The SMB Investor Podcast

December 18, 2025

In this in-depth conversation, **Sean Smith**, Managing Partner of Search Fund Ventures and Founder of SMB Investor Network, sits down with **Jon Staenberg**, Founder & CEO of **Agate Hound Fund**, to explore the evolution of search funds and the rise of microcap private equity. Jon shares firsthand perspective from the earliest days of search at Stanford Business School, how the traditional search fund model emerged, and why he views it as microcap private equity with a repeatable playbook. The discussion covers portfolio-style investing through a fund-of-funds approach, diversification and access for investors, and how demographic tailwinds are shaping the future of small business acquisitions. They also examine how the search ecosystem is evolving, differences between traditional MBA-led search and mid-career operators, and why technology and AI may meaningfully improve acquisition diligence, operating efficiency, and long-term outcomes in SMBs. This episode is essential viewing for investors, operators, and anyone interested in entrepreneurship through acquisition and long-term value creation in the SMB market. 👉 Subscribe for more long-form interviews on SMB investing and acquisition strategies. 💬 Share your thoughts or questions in the comments below. **📩** Connect with the speakers: - Jon Staenberg LinkedIn: https://www.linkedin.com/in/jonstaenberg/ - Jon Staenberg Email: jon@aggathound.fund - Agate Hound Fund: https://www.aggathound.fund - Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network: https://www.smbinvestornetwork.com/ #SearchFunds #MicrocapPrivateEquity #SMBInvesting #EntrepreneurshipThroughAcquisition #ETA #PrivateMarkets #SmallBusiness

December 9, 2025

In this interview, Sean Smith, Managing Partner at Search Fund Ventures and Founder of SMB Investor Network, sits down with Michael Huseby, founder of The Investment Lawyers, to break down the real-world legal dynamics behind LP agreements, fund structures, 506(c) fundraising, governance rights, waterfalls, fund expenses, and minority protections. Michael shares insights from his work across private equity, SMB acquisitions, real estate, private credit, venture capital, and SPV formation—explaining what LPs should look for, how GPs are negotiating deals today, and why trends are shifting toward cash-flow strategies. Topics covered include: - Why Michael left Big Law to start his own firm - His new book *Fundamentals* and why he “shares the sauce” - LP trends: cash-flowing strategies, anchor investors, and GP-stake asks - The rise of 506(c) and recent SEC guidance on accreditation - Governance: top protections LPs should check for in documents - Fund expenses: what’s reasonable, what’s not - Waterfall structures: simple to advanced, including GP catch-ups and dual waterfalls - How LPs should evaluate liquidity, continuations, and risk - Key pitfalls LPs commonly miss in documents - Why clear marketing disclosures protect GPs from securities issues Looking for an specific minute? 00:00 Introduction to Limited Partnerships and LP Agreements 02:39 Transitioning from Big Law to Independent Practice 05:33 Current Trends in Investment Strategies 08:19 Understanding GP Stakes and Investor Influence 10:59 The Shift to 506C and Public Fundraising 13:25 Governance and Minority Protections in Investment Documents 16:28 Key Considerations for Limited Partners 19:09 Liquidity and Fund Structures 21:35 Understanding Fund Expenses 24:41 Waterfall Structures in Fund Distributions 36:15 Conclusion and Resources for Further Learning If you're an investor, operator, or GP raising capital, this episode delivers a practical, plain-English deep dive from one of the most active fund attorneys in the SMB and alternatives ecosystem. **👉🏻 Subscribe for more interviews like this and share your thoughts in the comments.** **📩** Connect with the speakers: - Michael Huseby – The Investment Lawyers: https://www.til.law/ - Michael Huseby LinkedIn: https://www.linkedin.com/in/michael-bjorn-huseby/ - Fundamentals Newsletter: https://www.til.law/#newsletter - Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network: https://www.smbinvestornetwork.com/ #smbinvesting #privateequity #searchfunds #fundformation #limitedpartners #506c #alternativeinvestments #privatecredit #fundgovernance #investoreducation

