Looking for Feedback/Advice

April 08, 2026

by a searcher from Ohio State University in Columbus, OH, USA

Hi all! A few questions that I'd love any guidance/feedback on. As a background, my brother and I have been searching for about a year, and have had a few heartbreaks on the way (as I assume most people here have). We are hitting an inflection point where we may want to dive into a more targeted search. I am a corporate/finance attorney (with a B.S. in Psychology and a JD/MBA) and he is a supply chain/manufacturing consultant (with a B.S. in Mechanical Engineering). Our long-term goal is to have a family-office structure with multiple companies. But landing the first one has been tough, in part because the operator will need about $150-200k salary to comfortably transition. Any guidance would be greatly appreciated. 1. Industry We've put offers in on various companies including a machine tool dealer, custom cabinetry, commercial cleaning, class-based fitness, etc. In other words, we're effectively industry agnostic so long as it isn't a sophisticated enterprise (i.e., geotechnical engineering, construction, etc.). Do you think this is the correct approach? Are there any industries you'd advise we lean towards, as well as industries we should avoid. Any guidance would be greatly appreciated. 2. Deal Size/Financing (I know it can be touchy discussing personal financials... but they're a critical component to our analysis, so its difficult to ask for advice without giving advisors full information) In the last year, our financial situation has drastically improved (thank you Sandisk and Vertiv!!!!!!!!)... we began effectively capped out around 200k total for a down payment, and now could probably come up with about 400k (for the right company). Our unsecured asset base has also increased from about 800k to 1.2/1.3MM (i.e., we can now probably tap into a personal line for about 7-800k). We initially thought an SBA loan made the most sense, and have our pre approvals there... we planned on swinging for a 2MM+ company, but now that we have more capital to play around with, we're starting to think maybe we just get a clean 200-300k SDE company for under 1MM, knowing our asset base can cover that. The only dilemma is that the operator likely needs 150k minimum salary. How would you advise us to proceed? Do we take a big swing on a highly leveraged buyout with insufficient assets beyond the business to cover us in a downturn? Do we go the search fund route and maybe even take a larger swing (and if so, please advise)? Or do we play it safe, ignore golden handcuffs, keep building our combined net worth and then use that as an asset base to buy a more modest company (where the operator may not initially make 200k)? W/r/t a search fund, I'd also love to know what everyone's thoughts are on how easy/difficult it would be to secure funds here. We both went to Ohio State for undergrad, but my JD/MBA is from Capital University... I know a lot of search funds want searchers with more academic acumen. Thank you all so much in advance for all of your guidance!

Reply by a professional-advisory
from University of Utah in Sandy, UT, USA

Best advice- get your buy box in order first. This is an excerpt from a book that I wrote on the Silver Tsunami: The Four Skills That Matter That intentionality becomes even more critical when you turn inward and assess what you actually bring to the table. Owning a business is not a test of your technical expertise. Whether you understand the product or service is often secondary to whether you understand the four core competencies that determine whether a business thrives or just survives under new ownership. 1.Management. You need the ability to set clear expectations, delegate authority without giving up responsibility, and keep people accountable across a team that may be larger than any you have managed before. 2. Hiring and firing. You have to be willing to recruit aggressively, judge talent honestly, and remove underperformers quickly before they poison the culture or drain the profits. You will need to become the best recruiter this side of the Mississippi. 3. Sales. You need the ability to either personally bring in revenue or build and motivate a sales team that can. In a business of this size, no amount of operational efficiency makes up for a flat top line. Sell, sell, sell. 4. Financial literacy. You need the ability to read a balance sheet, understand cash flow problems before they become crises, and manage a relationship with a bank that does not care about your vision but cares deeply about your debt service coverage ratio. If you lack any of these four competencies, you can find them through hiring or partnership. But you have to be honest with yourself about what gaps exist. Denial is not a strategy. The combination of your buyer profile and your honest assessment of these core skills gives you something invaluable: a clear picture of who you are as a buyer and what kind of business you are actually equipped to run. That clarity becomes your foundation. It guides every listing you consider, every conversation you have with a broker, and every offer you eventually make.

Reply by a searcher
from Malone College in Columbus, Ohio, United States

Hi Philip, I am also in Columbus and have been active in search since here 2016/17. Columbus is an extremely difficult market for searchers, especially if you aren't looking to be the operator, so kudos to you and your brother for putting in a year to finding what works best for you both. We've had success staying close to industries we (or a person we've partnered with) know well. Choosing your operator in advance (now) may help open doors so you can speak to their skills when you talk with brokers and sellers. SBA loans are a great vehicle for a first acquisition. They aren't really set up for absentee ownership, so you might think about how you'll position your role as you speak with lenders. Post-close liquidity is also crucial, so running the numbers on what works while still leaving you a cushion is a smart way to go. Happy to chat. We're nearing the close date on our 20-something'th acquisition, and this one is in Columbus. We've also been thinking of setting up some kind of local meetup for searchers to build the community that's missing here.

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