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#776July 4, 20251:21:00

How I Bought a $3.4M Business For $200K

Business acquisition strategiesSBA loans and seller notesDue diligence processesPackaging and distribution industryTransitioning from tech to boring businesses

About This Episode

Shaan's college friend Dan Certner details how he transitioned from a tech CTO to acquiring Fleet Packaging, a $3.4 million packaging distribution company. The episode breaks down the financials of the deal, including using an SBA loan and a seller note, and explains how Dan doubled the business's profits within 18 months.

Episode Description

Want Sam's Playbook to Uncover Hidden Business Opportunities? Get it here: https://clickhubspot.com/weo Episode 723: Sam Parr ( https://x.com/theSamParr ) and Shaan Puri ( https://x.com/ShaanVP ) talk to Shaan’s college friend Dan Certner ( https://x.com/youneedbags ) about how he bought a business and doubled it in 18 months.

Show Notes

  • 0:00Dan the bag man
  • 5:16Farmville Fraud Detection
  • 10:09Fail: Getting rich working at a startup
  • 15:13Buying a bag business
  • 19:30The forgivable sellers note
  • 22:57How to find the right business
  • 37:29Meeting the seller
  • 40:15Negotiating the terms
  • 45:44The real profit
  • 49:55Who should do this?
  • 53:40Everything is someone's business
  • 56:32The exit strategy
  • 59:41Shaan and Dan's business plan
  • 1:07:49Fun to Run Businesses

Links

Check Out Shaan's Stuff

  • Shaan's weekly email
  • Visit
  • Mercury - Need a bank for your company? Go check out Mercury (mercury.com). Shaan uses it for all of his companies!
  • Mercury is a financial technology company, not an FDIC-insured bank. Banking services provided by Choice Financial Group, Column, N.A., and Evolve Bank & Trust, Members FDIC

Key Takeaways

1

Avoid 'buying a job' by targeting businesses with enough profit (e.g., $1M+) to support an operator or high-level management rather than small ventures that only net a modest salary.

2

Apply the 'Secretary Problem' framework to business searching by reviewing approximately 37% of your potential deal flow to establish a baseline before committing to an acquisition.

3

Utilize the 'Profit First' accounting method to ensure business health by deciding on a target profit margin upfront and forcing expenses to fit within the remaining budget.

Business Ideas Mentioned

Autonomous Climbing Gyms and Fun Centers

Boring Business

Medical Transport and Handicap Accessible Fleet

Boring Business

Localized Balloon Delivery Service

Boring Business

View all ideas

Featuring

DC

Dan Certner

1 episodes

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Quick Stats

Duration1:21:00
Guests1
Ideas Discussed3
Topics5

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Andrew Wilkinson