Buy Then Build: How Acquisition Entrepreneurs Outsmart the Startup Game

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Buy Then Build by Walker Deibel

Walker Deibel’s Buy Then Build introduces a compelling alternative to the traditional startup path: acquisition entrepreneurship. Instead of starting a business from scratch, entrepreneurs can buy an existing, profitable company and use it as a foundation for growth. The book challenges the widely accepted notion that entrepreneurship means launching a startup and instead promotes acquisitions as a smarter, faster, and less risky way to own and scale a business.

For entrepreneurs, leaders, and business owners, this book is especially relevant because it addresses how to reduce startup risk, accelerate profitability, and leverage existing infrastructure to create wealth.

Business Example: Applying Buy Then Build Concepts

A real-world example of acquisition entrepreneurship is Walker Deibel’s own purchase of a printing business. Instead of launching a startup, Deibel acquired an established company with existing customers, employees, and revenue. He then modernized operations, leveraged technology, and expanded services, eventually doubling its market value within a year. This illustrates how acquisition entrepreneurs can avoid the typical challenges of startups (like finding product-market fit or securing funding) and immediately focus on growth and innovation.

Main Ideas & Key Takeaways

1. Startups Have a High Failure Rate
   Most startups fail because they require years of trial and error before becoming profitable. By purchasing a profitable business, entrepreneurs can eliminate early-stage risks and focus on scaling.
2. Acquisition Provides Instant Infrastructure
   When you buy a business, you inherit:
   • An established customer base
   • Proven business processes
   • A trained team
   • Existing cash flow
3. Funding is More Accessible than You Think
   Many assume buying a business requires enormous capital. However, entrepreneurs can leverage:
   • SBA loans (in the U.S.) or similar bank financing
   • Seller financing (where the seller helps finance part of the purchase)
   • Investors who prefer acquiring profitable businesses over risky startups
4. The Market Opportunity: The $10 Trillion Tsunami
   Millions of baby boomers are retiring, and their businesses need new owners. This creates a once-in-a-lifetime opportunity for acquisition entrepreneurs to buy profitable businesses at reasonable prices.
5. Growth Through Acquisition
   Instead of building a startup, an entrepreneur can buy multiple businesses over time, integrating them for compounded growth and wealth creation.

Chapters Breakdown

Part 1: Opportunity

1. Don’t Start a Business – The traditional startup path is risky, with high failure rates. Instead, entrepreneurs should buy existing companies.
2. Engineering Wealth – Wealth is built through ownership. Acquiring a business provides immediate cash flow and asset appreciation.

Part 2: Evaluation

3. The CEO Mindset – The entrepreneur must shift from a startup founder mindset to a business owner mindset.
4. Defining the Target – How to identify the right type of business to acquire based on personal skills, financial goals, and market opportunities.
5. The Search – How to find businesses for sale and evaluate potential acquisition targets.

Part 3: Analysis

6. Deal Making – Understanding business valuations, negotiating price, and structuring deals.
7. Buy for the Future, Pay for the Past – How to use historical financials to determine if a business is worth purchasing.
8. The Seller’s Journey – Understanding why business owners sell and how to position yourself as an ideal buyer.
9. Designing the Future – Creating a vision for the business post-acquisition.

Part 4: Execution

10. Making an Offer – Structuring the best deal and getting seller agreements in place.
11. The Acquisition Phase – Finalizing due diligence, securing financing, and completing the acquisition.
12. Transition – Successfully taking over operations, building trust with employees, and implementing strategic improvements.

Conclusion

• Acquisition entrepreneurship is a superior alternative to launching a startup.
• The massive wave of retiring business owners presents huge opportunities for buyers.
• Entrepreneurs should focus on buying, then building rather than starting from zero.

Who Should Read This Book?

This book is ideal for:

• Aspiring entrepreneurs who want to avoid the risks of startups.
• Existing business owners looking for growth through acquisitions.
• Investors interested in cash-flowing businesses.

Instead of struggling for years to build a profitable startup, Buy Then Build shows how acquisition entrepreneurship can fast-track success.

