As you can see in the headline, I’m super-excited to let you know that I’ve completed the acquisition of a business that most small business buyers are familiar with- BizBuySell.com!!!
Here is the official press release that was sent to industry news outlets today…..
-FOR IMMEDIATE RELEASE-
April 1st, 2022, Moncton, New Brunswick, Canada
Advantage Liquidity Partners Ltd. (ALP Ltd.) owner David C Barnett is pleased to be able to announce the completion of the acquisition of online business-for-sale marketplace BizBuySell.com.
‘The deal has been in the works for over a year,’ commented Barnett, ‘We look forward to implementing changes that we feel will improve the experience for both buyers and sellers of small and medium sized businesses.’
BizBuySell.com is one of the largest online marketplaces for owners of small and medium-sized businesses (SMBs) and business brokers to advertise opportunities to prospective buyers.
Barnett has been working in the field of SMB transactions for over a decade and managed several dozen deals while he was the owner of a business brokerage office in Canada.
Since selling the office in 2011, he has worked with hundreds of buyers and sellers of such businesses in a consulting capacity and is the operator of a YouTube channel with almost 500 videos on the topics of buying, selling, financing and managing SMBs.
He’s also the author of 7 different books on these titles which can be found on Amazon stores worldwide.
Amazingly, the transaction was completed by ALP Ltd. using none of Barnett’s own money.
‘For years, I’ve been dogged by questions from people about strategies and methods that allow you to buy a business with no money,’ explains Barnett.
‘I used to expend considerable efforts to demonstrate that this is not really feasible for a broke person to try and pull off but the volume of emails and comments on my YouTube channel kept growing so I thought I’d take another look at this stuff.’
And good thing too, because Barnett was able to take advantage of some advanced creative financial engineering techniques that many people might see promoted on reputable business news platforms such as Instagram and Tic Toc.
‘BizBuySell.com is a big company,’ explains Barnett, ‘and big companies have interesting balance sheets and equity structures.’
Here’s how it worked: Barnett’s company created a series of Class B preferred shares with a par value of roughly 10% of the purchase price. These preferred shares were then offered to the former owner of BizBuySell.com along with a 10% seller note and the balance of the purchase was paid in cash from a loan.
Even though ALP Ltd. is a Canadian company, it was able to take advantage of an SBA 7(a) loan to get 80% financing because the company and employees will be staying in the USA.
What about the down-payment requirements?
‘We just told the banker that we had secured an investor for our preferred shares in an amount equal to the required down payment. It’s a good thing that the banker never asked to see proof of the funds, or this sleight-of-hand trick might not have worked,’ admitted Barnett.
While details about the purchase price and valuation remain confidential, all agree that the deal was a worthwhile one.
‘I look at it as a win-win-win deal,’ explains Barnett, ‘the sellers got 80% of the money up front, I get a great business with no real investment, the sellers will profit from the dividends on their preferred shares and interest and payments on the seller note and if anything goes wrong, all the risk on the loan is covered by the American taxpayers via the Small Business Administration, so the banker likes the deal too.’
And what about improving the experience of BizBuySell.com users?
‘This is the exciting part,’ states Barnett, ‘we’re going to start teaching these no-money techniques for free on the website.’
That’s right, buyers will no longer need to enroll in online training programs costing $1997 to learn these secrets from instructors with sketchy backgrounds who make un-verifiable claims. They’ll finally be able to get the training for free from a reputable source.
With the financial burden removed from buyers, anyone can now buy a profitable and successful business using none of their own money!
There literally will be no limit on the number of new buyers into the market.
‘It’s going to be like when they introduced those amazing sub-prime mortgages to the housing market back in 2006,’ explained Barnett, ‘this whole thing is just going to mushroom. Deals will close much faster as more and more broke buyers pile into the market and I expect the prices of businesses will be going up as well. It will be a great time to buy and sell a business and everyone will get rich. I can just feel it!!’
To celebrate today’s exciting news, Barnett is offering a special deal for those wishing to improve their business buying skills. Visit this special web page to learn more about this promotion: www.David'sAprilFoolsDayJoke.com
David C Barnett