Épisodes

  • S2 Ep20: M&A Zing (S2EP20) - Buy-Side Breakdown: AI Music Creation Platform at ~3.5x Revenue

    S2 Ep20: M&A Zing (S2EP20) - Buy-Side Breakdown: AI Music Creation Platform at ~3.5x Revenue
    Dec 4 2025
    AI Music SaaS: 3M+ Users, 80% Margins, ~£560k Profit — smart bet or burning platform?

    In this Buy-Side Breakdown, we analyse a consumer-led AI music tool listed on Acquire. It reports ~3m users, c.3,700 subscribers, ~$700k TTM revenue and ~80% margins, but growth has stalled around 2% and churn raises questions. We dig into valuation, unit economics, platform risk, and who should actually buy this.

    What you’ll learn:

    • Why a low revenue multiple can be rational for fast-moving AI products
    • How freemium novelty skews funnel metrics and inflates “users”
    • The big risk: owning the model vs being an API skin (and why it matters)
    • LTV/CAC reality with $14 ARPU and ~$95 LTV
    • The credible playbook to shift from DTC novelty to sticky B2B use-cases
    • Who the natural buyer is, and how we’d structure a sensible offer


    Chapters

    [00:13] Welcome + what this episode covers
    [00:45] Today’s target: AI music SaaS on Acquire
    [02:00] Valuation surprise: low revenue multiple
    [02:20] Spotting the company and competitor set
    [02:42] Users, revenue, margins: headline numbers
    [03:19] Why is the multiple so low? Growth has stalled
    [03:41] Plateau, novelty and the freemium trap
    [04:29] Replacing churned users: the DTC treadmill
    [05:15] Novelty vs durable users (App Store déjà vu)
    [07:26] Funding arms race and retention quality
    [08:23] Why sell now? “New venture” and a well-funded rival
    [09:39] Ads, seasonality, and compute tweaks
    [11:15] Do they own the model or rent an API?
    [12:11] Moat signals and the frontend tells
    [13:42] Churn: what does “10% and ↓” actually mean?
    [14:48] Making it stickier: monetising UGC, tightening freemium
    [15:22] B2B niches with real longevity
    [17:30] AI artists, detection, and industry reality
    [19:13] Streaming economics: what plays pay
    [22:28] Touring vs streams when costs fall
    [22:50] Listing “growth levers”: read between the lines
    [24:05] LTV/CAC sanity: beware the averages
    [25:32] Key metrics revealed: subs, ARPU, LTV
    [26:58] Unit economics: gross margin vs cost to serve
    [27:25] Who buys this? Strategic tuck-in
    [28:12] Why a tuck-in makes more sense than solo
    [29:34] If they owned the model, different story
    [30:21] Why sell vs keep: operator incentives
    [30:45] Multiple vs effort: haggling stance
    [31:21] How we’d price and structure it
    [32:00] Vote: Alfie
    [32:53] Vote: Co-host
    [33:39] What would change our minds
    [34:26] Process status on Acquire
    [35:32] Wrap-up and listener CTA
    [35:59] Outro

    Have experience in AI music generation, or B2C SaaS? Leave your thoughts and comments below!


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    36 min
  • S2 Ep19: M&A Zing (S2EP19) - Margins & Machines: Buy-Side Breakdown of a 30 year Machining Business

    S2 Ep19: M&A Zing (S2EP19) - Margins & Machines: Buy-Side Breakdown of a 30 year Machining Business
    Nov 20 2025
    Another Buy-Side Breakdown: we unpack a 30-year CNC machining business reporting ~£2.4m turnover and unusually strong margins. This isn’t a fluffy walk-through. We dig into why the balance sheet shows lots of cash but little kit, what that implies for near-term CapEx, how to price customer concentration into the SPA, and where real upside lives with CAD/CAM copilots, cobots and lights-out runs.

