{"id":3685,"date":"2018-10-30T13:20:00","date_gmt":"2018-10-30T17:20:00","guid":{"rendered":"https:\/\/www.mattwkane.com\/?p=3685"},"modified":"2023-04-13T13:23:04","modified_gmt":"2023-04-13T17:23:04","slug":"buy-then-build","status":"publish","type":"post","link":"http:\/\/www.mattwkane.com\/?p=3685","title":{"rendered":"Buy Then Build"},"content":{"rendered":"\n<h2 class=\"wp-block-heading\">Buy Then Build by Walker Deibel<\/h2>\n\n\n\n<p>Book: HBR Guide to Buying a Small Business \u2013 Richard Ruback and Royce Yudkoff<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Formulas:<\/h2>\n\n\n\n<p>X = your liquid capital<br \/>PP = Purchase Price<br \/>SDE = Seller Discretionary Earnings<br \/>M = Multiplier<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>PP = X \/ 0.1<\/li><li>PP = SDE x M<\/li><li>PP \/ M = SDE<\/li><\/ul>\n\n\n\n<p>Rule number one for establishing a purchase price is making sure the business can afford to pay for the business.<\/p>\n\n\n\n<p>Determine how transferrable the business is.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Seller Interviews<\/h2>\n\n\n\n<p>Initiate with \u201cTell me about your business.\u201d<br \/>What makes this company different?<br \/>Why do people buy from you?<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Buy Then Build by Walker Deibel Book: HBR Guide to Buying a Small Business \u2013 Richard Ruback and Royce Yudkoff Formulas: X = your liquid capitalPP = Purchase PriceSDE = Seller Discretionary EarningsM = Multiplier PP = X \/ 0.1 PP = SDE x M PP \/ M = SDE Rule number one for establishing [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":3686,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[238,241,125],"tags":[],"class_list":["post-3685","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-booknotes","category-business","category-strategy"],"_links":{"self":[{"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=\/wp\/v2\/posts\/3685","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=3685"}],"version-history":[{"count":1,"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=\/wp\/v2\/posts\/3685\/revisions"}],"predecessor-version":[{"id":3687,"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=\/wp\/v2\/posts\/3685\/revisions\/3687"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=\/wp\/v2\/media\/3686"}],"wp:attachment":[{"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=3685"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=3685"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/www.mattwkane.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=3685"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}