What We Look for When Acquiring a Small Business

1) Established, Profitable Businesses

We prioritize businesses with a proven operating history, typically:

• $1M-$10M in annual revenue
• $250K-$2M in earnings (SDE/EBITDA)
• Consistent or stable financial performance

We value predictability over rapid but uncertain growth.

2) Strong Customer Relationships

We look for businesses with:

• Long-standing customer relationships
• High retention or repeat business
• Diverse customer base with limited single-client reliance

3) Recurring or Repeat Revenue

Businesses with recurring or highly repeatable revenue are especially attractive, such as service contracts, maintenance agreements, and subscription-based models.

4) Clear and Understandable Operations

We focus on businesses that are:

• Operationally straightforward
• Not overly dependent on one individual
• Supported by documented processes (or easy to document)

5) Opportunities for Operational Improvement

We look for areas where we can add value through better systems and reporting, technology and automation, sales process improvements, and cost optimization.

6) Strong Team and Culture

We place a high value on people. We look for dedicated employees, key team members who plan to stay, and a culture of reliability and accountability.

7) Owner Transition Alignment

We work best with owners planning for retirement or transition, open to a structured handover period, and interested in continuity for employees and customers.

8) Industry Focus

We are particularly interested in IT services and managed services, software-enabled services, public safety and government-related services, and professional/business services.