Hey guys, real quick. So Layland and I are definitely working on our social media presence if you guys haven't noticed and we're just breaking now into linked in.

Alright, it's not as bad as I thought. It's actually been pretty awesome so far and you guys have been really cool in there and people are sharing our stuff a lot.

So if we aren't connected on LinkedIn, go ahead and let's connect and let's rock and roll.

And he was like, that doesn't make sense. How could they offer you that much money? Like they'd have to 5x to do in order to make a return on that.

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What's going on, Amos Nation? I was having an interest conversation yesterday with a friend of mine and I was telling him about how we got an offer on one of our companies for a very large sum of money.

And he was like, that doesn't make sense. How could they offer you that much money? Like they'd have to 5x it in order to make a return on that.

And what it showed is that he didn't really understand capital markets. And so as an aside, I think that one of the most important things that happens in the progression of entrepreneurs from zero to 1 million, 1 to 10 million, 10 to 30 million, 30 to 50 to 50 to 100 is that you, you relinquish control and you gain new new decision making new frameworks to think with.

And so for us, if you don't know who I am, my name's Oxymozzi, I'm an acquisition.com where portfolio of companies is about $85 million a year and I have nothing to sell you.

And the reason I make the channels is a lot of people are broke and I do not want you, I'm going to be one of them.

And so there are four ways that you can exit a company. And I'm not going to get diving to those. I'll make the other three, a subject for another video.

But you can sell it, you can close it, you can give it away, or you can take out debt, which basically is a liquidity event that you take against the asset that you have which is the business.

So there's the four ways that you can kind of have a shift of risk away from you.

Okay, so I'm going to just talk today about how buying businesses works in the more formal sense.

I'll do another video on the actual sales process of having institutional investors.

So, you know, if you're trying to sell a small business, you know, that's doing less than a million dollars a year in profit, you're not really going to get.

It's going to be very difficult to sell that because it's too risky and you're going to be dealing with mom and pops.

And unsophisticated investors and you're an unsophisticated seller. So it's just kind of the blind leading the blind.

If you get over a million dollars, you have the potential, if you have over 10 million in sales per year, to have institutional investors.

Now, interestingly enough, the kind of the magic number for kind of big money deals is $5 million.

And I'm going to use that as a rough, rough thing here. Alright, if you're less than $5 million, the average trading price for those types of businesses is 3.75.

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