I just paid $50,000 for a business making $100,000 a year.
What happened on day 1 shocked me:
Usually, after an acquisition, the seller introduces me to the team, I make a quick speech, and everyone gets back to work.
Not this time.
The seller said, “I called everyone to let them know.”
So I show up early the first morning, parking next to a black F150.
Someone’s sleeping in the front seat.
The shop is still closed. I don’t have keys yet.
After a few minutes, a fat guy rolls out of the truck with his pants halfway down.
Let’s just say I saw things I can never unsee…
He walks up to the building and unlocks the door.
Oh. This guy works here.
I introduce myself: “Hey, I’m Brian. I’m the new owner.”
First thing he says: “Just to let you know, I’m quitting in a month.”
Perfect. I eventually learn my new store manager’s routine:
Shop → casino → strip club → car → repeat
(I guess he showers sometime in between?)
Meanwhile, the phone is ringing off the hook. Customers are pouring in. The shop is a mess.
The mechanics have zero sense of urgency.
I knew this store would be a gold mine. But we had to make changes. Fast.
Luckily, the manager kept his promise and quit 30 days later.
We moved one of our best managers & techs from another location.
I upgraded the equipment, painted the shop, and saturated the neighborhood with direct mail.
Same playbook I run for all 30+ franchises I’ve acquired
7 years later, the same core team is still crushing it. One of the best in my company.
When a business is struggling, too many owners make excuses.
It’s the marketing, the location, the economy.
Eventually, they give up and sell.
In service businesses, the problem is almost always your team
That terrible manager?
I'd bet he was a big reason I got this deal.
The previous owner was exhausted and didn't want to deal with finding a replacement.
How did I buy this franchise for only $50k?
That’s a story for another day.
Cheers!
Brian
P.S. The most impactful change we make after an acquisition? Putting everyone on performance-based compensation.
I created a video & spreadsheet walking through the exact plans we use.
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