November 19, 2025

In this episode, Sean Smith, Managing Partner of Search Fund Ventures and Founder of SMB Investor Network, sits down with Ariez Dustoor of NB Group, an experienced independent sponsor with meaningful reps investing in both sponsors and searchers. Ariez shares a rare dual-sided view of the market—how he evaluates deals, how his sector focus evolved, how he builds pattern recognition, and what true discipline looks like in dealmaking. He breaks down the challenges of sourcing, negotiating, and closing transactions, the realities of post-close execution, and what he looks for in leadership teams. Key themes include: - Sector specialization in healthcare and multi-location services - Maintaining discipline through cycles without committed capital - Creative deal structuring and managing “near-death” transactions - Pattern recognition and narrowing the investment strike zone - Post-close leadership evaluation, strategic planning & professionalization - How independent sponsors differ from committed funds - Capital raising process, working with placement agents, and LP alignment ⚡️ If you’re a searcher, operator, LP, or independent sponsor, this conversation is packed with real-world lessons directly from the trenches. ** Subscribe for more conversations like this, and leave your thoughts or questions in the comments. 📩 Connect with the speakers: - Ariez Dustoor LinkedIn: https://www.linkedin.com/in/ariezdustoor/ - NB Group Website: http://www.nbgroup.us - Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network: https://www.smbinvestornetwork.com/ #IndependentSponsor #SearchFunds #PrivateEquity #SMBInvesting #DealMaking #EntrepreneurshipThroughAcquisition #InvestingInsights #LowerMiddleMarket #BusinessAcquisition #SMBEcosystem

October 27, 2025

In this interview, Sean Smith, Managing Partner of Search Fund Ventures and Founder of the SMB Investor Network, sits down with Robert Graham, Co-Founder of SIG Partners and Co-Founder of Pillar Health Group. Robert shares his journey from HBS to building a healthcare group that grew from $6M in revenue to $130M+, powered by both organic growth and acquisitions. Together, Sean and Robert unpack: - The evolution of self-funded search and the role of SBA financing. - A new SBA policy that could permanently ban investors with prior 7A loan defaults — and its ripple effects on entrepreneurs, lenders, and small business owners. - Investor diligence: debt service coverage, leverage, IRR vs. MOIC, and why “step-ups” can be misleading. - Industry heuristics: how to think about recurring revenue, installation, and construction risk in trades and building services businesses. - What investors should consider when evaluating cost of capital, revenue buckets, and risk-adjusted returns. This conversation highlights both the opportunities and challenges ahead for searchers, operators, and investors in the SMB ecosystem. 👉 **Subscribe for more interviews with leading investors and operators in SMBs.** 💬 Share your thoughts in the comments — how do you see SBA changes impacting the space? Connect with the speakers: - Robert Graham (LinkedIn): https://www.linkedin.com/in/robertelliotgraham/ - SIG Partners: https://sigpartners.com/ - Pillar Health Group: https://www.pillarhealthgroup.com/ - Sean Smith (LinkedIn): https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network: https://www.smbinvestornetwork.com/ #SMBInvesting #SearchFunds #SBALoans #PrivateEquity #Entrepreneurship #SmallBusinessAcquisition #Investors #MergersAndAcquisitions #SMBEcosystem #BusinessGrowth

September 24, 2025

In this interview, Sean Smith (Managing Partner of Search Fund Ventures & Founder of SMB Investor Network) sits down with Jacob Hall, Founder of Kando Capital, to explore the fundamentals of investing in small businesses through self-funded search and independent sponsor deals. Jacob shares his unique path from Fortune 500 operator to fund manager, his “buy box” criteria, and the red/yellow flags that investors should watch for when evaluating opportunities. The conversation dives deep into: - Why operational experience matters more than Wall Street backgrounds - How to define and evolve your investment “buy box” - Revenue quality, customer concentration, and key-person risk - Creative deal structures: forgivable seller notes, earn-outs, rollover equity - HR diligence, culture, and compensation as overlooked risks - Aligning sellers, buyers, and investors for long-term success This is a must-watch for anyone interested in search funds, small business acquisitions, or creative capital structuring in the lower middle market. 👉 Subscribe for more interviews with SMB investors and operators. 👉 Leave your thoughts or experiences in the comments below. Connect with the speakers 🔗 Connect with Jacob Hall: https://www.linkedin.com/in/jacobhall01/ 🌐 Kando Capital: [**www.KandoCapital.com**](https://www.kandocapital.com/) 🔗 Connect with Sean Smith: https://www.linkedin.com/in/sean-smith-47ab2a70/ 🌐 SMB Investor Network: https://www.smbinvestornetwork.com/ #SmallBusinessInvesting #SearchFunds #IndependentSponsors #DealStructures #CapitalAllocation #RevenueQuality #EntrepreneurshipThroughAcquisition #PrivateEquity #Investors #SMBEcosystem

