build and scale a brand in a mission-driven industry.Michael shares how growing up in a family business shaped his values, how almost becoming a dentist led him back to his entrepreneurial roots, and the hard-earned lessons behind buying 42 stores in a single day. Whether you’re a first-time buyer, seasoned operator, or just curious about franchising from the inside out—this one is packed with insight.Episode Highlights[00:07:30] — The power of asking better questions early in your career[00:13:00] — Why unit-level economics are the heartbeat of franchising[00:23:00] — Why buyers need to focus on trailing 12 months, not just historical EBITDA[00:29:00] — What EarthWise looks for in new franchisees (hint: it’s not just the money)[00:33:30] — Advice to 20-somethings considering their first acquisition[00:36:00] — The #1 mistake most sellers make—and how to avoid it[00:38:00] — What really keeps a founder going after decades in the gameConnect with MichaelLearn more about EarthWise Pet: earthwisepetfranchise.comFind Michael on LinkedIn: Michael Seitz, CEOMore from JaredIf you have questions for Jared, visit: https://jaredwjohnson.comDISCLAIMER: The views and opinions expressed in this program are my own and/or those of my guests. They do not necessarily reflect the views or positions of my employer.

In this episode of the "Before You Buy or Sell a Business Podcast," host Jared Johnson welcomes Jason Boehning, an HVAC industry professional who has successfully acquired two businesses over a short period. The discussion delves into the intricacies of acquiring businesses, highlighting Jason's strategic mindset and the unique competitive advantage he enjoys due to his engineering background. This episode offers listeners invaluable insights into the pragmatic approach Jason adopted, which not only involved leveraging his skills but also focusing on relationship-building and effective transition management.Jason's journey started from a small Texas town and led him to Texas A&M University, where he studied mechanical engineering. His diverse career path in the HVAC industry served as a solid foundation when he made the decisive move to business ownership. Through engaging dialogue, this episode presents a comprehensive look at his process of acquiring and managing HVAC businesses. Key themes explored include the importance of having a solid plan, the advantages of maintaining good relationships with employees during acquisitions, and the strategic insights driving successful business growth in a competitive market.Key Takeaways:Jason leveraged his HVAC design and engineering knowledge to strategically acquire two businesses, positioning himself effectively in a competitive market.Key factors in successful acquisitions include having a solid operational and financial plan and maintaining focus on long-term goals amidst a dynamic business environment.The importance of maintaining key employees during a business transition, as these employees often hold valuable customer relationships and operational knowledge.Acquiring existing customer bases through business purchases can be a more effective growth strategy than relying on extensive digital marketing efforts.Managing working capital efficiently is critical in the HVAC sector due to varying cash flow cycles, especially when dealing with commercial clients.------------------------------------------------------------------------------If you have questions for Jared, visit https://jaredwjohnson.com/ DISCLAIMER: The views and opinions expressed in this program are my own and/or those of my guests. They do not necessarily reflect the views or positions of my employer.

"The more parties you get investing in your deal, the less of a chance you're going to buy a bad deal."In Part 2 of this two-part episode of the Before You Buy or Sell a Business podcast, I talk with SBA loan borrowers about the business they end up buying: an HVAC business.From initial deal discovery to negotiating terms and finalizing the purchase, this episode provides a thorough examination of each step potential buyers should consider.This detailed discussion underscores the importance of due diligence and strategic partnership in acquiring a business. Key topics include the evaluation of working capital, understanding the seller's perspective, and leveraging relationships with financial backers like the Search Investment Group. Pete candidly shares lessons learned, emphasizing the immense value of patience and discipline when analyzing potential acquisitions. Garrett adds depth with his focus on maintaining a conservative approach to financial evaluations, ensuring any deal remains sustainable in long-term.Key Takeaways:✅ Involve multiple stakeholders in your deal-making process to avoid poor investments.✅ Due diligence is crucial in understanding the nuances of potential acquisition, including financial and operational dynamics.✅ Building relationships with experienced mentors or strategic investors can provide crucial guidance and support.✅ Negotiating working capital is essential to ensure a smooth transition and stability post-acquisition.✅ Approach acquisitions with a mindset of adaptability and readiness to tackle operational challenges.CHAPTERS0:00 | Introduction4:52 | Balancing Fairness and Satisfaction in Real Estate Transactions12:54 | Navigating Working Capital and Cash Flow in Small Businesses16:17 | The Importance of Due Diligence in Business Acquisitions17:30 | Deal Structuring Challenges20:27 | The Importance of Fair Bidding and Building Lender Relationships23:14 | Building Trust and Navigating Investment Challenges in Business Ventures27:05 | The Challenges and Rewards of Acquiring and Operating a Business31:21 | The Adventure of Owning an HVAC Business

In this episode of "Before You Buy or Sell a Business," host Jared Johnson welcomes Conner Young, co-founder of Kairo Data. The conversation centers around Kairo Data's innovative platform, designed to streamline the process of finding and acquiring small to medium-sized businesses. Conner shares his team's journey from traditional wealth management to solving complex acquisition challenges through proprietary databases and off-market deals.Conner provides an in-depth tour of Kairo Data's features, explaining how they aggregate business listings from various sources into a single, convenient platform. Users can refine their searches to match their specific acquisition criteria, create custom alerts, and even manage campaigns for off-market leads. For those looking to outsource the initial stages of their search, Kairo Data offers comprehensive campaign services. The discussion also delves into key considerations for both buyers and sellers, emphasizing transparency and strategic engagement.Key Takeaways:Efficient Acquisition Tools: Kairo Data aggregates listings from multiple sources, streamlining the search process for potential buyers.Custom Alerts and Filters: Users can set up detailed alerts and customized buy boxes to focus their searches more effectively.Campaign Services: Kairo Data offers an end-to-end solution for buyers, handling outreach and initial vetting of potential sellers.Transparent Engagement: Both buyers and sellers are encouraged to be transparent and organized during the negotiation process to ensure a smoother transaction.Affordable Access: The platform provides valuable tools at a competitive price, making it accessible to a broad range of buyers.Resources:Kairo Data WebsiteEmail: team@kairodata.comEnjoy this insightful episode to explore how Kairo Data is revolutionizing the acquisition!______________________________________________________________________If you have questions for Jared, visit JaredWJohnson.comDISCLAIMER: The views and opinions expressed in this program are my own and/or those of my guests. They do not necessarily reflect the views or positions of my employer.

Before You Buy or Sell a Business, be prepared.That's what today's guest would tell anyone who is looking to buy a business like he did.I am happy that I got to sit down with George Ayomide, a two-time borrower of mine. George is an ambitious entrepreneur who has made significant strides in the business world. From his early business experience in Nigeria to his successful ventures in the United States, George shares his insights on acquiring and transforming businesses, maintaining effective customer relations, and ensuring seamless transitions.In this podcast episode, George discusses his first business acquisition, a window tinting and graphic design company in Dallas, detailing the steps he took to evaluate and smoothly transition the company. He elaborates on the importance of preparation and listening to customers, which led to innovative improvements in the business. A year later, George then moves on to his second acquisition, a well-established company in the automotive industry. He emphasizes the value of having a dedicated team and the significance of setting clear expectations during the business transition. This episode is filled with practical advice and inspiration for aspiring entrepreneurs and seasoned business owners alike.______________________________________________________________________If you have questions for Jared, visit JaredWJohnson.comDISCLAIMER: The views and opinions expressed in this program are my own and/or those of my guests. They do not necessarily reflect the views or positions of my employer.