    What you’ll learn

    • How “cash-rich, kit-light” balance sheets happen in precision engineering and how to underwrite CapEx properly

    • Simple structure levers for concentration risk (deferral, performance conditions, warranties)

    • Where margins come from: materials mix, repeat production, utilisation, and automation that actually pays back

    • Operator fit: why engineering fluency beats spreadsheet swagger in this category

    • A practical valuation frame for deals like this (illustrative only)

    Deal snapshot (from the listing):
    Age: ~30 years
    Revenue: ~£2.4m
    EBITDA: strong (listing cites ~30% adj.)

    Watch-outs: low book value of fixed assets, likely customer concentration, retiring owner

    Tailwinds: UK reshoring, defence demand, CAD/CAM + cobot ROI

    Who this is for:
    Searchers, ETA operators, holdco builders, and trade buyers eyeing fragmented UK precision engineering. If you’ve ever asked “Where’s the value in a CNC shop?” this episode answers it.

    Timestamps
    [00:00] Intro and ECI Awards notes
    [01:21] Macro mood: cold weather, hot budget, deal appetite
    [03:12] The listing at a glance
    [04:06] Cash vs kit: where are the assets?
    [05:08] Lease vs aged machines, CapEx reality
    [06:09] Materials, sectors, margins
    [07:12] High-value runs and lights-out operations
    [08:25] CAD/CAM copilots and cobots, ROI in practice
    [09:33] Reshoring tailwinds and UK advantages
    [11:12] Talent gaps and apprenticeships
    [12:21] Who buys this: trade vs searchers
    [13:06] Operator fit matters
    [13:46] Valuation and structure
    [15:01] Diligence priorities
    [16:26] Deal-breakers and mitigations
    [17:56] Final vote
    [18:25] Wrap

    Resources & next steps

    Diligence checklist (customers, QoE, kit audit, people, automation, compliance, structure) is in the show notes

    Got CNC/precision experience? Add your take in the comments so buyers can sanity-check assumptions

    Got a spare coat? Give it to someone that needs it: https://wrapupuk.org/

    #CNC #PrecisionEngineering #Manufacturing #Reshoring #MergersAndAcquisitions #SearchFunds #ETA #SME #DealFlow #UKBusiness
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    40 min
  • S2 Ep18: M&A Zing (S2EP18) - Beyond “ABC”: The Art and Practice of Good SMB M&A with Andrew Longcore

    S2 Ep18: M&A Zing (S2EP18) - Beyond “ABC”: The Art and Practice of Good SMB M&A with Andrew Longcore
    Nov 13 2025
    This week Gareth is joined by Andrew Longcore - Managing Partner at Business Law Group and Founder of Cecil Sterling & Co. - to unpack what makes a good small-to-mid market deal and how to avoid the traps new acquirers fall into. Andrew’s mission is simple: help entrepreneurs “defeat the unknown” in transactions. We get into buy-side vs sell-side realities, why many SMBs underuse acquisitions for growth, how to balance legal diligence with the human factors, and practical ways to structure deals so both sides win post-close. Highlights include: creative risk-sharing beyond cookie-cutter terms, funding constraints for services businesses, handling seller remorse, assembling the right deal team, and why empathy is a competitive advantage in M&A. If you care about buying well and operating better, this is a sharp, no-fluff playbook from someone who’s seen hundreds of transactions. [00:13] Intro to Andrew [00:49] Founding Business Law Group → launching Cecil Sterling [02:04] Why SMBs matter: community, jobs, and overlooked deals [03:27] “Defeating the unknown” in transactions [04:43] Diligence vs personalities: where the real risks hide [05:37] Why SMB owners underuse M&A for growth [06:38] Freedom, control and buying time via deals [07:39] Don’t underthink post-close: vision before closing [08:53] What “good deal” feels like (both sides win) [10:11] Trust, remorse and structures that actually hold up [11:47] US vs UK/EU risk appetites and financing realities [12:40] People first, numbers second… but don’t skip the numbers [13:58] Empathy as an M&A edge [15:12] Paying for future performance without overpaying today [16:14] New blood, influencer myths and real landmines [17:51] Managing complexity, assembling the right deal team [19:36] Building firms, loneliness of leadership, finding your “Yoda” [21:07] Operating cadence and alignment (EOS) [22:00] Goals for the next 12 months [22:33] How to reach Andrew; closing takeaways Show notes Guest: Andrew Longcore Managing Partner, Business Law Group: https://www.businesslawgr.com/ Founder, Cecil Sterling & Co: https://www.cecilsterling.com/ Focus: SMB buy-side and sell-side transactions, legal and advisory, post-close integration. Topics: risk allocation, seller psychology, services-business funding, creative structures, deal team makeup, EOS after the acquisition. Find Andrew on LinkedIn: / andrewlongcore Host: Gareth Hawkins - CEO BizCrunch: https://www.bizcrunch.co/
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    50 min
  • S2 Ep17: M&A Zing (S2EP17) - People, Culture, AI: Toby Henry’s ETA Blueprint for Sustainable Change

