- SMB Deal Hunter
- Posts
- New Deals - 7 Sept 2023
Today’s Sponsor
Hello SMB Deal Hunters!
I’m excited to share 5 new deals worth checking out.
Today’s issue is sponsored by Rejigg, a new platform I came across that features exclusive off-market (!) SMB deals.
Want to promote your business to my community of 9,500+ entrepreneurs and investors? Reply “advertise” and I’ll share my media kit.
📍 Location: Tampa, FL
💰 Asking Price: $7,900,000
💼 Cash Flow: $2,109,076
📊 Revenue: $3,168,484
📅 Established: 2003
💭 My 2 Cents: Did you know that no trucks can legally be on the road with a cracked or broken windshield? This 20-year-old business supplies replacement glass for big trucks. They source inventory from overseas suppliers and have inventory ready in stock for immediate delivery and installation. The margins are incredible, and I like that the business comes with a team of 13 employees. Plus, the seller is retiring and willing to finance $1 million of the purchase price, which is a good sign of faith. A large growth opportunity for a new buyer is to expand geographically into other territories.
Click Here To View The Listing »
📍 Location: Harris County, Texas
💰 Asking Price: $1,999,999
💼 Cash Flow: $550,000
📊 Revenue: $1,000,000
📅 Established: N/A
💭 My 2 Cents: This business has 3 revenue streams: 1) valet and parking management for malls, restaurants, ballparks, etc., 2) wash and detail for valet cars, and 3) mobile detailing contracts for car manufacturing showrooms. They’ve been offered additional locations to expand into that they’ve turned down due to bandwidth (great opportunity for a new buyer!). The margins are excellent, and I like that the seller is willing to offer a seller note as that shows confidence in the business going forward.
Click Here To View The Listing »
📍 Location: Remote
💰 Asking Price: $2,200,000
💼 Cash Flow: $489,150
📊 Revenue: $1,676,174
📅 Established: 2021
💭 My 2 Cents: Though this DTC business is relatively new, they’ve found product-market fit quickly by solving a specific need for a very loyal audience. While there are many Bible print variations in circulation, few cater to people who want to easily annotate and personalize their holy scriptures. This business's point of differentiation is that the pages of their scriptures and Bible notebooks lay completely flat, so customers can read and take notes in the allocated margins of each page. I like that their printer in Orlando, Florida also handles fulfillment, which removes the need for a 3PL and warehouse space and simplifies operations. I’d want to dig into their repurchase rates, as I’d assume they would be high given the devoted customer base.
Click Here To View The Listing »
In Partnership With Rejigg
Hunting for Off-Market SMB Deals?
I recently came across a new platform called Rejigg that features off market SMB deals that are $500k-$10M in revenue.
They have an in-house team doing outreach everyday, finding owners who are excited to meet with buyers.
Their team adds 7-10 new proprietary deals every week (and because these deals are off-market, they aren’t listed on competitive marketplaces like Bizbuysell).
I found two interesting deals immediately that speak to the quality of the platform:
1) A fundraising event platform doing $3MM in revenue with over 75% repeat revenue and 35-40% margins.
2) A SaaS for cemetery owners that will do $2MM in EBITDA this year with 30% YoY growth and over 40% EBITDA margins.
No wonder searchers who join Rejigg often have a dozen meetings with owners in their first month!
📍 Location: Chicago, Illinois
💰 Asking Price: $3,725,298
💼 Cash Flow: $917,028
📊 Revenue: $4,182,680
📅 Established: 1994
💭 My 2 Cents: This business designs, manufactures, and installs custom-made signs that serve a variety of commercial customers. What’s interesting is they have already doubled down on a specific customer demographic—50% of their sales are to parking lot companies! I like that most of their customers are repeat and that they have 21 employees who have been with the company for many years. Another good sign is the retiring owners are open to financing 10% of the transaction. A growth opportunity here (as is the case with many businesses with older owners) is to modernize their sales and marketing strategies and systems.
Click Here To View The Listing »
📍 Location: Remote
💰 Asking Price: $3,900,000
💼 Cash Flow: $1,105,906
📊 Revenue: $2,606,266
📅 Established: 2020
💭 My 2 Cents: This DTC brand sells botanical supplements exclusively through their Shopify site. I love the high margins of supplements, and this brand has cut down its R&D-to-sellable-product lead time to an impressive 12 weeks. What’s also remarkable is the company has built a massive social media presence with billions of views. As with all supplement businesses, I’d want to really dig into what differentiates their products and understand how new products are developed. I’d also want to understand what % of the orders are subscriptions, as well as what % of customers repurchase (and how often they repurchase).
Click Here To View The Listing »
🐦 The Best of SMB Twitter (X)
Ask this question to a seller before you buy (link)
Breakdown of a recent LOI (link)
The hardest thing about capital allocation (link)
7 types of essential service businesses to buy (link)
Companies that take advantage of weird regulation quirks (link)
🧠 Join the SMB Deal Hunter Mastermind
If you want to be part of an active community for serious acquisition entrepreneurs and investors, apply here.
We share insights, ask questions, and collaborate in bi-weekly Zoom calls and a Slack channel.
Spots are limited and will be released on a first-come, first-served basis to qualified applicants.
See you next Tuesday!
-Helen Guo
Find Me On Twitter
Find Me On LinkedIn
P.S. Whenever you’re ready, here are a few ways for us to work together:
1. Invest with me in cash-flowing SMB deals. I’m bringing on a select few investors from this community into businesses I’m buying and operating. Reply “LP” and I’ll share more.
2. Join the SMB Deal Hunters Mastermind, a community for serious acquisition entrepreneurs and investors where we share insights, ask questions, and collaborate in bi-weekly calls and a Slack channel. Want in? Apply here.
3. Interested in selling your business? Get an offer from me.
4. Know someone ready to sell their business? Scout a deal for me and I'll make it worth your while! I pay finders fees of $25,000 to $200,000+, all you have to do is make the introduction.
🤝 Advertise in SMB Deal Hunter
Want to promote your business to my community of 9,500+ entrepreneurs and investors? Reply “advertise” and I’ll share my media kit.
📚 What I’m Reading
Everyone always asks how I stay up-to-date, so here are a few of my favorite newsletters. Click on the below links to sign up too (all free):
The Sweaty Startup — “Boring business” entrepreneur Nick Huber who sold his 7-figure service business and now runs a self-storage portfolio shares actionable insights with entrepreneurs and investors.
Houck's Newsletter — Tactical advice every week from an a16z-backed founder on how to build, grow, and raise capital for your startup.
Side Hustle Central — How to find cash-cow side gigs that are low risk, make big $$, and can even nuke your tax bill.
The Breakthrough — Every Monday, Mark Manson (the author of #1 NY Times Bestselling author of The Subtle Art of Not Giving a F*ck) sends an idea, a question, and an exercise that could spark your next breakthrough.
Tip News — Quick and unbiased news highlights on the most need-to know issues. No clickbait, no agenda, no bias – just the facts in a five minute read!
⏪ Catch Up On Recent SMB Deal Hunter Issues
📨 Share SMB Deal Hunter
If you refer 1 friend or colleague to my newsletter, I’ll also send you The Comprehensive Seller Interview Question Bank I’ve put together for free ($99 value). In it, I’ve compiled 50+ questions business buyers should ask during seller interview calls when evaluating a business.
Or copy and paste this link to others: https://www.smbdealhunter.xyz/subscribe?ref=PLACEHOLDER