September 17, 2025

In this episode, Sean Smith (Managing Partner of Search Fund Ventures & Founder of SMB Investor Network) sits down with Pascal Wagner, founder of Grow Your Cash Flow and seasoned LP investor. Pascal shares his journey from working with the investment team at Techstars, one of the world’s top accelerators, to building a multi-asset-class cash flow strategy. From helping his family secure financial independence to reviewing 2,000+ deals and investing across real estate, private credit, self-storage, oil & gas, and retail development, Pascal lays out his playbook for LP investing. Key topics include: - Why every LP needs a **macro plan before reviewing deals**. - How to vet operators and spot **red flags that others miss**. - The trade-offs between **emerging managers and institutional funds**. - Tax strategies and incentives that boost returns. - Why operator consistency beats flashy pro formas. If you’re exploring **passive investing, LP strategies, or alternative assets**, this conversation is a must-watch. 👉 Subscribe for more interviews with leading voices in SMB and alternative investing. 💬 Share your thoughts in the comments — how do you approach cash flow investing? Connect with the speakers - Pascal Wagner LinkedIn: https://www.linkedin.com/in/pascalwagner/ - Grow Your Cash Flow: [**http://growyourcashflow.io**](http://growyourcashflow.io/) - Passive Investing Starter Kit: [https://passiveinvestingstarterkit.com](https://passiveinvestingstarterkit.com/?utm_source=chatgpt.com) - Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network: https://www.smbinvestornetwork.com/ #LPPlaybook #CashFlowInvesting #AlternativeInvestments #PassiveIncome #RealEstateInvesting #EmergingManagers #PrivateEquity #SMBInvesting #WealthBuilding #InvestSmart

September 10, 2025

In this in-depth conversation, Sean Smith (Managing Partner, Search Fund Ventures & Founder of SMB Investor Network) sits down with Mitch Petracca, CPA and Founder of Forward Firm, to unpack the art and science of Quality of Earnings (QoE) in small business acquisitions. Mitch shares his journey from PwC to founding Forward Firm, where he supports searchers, independent sponsors, and small private equity firms on deals from $1M–$50M EV. Together, Sean and Mitch explore: - How technology and automation are transforming the diligence process - The balance between quantitative rigor and the “art” of working with sellers - A practical framework for evaluating EBITDA adjustments (tiers of certainty vs. subjectivity) - The critical role of working capital in ensuring post-close success - Real-world stories from QoE engagements—what investors should look out for. Whether you’re an investor, operator, or service provider in the **SMB ecosystem**, this discussion offers actionable insights into deal-making, risk management, and value creation. 👉 Subscribe for more interviews with leading voices in SMB investing. 👉 Leave your thoughts in the comments—we’d love to hear your perspective. 💻 Connect with the speakers: - Mitch Petracca (Forward Firm): https://forwardfirm.com/ - Mitch Petracca LinkedIn: https://www.linkedin.com/in/mitchpetracca/ - Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network: https://www.smbinvestornetwork.com/ #SMBInvesting #SearchFunds #QualityOfEarnings #SmallBusinessAcquisition #PrivateEquity #IndependentSponsors #ForwardFirm #FinancialDiligence #WorkingCapital #TechInSMB

