Lab Preview: Walker’s Insights from Q&A Sessions

In this module we’ll be answering questions like:

• What can searchers expect to happen in six months?
• What’s the secret to getting a deal done?
• What kinds of businesses do you own now and how do you manage them?
• What are the biggest mistakes you’ve seen people make when trying to buy a business?
• What was the biggest mistake you made when acquiring businesses?
• What was the worst acquisition you ever did?

Q&A lessons include:

• Can you tell us about your experience adding value to a manufacturing company?
• What are your thoughts on the different monetization models for online businesses?
• What are the differences between a startup and buying an existing business, in terms of metrics?
• What’s your advice for staying on top of industry trends?
• How do you think about SaaS companies?
• Can you talk about your experience with a platform business?
• What skill set is needed to run an online business?

We’ll cover tons of questions related to strategy, such as: 

• What’s the right sized business for me to buy?
• When did you reach the point where you were comfortable having more than one business?
• Should I buy a small company or go as big as I can? 
• Do you risk not learning enough from buying too small of a company?
• How has your target checklist evolved over time?
• How far from your house would you recommend considering for a business?

Q&A lessons include:

• What do banks mean by seller risk?
• As an SBA buyer, should I fear the cash buyer?
• What would happen if a buyer accepts a seller note and then stops paying it?
• What are the drawbacks of seller financing?

Ask Me Anything sessons include:

• How do you work with an attorney as a buyer?
• How do you recommend we structure partnerships?
• How do you structure the ownership percentages when working with investors?
• How do you approach getting key employees to sign noncompetes?
• What is phantom stock?

Training videos with Walker answer questions such as:

• Is it worth reaching out to a broker about a deal that is pending?
• What type of commission is the seller paying a broker?
• How does the way you are perceived change after the first acquisition?
• What are the best ways to get noticed by brokers during your initial outreach?
• How do you break into proprietary deals?

• How do you overcome analysis paralysis, particularly when looking at different online business models?
• How do you deal with the fact that accurate industry information in the private market is virtually nonexistent?
• What’s a typical request for exclusivity in a letter of intent?
• How do you consider the impact of COVID-19 when analyzing a business?
• Can you use information about publicly-traded companies to better understand private SaaS companies?
• Can you trust the industry information that the seller provides?
• Can you explain the concept of a contribution margin?
• What’s the difference between overhead and contribution margin?
• What strategies can you use to find growth opportunities for the business you’re considering buying?

• When is the appropriate time to ask the seller tough questions?
• When is the right time to ask for detailed financial statements from the seller?

• How do you determine an initial offer price when the listing has a multiple, rather than a specific asking price?
• How long is the typical exclusivity period when you’re going under LOI?
• How can you structure an offer to factor in the general cycle of a business?
• How and when does the negotiation process on the price of a business happen?
• How can you structure an offer to factor in the general cycle of a business?
• What’s your advice on buying the building that the business is operating out of?
• What advice do you have for valuing service businesses with low inventory?
• When you set your target acquisition price, should you take closing costs and other fees into account?
• How often do deals fall apart after going under LOI?
• How is working capital typically negotiated in smaller deals?
• How do you approach a listing without a price?
• How do you approach purchasing inventory?

• Why is diligence so important?
• When should I start due diligence, relative to the SBA loan application?
• How should I approach a business’ existing leases and equipment?
• What’s your approach to handling the debt from a recent acquisition?
• Is it fair to assume that the depreciation amount is what you’ll need to save for future capital expenditures?
• What role does the culture of a company play in the success of an acquisition?

• How do you build up cash once you’ve acquired a business?
• How can you use SBA loans to grow through acquisition?
• Is there an opportunity to blend new economy and old economy businesses
• How do you grow through bringing old economy businesses into the new economy?