Startups

Acquisition Entrepreneurship Framework

Acquisition Entrepreneurship is a fine mix of an entrepreneurs investment thesis (know where to put money) and execution skills to run the business in which they have invested.

Simply put an Entrepreneur starts the business ground up, an Acquisition Entrepreneur acquires the business started by someone else by investing in it and then taking control to run the day to day operations.

This framework is quick paced as compared to traditional acquisition oriented businesses (like VC/PE) in the sense that they would spend less time doing the due diligence and trust their understanding of the business in context.

Some examples of this would be:

  • Mc Donald’s (founded by Richard and Maurice Mc Donald and taken over by Ray Kroc).  Ray Kroc acquired the company from Mc Donald brothers and ran the day to day operations thereon.
  • Starbucks (founded by Jerry Baldwin, Zev Siegl, and Gordon Bowker and taken over by Howard Schultz)

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