How Business-Buyer Fit Led to 2.2x and No PG

Joe, you are very recently into your business. You acquired at the end of January. So we're going to get a view from the very first weeks of a transition.

We're also going to hear about your purchase price in terms what you were able to negotiate there. That has aroused a lot of interest in the Acquisition Lab where you and I are both members, many members reaching out to you, wanting to learn more. Let's begin though, Joe, with a little background on you, please.

My previous company, I was there for about six years, had a lot of success. I knew that I wanted more and to kind of, you know, build my own ladder. And I, and I started on that, that journey to, you know, see what it was like to acquire a business.

So I come from the world of sales and obviously that plays a role in business that I ended up purchasing.

And so your decision to buy business was because you just kind of looked around and wanted to build something for yourself as opposed to building, working for somebody else, even though you were making probably pretty good money in medical device sales.

Yeah, no, yeah. You know, the way I looked at it is instead of climbing the ladder, I wanted to create the ladder for myself. And that was the, the goal for me is to be able build something that was, could be long standing or even in the short term having a short term success in terms of building something that someone else could be interested in acquiring.

And then you first looked at real estate as I recall.

That's correct, yeah. So I had a guy, one of my mentors, we started looking at real estate and when I started looking at the numbers, look at the margins, it was pretty low. You know, the way that I equated it was the Way to really make money on the real estate side was just about more doors, more units that you have.

And then that's when we kind of got into the discussion as to still acquiring an existing business that was already producing good margins and good profits. And that's when I kind of got into that journey is to kind of looking to see what it was, what it would take to acquire a business.

And did this person you were working with, somebody on the real estate side, you said?

Yeah, so I got introduced to him from another mentor because I had an interest in getting into real estate and acquiring. And as we were looking at different units, I'm looking at the numbers and they're not really making a lot of sense to me. And we got in onto the conversation for as the corner business.