    S2 Ep17: M&A Zing (S2EP17) - People, Culture, AI: Toby Henry’s ETA Blueprint for Sustainable Change
    Oct 29 2025
    In this week's M&A Zing interview, Gareth talks with Toby Henry - former consultant and fintech exec turned acquisition entrepreneur - about buying and running Accelerator Solutions, a 25-year-old learning, research and people-based consulting firm. We cover: ̇Why he chose self-funded ETA over a traditional search Structuring a partnership-style deal where founders stay on Leading a people and culture business as a first-time CEO Where AI genuinely helps SMEs without breaking culture Creative funding, lender realities for services, and building an M&A roadmap Whether you’re planning your first ETA deal or wrestling with post-close culture, this one’s stacked with practical detail. ⏱️ Timestamps [00:13] Cold open and show intro [01:36] Guest setup: Toby Henry, Accelerator Solutions [01:55] Whistle-stop career tour request [03:40] Consulting years, Alpha FMC culture [04:29] Fintech leap: Tenx and building Chase UK [05:26] Disillusionment and discovering ETA [06:35] Why buy vs build: authentic entrepreneurial pull [07:51] Stanford/HBR rabbit hole [09:32] Traditional search tradeoffs vs control [11:00] Choosing self-funded: scope, savings, debt [13:26] What builds high-performing orgs [15:24] Scaling 60 → 600 and culture on purpose [16:38] First-year CEO lessons: delegation, trust [18:28] Buying a people business… then proving you 'get' people [19:22] Day-one transition: vulnerability and continuity [21:35] Values/brand refresh that stuck [23:28] Working groups to fix pain points [24:25] Deal sourcing: why brokered, why services [26:21] Why Accelerator fit [28:02] Deal structure: sellers stay in [29:35] Sellers’ motivations and roles [31:15] Timeline & funding realities for services [33:19] Creative financing via asset-backed facility [35:25] Skin in the game, sustainable growth [36:23] Deal team shout-outs [36:57] Biggest challenge: soft market, real L&D [38:55] Managing humans: messy, rewarding [39:40] Next 12–18 months: 3-part plan [40:21] AI offering for SMEs and post-search [41:22] Next acquisition thesis [42:14] Mentors that mentor [45:03] Peer group that actually helps [45:23] Work–life blend with young kids [48:06] Advice for ETA jumpers [49:59] Momentum hack: mum’s laptop, no excuses [50:16] How to reach Toby [50:34] Closing: people and culture drive performance [51:15] Post-show logistics and sign-off Guest: Toby Henry, CEO at Accelerator Solutions; Founder, Full Circle Capital LinkedIn: search “Toby Henry Accelerator Solutions” Site: www.acceleratorsolutions.com Hosts: Gareth Hawkins, Co-founder & CEO, BizCrunch www.bizcrunch.co
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    51 min
  • S2 Ep16: M&A Zing (S2EP16) - Vinyl Roll-Up or Romantic Relic? Breaking Down a £9.7m Turnover Listing

