In lieu of our usual collaborative Q3 report, our Managing Partner Max Friar sat down with colleague and longtime friend Andrew Longcore for a Q&A on what he’s been seeing in the Q3 business market. Andrew has unique experience as both a transaction attorney and M&A advisor facilitating deals. Max: How are owners/sellers feeling right now? What are the reasons behind these feelings? Andrew: The M&A market is extremely active right now. There seems to be an increase in burnout or looking for a change in life. The pandemic has caused a lot of uncertainty and caused others to reevaluate their priorities. I do anticipate a tipping point coming. I do not know when but with the number of business owners that are experiencing burnout, that are nearing (or are past) retirement age, and the number of distressed businesses surviving on government subsidies, I expect to see the number of businesses available to be bought on the rise. Max: Are there any themes driving buyer interest/activity? For example, low interest rates, SBA incentives? Andrew: Each buyer is unique but for individual buyers, I believe there is a growing desire to take control of their professional life and not rely on […]
Calder Capital Market Remarks Q2 2021
Trending: #TheGreatQuitof2021 #laborshortage #supplychain #burnout All things considered, the first quarter of 2021 started out pretty well for small M&A deals, and Q2 continued to show seller appetites returning, albeit still at multi-year lows. What’s apparent, however, is a lot of shifting in the landscape of the market in terms of demand, motivations for selling, and labor shortages and supply chains prompting business owners to make some unforeseen adaptations, and sometimes that means selling before they planned. Demand for Businesses Shifting into the Restaurant Industry Especially with a lot of manufacturing company owners waiting out the market for their valuations to have a chance to go back up, and with “normalcy” beginning to return, there has been a higher supply and demand for restaurants and service business acquisitions. “The increase in closed deals happened almost exclusively with restaurants and retail,” remarks Max Friar, Managing Partner at Calder Capital. “Service business and manufacturing business sales were up 1% and down 9%, respectively. This is so interesting to me because this is basically exactly what we experienced. At the end of Q1, Calder had closed 9 deals and Small Business Deal Advisors (SBDA – which handles smaller retail and restaurant opportunities) had […]
Calder Capital Buy-Side Client Update: April 2021
Calder Capital is thrilled to be able to give you an update of how we’re fulfilling our current buy-side clients’ mandates. At Calder Capital, we work with a wide variety of buyers, from Private Equity, Strategic and Private Investment Groups, Home Offices, Strategic Companies, to Individual Buyers nationwide. Unlike other firms, we guarantee results. We promise a minimum of fifteen proprietary, warm introductions to sellers that match your criteria within six months. If we do not produce fifteen leads, we will refund you on a pro-rata basis for any leads we missed (something we have never had to do). We like to be transparent about the progress that we’re making so that potential clients know that we’re constantly working behind the scenes. We are certainly keeping our clients busy! April has been a very fruitful month for our Buy-Side lead generation efforts! Proprietary Buy-Side Leads Generated in April: 21 Site Visits & Conference Calls: 15 IOIs / LOIs Submitted or Signed: 3 Deals Completed: 0 Specific Leads Developed in April Calder Prospecting Prowess – Tip of the Month Do you know if your emails are making it to the intended target? What if all of your hard work is going […]
Featured: Doug Yntema
MAA Advisor at Calder Capital Graduate of Hope College in Holland, MI Pizza Enthusiast, Speed Demon Motto: Never, never, never give up. It can be done. Favorite Activity: Kicking back with his wife and family at their UP cottage Karaoke Night Song: Frank Sinatra’s “I Did It My Way” What motivated you to become an M&A advisor? I started my first business in 1990 and have bought and sold others over the years. In 2014 I helped sell a family business and fell in love with the process of business brokerage. I thrive on keeping deals moving and overcoming all obstacles to obtain the best possible outcome for my clients. Helping my clients cash in on their life’s work or helping them move on to the next chapter in their lives is extremely rewarding. How did you come to work at Calder Capital? I was a broker with another local firm. I worked for a brokerage that was very old school, as is most of the business brokerage industry. I admired how innovative Calder was at leveraging technology. I contacted Max Friar [Managing Partner at Calder Capital] to see if I could bring my talents would be useful […]
The Bolt Bin, West Michigan Technical Supply, and Clear Vision Inspection of Grand Rapids, MI Acquired by Individual Investment Partners!
