Episode Details
Back to EpisodesBuying a Business - Chapter 3a
Description
In this episode, we explore how MSPs can identify the right type of business to acquire when pursuing growth through acquisitions. We discuss the importance of clarity and focus when evaluating opportunities, highlighting that businesses with replicable systems, recurring revenue, and strong margins are typically easier to scale and finance. Ideally, the target company should have tangible or financial assets and predictable cash flow, often supported by client contracts, to reduce risk and improve financing options. We also examine the main categories of acquisitions, including businesses in the same industry serving the same clients, complementary businesses that share the same customer base, and strategic acquisitions in different industries that support the broader portfolio.
Mike Knight MBA FCIM Director, MKLINK Ltd