Part 1: Opportunity

Traditional entrepreneurship is often romanticized as starting a business from scratch, creating something innovative, and scaling it to success. However, in Buy Then Build, Walker Deibel argues that this is the hardest and riskiest path. Instead, he introduces acquisition entrepreneurship—a smarter, more sustainable way to become a business owner by purchasing an existing, profitable company and then growing it.

This section of the book explores why starting a business is often a mistake, how wealth is created through ownership, and why buying a company is a better alternative to building one from scratch. Deibel highlights a massive opportunity in the market today: millions of small businesses owned by baby boomers will soon be up for sale as their owners retire, creating an ideal landscape for acquisition entrepreneurs.

Chapter 1: Don’t Start a Business

Why Most Startups Fail

Entrepreneurship is exciting, but the reality is harsh. Startups have an incredibly high failure rate. Many entrepreneurs pour years of effort and thousands—if not millions—of dollars into their ventures, only to watch them collapse. The biggest challenges startups face include:

1. High Uncertainty – Startups begin with an idea and must validate whether customers actually want the product or service. Many entrepreneurs struggle to find product-market fit before running out of money.
2. Lack of Revenue – Most new businesses take years to generate consistent profits. In the meantime, founders must rely on external funding, personal savings, or debt to sustain operations.
3. Competitive Disadvantage – New businesses must compete against established companies that already have customers, brand recognition, and operational efficiencies.
4. Time-Consuming Growth – Even the most successful startups take five to ten years before reaching profitability or scale. Many founders work 80-hour weeks without financial stability.

Instead of going down this path, Deibel presents a more strategic approach: acquiring an existing, profitable business and applying an entrepreneurial mindset to scale it further.

Acquisition Entrepreneurship as an Alternative

Buying a business instead of starting one from scratch offers several advantages. An existing company provides immediate cash flow, a customer base, brand recognition, and an operational structure—all things a startup must build from zero. This dramatically increases the likelihood of success and reduces the time needed to see financial returns.

The key benefits of acquisition entrepreneurship include:

1. Immediate Revenue and Profitability – Instead of spending years trying to generate revenue, the new owner starts with a business that already has paying customers and a positive cash flow.
2. Established Infrastructure – Acquiring a company means inheriting its systems, processes, employees, and customer relationships, eliminating the struggle of building these from scratch.
3. Lower Risk Compared to Startups – While buying a business requires an upfront investment, it is significantly less risky than investing in an unproven idea that may never succeed.
4. Scalability Opportunities – Entrepreneurs can focus on improving and growing the business rather than merely surviving the early startup phase.

Deibel emphasizes that while buying a business does require capital, financing options such as Small Business Administration (SBA) loans, seller financing, and investor funding make acquisition entrepreneurship more accessible than most people realize.

Chapter 2: Engineering Wealth

How Wealth is Created Through Business Ownership

One of the most important concepts in Buy Then Build is that true wealth is built through ownership, not employment. Wealthy individuals and families rarely accumulate their fortunes through salaries alone. Instead, they own assets that generate income—businesses, real estate, stocks, or intellectual property.

Owning a profitable business provides multiple financial benefits:

1. Cash Flow – A successful business generates recurring revenue, allowing the owner to pay themselves while reinvesting in growth.
2. Equity Growth – As the business expands, its value increases. This means that when the owner decides to sell, they can potentially exit with a substantial financial windfall.
3. Leverage and Financing – Business ownership allows for financial leverage, meaning entrepreneurs can use the business’s assets and cash flow to secure additional funding for growth or acquisitions.

Deibel highlights that buying an existing business provides a direct path to ownership and wealth creation without the uncertainty of a startup. Entrepreneurs who acquire a profitable company can immediately benefit from its existing cash flow while positioning it for future expansion.

Acquisition is More Affordable Than You Think

Many aspiring entrepreneurs hesitate to buy a business because they believe it requires enormous amounts of capital. However, Deibel explains that acquisitions can be structured with financing options that significantly reduce upfront costs.

There are several ways to finance a business purchase:

1. Bank Loans – Many banks offer loans specifically for business acquisitions, often secured by the company’s assets and cash flow.
2. Seller Financing – In many deals, the seller agrees to finance part of the purchase price, allowing the buyer to pay over time using the business’s profits.
3. Investor Partnerships – Entrepreneurs can partner with investors who provide capital in exchange for equity or a share of future profits.
4. Search Funds – Some individuals raise capital from investors before acquiring a business, allowing them to buy a company without personal financial risk.

