The El Dorado of Business Acquisition

The gold rush began in the 19th century with the discovery of gold deposits in the Klondike, attracting numerous prospectors hoping to strike it rich quickly. Like modern-day gold seekers, business acquirers are also in search of their “nugget.”

Many acquirers believe that accessing the El Dorado is as simple as turning to the internet. However, these “acquirepreneurs” are mistaken because there’s no such thing as pepites.com!

The Klondike gold rush attracted 100,000 prospectors, but only 4,000 struck gold. Two centuries later, not much has changed. The explanations for this phenomenon apply perfectly to business acquisition.

Goldfields are hard to access. The veins exist but are often off the beaten path. They are typically reached after crossing mountain passes and rivers. Similarly, acquisition nuggets are in the hidden market, difficult to access, and most often… not for sale! Therefore, acquirers need a good understanding of the market to choose the best company to acquire, ensuring its longevity and providing it with a new impetus.
Nuggets are rare, and prospectors are numerous. Confirmed veins attract all interests, creating an imbalance between supply and demand. This well-known economic situation always leads to the same consequences: intense competition and price inflation. What is rare is expensive. Over the past decade, many entrepreneurs who had a golden idea saw it become obsolete because a new idea emerged, and also because political, economic, and climatic circumstances made it outdated.
Extracting nuggets is delicate. Extraction requires heavy equipment operated by mining experts. Individual acquirers, modern-day prospectors, often face “unfair” competition from strategic buyers (corporate entities, investment funds) much better “equipped” than them (credibility in the eyes of the seller, benevolence of lenders, financial means…).
Competent collaborators to extract nuggets It often requires new skills, and recruiting talents proves difficult because competitors offer them enticing offers. Therefore, you must carefully observe what will attract them in order to recruit them: compensation, social benefits, flexible hours…

History repeats itself, and the observation is clear: “There are seekers who seek, but there are seekers who find, and we seek them.”

The period is not easy, nuggets are becoming scarce, and acquirers are plentiful. Only the most determined and professional ones can hope to see the outcome of their searches.

Companies Specializing in Business Acquisition Sourcing True “business seekers,” some companies have specialized in this search, and some can boast of numerous sourcing missions. Thus, many acquirers have found their nugget thanks to sourcing companies. Some “build-uppers” have even turned them into… ingots.

5 Sites to Find a Company to Acquire: