The Art of Buying and Selling Companies

The first time I bought a company, it was a small local newspaper. Known for its long-standing history, it had unfortunately suffered from years of poor management across multiple generations. The newspaper lacked a clear editorial focus, had become uninteresting, and as a result, lost a significant portion of its readership—and, of course, its revenue.

The first step was to deeply understand the situation. Before making any changes, I needed to know exactly where we stood in order to build from there. I carefully analyzed every detail: the finances, the processes, the content, and most importantly, the reasons behind the newspaper’s decline in relevance.

Next, I surrounded myself with a team of skilled professionals. I hired talented journalists with fresh perspectives to restore the newspaper’s credibility and appeal. At the same time, I brought in a dynamic sales team that understood how to reposition a media outlet in an increasingly competitive market.

A pivotal decision was to modernize the operation. I sold all the outdated printing machines, which had become more of a burden than an asset, and outsourced the printing to a company equipped with state-of-the-art technology. This not only reduced costs but also allowed us to focus solely on what we did best: creating valuable content.

The results were immediate. The newspaper began to reclaim its place in the market. We established a clear editorial focus, prioritizing local stories and delving deeper into topics that truly mattered to our audience. It wasn’t just about competing with larger players; it was about offering something unique and authentic.

We also optimized our commercial strategy by exploring new sales and advertising channels. We formed strategic partnerships and leveraged digital tools to expand our reach. Slowly but surely, the newspaper became a trusted source of information in the community once again.

What I learned from this experience is that many businesses that seem doomed to fail can find their way back to profitability with the right vision and the right team. When acquiring a business, it’s crucial not to focus solely on the “snapshot of the moment,” which often highlights current issues and losses. Instead, you need to look beyond that snapshot and identify the hidden potential.

Investing is an art, and the true art of business lies in seeing what others can’t: opportunities where others see challenges, and strengths hidden within weaknesses. If you can envision what a company could become—beyond what it currently is—you’ll have discovered the true secret to turning losses into success.