Because existing businesses already generate revenue, acquiring one is often comparable in cost to starting a business or even buying a home. The difference is that acquisition provides immediate returns and wealth-building potential, whereas startups often operate at a loss for years.

The Big Opportunity: The $10 Trillion Transfer

One of the most compelling reasons to pursue acquisition entrepreneurship today is the massive wave of retiring business owners. Millions of baby boomers who built successful small businesses are now retiring, leaving behind a $10 trillion opportunity in business ownership transitions.

These businesses need new owners, and many sellers are eager to find buyers who will continue their legacy. This creates a buyer’s market where entrepreneurs can acquire stable, profitable companies at reasonable prices.

Key reasons this trend presents a huge opportunity:

1. Aging Business Owners – The majority of small businesses in the U.S. and other developed countries are owned by baby boomers who are reaching retirement age.
2. Lack of Successors – Many business owners do not have family members or employees willing to take over, making outside buyers their best option.
3. Attractive Deal Structures – Sellers are often willing to negotiate favorable financing terms to ensure a smooth transition.

This generational shift means that there has never been a better time to buy a business. Instead of struggling to build something new, acquisition entrepreneurs can take advantage of this transition to become business owners and create wealth more efficiently than through traditional startups.

Part 1 of Buy Then Build lays the foundation for understanding why acquisition entrepreneurship is a superior alternative to starting from scratch. The key takeaways are:

1. Most startups fail because they lack revenue, customers, and infrastructure. Buying a business eliminates these risks.
2. Wealth is built through ownership, and acquiring a business provides immediate cash flow and financial leverage.
3. There is a massive opportunity in acquiring businesses from retiring baby boomers, creating a once-in-a-lifetime landscape for entrepreneurs.

Instead of spending years struggling to make a startup work, entrepreneurs should consider acquiring an existing business and applying their skills to scale and innovate from day one.

Part 2: Evaluation

After understanding the advantages of buying a business rather than starting one from scratch, the next step is learning how to evaluate, search for, and select the right business to acquire. In Part 2 of Buy Then Build, Walker Deibel provides a structured approach to finding a company that aligns with an entrepreneur’s skills, financial goals, and personal vision.

Successful acquisition entrepreneurs do not simply buy any business they come across. Instead, they follow a strategic evaluation process that helps them identify businesses that are financially viable, operationally sound, and well-positioned for future growth.

This section outlines how to develop the right mindset, define acquisition criteria, and execute a structured search process to find the perfect business to buy.

Chapter 3: The CEO Mindset

Shifting from Founder to Owner

One of the biggest mindset shifts an acquisition entrepreneur must make is thinking like a CEO instead of a startup founder. Traditional entrepreneurs focus on creating something new, while acquisition entrepreneurs focus on running, improving, and scaling an existing company.

To succeed as a business owner, entrepreneurs need to develop three essential qualities:

1. Attitude – A successful acquisition entrepreneur must have a growth mindset. This means believing that businesses can always improve, challenges can be overcome, and skills can be developed over time. People with a fixed mindset struggle in business because they see problems as roadblocks rather than opportunities for learning and innovation.
2. Aptitude – The right entrepreneur must have the necessary business acumen to manage and grow a company. While technical expertise can help, the most important skills are strategic thinking, leadership, decision-making, and financial literacy.
3. Action – Owning a business requires a proactive approach. Acquisition entrepreneurs must take decisive action, implement changes, and continuously improve operations. Passive ownership rarely leads to business success.

Unlike startup founders who focus on product development and fundraising, business buyers need to focus on strategy, leadership, and execution from day one.

Chapter 4: Defining the Target

Choosing the Right Business to Buy

Not every business is a good fit for every buyer. The right acquisition depends on personal interests, financial resources, and long-term goals. Instead of randomly searching for companies, entrepreneurs should define their ideal acquisition criteria before starting their search.