    S2 Ep16: M&A Zing (S2EP16) - Vinyl Roll-Up or Romantic Relic? Breaking Down a £9.7m Turnover Listing
    Oct 23 2025
    This week’s Buy Side Breakdown dissects a vinyl and merchandise producer listing touting ~£9.7m revenue and ~£1.83m adj. EBITDA, “fully relocatable,” and “outsourced everything.” We unpack the reality behind the broker gloss: market wobble vs long-term demand, EOT complications, asset-purchase logic, and whether this is a platform play or a bolt-on for a fan-commerce roll-up.

    What you’ll learn:

    How to read “outsourced” manufacturing claims without getting rinsed

    EOTs, carve-outs and HMRC tripwires a buyer should sanity-check

    The real moat here: distribution, design and label relationships

    Print-on-demand vinyl: margin killer or new product rail?

    Lender appetite for cash-flow deals with carve-out friction

    DD checklist: contracts, territories, exclusivity, run economics

    Deal structures to share downside and keep upside alive


    🕒 Timestamps


    [00:13] Welcome back to The M&A Zing (Buyside Breakdown)
    [00:40] Why this listing: vinyl, merch, big claims
    [01:14] Headline numbers: £9.7m revenue, ~£1.83m adj. EBITDA
    [02:00] Who might it be and why a carve-out now
    [03:16] Has the vinyl “renaissance” peaked? Market wobble chat
    [05:56] Group turnover dip and what it could signal
    [06:43] EOT sale last year: tax, control and sale complexity
    [08:36] Why this likely needs an asset purchase
    [10:12] “Fully outsourced” production: what are you actually buying?
    [11:57] Limited editions, picture discs and inventory risk
    [12:46] Low stock on hand: how demand planning works
    [13:50] “Relocatable” claims vs London label relationships
    [15:12] Secret sauce: distribution, design and the D2C shopfront
    [16:41] 25k-person list vs 15k runs: B2B vs D2C reality
    [18:59] Broker language vs operating reality: questions to ask
    [19:39] Tech shift: print-on-demand vinyl and margins
    [23:18] Lender view: cash-flow lending, carve-out headwinds
    [25:07] No hard assets; pricing the goodwill and risk
    [26:26] Deal structure ideas: deferred, earn-out, vendor support
    [27:19] Due-diligence musts: contracts, territories, exclusivity
    [28:30] Where is the gross margin actually earned?
    [29:49] Org chart: strong team… and a heavy cost base
    [30:15] Adjusted EBITDA vs filed operating profit
    [31:04] Sales team and why contracts probably exist
    [32:22] Who should buy this: bolt-on vs platform
    [33:55] Building a fan-commerce flywheel (segments, communities)
    [35:13] Focus and rationalise: chasing 50%+ blended GM
    [36:48] Leverage, runway and right-sizing for today’s market
    [38:39] Carve-out funds offering “soft landings”
    [39:20] Verdicts: two thumbs up, with caveats
    [40:40] Wrap, shout-outs and keep on crunching

    Links:

    Listing: rightbiz.co.uk/buy_business/for_sale/518833_relocatable.html

    BizCrunch: helping SMB buyers and sellers move faster with data-driven tools www.bizcrunch.co

    #MandA #SearchFunds #SME #Buyside #BizCrunch #CarveOuts
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    42 min
  • S2 Ep15: M&A Zing (S2EP15) - Brilliant Alone, Louder Together: Tonia Nagle on Agency Roll-Ups & No-PG Deals

