Acquiring MindsDecember 7, 2023

Hard but Fun: Transitioning a 77-Year-Old Business

with Darryl Lindie · AA/Thrifty Sign & Awning

Listen to Episode →

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

The Deal

Business

AA/Thrifty Sign & Awning

Industry

sign and awning business

State

Purchase Price

$2.6M

Multiple (SDE)

3.0x

Year

2023

SDE at Purchase

$645K

LTV at Close

19%

Deal Source

bizbuysell

Financing Structure

SBA 7(a)

Bank Loan

Seller Note

Buyer Equity

Strategic Rationale

To acquire a long-standing, market-leading asset-heavy business with defensible local presence and tangible production.

Post-Acquisition Performance

Successfully recruited a GM and former employees; managing contentious receivables dispute with seller.

Key Takeaways

1An MBA from a top-tier program is not necessary to execute a successful acquisition; self-education through books, podcasts, and networking proved more valuable than classroom instruction.
2Spend time observing the business during actual operating hours to catch operational issues like early invoicing practices and customer deposit handling that financial documents alone will not reveal.
3A project-based business requires detailed understanding of work-in-progress, project completion stages, and customer deposit allocation to avoid inheriting unresolved financial obligations.
4Culture and team morale can be dramatically improved through simple actions like monthly team lunches and genuine listening, which creates immediate engagement and helps attract previously departed talent.
5Hiring an experienced general manager with industry expertise early on creates material operational relief and allows the owner to focus on strategic initiatives rather than day-to-day crisis management.

Matched SBA Loan Records

SBA loan filings we matched to this deal

Newtek Small Business Finance, Inc.70%

$2.6MP + 2.75%FY2022

Want the Full Story?

The full narrative — the personal details, the hard moments, the host conversation — only lives in the original. Go listen.

Listen on Acquiring Minds

The Deal

Business

AA/Thrifty Sign & Awning

Industry

sign and awning business

State

Purchase Price

$2.6M

Multiple (SDE)

3.0x

Year

2023

SDE at Purchase

$645K

LTV at Close

19%

Deal Source

bizbuysell

Financing Structure

SBA 7(a)

Bank Loan

Seller Note

Buyer Equity

Strategic Rationale

To acquire a long-standing, market-leading asset-heavy business with defensible local presence and tangible production.

Post-Acquisition Performance

Successfully recruited a GM and former employees; managing contentious receivables dispute with seller.

Key Takeaways

1An MBA from a top-tier program is not necessary to execute a successful acquisition; self-education through books, podcasts, and networking proved more valuable than classroom instruction.

2Spend time observing the business during actual operating hours to catch operational issues like early invoicing practices and customer deposit handling that financial documents alone will not reveal.

3A project-based business requires detailed understanding of work-in-progress, project completion stages, and customer deposit allocation to avoid inheriting unresolved financial obligations.

4Culture and team morale can be dramatically improved through simple actions like monthly team lunches and genuine listening, which creates immediate engagement and helps attract previously departed talent.

5Hiring an experienced general manager with industry expertise early on creates material operational relief and allows the owner to focus on strategic initiatives rather than day-to-day crisis management.