The information contained here may not be typical and does not guarantee returns. Background, education, effort, and application will affect your experience. Your results will likely vary.
Biz Buyers,
Buying a business isn’t just about finding a good deal—it’s about earning one. And that takes two things:
1️⃣ More patience than you expected.
2️⃣ More reps than you think you need.
One Contrarian Community member, Jesus, learned this firsthand. He wasn’t just casually browsing listings—he was putting in serious work.
“I looked at literally 1,000+ deals, submitted almost 100+ NDAs, read through almost the same amount of P&Ls and CIMs, submitted a handful of LOIs, and had many phone calls and emails with brokers and sellers,” Jesus says.
Like many buyers, he started with a vague idea of what he wanted but little experience in analyzing deals. That changed quickly.
“The reps helped me refine my process, and I gained the skills needed to efficiently and effectively weed out the bad ones. It also made me a more competent buyer in the eyes of brokers and sellers.”
For Jesus, business buying almost became a sport. He trained by reviewing deal after deal, and over time, the patterns emerged. The good deals stood out faster. The bad ones got tossed without hesitation. And most importantly—brokers started taking him seriously.
But no amount of preparation can prevent what happened next.
For months, Jesus had been working on acquiring a bookkeeping business. It was a desirable deal—so much so that over 25 other buyers were circling. He put in the work, built relationships, and got deep into diligence.
Then, at the very last moment, the deal fell apart.
Most buyers would’ve been back to square one. But Jesus had already learned a key lesson: never fall in love with something that can’t love you back.
“I thought it would still be prudent that I kept the momentum going with 2 other live deals that I had in play while working very hard on the bookkeeping biz,” he says.
Even though he was full-speed ahead on one deal, he didn’t shut off deal flow entirely. He stayed in touch with brokers, kept conversations warm, and kept moving other opportunities forward—just enough to have backup options if things went sideways. And when they did?
“I was able to immediately turn my attention to the others. This allowed me to submit LOIs for both biz’s immediately and begin negotiations.”
Those deals didn’t close, but Jesus was in motion. He wasn’t starting from scratch. And then something unexpected happened…
A few weeks after the bookkeeping deal fell through, Jesus got a call. It was the same broker who had been running the sale.
“He reached out and said he felt bad I didn’t get that deal. He had another deal where a buyer pulled out, and before going out to market, I came to his mind right away as someone he wants to work with again.”
That’s the power of relationships.
Because Jesus had been professional, engaged, and serious throughout the previous deal process, he was top-of-mind for the broker’s next opportunity. This time, unlike the bookkeeping deal, where he was fighting off 25+ other buyers, he was the only one at the table.
Sometimes, it’s easy to forget that brokers want to close deals. When they find a buyer who actually knows what they’re doing, who won’t waste their time, and who can get to the finish line? They remember that buyer.
“Keeping relationships warm with brokers is so important for healthy deal flow!” Jesus says.
The business looked solid—revenues were strong, and profitability was better than originally reported. But there was one major risk: customer concentration.
Almost half of revenue came from one major customer, and customer relationships are likely tied closely to the seller, Jesus explained.
Translation? If that one client walked away after the sale, this deal could turn sour. At the same time, the seller was convinced the business would grow. He wanted a higher price. So Jesus played it smart.
“My biggest goal was to protect my downside, in case that top customer disappears or the business is not as profitable after I take over.”
Instead of fighting over the final purchase price, he focused on terms.
“I learned that the seller really believes the business will grow and get to [a certain level of] EBITDA, so he wants to participate on the potential upside.”
Jesus structured a deal where the seller only makes additional money if the business actually performs. And if it doesn’t? Jesus doesn’t overpay.
“In the end, I got a signed LOI with something I think is a win-win: I get the downside protection, and the seller can benefit from future growth of the business that he promises will happen.”
And there’s another hidden advantage to this deal structure—seller motivation. Because the seller now has an earn-out tied to future profits, he has a vested interest in helping Jesus succeed after the sale. He’s financially incentivized to keep key relationships strong, assist in the transition, and ensure the business keeps growing.
If you’re buying a business, there’s no coasting. There’s no “waiting for the perfect deal to find you.” You have to keep running. Jesus knows this better than most.
“I was negotiating LOIs while on holiday in Africa. We were very fortunate to go on a few safaris where we got to witness the animals of the African wild.”
One of those moments stuck with him.
“In fact, one of the craziest things we saw was a lion chasing a hyena.”
That scene reminded him of an old saying:
“Every morning in the savannah, the gazelle wakes up and knows it must outrun the lion or be killed. The lion wakes up and knows it must outrun the gazelle or starve. Whether you're the gazelle or the lion, when you wake up in the morning, you’d better start running.”
If you want to buy a business, you better keep running. Keep looking at deals. Keep relationships warm. Keep making great offers. Keep negotiating. Jesus didn’t progress on a deal by accident. He won by staying in motion.
But here’s the thing—you don’t have to run alone. Jesus leaned on the Contrarian Community every step of the way.
“I submitted a bunch of Deal Reviews, attended live calls, joined office hours, tagged people, and had calls with those who offered to help. Having others on your side who want you to succeed, but are also willing to give you the cold hard truth when they see red flags in a deal, is truly invaluable.”
His advice for new buyers?
“It will be a long and hard journey, and leaning on the Contrarian Community and your circle of trusted advisors is how you will get through this.”
Now it’s your turn…
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