    S2 Ep15: M&A Zing (S2EP15) - Brilliant Alone, Louder Together: Tonia Nagle on Agency Roll-Ups & No-PG Deals
    Oct 16 2025
    Tonia Nagle has sat on both sides of the table: scaling at P&G and leading transformations across FMCG, telecoms and agencies. Now she’s buying and building a collaborative group where independent cultures thrive. This episode goes deep on roll-ups done right, no-personal-guarantee structures, and operator playbooks that actually scale. In this episode, you’ll learn: How to filter 26,000 UK agencies for true scale potential and collaboration The deal stack Tonia uses (no PGs), including earn-in and convertible loan notes Post-merger integration that preserves identity yet shares services where it counts The GROWTH framework: Get Right fit, Restructure capital, Observe & Orient, Win hearts & minds, Transform systems, Harvest value Why leadership pods, outcome-based delegation, and KPI cadences unlock consistency How The Whole Caboodle’s AI product creates studio-grade car imagery and explainer video at scale Timestamps ⏱️ [00:13] Welcome to The M&A Zing [00:57] Tonia’s “squiggly” career and ETA spark [02:49] From Lloyd’s + music startup to P&G [04:42] The “build better” mindset across sectors [06:36] Why buy over build (family, rowing, energy) [07:57] Shareholder not employee: choosing ETA [09:59] Post-deal reality: stepping in as acting MD [12:06] Indie Rock Group thesis: brilliant alone, louder together [13:07] 26k UK agencies: filtering for scale and collaboration [15:43] Breaking glass ceilings: leadership teams, outcomes not tasks [18:52] Client quality and keeping relationships after founder exit [20:56] Deal structuring with no bank debt or PGs [22:19] WBO, earn-in and 3-year convertible loan note [25:03] Keeping founders engaged: salary, CLN interest, 12% equity [27:04] PMI without killing culture or identity [29:54] Shared services that help (HR, finance, marketing pods) [32:28] Decide origin story and Roger Hargreaves link [34:31] Owner mindsets in 2025: more options, better planning [36:46] Beyond “roll up the numbers”: real differentiation [38:55] The GROWTH framework, step by step [42:58] Biggest challenge: consistent buy-in and cadence [46:36] The one hire: pairing CEO with a strategic CFO [48:30] AI tailwinds: car imagery & explainer video product [50:55] 12-month targets: 4 companies, ~£16–20m revenue [52:29] How to reach Tonia (LinkedIn) [53:10] Close and sign-off Connect with the guest: Tonia Nagle (LinkedIn) / tonianagle Decide - strategic brand activation (Newcastle/Leeds) https://www.wearedecide.com/2 The Whole Caboodle - automotive digital specialists (Harrogate) https://www.thewholecaboodle.com/ 💬 Join the conversation on LinkedIn with #MAZing 💻 Find your own deals with BizCrunch www.bizcrunch.co #MandA #SearchFunds #SME #BizCrunch #AgencyRollUp #ETA
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    54 min
  • S2 Ep14: M&A Zing (S2EP14) - From No-Money-Down to Community Legacy: Jenna Hill on Building FIA Investments

    S2 Ep14: M&A Zing (S2EP14) - From No-Money-Down to Community Legacy: Jenna Hill on Building FIA Investments
    Oct 8 2025
    This week on The M&A Zing, Gareth sits down with Jenna Hill, founder of FIA Investments, to explore how she built a thriving portfolio of Northern Irish small businesses, all without prior industry experience or upfront capital.

    Jenna’s story isn’t just about deal-making, it’s about preserving local legacies, protecting jobs, and inspiring a new generation of acquirers to do the same.

    👉 What you’ll learn:
    • How to buy a business with no money down
    • The systems behind Jenna’s seven-company portfolio
    • The mindset shift from employee to owner
    • Why local economies thrive when small firms stay independent
    • How FIA Investments helps others replicate the model