September 3, 2025

In this episode, Sean Smith, Managing Partner at Search Fund Ventures and founder of the SMB Investor Network, sits down with Roman Basi, Managing Partner of Basi & Basi, Attorneys & CPAs. Roman brings nearly three decades of experience advising on mergers, acquisitions, and tax structuring. Together, they break down the critical aspects of tax diligence in SMB transactions — from entity selection (C-Corp, S-Corp, LLC) to advanced structuring tools like QSBS (Section 1202), F Reorganizations, 338(h)(10) elections, and personal goodwill strategies. Key discussion points include: - Why tax diligence is essential in SMB acquisitions - The risks of bad S-Corps and how to avoid them - How to mitigate post-close tax liabilities - Strategies to minimize double taxation - Structuring to maximize value for buyers and sellers - Insights on the new tax bill and its impact on investors This conversation is a must-watch for investors, operators, and advisors navigating the SMB acquisition ecosystem. 👉 Subscribe for more interviews with SMB dealmakers and experts. 👉 Share your thoughts in the comments below — what tax diligence questions do you want answered? Connect with Roman Basi & Sean Smith: - The Center for Financial, Legal & Tax Planning, P.C.– https://www.taxplanning.com/ - Roman Basi LinkedIn - https://www.linkedin.com/in/roman-basi-/ - Sean Smith LinkedIn - https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network – https://www.smbinvestornetwork.com/ #SMBInvesting #SearchFunds #MergersAndAcquisitions #TaxDiligence #DealStructuring #PrivateEquity #SMBInvestorNetwork #QSBS #SBDebtAndEquity #RomanBasi

August 27, 2025

In this episode, Sean Smith, Managing Partner at Search Fund Ventures and Founder of **SMB Investor Network**, sits down with Beki Darlin, growth partner, fractional CMO/CRO, and founder of **Our Waee (Women’s Acquisition Entrepreneur Ecosystem)**. Beki shares her journey from an unexpected career pivot into sales and marketing, to becoming a growth partner in search and acquisition. She explains how women are shaping the SMB acquisition landscape, the unique strengths they bring to deal-making, and the importance of community in what is often a lonely process for searchers. The discussion covers: - Beki’s transition from paralegal to entrepreneur and operator. - Her experience building and exiting a marketing agency, then moving into consulting for equity. - The creation of **Our Waee**, a community supporting women in ETA (Entrepreneurship Through Acquisition). - Key differences in how women approach risk, negotiation, and post-acquisition operations. - Real stories of female searchers who accelerated their journey to closing deals through community support. - Why resilience, creativity, and collaboration are superpowers for women in the search fund ecosystem. If you’re an investor, operator, or searcher exploring SMB acquisitions—or simply interested in the evolving role of women in this space—this conversation offers both practical insights and inspiring stories. 👉 Subscribe for more interviews with leading voices in the SMB investing and search fund ecosystem. 👉 Leave your thoughts in the comments—we’d love to hear your perspective. Connect with us: - Beki Darlin LinkedIn: https://www.linkedin.com/in/bekidarlin/ - Our Waee (Women’s Acquisition Entrepreneur Ecosystem): https://ourwaee.com/ - Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network: https://www.smbinvestornetwork.com/ #WomenInSearch #SMBInvesting #EntrepreneurshipThroughAcquisition #SearchFunds #PrivateEquity #BusinessAcquisition #SMBCommunity #InvestorsAndOperators #WomenInBusiness #SMBInvestorNetwork

August 13, 2025

In this episode of the SMB Investor Podcast, Sean Smith (Managing Partner, Search Fund Ventures; Founder, SMB Investor Network) sits down with Christien Louviere, Co-Founder of BDE Capital, to explore the journey from venture capital and startup founding to becoming an independent sponsor in the lower middle market. Christien shares: - Why BDE Capital focuses 80% on healthcare and 20% on B2B services - How his team evaluates leadership, talent, and sales models before acquiring a business - The advantages of significant rolled equity in aligning seller and buyer incentives - Unique due diligence techniques using AI for scenario analysis on management teams - Lessons learned from both venture-backed exits and SMB acquisitions - Deal structure tips for independent sponsors, including equity roll, milestones, and avoiding overreliance on seller notes Whether you’re an investor, operator, or entrepreneur looking to buy and grow established businesses, this conversation is packed with actionable insights on sourcing, structuring, and scaling acquisitions. 📌 Subscribe for more interviews with top SMB investors, operators, and dealmakers. 💬 Leave a comment with your takeaways or questions about independent sponsor strategies. 🔗 Christien Louviere on LinkedIn: https://www.linkedin.com/in/christienlouviere/ 🔗 BDE Capital: https://bdecap.com/ 🔗 Sean Smith on LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ 🔗 SMB Investor Network: https://www.smbinvestornetwork.com/ #SMBInvesting #IndependentSponsor #PrivateEquity #BDECAPITAL #BusinessAcquisition #DealStructuring #LowerMiddleMarket #RolledEquity #Entrepreneurship #MergersAndAcquisitions

