Private Equity Business | My First Million Podcast | 03/31/2020

About this video

Brent Beshore, founder of Permanent Equity, discusses his private equity firm’s contrarian approach to buying and holding family businesses long-term with no debt, targeting durable companies in unglamorous industries like pools and HVAC. The conversation covers his philosophy of building wealth through cash flow rather than exits, his portfolio of nine companies, and his predictions about navigating the economic fallout from the COVID-19 pandemic.

Key takeaways

• Brent’s firm buys profitable family businesses (typically $3-8M in owner earnings) at 3.5-5.5x multiples with all-equity financing and plans to hold indefinitely, contrasting sharply with traditional PE’s short hold periods and heavy leverage
• The best businesses for wealth-building are those with repeatable systems, non-founder-dependent operations, and natural headwinds against competition (unglamorous sectors like pools, HVAC, lawn care), not trendy or tech-enabled niches
• Brent predicts unemployment could reach 20-30% due to the pandemic’s unprecedented velocity compared to 2008, creating opportunities for well-capitalized firms to acquire distressed family businesses, but he emphasizes timing and restart logistics will be extremely difficult

Episode details: published April 24, 2020 · 4.6K views · 53:06 long. Summary written by Self Growth Videos from the episode itself. The business ideas, figures and results discussed are the hosts’ and guests’ own claims, shared as brainstorming and entertainment — not verified facts and not investment advice.

← Previous: Hint Water’s Most Effective Marketing Channels | Exit Strategy S1E3 · Next: Donald Trump’s incredible POWERS of PERSUASION | My First Million Podcast →

All My First Million videos · My First Million profile · My First Million (official site)