Main Street Millionaire

wayne huizenga built a billion-dollar empire from nothing. his first job? going door to door selling trash service for porter's rubbish. but watching his boss, this self-made entrepreneur saw something bigger – instead of starting from scratch, he could buy businesses that already worked.

huizenga persuaded his boss to sell him a $500 share in porter’s rubbish service in 1962. he expanded this small stake into waste management, which became the largest waste disposal company in the world. he later replicated this model in diverse industries, turning blockbuster video into a household name and founding autonation, the largest auto dealership chain in the united states. huizenga’s story illustrates how buying existing businesses can unlock transformative wealth and influence. are you ready to start building wealth using this same strategy? then let’s begin.

building wealth by buying main street businesses requires grit, strategy, and patience – but the rewards can be transformative. while others chase crypto and day trading, smart investors buy plumbing services, laundromats, and cleaning companies – businesses most people overlook. these “unsexy” ventures generate substantial revenue, and with boomers retiring, many want to sell. u.s. main street businesses rake in a staggering $6.5 trillion annually, yet younger generations rarely want to inherit or operate them. that’s where you come in.

so what’s the catch? success takes time. the road to owning your first business follows the 3-9-12 method: three months to learn the basics, nine months to scout and evaluate potential businesses, and twelve months to stabilize and grow your acquisition. warren buffett says it best: “no one wants to get rich slowly.”

you’ll wear every hat at first – manager, accountant, marketer, and salesperson. that’s just how it works until you build up your team. it’s not 100% knowledge or strategy, either – 70% of your success will come down to hard work. but with dedication, you’ll unlock a hidden goldmine of consistent, cash-flowing wealth.

whether it’s a cleaning business earning steady contracts or a laundromat in a high-traffic area, these ventures can become stepping stones to financial freedom. with owners eager to retire and fewer successors in line, this overlooked market offers not just income but the chance to build a legacy. but here's the key question you need to ask yourself: which type of business matches your skills? let's now move on to finding your perfect fit.

building wealth by buying local businesses begins with understanding that this is not about glitzy corporate takeovers. instead, it’s about acquiring smaller companies that align with your financial goals, risk tolerance, and lifestyle. the first step? research. buy what you know – running a business you don't understand will drain both your energy and your wallet.

the best businesses to buy? start with proven online stores and websites that already make money. or look at practical services people always need such as lawn care companies or pool cleaners. got professional qualifications? law firms and accounting practices can bring in serious cash because clients pay well for expertise.

properties with businesses attached, like laundromats, make money two ways: from daily operations and rising property values. conversely, steer clear of restaurants which have slim profit margins, hotels which require epic maintenance, and retail storefronts fighting a losing battle with e-commerce. the same goes for drop-shipping businesses, which rely heavily on platforms like amazon that control pricing and policies.

to identify the right fit, determine your “zone of genius” – where your skills, experience, network, and passion intersect. for instance, if you’re skilled in logistics, have a tradesperson connection, and enjoy problem-solving, a plumbing business might be ideal. this niche could later expand into related fields like hvac or landscaping. if your strengths lie elsewhere, consider options like digital marketing or creative fields.

now, get practical about your search. ask yourself – how much should this business make? how far will you drive to work? what profit margins do you need to live well?  if you’re experienced, you might target scalable businesses with revenues between $1 to 20 million and profit margins above 30 percent. if you’re just starting out, focus on something simpler, like a cleaning business in your city. use methods like networking with attorneys, accountants, and the local chamber of commerce or simply letting your contacts know you’re interested in buying a business.

all the while, don’t forget to apply the 100-50-10-1 rule: research 100 businesses, evaluate 50 in-depth, conduct detailed due diligence on 10, and purchase one. each step narrows your focus to the perfect opportunity. this method takes work, but it leads to smart choices. you're not gambling – you're building something solid.

what’s the next step? ensure thorough due diligence to secure a solid investment. the next section will walk you through it.

evaluating a main street business before buying is a critical step to building wealth, and this is where you’ll need to get detail-oriented. first, look at the income stream. cash flow is the lifeblood of any business, and it must meet four benchmarks. first up, make sure the cash coming in covers all debts and loans. next, check if it pays you a proper salary – without this, you haven't bought a business, just an expensive job. the third thing to check: enough extra cash to grow and improve. and finally, beyond all that, it needs to put real money in your pocket.

if these basics check out, check how strong the business stands using the s-o-w-s system. let's break down what each letter means.

s stands for stale – and stale is good. when a business hasn't changed much in years, that means plenty of room to make it better and more profitable. o means old, and that's also good. old businesses usually have loyal customers who keep coming back year after year. w looks for weak competition – perfect. when competitors get lazy and complacent, it's easier to step in and do things better. finally, s means simple – the business should run without complicated systems or constant oversight. simple businesses give you freedom to grow.

does your prospective purchase meet the sows criteria? great! time for another acronym. next you’ll want to apply the brrt framework. think buy for the b – what you want are businesses that collect cash before doing the work. skip things like art galleries where you spend money for months before seeing any return. the first r is about resisting tough times. plumbing's perfect here – people need their toilets fixed no matter what the economy does.

the second r? that's raise prices. you need room to adjust your prices when costs go up. and t brings us to tech. look for old-school operations where even basic computer systems could make things run smoother.

once you've found a promising business, start digging deeper. get the last three to six years of financial records. study how money moves through the business – what comes in, what goes out. check what the business owns, from equipment to inventory.

take a close look at the basics too. review their lease agreements. get photos of the actual business location. ask for a clear picture of how the business runs day to day.

you’ll also want to keep your eyes open for warning signs. start with the money – watch for businesses barely making profit or struggling with cash flow. look for odd numbers in the books. check if they're missing important licenses. and don't forget to read online reviews – a pattern of unhappy customers tells you something's wrong.

