Entrepreneurship Through Acquisition
Entrepreneurship through acquisition (ETA) is buying an established, profitable business and running it yourself, instead of starting a new one. A search fund is one common way to pay for it.
8Search funds formed in India by the end of 2025
Where does a search for one business succeed or stall?
Mostly in the records and the funding. A searcher in India meets owners one at a time, and the books decide how far each conversation goes.
The bigger the circle, the more of the outcome is settled there.
The thesis
Industries you understand, a size the funding can carry, and Indian filters: the sector's FDI route and the state the business sits in.
Finding owners
Introductions through the owner's chartered accountant, the bank and trade associations. Few good businesses are advertised for sale.
The letter of intent
Price, structure and a period of exclusivity, signed before full diligence. Its commercial terms are usually not binding.
Diligence on Indian books
The GST returns against the books, the bank statements, the tax statements and the statutory dues paid. This is where deals change price.
The funding
Equity, an NBFC loan and part of the price left with the seller. Banks finance acquisitions only for buyers with ₹500 crore of net worth.
Closing
The share purchase agreement, its warranties and the conditions, then the price paid and the shares or the business transferred.
The first 100 days
The books, the controls on cash and the first monthly report to the investors, moved to the new owner.
Which services work beside a search?
Due Diligence tests the business the searcher has found. Business Valuation sets the price before the letter of intent, Deal Structuring shapes the terms, and Post-Acquisition Integration runs the first 100 days.
What does the team do on an acquisition search?
Set the thesis, screen and value the targets, do the diligence and shape the funding, then run the first 100 days.
Where next in Entrepreneurship Through Acquisition?
Entrepreneurship Through Acquisition pages
- How we workFrom thesis to the first 100 days
We set the thesis with the searcher, then screen and value each serious target. We do the diligence Indian books need and shape the funding, and after closing we run the first 100 days.
- InsightsInsights on entrepreneurship through acquisition
Our team writes about how search funds work, how to fund a search in India, and what makes a business worth buying.
- Can a search be funded in India?
- Is a searcher a buyer for our business?
- What should we check before backing a searcher?