The idea that small business ownership is out of reach for the average person is a myth I’m tired of hearing. After listening to Sarah Moore’s journey on My First Million, I’m convinced that buying and running a small business is one of the few remaining pathways to financial independence that doesn’t require special connections or a trust fund.
What struck me most about Sarah’s story is how she purchased a multi-million dollar business with virtually no assets to her name—just a RAV4 and a whole lot of determination. Her experience proves that small business acquisition isn’t about what you have, but about your willingness to hustle and think creatively.
The traditional narrative tells us we need substantial capital, industry expertise, or family connections to own a business. Sarah’s approach flips this on its head. She didn’t start with a specific industry in mind or wait until she had saved enough money. Instead, she focused on finding stable, profitable businesses regardless of sector, and structured deals that didn’t require personal capital.
Breaking Down the Barriers to Entry
What makes small business acquisition so accessible is its flexibility. You can target businesses of any size or type:
- A cleaning business from someone looking to retire
- A dog walking company in your neighborhood
- A service business with steady customers
- A local retail shop with loyal patrons
The key is looking for businesses with consistent profitability and simple operations, not necessarily the trendiest industry or the biggest growth potential.
Sarah’s financing approach was particularly eye-opening. She used a combination of seller financing (a “seller’s note” for 25% of the purchase price) and bank financing for the remaining 75%. This meant she didn’t need to put any cash down. The seller essentially became a partial lender, getting paid the remaining portion of the sale price over time.
The Numbers Game of Acquisition
Finding the right business is largely a numbers game. Sarah’s method involved:
- Scraping databases of businesses for sale
- Recruiting interns to help sift through listings
- Sending out numerous inquiries to sellers
- Speaking with over 20 banks to find one willing to finance her deal
This approach requires persistence. Many would-be business owners give up after a few rejections, but success often comes after dozens or even hundreds of attempts.
“It is not a matter of can or can’t, it’s a matter of will or won’t.”
I find this quote from Sarah particularly powerful. The limitations we place on ourselves are often self-imposed. We tell ourselves we don’t have enough money, experience, or knowledge, when in reality, these are hurdles that can be overcome with creativity and determination.
Keeping It Simple
Another valuable insight from Sarah’s experience is the importance of simplicity. Despite her Harvard Business School background, she deliberately avoided using financial jargon when dealing with sellers. Terms like “EBITDA” were replaced with plain language like “how much money are you making?”
This approach builds trust with sellers who may be intimidated by complex financial terminology. It also keeps deals straightforward, reducing the chances of misunderstandings or complications.
The truth is that many small business owners have built successful enterprises without formal business education. They respond better to direct, simple communication than to sophisticated financial structures.
The Learning Curve
Sarah was refreshingly honest about her early struggles. After purchasing her business, she faced a decline in performance and made numerous mistakes. This is a normal part of the process that we don’t hear about enough.
Taking over an established business comes with a learning curve, but the beauty is that you’re working with an existing customer base, established processes, and proven revenue streams. You have room to make mistakes and learn without starting from zero.
I believe small business ownership represents one of the last frontiers of the American dream. It offers a path to financial independence that rewards hard work and perseverance rather than privilege or connections.
For those feeling stuck in corporate jobs or struggling with multiple low-paying positions, buying a small business could be the answer. It won’t be easy—it requires hustle, creativity, and resilience—but it’s far more accessible than most people realize.
The next time you pass a local business and think “I could never own something like that,” remember Sarah and her RAV4. The only real barrier might be your willingness to try.
Frequently Asked Questions
Q: Don’t you need substantial capital to buy a business?
Not necessarily. As Sarah’s story shows, it’s possible to structure deals using seller financing (seller’s notes) and bank loans that require little to no money down. The key is finding sellers willing to finance part of the sale and banks that view these arrangements favorably.
Q: How do you find businesses for sale if you don’t have connections?
There are many online marketplaces and databases listing businesses for sale. You can also work with business brokers, reach out directly to business owners who might be nearing retirement age, or post on community boards. The important thing is to look at many options and not get discouraged by rejections.
Q: What types of businesses are best for first-time owners?
Businesses with simple operations, steady customer bases, and consistent profitability are ideal. Look for businesses that have been operating successfully for several years and don’t require highly specialized knowledge. Service businesses often make good first acquisitions because they typically have lower overhead costs.
Q: How do you convince a bank to finance your business purchase if you have no experience?
Banks are primarily concerned with the business’s track record rather than your experience. If the business has been profitable for many years, banks will be more willing to finance the purchase. Shopping around is crucial—Sarah approached more than 20 banks before finding one that would work with her terms. Local and community banks are often more flexible than large national institutions.