August 4, 2025

In this interview, Sean Smith (Managing Partner at Search Fund Ventures) sits down with Brian Wolfe, founder of Funded Ventures, to unpack his transition from 17 years of big law to building and scaling SaaS businesses through M&A. Brian shares deep insights from his time advising major PE firms like Bain and Vista, his own SaaS roll-up exit to Alpine Investors, and his current role backing Midwest operators in ETA. They explore the realities of subscale M&A, conviction-building in first-time operators, how to navigate deal risk and ambiguity, and the evolution of the traditional search model. Whether you're an investor, operator, or aspiring searcher, Brian offers sharp perspective on what it takes to win in today's ETA environment. The conversation explores: 07:58 The Role of Mentorship in ETA 15:35 Building a Network and Professionalizing the Search 23:16 Creating a Funded Operating Partner Relationship 31:20 Insights on Subscale Deals and Market Dynamics 📌 Subscribe for more interviews like this. 💬 Leave your thoughts or questions in the comments — we read every one! --- - 🔗 Brian Wolfe LinkedIn: https://www.linkedin.com/in/brianwolfe/ - 🌐 Funded Ventures Website: https://fundedventures.com/ - 🔗 Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ - 🌐 SMB Investor Network Website: https://www.smbinvestornetwork.com/ #SearchFunds #SaaSInvesting #ETAOperators #PrivateEquityInsights #SMBDeals #LowerMiddleMarket #RollupStrategy #FundedVentures

July 21, 2025

In this episode, Sean Smith (Managing Partner at Search Fund Ventures and CEO of SMB Investor Network) sits down with Caleb Basile, CPA and founder of QoE Prep, a firm specializing in fast-turnaround buy-side Quality of Earnings (QoE) reports for the lower-middle market. Caleb breaks down what investors and operators *really* need to understand about revenue quality, working capital, and cost structure when evaluating a small business acquisition. He shares frameworks for assessing recurring revenue, customer concentration, revenue recognition, and the risks of owner-driven sales. Caleb also highlights red flags in working capital manipulation and the most common missteps in gross margin diligence. Whether you’re an investor backing searchers or a buyer diving into diligence, this is a must-watch breakdown of how financial quality drives deal outcomes. 👉 Subscribe for more interviews like this. 💬 Leave your takeaways or questions in the comments. 🛜 Connect with Caleb: - Caleb Basile LinkedIn: https://www.linkedin.com/in/qoeprep/ - QoE Prep: https://qoeprep.com/quality-of-earnings - Contact Caleb: caleb@qoeprep.com 🛜 Connect with SMB Investor Network: - Sean Smith LinkedIn: https://www.linkedin.com/in/sean-smith-47ab2a70/ - SMB Investor Network: https://www.smbinvestornetwork.com/ #SMBInvesting #SearchFunds #DueDiligence #QualityOfEarnings #RevenueQuality #WorkingCapital #FinancialDiligence #SmallBusinessAcquisition #MergersAndAcquisitions #PassiveInvesting

July 20, 2025

What happens when you fill every key role—GM, VP of M&A, VP of Value Creation—with former special operators? Christian Ruf from Uncommon Elite shares how one private equity-backed home services roll-up is scaling fast by betting on elite military talent for business execution. From battlefield precision to boardroom impact. This is culture-building at its finest. 💥 🎙 Clip from our conversation on leadership, grit, and operational excellence in the world of SMBs and private equity.

July 19, 2025

He didn’t know how to read a P&L. Didn’t know how to run urgent care clinics. Didn’t even know what CPT codes were. But he did know how to lead, adapt, and solve problems under pressure. Veterans like Christian Ruf are proving that raw leadership, grit, and focus matter more than industry credentials. These operators are being dropped into multimillion-dollar businesses — and they’re not just surviving… they're thriving. This is what true adaptability looks like in the SMB world.

July 18, 2025

There’s a huge untapped wave of talent sitting in the veteran community — and they’re perfectly positioned to thrive in the world of small business ownership. Christian Ruf explains why more veterans should be entering ETA and how those who already have… are now recruiting others to join the movement. 📈 Operational grit 🤝 Natural team leadership 🎯 High-pressure decision-making It’s time to build more veteran-led dream teams in the SMB space.