    🕒 Timestamps

    [00:13] – Welcome
    [01:02] – Jenna’s journey from first acquisition to seven businesses
    [02:18] – How she started buying companies with no cash down
    [03:44] – The philosophy behind “keeping legacies alive”
    [05:15] – Creating employment and local impact through acquisition
    [06:48] – Lessons from running a salon, barbershop & plumbing company without technical qualifications
    [08:02] – What FIA Investments looks for in small business acquisitions
    [09:33] – Training others to buy businesses with the Business Buying Blueprint
    [11:10] – The rise of small business acquisition as a career path
    [12:47] – Common fears new acquirers have — and how to overcome them
    [14:28] – How to build relationships with sellers and win trust
    [16:05] – Why traditional education doesn’t prepare people for SME ownership
    [17:42] – Balancing business growth with health, family and purpose
    [19:08] – The Small Business Fanatics app & community
    [20:55] – Creating a movement of new SME owners across Northern Ireland and beyond
    [22:31] – What’s next for FIA Investments
    [23:10] – Where to learn more and connect with Jenna

    🧭 Mentioned in this episode:
    • FIA Investments — www.fiainvestments.co.uk
    • Business Buying Blueprint
    • Small Business Fanatics Pod - https://open.spotify.com/show/0UFadFilLJpD196qDAxWWI

    📺 Watch the video version on YouTube
    💬 Join the conversation on LinkedIn with #MAZing
    💻 Find your own deals with BizCrunch www.bizcrunch.co

    #AcquisitionEntrepreneurship #BizCrunch
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    47 min
  • S2 Ep13: M&A Zing (S2EP13) - VC to ETA: Alexander Kalis on Boring Buyouts, Equity Gaps & the Next Wave

    S2 Ep13: M&A Zing (S2EP13) - VC to ETA: Alexander Kalis on Boring Buyouts, Equity Gaps & the Next Wave
    Oct 2 2025
    Alexander Kalis has sat on every side of the investment table: from Rothschild and Santander hedge fund management, to running a $1bn global asset manager, to backing Oxford spinouts that produced unicorns (and even the AstraZeneca COVID-19 vaccine). Now he’s turned his attention to ETA and SME buyouts. Through Archimax and the tongue-in-cheek B.O.R.I.N.G. Investment Club (Buyouts of Resilient Income-Generating businesses), Alexander is building an investor community to bridge the equity gap in small-cap buyouts. In this episode, Gareth and Alexander cover: How his VC disillusionment pushed him toward SME buyouts Why “boring is beautiful” when it comes to cashflow resilience The equity gap in UK/EU search funds — and how co-investment clubs can solve it Lessons from running a global fund, and what translates to ETA diligence What makes a great searcher worth backing (grit, transparency & vision) How diversification works differently in ETA vs VC Why institutions haven’t yet caught up with this overlooked asset class If you’re a searcher, operator, or investor interested in ETA and SME acquisitions, this is an insider’s perspective you don’t want to miss. ⏱️ Timestamps [00:13] Welcome & guest intro – Gareth introduces Alexander Kalis [01:20] Alexander’s background – from UBS to Rothschild & Santander [05:33] Lessons from the hedge fund years & the Madoff crisis [07:20] Entrepreneurial leap – building & selling a due diligence firm [08:50] Trust International: $1bn AUM, global VC & impact investing [11:00] Backing Oxford spinouts (including the AstraZeneca vaccine) [13:45] Why he moved from VC to ETA & SME buyouts [16:10] The equity gap in ETA – where traditional models fall short [18:30] Archimax & the B.O.R.I.N.G. Investment Club explained [22:45] “Boring is beautiful” – why sticky, resilient SMEs win [27:20] How the co-investment club works (structure, SPVs, LPs) [31:30] What he looks for in searchers: grit, vision & people skills [36:00] Sector focus & European opportunities [40:00] Advice to acquisition entrepreneurs on investor relations [43:20] The investor angle – diversification & 30% IRR potential [47:00] What’s next for Archimax & BORING in the next 12 months [51:00] Closing thoughts, links & where to find Alexander 🔗 Links & Resources Archimax: https://archimax.solutions Alexander on LinkedIn: / alexanderkalis BizCrunch: https://www.bizcrunch.co
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    45 min