by sticking to these metrics, you can ensure a thorough and informed evaluation, reducing risks while positioning yourself to transform a main street business into a wealth-building asset.

by now, you might be wondering how to fund the purchase of a small business. don’t worry if you don’t have all the money upfront – most buyers don’t. instead, creative financing strategies can help you close the deal without draining your bank account. here’s a breakdown of popular methods to fund your acquisition.

seller financing is one of the most common strategies and accounts for 60 percent of small business acquisitions. in this arrangement, the seller agrees to receive payments over time, while you pay them from the money the business makes. for example, if you buy a $500,000 business making $200,000 every year, you start with a $50,000 down payment. you then pay the seller $4,000 per month for 10 years, keeping $12,000 each month for growth and salary. this helps everyone – you start without huge expenses, while the seller gets steady income and pays less tax by spreading their earnings.

but seller financing isn’t the only option. you could also apply for an sba or small business administration loan. these government-backed loans are designed specifically to support small business purchases. sba loans offer favorable terms, including lower interest rates and longer repayment periods. however, the approval process can take longer, and you’ll need to demonstrate that the business makes good money and has done it for years.

already own a main street business? you could explore growth strategies like revenue sharing or customer acquisition deals. say you run a gym and another gym in your area is closing. you might negotiate a customer acquisition deal. for instance, you agree to pay the closing gym 50 percent from their customers' fees for the first six months. alternatively, you could arrange a revenue share acquisition, where you pay them part of the business's future income – perfect if the seller wants a passive stream of steady income

with ingenuity and commitment you can find financing solutions that set you on the path to building wealth through main street business ownership.

congratulations! acquiring a main street business is a significant milestone, but now it’s time to make it grow. the first few months matter most, whether you'll run it yourself or hire someone else to do it.

start by finding someone great to run the business – especially if you plan to buy more businesses later. the ideal operator should share your goals and know how to lead. a good operator commands a six-figure salary, just like you. if the business can’t pay this much, it needs you there day to day.

after finding your second-in-command, spend your first weeks building trust with your team. begin with a team meeting with the previous owner and all employees. tell them you're excited, respect their experience, and thank them for staying on board. early on, meet each employee one-on-one to identify their roadblocks – what stops them doing better – and their rockets – ideas to grow the company.

after two months, nail down two things: smooth operations and your big vision. this clear direction helps unify the team. regular communication is key – for example, start the week with an inspiring update on goals and close it with a transparent financial review. watch your growth numbers like a hawk – especially cash. this is when many businesses stumble.

by month three, you’re ready to grow. get money flowing faster: ask customers to pay sooner, offer discounts for quick payment. reduce costs by eliminating underperforming services, automating repetitive tasks, and outsourcing non-core activities. use good software for payroll and customer tracking, and look for new ways to stand out from competitors.

these are your first four months – you'll learn, you'll lead, and you'll build a solid foundation for growth. get this right, and your business won't just survive – it'll help build your wealth for years.

once you own a main street business – or even a portfolio of them – you’re in a strong position to grow your wealth exponentially. here's how to take it from good to great.

first up: pricing. most owners charge too little because they're scared to lose customers. yet incremental price increases done right can make more money without pushing customers away. consider offering different levels, with premium packages or additional services at higher rates. then, keep testing – see which prices work best and adjust accordingly.

next, focus on upselling. selling to existing customers brings in more profit than finding new customers. create packages that combine services your customers already love with added value. for example, a landscaping business could offer a seasonal maintenance package that combines lawn care, gutter cleaning, and snow removal.

recurring revenue is another game-changer. transition one-time sales into monthly subscription plans. think of a pool cleaning company that offers a monthly maintenance subscription or a digital marketing firm that gets paid every month for ongoing work. regular income helps you plan better and sleep easier.

don’t hesitate to outsource. when you hire specialists – be it technicians, virtual assistants, or contractors – the profits above their salaries flow directly to you. outsourcing lets you grow bigger while working less.

while your team handles the work, you can focus on responding fast to new customers. many solo business owners take up to 24 hours to respond to leads. but with modern tech tools, such as approachment.com, you can respond in just 60 seconds. this lightning-fast response time impresses customers and boosts sales.

customer reviews are another vital growth lever. reviews shape what people buy, and a low rating can scare customers away. since customers are ten times more likely to leave negative reviews than positive ones, ask happy customers to share their experience. a steady stream of good reviews can elevate your reputation and bring in new customers.

finally, leverage social media to create attention-grabbing content. find your niche on platforms like tiktok or instagram.  a cleaning service might share satisfying before-and-after videos. a roofing company could post time-lapse repairs. when you combine these modern marketing moves with solid business basics – fair pricing, great service, quick responses – you've got a formula for lasting success. that's how small businesses become wealth-building machines.

in this chapter to main street millionaire by codie sanchez, you’ve learned that buying existing local businesses offers a proven path to building serious wealth – without the glamour of startups or the risks of day trading.

the strategy is straightforward but powerful: find solid businesses where owners want to retire, check they make good money, and buy them using creative financing like seller payments or government loans. start with businesses you understand, from plumbing services to laundromats. look for operations that bring in steady cash, keep costs low, and have room to grow. once you own the business, build a strong team and modernize slowly. focus on what works: fair pricing, quick customer response, and steady improvements. whether you run one business or grow to own several, the key is patience and smart management. while others chase the next big thing, you'll be building real wealth through businesses that serve real needs. it's not a get-rich-quick scheme – it's a get-rich-for-sure strategy.

okay, that’s it for this chapter. we hope you enjoyed it. if you can, please take the time to leave us a rating – we always appreciate your feedback. see you in the next chapter.