Buy Then Build: How Acquisition Entrepreneurs Outsmart the Startup Game

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The author suggests that while it is important to be dedicated to the success of the acquired company, it's equally essential not to let business ownership completely consume your personal life.

One of the most interesting investment opportunities I’ve seen in the last few years is acquiring and growing a small business. This was a fantastic read that offers great insight into an often-overlooked form of entrepreneurship. Moreover, this book doesn't get very deep into the nuts and bolts of valuing companies, but this shouldn't justify a lower rating (as given by other readers). If the goal for entrepreneurship is to mitigate all risk associated with a venture, then the fastest and least riskiest path is to acquire resources that generate sustainable revenue by injecting the least amount of personal capital, not to build from scratch.Banks will offer leverage against the collateral the business provides, which means that you just saved one to two years of trying to raise money instead of running a business.

Although we’re paving the way to a greater success rate for entrepreneurs, you are still the most important part of the equation. We developed a proprietary eCommerce software to help companies with multiple locations gain efficiencies in their supply chain. He argues such a move is safer, faster, and capable of generating more cash flow compared to starting from scratch. Where the author has had a tremendous advantage is that he bought his first company off his parents. This book grossly oversells the opportunity of entrepreneurship through acquisition and irresponsibly excludes numbers that go against the book's pitch.The best part of the book for me was when he discussed the mindset needed for entrepreneurship in general. Despite overwhelming talent, outstanding early product trials, and all-star team, success is still unlikely.