Buy a Business with Your Tax Bill | Adam Whelchel Interview

Synopsis

Adam Whelchel bought Lakeland Escape Room after building a $1.5 million accounting firm with 22 remote employees. The escape room had seven rooms, $365,000 of revenue, about $105,000 of SDE, and only 7% to 10% capacity utilization, so the thesis was to lift utilization toward 15% while fixed rent, staffing, and hours stayed mostly in place. The episode also explains using a $108,000 depreciable-asset allocation and bonus depreciation to offset a roughly $95,000 tax bill.

Ideas in this episode

• Small business acquisition (no experience required)

  Adam Whelchel bought Lakeland Escape Room at $365K of revenue and ~$105K of SDE, using a $108K depreciable-asset allocation and bonus depreciation to offset a ~$95K tax bill.