There are several key factors to consider when selecting a business to buy:

1. Industry Selection – Entrepreneurs should choose an industry that aligns with their experience, skills, and interests. While prior industry knowledge is helpful, it is not always necessary if the business has a strong management team and stable operations. Some industries, like manufacturing and B2B services, tend to have higher profit margins and stronger customer retention, making them attractive for first-time buyers.
2. Business Size and Revenue – The ideal business should have consistent revenue and profitability. Deibel recommends targeting companies that generate at least $1 million in annual revenue, as these businesses typically have stable operations and proven customer demand.
3. Profitability and Cash Flow – Cash flow is more important than revenue. Entrepreneurs should look for businesses with strong discretionary earnings, which refer to the total financial benefits available to the owner, including salary, profits, and other perks. A business with $200,000 to $500,000 in discretionary earnings is often ideal for first-time buyers.
4. Operational Structure – A well-run business should have documented systems, trained employees, and established customer relationships. Businesses that rely too heavily on the owner can be risky, as they may struggle once the seller exits.
5. Growth Potential – The best businesses to acquire are those with opportunities for expansion. This could include new marketing strategies, additional product lines, geographic expansion, or operational improvements. Businesses with room for growth allow buyers to increase value quickly.

By clearly defining these criteria before beginning the search, acquisition entrepreneurs can narrow their focus and find businesses that align with their long-term success.

Chapter 5: The Search

Finding Businesses for Sale

Once an entrepreneur has defined their acquisition criteria, the next step is finding businesses that are available for purchase. Deibel outlines several proven methods for sourcing acquisition opportunities.

1. Online Marketplaces – Websites like BizBuySell, BizQuest, and Flippa list thousands of businesses for sale. These platforms are a good starting point but often feature businesses with inflated valuations or weaker financials. Serious buyers need to conduct thorough due diligence before moving forward.
2. Business Brokers and M&A Advisors – Brokers act as intermediaries between buyers and sellers, helping to facilitate deals. While brokers can provide access to higher-quality businesses, they also work in the seller’s best interest, meaning buyers need to negotiate carefully.
3. Direct Outreach – Many of the best acquisition opportunities are not publicly listed. Entrepreneurs can identify potential targets and reach out directly to business owners. This strategy, known as proprietary deal sourcing, often leads to better pricing and more flexible deal structures.
4. Networking and Referrals – Professional networks, industry events, and local business organizations can help buyers connect with business owners looking to sell. Attorneys, accountants, and financial advisors are also great sources for finding off-market deals.
5. Search Funds – Some entrepreneurs raise capital from investors before beginning their business search. This approach, known as a search fund, allows buyers to target larger acquisitions without using personal funds.

Regardless of the sourcing method, the key to finding the right business is consistent effort and relationship-building. The best deals often come from hidden opportunities that are not widely advertised.

Evaluating Potential Deals

Once a potential business is identified, the buyer must conduct a preliminary evaluation to determine whether it is worth pursuing further.

1. Financial Review – The first step is analyzing revenues, profits, and expenses to ensure the business is financially stable. Key metrics include gross margins, net income, and discretionary earnings.
2. Owner Dependency – If the business relies too heavily on the current owner, it may struggle after a transition. A strong management team and documented processes reduce this risk.
3. Market Position – The business should have loyal customers, competitive advantages, and a strong reputation in its industry. Businesses with declining sales or increasing competition may be riskier.
4. Scalability – The best acquisitions are those with clear growth opportunities, such as expanding to new markets, increasing marketing efforts, or improving operational efficiency.

If a business meets these initial criteria, the next step is moving forward with deeper due diligence and negotiations.

Part 2 of Buy Then Build provides a step-by-step guide to evaluating and finding the right business to buy. The key takeaways are:

1. Develop the CEO Mindset – Success in acquisition entrepreneurship requires a shift from startup founder to business owner, focusing on strategy, leadership, and execution.
2. Define Your Ideal Business – Entrepreneurs should clearly outline their industry preferences, revenue targets, and growth potential before beginning their search.
3. Search in the Right Places – Buyers should use marketplaces, brokers, networking, and direct outreach to find the best deals.
4. Evaluate Opportunities Carefully – Before pursuing a deal, buyers must review financials, operations, market position, and scalability.

By following this structured approach, acquisition entrepreneurs can identify and acquire businesses that offer immediate cash flow, stability, and long-term growth potential.

