I have recently been asked by business owners who are considering a sale, “who is buying businesses right now and what are they looking for?” There are actually a surprisingly high number of business buyers with capital looking to buy right now, but many are highly selective about the businesses they are willing to buy.
Codiligent business broker’s database contains hundreds of active buyers. Here is a sampling of these business buyers and what they are looking for:
Contact #1000006471 is a Private Equity Group looking for niche manufacturing, distribution, and service businesses located in the US and Canada. They are looking for companies with proven, equity-oriented management; defensible market positions; franchise value in the product or service supply chain; attractive industry fundamentals; record of consistent, predictable cash flow; and scalable core competencies. They are seeking small companies with a maximum of $1.5 million in annual EBITDA and a sales price range of $1-10 million.
Contact #1000006470 is a Private Equity Group looking for businesses in North America with annual revenues of $5-$50 million that have a history of profitability and revenue growth, low technology risk (no internet companies), limited cyclicality, high employee retention, have identifiable growth opportunities, and are positioned in a growing or fragmented industry. They do not invest in gas stations, restaurants or convenience stores.
Contact #1000006099 is a Private Equity Group looking for light manufacturing, distribution, and product-based businesses within a 100-mile radius of Portland, Oregon. They require a scalable business model or product. They are not interested in retail businesses. They will consider companies with $1-$10 million in annual revenue, that have EBITDA margins of 10%-20%.
Contact #1000006088 is an Individual Buyer looking for marketing focused businesses located in the Portland, Oregon area with a price of up to $1 million. He is not interested in main street retail, restaurants, or heavy manufacturing.
Contact #1000005947 is an Individual Buyer looking for B2B sales, distribution, lighting wholesale/retail, and electrical contracting businesses located in Portland, OR; Bend, OR; and Seattle, WA. He hasn’t specified a price range, but if a business is financeable he may be able to go up to a price of $2 million.
Contact #1000005684 is an Individual Buyer looking for manufacturing businesses throughout the US. He hasn’t specified a price range, but if a business is financeable he may be able to go up to a price of $3 million.
Contact #1000006454 is an Individual Buyer looking at a variety of industries in Portland, Oregon except for restaurants. He is seeking a minimum of $100k in Seller Discretionary Cash Flow, and seeks a price range of $200k-$600k.
Contact #1000005230 is a Private Equity Group looking for business service companies throughout the US. This buyer is NOT interested in contract manufacturers, job shops with minimal engineering components to the production process, real estate, financial services, and staffing companies. They are seeking businesses with a minimum of $8 million in annual revenue and $1 million in EBITDA.
