There’s a new trend that Pat Miller flagged on today’s Businessing, and it’s worth paying attention to whether you’re thinking about selling or not: private equity has turned its “death star tractor beam” toward small businesses.
PE firms are calling plumbers, electricians, and roofers, trying to buy them out because small businesses are stable and they make good money. One plumber in Atlanta reported getting hundreds of offers and turning down every single one because accepting would mean reducing his team, and he wants to take care of his people.
Even Pat, who laughed about his “piddly little business,” has gotten emails from people asking if he’d like to discuss selling. His answer: no.
If you’re a service-based business owner doing solid work, there’s a good chance you’ll start hearing from these folks if you haven’t already. The attention is flattering, but the pattern is worth understanding: PE firms buy businesses, optimize for returns, and the people who built those businesses often lose control of what made them special in the first place.
This isn’t a warning to never sell. It’s a heads-up that the attention is real, it’s growing, and it’s worth knowing what your business is actually worth before someone shows up with a number.
Subscribe: YouTube | Apple Podcasts | Fridays Off Newsletter