Part 3: Analysis

Once a potential business acquisition has been identified, the next critical step is analyzing the company’s financials, operational structure, and market position. In Part 3 of Buy Then Build, Walker Deibel walks through the essential process of assessing a business’s value, negotiating the deal, and ensuring a successful acquisition.

Analyzing a business is not just about reviewing financial statements. Buyers must dig deep into the company’s strengths, weaknesses, risks, and opportunities. They must also understand how to structure a deal that balances risk and reward while securing favorable financing.

This section provides a detailed roadmap for evaluating a business, negotiating a fair price, and preparing for ownership transition.

Chapter 6: Deal Making

Understanding Business Valuation

One of the most important aspects of buying a business is determining what it is worth. Business valuation is not just about revenue—it is about cash flow, profitability, industry trends, and risk factors.

There are several ways to calculate a business’s value, but the most common method for small business acquisitions is the multiple of discretionary earnings (DE). Discretionary earnings include the owner’s salary, business profits, and other financial benefits.

To estimate a business’s value, follow these steps:

1. Calculate Seller’s Discretionary Earnings (SDE) – This is the total cash flow available to the new owner. It includes net profits plus owner benefits like salary, perks, and one-time expenses.
2. Determine the Industry Multiple – Businesses are typically valued at two to five times SDE, depending on the industry, profitability, and risk level. Businesses with stable revenue, strong customer retention, and high margins usually command a higher multiple.
3. Adjust for Growth Potential and Market Conditions – A company with strong growth prospects may justify a higher valuation, while businesses in declining industries may sell for a lower multiple.
4. Assess Asset Value and Liabilities – In addition to SDE, consider the value of tangible assets such as equipment, inventory, and property, as well as any outstanding liabilities.

Understanding valuation ensures buyers do not overpay for a business and can negotiate a deal that aligns with financial expectations.

Negotiating a Business Purchase

Once the valuation is determined, the negotiation process begins. Successful negotiation is about finding a win-win deal where both buyer and seller feel confident in the transaction.

1. Make an Initial Offer – Buyers should present an offer based on their valuation analysis. This typically includes the purchase price, payment structure, and key terms of the deal.
2. Negotiate Based on Facts – Business negotiations should be data-driven, not emotional. Buyers should use financial analysis and market benchmarks to justify their offer and address seller objections logically.
3. Structure a Win-Win Deal – Instead of focusing solely on price, buyers should offer creative deal structures that benefit both parties. This could include seller financing, earn-outs, or performance-based payments.
4. Build Trust and Rapport – Many business sales are highly personal for sellers who have spent years building their companies. Buyers who take the time to understand the seller’s motivations and address their concerns will have an advantage in negotiations.

By approaching the negotiation process strategically, buyers can secure favorable terms while maintaining a positive relationship with the seller.

Chapter 7: Buy for the Future, Pay for the Past

Structuring the Deal to Minimize Risk

A well-structured acquisition deal protects the buyer from unnecessary risk while ensuring the seller receives fair compensation. Instead of paying the full purchase price upfront, buyers can use structured payments, financing, and contingencies to safeguard their investment.

1. Use Seller Financing – Many small business deals include seller financing, where the seller agrees to be paid over time. This reduces the buyer’s need for large upfront capital and keeps the seller invested in the company’s success.
2. Leverage Bank Loans and SBA Financing – Buyers can secure bank loans or Small Business Administration (SBA) loans to finance a portion of the acquisition. These loans typically require 10-20% down payment, making them an attractive option.
3. Include an Earn-Out Agreement – In situations where the future performance of the business is uncertain, earn-out agreements allow part of the purchase price to be paid based on future revenue or profit targets.
4. Negotiate Asset vs. Stock Purchase – Buyers should consider whether to purchase the company’s assets or its stock. An asset purchase allows the buyer to acquire only the valuable parts of the business, avoiding liabilities, while a stock purchase means taking on the company’s existing structure, contracts, and obligations.

By structuring the deal wisely, buyers can reduce financial risk, optimize tax advantages, and ensure a smooth ownership transition.

Chapter 8: The Seller’s Journey

Understanding the Seller’s Perspective

Many first-time buyers focus solely on their own goals and forget to consider the seller’s motivations and concerns. Successful deals happen when both parties feel comfortable with the transaction.

Sellers typically have several concerns:

1. Getting a Fair Price – Most sellers want to maximize the value of their business, especially if they have spent decades building it.
2. Ensuring a Smooth Transition – Many sellers care deeply about their employees, customers, and legacy. They want to ensure the buyer will continue growing the business responsibly.
3. Minimizing Risk and Complexity – Sellers prefer simple, straightforward deals that minimize legal and financial risks. Buyers who offer clear, well-structured agreements will have an advantage.

To build trust with a seller, buyers should approach negotiations with empathy, transparency, and a long-term mindset. Demonstrating a commitment to the business’s future success can make a significant difference in closing the deal.

Chapter 9: Designing the Future

Preparing for Post-Acquisition Success

Once the deal is finalized, the focus shifts to transitioning ownership and setting the business up for long-term success. This stage is crucial, as poorly managed transitions can lead to employee turnover, customer dissatisfaction, and financial instability.

1. Develop a 90-Day Transition Plan – New owners should create a detailed transition plan outlining key priorities for the first three months. This includes meeting with employees, understanding customer relationships, and reviewing operational processes.
2. Communicate with Employees and Stakeholders – The transition period is a time of uncertainty for employees and key stakeholders. Clear communication about business continuity and future plans helps maintain trust and stability.
3. Identify Quick Wins and Growth Opportunities – New owners should look for immediate improvements that can boost revenue, reduce costs, or streamline operations. Small wins build momentum and demonstrate leadership.
4. Maintain a Strong Relationship with the Seller – Many business sales include a transition period where the seller remains involved for several months. Buyers should leverage the seller’s experience and industry knowledge to ensure a smooth transition.

By focusing on stability, leadership, and gradual improvements, new owners can successfully integrate into the business and position it for long-term growth.

Part 3 of Buy Then Build provides a step-by-step framework for analyzing and structuring a business acquisition. The key takeaways are:

1. Business valuation is critical – Buyers must carefully assess financials, market position, and growth potential before making an offer.
2. Smart deal structuring reduces risk – Using seller financing, bank loans, and earn-out agreements creates a safer and more flexible acquisition.
3. Understanding the seller’s journey leads to better negotiations – Empathy and trust-building are essential for securing win-win deals.
4. Post-acquisition planning ensures long-term success – Buyers should have a clear transition plan, strong communication strategy, and immediate growth initiatives.

By following these principles, acquisition entrepreneurs can secure great deals, minimize risk, and create long-term value in their newly acquired businesses.

Part 4: Execution

After evaluating a business, negotiating the purchase, and structuring a deal, the final stage of acquisition entrepreneurship is execution. In Part 4 of Buy Then Build, Walker Deibel explains how to finalize the purchase, transition into ownership, and set the business up for long-term success.

Execution is where theory meets reality. Even if the numbers look great and the deal is structured favorably, poor execution can lead to a rough transition, employee uncertainty, and operational disruptions. A buyer must move through closing, onboarding, and strategic planning with precision and confidence.

This section provides a step-by-step guide on making an offer, completing the acquisition process, and successfully integrating into the business.

Chapter 10: Making an Offer

Finalizing the Purchase Agreement

Once a business has been identified and negotiations have taken place, the next step is making a formal offer. This involves drafting a Letter of Intent (LOI) and preparing for due diligence and legal review.

1. Submit a Letter of Intent (LOI) – The LOI outlines the proposed purchase price, payment structure, key deal terms, and any contingencies. While not legally binding, it sets the foundation for further negotiations and due diligence.
2. Conduct Due Diligence – Before finalizing the purchase, buyers must thoroughly examine financial records, legal documents, operational processes, and potential liabilities. This is the final step to ensure that the business is in good standing and that there are no hidden risks.
3. Secure Financing – If bank loans, SBA financing, or seller financing are part of the deal, buyers must complete the loan approval process, provide necessary documentation, and finalize funding arrangements.
4. Negotiate the Final Purchase Agreement – After due diligence, the buyer and seller work with attorneys to create a legally binding purchase agreement that outlines the exact terms of the sale. This includes non-compete clauses, transition support agreements, and any performance-based payments.