Calder Capital, LLC is thrilled to announce the acquisition of The Bolt Bin, West Michigan Technical Supply, and Clear Vision Inspection by investment partners Jordan and Travis Vander Kolk! The Bolt Bin, West Michigan Technical Supply, and Clear Vision Inspection were founded in 2007 by West Michigan entrepreneur Tim Irwin. All three companies were acquired in the transaction. The three companies together supply maintenance, repair, and operations (MRO) fasteners, production fasteners, as well as sorting, quality, and inspection services from a centralized location in West Michigan. The Companies offer a one-stop-shop that is not customary within the fastener manufacturing and distribution industry. The Companies were purchased by brothers and West Michigan natives Jordan Vander Kolk and Travis Vander Kolk. Sons of Royal Technologies founder, Jim Vander Kolk, entrepreneurship courses through the Vander Kolk brothers’ blood. The Bolt Bin, West Michigan Technical Supply, and Clear Vision Inspection have a bright future under their skilled management. “We were ecstatic when we came across this opportunity,” commented Jordan Vander Kolk. “The fastener industry is a staple in the economy, and this three-in-one opportunity we feel gives us a robust platform to build on and go many different directions. We are proud to continue […]
Featured: Garrett Monroe
Mergers & Acquisitions Advisor at Calder Capital Graduate of Grand Valley State University Fantasy Football Aficionado Motto: Intelligence is the ability to adapt to change. Favorite Activity: Hiking and walking with his wife Karaoke Night Song: Queen’s “Don’t Stop Me Now” What motivated you to become an M&A advisor? I get to help business owners through one of the biggest/most emotional events in their life. Additionally, I have a flexible work schedule. I get to control my pathway to financial, personal, and intellectual growth. How did you come to work at Calder Capital? I love the culture here, and I was immediately drawn to it after having my initial meetings with Max [Managing Partner at Calder Capital]. We all like to work hard and play hard while being ethical in everything that we do. What kinds of businesses do you like to work with? I like to work with all business owners because I love to learn about the different characteristics that make a business owner tick and operate. I also enjoy learning about each industry and what makes each company’s services/products unique and attractive in the marketplace. What motivates you to work hard each day? To pave a […]
Featured: Scott Nicholson, Mergers & Acquisitions Advisor
About Scott Nicholson Mergers & Acquisitions Advisor at Calder Capital Bachelor of Science in Economics from Aquinas College Master of Business Administration from West Michigan University Skilled Vocalist & Showman Motto: Be brutally honest and treat each client like they are your parent. Favorite Activity: Hanging with friends – the activity is just a bonus. Karaoke Night Song: “Brown-Eyed Girl” What motivated you to become an M&A advisor? I have worked for years as a mortgage loan officer. I have enjoyed the transactional nature of the career. The M&A business is the same but instead of many small deals, you work on fewer big more complicated transactions. All the moving parts and intense emotions involved motivate me and keep things challenging. How did you come to work at Calder Capital? Max [Managing Partner at Calder Capital] and I became friends over a number of years. We talked about each other’s business and came to enjoy certain aspects of each. As Max grew he suggested I might enjoy taking on a project or two and I agreed. The relationship has grown from there. What kinds of businesses do you like to work with? I like the people more than the businesses. […]
Analysis of Q3 2020 Small Business Transactions
We all know what a bizarre year it’s been; and let’s face it, it’s not over yet. BizBuySell recently published its periodic Insight Report, which only further illuminates uncertainty and mixed feelings. BizBuySell’s Small Business Confidence Survey It seems that buyer confidence is relatively high, while seller confidence is relatively low, in 2020. This is a trend we’ve definitely seen at Calder Capital–demand for business acquisitions is up, and supply is down. In fact, Calder has experienced a record year due in part to strong buyer demand for our opportunities. A lot of business owners are regretting not having exited their business in 2019, but couldn’t have anticipated feeling this way at the time. Although, perhaps a lot of sellers would feel differently if they realized that the demand was up, giving them a bit more control over valuation than they might foresee. Median Sale Prices Significantly Increased The increase in demand is particularly noticeable when it comes to pandemic-proof businesses. Here’s an investment highlight we couldn’t have anticipated in 2019; and yet, whether we consider something essential in times of economic shutdown has become make or break. ‘ “Any business making money during this crisis is golden,” says John […]