Acquiring Minds✓ Verified in SBA records

Evolving A Legacy Business To 32m Ebitda

with Evan Stewart · Direct One

LenderHawk analysis. Not affiliated with or endorsed by Acquiring Minds.

The Deal

Business

Direct One

Industry

Commercial print and direct mail services

State

Purchase Price

$7.2M

Multiple (SDE)

4.0x

Year

2023

Financing

SBA 7a

Revenue at Purchase

$15.0M

SDE at Purchase

$1.8M

LTV at Close

14%

Deal Source

broker

Financing Structure

SBA 7(a)

Seller Note

$1.0M

Strategic Rationale

Opportunity to modernize legacy commercial printing business by introducing variable digital imaging, integrated marketing capabilities, and consultative sales approaches aligned with industry shift away from commodity mail toward personalized, data-driven campaigns.

Post-Acquisition Performance

Almost doubled EBITDA from 1.8 million to 3.2 million in two years while growing service revenue from 15 million to 18.7 million and increasing employee count from 75 to 84 through organizational restructuring, equipment investment, and cultural integration.

Key Takeaways

1Securing business buyer fit through intentional analysis of personal strengths and industry knowledge significantly improves lender willingness to finance the acquisition.
2Imposter syndrome and cultural integration challenges in the first six months are common and can be overcome by humility, accepting limitations, and leveraging team expertise rather than pretending expertise.
3Family relocation and spousal involvement in the business, while initially straining the marriage, ultimately strengthened both the relationship and business performance by enabling full commitment.

Matched SBA Loan Records

SBA loan filings we matched to this deal

Florida Business Development C95%

$272KFY2011

PNC Bank, National Association95%

$113KP + 3.89%FY2014

Truist Bank95%

$253KP + 2.70%FY2012

The Deal

Business

Direct One

Industry

Commercial print and direct mail services

State

Purchase Price

$7.2M

Multiple (SDE)

4.0x

Year

2023

Financing

SBA 7a

Revenue at Purchase

$15.0M

SDE at Purchase

$1.8M

LTV at Close

14%

Deal Source

broker

Financing Structure

SBA 7(a)

Seller Note

$1.0M

Strategic Rationale

Post-Acquisition Performance

Key Takeaways

1Securing business buyer fit through intentional analysis of personal strengths and industry knowledge significantly improves lender willingness to finance the acquisition.

2Imposter syndrome and cultural integration challenges in the first six months are common and can be overcome by humility, accepting limitations, and leveraging team expertise rather than pretending expertise.

3Family relocation and spousal involvement in the business, while initially straining the marriage, ultimately strengthened both the relationship and business performance by enabling full commitment.