By carefully executing these steps, buyers protect their investment, avoid legal complications, and ensure a smooth transaction process.

Chapter 11: The Acquisition Phase

Closing the Deal and Taking Ownership

Once all agreements are in place, the deal moves to closing, where ownership of the business is officially transferred. This phase involves legal, financial, and operational steps to ensure a seamless transition.

1. Sign the Final Documents – The purchase agreement, financing contracts, and any additional legal documents are signed by both parties. Ownership of the business is officially transferred.
2. Transfer Funds and Assets – The buyer pays the seller according to the agreed structure, whether through a lump sum, installment payments, or a combination of financing methods. Business assets, including bank accounts, intellectual property, and contracts, are transferred.
3. Notify Employees and Key Stakeholders – A well-communicated transition plan is essential. Employees, vendors, and customers should be informed about the new ownership structure, business continuity, and any upcoming changes.
4. Establish a Leadership Presence – The new owner should immediately engage with employees, customers, and partners to build trust and ensure confidence in the business’s future. A lack of leadership during this phase can create uncertainty and lead to operational disruptions.

By executing the acquisition phase with clear communication, financial security, and leadership presence, buyers can take control of the business smoothly and set the stage for growth.

Chapter 12: Transition

Integrating Into the Business and Driving Growth

A successful transition is the difference between a business that continues to thrive under new ownership and one that struggles. This phase involves understanding the company’s operations, retaining key employees, and implementing strategic improvements.

1. Observe and Learn First – New owners should spend the first few months learning the business from the inside. This includes understanding customer relationships, employee roles, and day-to-day operations before making major changes.
2. Build Relationships with Employees – Employees may feel anxious about new ownership. A successful transition involves clear communication, reassurance about job stability, and involvement in the company’s future vision.
3. Work Closely with the Seller – Many deals include a transition period where the seller remains involved for a set time. Buyers should take advantage of this by learning key insights, gaining customer introductions, and understanding industry nuances.
4. Identify Quick Wins and Growth Opportunities – Small improvements in efficiency, marketing, or customer service can have a big impact. Identifying quick wins builds momentum and establishes the new owner’s credibility.
5. Implement Long-Term Strategic Changes – After the initial transition period, the focus shifts to growth and long-term improvements. This could include expanding product lines, improving technology, or streamlining operations.

By following a gradual, structured transition plan, new owners can stabilize the business, retain key talent, and position the company for long-term success.

Part 4 of Buy Then Build provides a practical guide for finalizing the acquisition process and smoothly transitioning into ownership. The key takeaways are:

1. Making a structured offer protects the buyer – Submitting an LOI, conducting due diligence, and securing financing ensures a fair and transparent transaction.
2. Closing the deal requires careful execution – Proper handling of legal documents, financial transfers, and communication with employees leads to a smooth ownership transfer.
3. A strong transition plan minimizes risks – New owners should focus on building relationships, learning the business, and identifying growth opportunities before making major changes.
4. Long-term success depends on strategic execution – Buyers must balance stability with innovation to ensure the business continues to thrive under new leadership.

By following these principles, acquisition entrepreneurs can successfully close deals, integrate smoothly into their new businesses, and drive long-term profitability.

Conclusion

Walker Deibel’s Buy Then Build challenges the traditional startup mindset and presents acquisition entrepreneurship as a superior alternative. Instead of struggling to build a business from scratch, entrepreneurs can acquire a profitable company, leverage existing infrastructure, and scale strategically.

Throughout the book, Deibel provides a step-by-step framework for identifying, evaluating, acquiring, and growing a business. He emphasizes that buying a business is not just about financial investment—it’s about mindset, strategic execution, and long-term vision.

The key takeaways from Buy Then Build are:

1. Most startups fail, but acquisition provides immediate revenue and stability. Entrepreneurs can skip the high-risk startup phase and begin with a business that already has customers, employees, and cash flow.
2. Wealth is built through ownership. Buying a business allows entrepreneurs to benefit from existing profits, business equity, and future growth potential.
3. A structured approach reduces risk. By defining acquisition criteria, conducting thorough due diligence, and structuring smart deals, buyers can minimize financial risk and maximize their chances of success.
4. The transition phase is critical. Acquiring a business is only the beginning. New owners must execute a smooth transition, build trust with employees, and implement strategic improvements over time.

With millions of small businesses available for purchase, now is the perfect time to consider acquisition entrepreneurship. The $10 trillion transfer of businesses from retiring baby boomers creates a once-in-a-generation opportunity for new buyers to step in and build wealth through ownership.

Next Steps for the Reader

If you are serious about pursuing acquisition entrepreneurship, here’s what you should do next:

1. Assess Your Readiness – Reflect on your skills, interests, and financial situation. Ask yourself if you are prepared to manage and grow an existing business rather than start one from scratch.
2. Define Your Ideal Business – Consider the industry, size, revenue, and operational structure of the type of business you want to acquire. A clear vision will help focus your search.
3. Start Searching for Opportunities – Explore online marketplaces, business brokers, and direct outreach strategies to identify potential businesses for sale. Networking with industry professionals and advisors can also lead to hidden opportunities.
4. Learn the Fundamentals of Business Valuation – Understanding how to analyze financial statements, determine business value, and negotiate deals is crucial for making smart investment decisions.
5. Build a Financing Plan – Research funding options, including SBA loans, seller financing, investor partnerships, and bank loans. Understanding your financial leverage will help you structure better deals.
6. Expand Your Knowledge – Consider reading more about acquisition entrepreneurship, attending workshops, or joining online communities like BuyThenBuild.com to connect with experienced business buyers.
7. Take Action – The best way to learn is by doing. Start reaching out to business brokers, talking to sellers, and evaluating real acquisition opportunities. The more experience you gain in deal analysis and negotiation, the more confident you will become.

Acquiring a business is one of the fastest and most reliable ways to become an entrepreneur. By following the principles in Buy Then Build, you can own a profitable business, create financial freedom, and build long-term wealth—without the risks and struggles of starting from scratch.

Now is the time to take action and turn acquisition entrepreneurship into your path to success.

If you enjoyed Buy Then Build by Walker Deibel and want to dive deeper into acquisition entrepreneurship, business buying, and strategic growth, here are some similar books worth exploring:

Books on Acquisition Entrepreneurship and Business Buying

1. The HBR Guide to Buying a Small Business – Richard S. Ruback & Royce Yudkoff
   • Written by Harvard Business School professors, this book provides a step-by-step guide to finding, financing, and running a small business through acquisition.
2. How to Buy a Business Without Being Had – Richard Parker
   • A practical guide on evaluating businesses for sale, negotiating deals, and avoiding common pitfalls when purchasing a company.
3. Buy a Business That Works – Mark Warda
   • Covers how to find, analyze, and purchase a business that generates consistent income, including legal and financial considerations.
4. The Art of Buying a Business – Richard Mowrey
   • Focuses on how to approach business buying as an investment, with detailed insights on deal structuring and due diligence.

Books on Private Equity and Mergers & Acquisitions (M&A)

5. Private Equity Playbook – Adam Coffey
   • A deep dive into how private equity firms acquire and grow businesses, useful for understanding how professional investors approach acquisitions.
6. Mergers & Acquisitions from A to Z – Andrew J. Sherman
   • A comprehensive guide to M&A strategies, deal-making, legal aspects, and financing options.
7. The Messy Marketplace: Selling Your Business in a World of Imperfect Buyers – Brent Beshore
   • A look at how businesses are bought and sold in the real world, including insights into working with investors and brokers.

Books on Scaling and Running an Acquired Business

8. Scaling Up – Verne Harnish
   • Explains how to scale an existing business by optimizing people, strategy, execution, and cash flow—key for buyers looking to grow their acquisitions.
9. Built to Sell – John Warrillow
   • Teaches how to create a business that is valuable and attractive to buyers, making it a great read for both sellers and acquisition entrepreneurs.
10. The Lean CEO: Leading the Way in Continuous Improvement – Jacob Stoller

• A guide on improving operational efficiency and leadership in an existing business, ideal for new business owners post-acquisition.

Each of these books complements Buy Then Build by providing deeper insights into business acquisition, deal-making, and post-purchase growth strategies. Whether you’re looking for step-by-step guides, case studies, or expert advice, these books will help you navigate the world of acquisition entrepreneurship successfully.