In this episode of the M&A Launchpad Podcast, hosts Casey Minshew and Ben Suttles sit down with Joseph Cruz, who left a decade-long career in leveraged finance and investment banking at Fifth Third to acquire a sewer and water distributor in the Chicagoland area. Joseph walks through how he found the business on BizBuySell, structured the deal with an SBA loan, seller note, and a side-letter earnout, and what he's learned in less than two years of ownership — from underestimating seasonal cash flow to building toward a broader infrastructure platform. The conversation is a candid, ground-level look at self-funded search: what it actually takes to structure an SBA deal, why buyers should expect a post-close “J-curve,” and how a search that started industry-agnostic ended up in a defensible, unglamorous niche. In this episode, we discuss: Making the leap from Fifth Third's leveraged finance group to a self-funded search, and finding the deal on BizBuySell after starting industry-agnostic How the deal was structured: a $536,000 purchase price, a $550,000 SBA loan, a seller note, a holdback, and an off-books earnout tied to the general manager's retirement Real lessons from year one: underestimating seasonal working capital, living through the post-acquisition “J-curve,” and staying resourceful when a general manager departs weeks before closing The long-term vision: pivoting from commoditized distribution toward a defensible infrastructure platform spanning manufacturing, distribution, and equipment service Guest Contact Information Joseph Cruz President, A&A Equipment and Supply Co. Website: aa.equipment LinkedIn: linkedin.com/in/joseph-cruz-47472150 Additional Resources Thinking about buying a business of your own, whether through a self-funded search or an independent sponsorship model? The Equity Launchpad team helps entrepreneurs navigate every stage of acquisition, from search to close. Reach out at info@equity-launchpad.com to start the conversation. Explore more resources at: equity-launchpad.com About The M&A Launchpad: The M&A Launchpad provides insights into acquiring, investing in, and selling profitable businesses in the lower to middle market. Whether you are a business owner, investor, or aspiring entrepreneur, we will provide you with the knowledge, guidance, and capital to navigate the world of mergers and acquisitions. The M&A Launchpad presents a series of weekly podcast episodes and hosts an annual M&A Launchpad Conference tailored to the M&A community. Connect with M&A Launchpad: 🎧 Podcast on Spotify: https://open.spotify.com/show/0mW6i4ooujqC7eOPWmguU7 🎧 Podcast on Apple: https://podcasts.apple.com/us/podcast/m-a-launchpad/id1740382586 🎟️ Attend Upcoming M&A Launchpad Conference: http://malaunchpad.com/
