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If you’re not afraid of taking risks, want to be your own boss and can take on the challenges that entrepreneurship will throw your way, then business ownership may be for you. It can be highly profitable and many people have found success in this field but there are also others who have met failure and wished they had learned some things beforehand.

In this episode we have Ace Chapman; a micro private equity investor who has bought and sold over a dozen offline businesses in the last decade. Here we discuss everything from what to look for before buying a business to where to find the greatest deals so you can learn what you need to before jumping in.

Highlights of my conversation with Ace

• Defining what a micro private equity investor is and Ace’s story about how he got creative and grew a business to over 250 employees at the age of 19.
• What it’s like to experience buying a business, growing it from 10k to 250k users and valuing it afterwards.
• The pains of starting a business from scratch, the skill sets he acquired and the lessons he learned after realizing that he held on too long.
• Longevity, profitability, attractiveness and all the tips and metrics to look for in buying a business.
• How to you find great deals and practical sources that can help you evaluate the businesses that are for sale.
• What you need to do to get a business ready for sale, and how to buy a business when the deal is right and you have garnered the capital to do it.
• Valuing the business or how you should determine how much you should sell your business for after you have done the needed work.
• The difference between selling an online business and selling an offline business.
• The downsides and upsides of internet deals.
• His experiences in bootstrapping, crowd funding and other different platforms for financing.

Quotes from Ace in this episode

“I really learned to value buying an existing business because I knew what it was like, even at that young age, the pain of trying to start a business from scratch.”

“If you can get a business where there is obvious opportunity for you to grow it and it’s already profitable – this is what I’ll look for.”

“One of the things that a lot of people do not spend a lot of time on when they decide to buy businesses is creating a deal flow.”

“If you combine a good business, great business opportunities and a motivated seller, then you have an opportunity to do something.”

“The easiest way to sell a business is to see what the metrics are for your industry.”

“It took me a long time but soon I realized that what I’m doing can actually be a business.”

Connect with Ace

Email: ace@acechapman.com

Twitter: @AceChapman