Key Points From the Interview
ou've probably heard that it's better to buy no business than the wrong business.
You've also probably heard that at some point when evaluating a business to buy, you can't diligence away all the risk and just have to "take the leap".
Well you may notice the contradiction in those two maxims.
We're basically saying, small businesses are messy and emotional and you'll never get perfect information. But by accepting that, we're accepting that some number of acquisition entrepreneurs, despite best efforts, are just going to get burned.
Today's guest Judd Lorson went through such a crucible.
He followed the best practices. He diligenced the business he bought. He showed it to his experienced investors, who also liked it.
And yet still, shortly after getting into the CEO seat, he realizes.... uh-ohhh.
The painful fact of Judd's story, other than the guy's suffering, is:
I'm not sure what the lesson is. He seemed to do everything right.
If I missed it, and you see it, please let me know what that lesson is.
And if you otherwise get value from this story, let Judd know. He's earned it.
Here he is, search survivor Judd Lorson:
Sponsors
August Felker is a 2-time successful searcher — first with a traditional search fund; the second time around, he did a self-funded search.
Today August runs Oberle Risk Strategies, an insurance firm with a dedicated practice group for searchers and acquisition entrepreneurs like you.
If you've got a business under LOI, Oberle will provide complimentary due diligence on that business's insurance and benefits program. A great, no-risk way to get to know August & team.
They love helping searchers; they've worked with hundreds. Oberle is a specialty insurance brokerage for searchers, by a former searcher.
Check out the Search Fund Team at Oberle.
[00:00:00 - 00:02:30]
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