© Adam Vandermyde / ETA Street montage
In small-business acquisitions, the leap from a comfortable corporate salary to personally guaranteeing a multi-million-dollar SBA loan is often the hardest hurdle to clear. For Adam Vandermyde, a former private equity executive with a family of six, that hurdle seemed insurmountable. He repeatedly turned down the opportunity to buy a highly profitable construction and distribution business.
Then, the sellers made him an offer he couldn’t refuse: "Move here, become our CEO, buy just 5% of the business now, and kick the tires. If you like it, you can buy the rest later."
This unique "try before you buy" arrangement allowed Vandermyde to de-risk the acquisition, learn a new industry, and eventually secure 100% ownership. Five years later, he orchestrated a stunning turnaround from a near-fatal operational disaster, transforming the business model and exiting for a life-changing amount.
A Reluctant Buyer
Vandermyde’s background was steeped in corporate strategy and private equity. After earning his MBA, he worked in strategy consulting before transitioning to a PE-backed portfolio company, where he rose to COO and led corporate development. He knew how to buy and integrate businesses for other people, using their money.
The idea of doing it for himself, using his own capital and taking on personal debt, was terrifying.
