How I Bought 7 Businesses and Built a $34M Holding Company | Doug Lepisto Interview

Co-invest in curated SMB acquisitions led by proven searchers and independent sponsors. Get a full deal room with financials, tax returns, sponsor profiles, and value-creation plans.No management fees; CapitalPad participates only after investors get their capital back and profits are earned. Operators under LOI can also use CapitalPad to fill equity gaps with a trusted co-investor network. These are long-term, illiquid investments and involve risk.Apply at: https://capitalpad.com/ - A deal-by-deal private equity investing platformSpacebar StudiosBuild relationships at scale with a done-for-you B2B newsletter.HoldCo Builders listeners get a 2-week free trial: they set up your newsletter and send your first editions with zero fees to prove the channel works. Start your free trial now by going to: https://www.spacebarstudios.co/inquireOperator-first, place-based PE done right. In this episode, Doug Lepisto (co-founder of Sleeping Giant Capital) breaks down how his team backed 7 searchers to buy 7 local companies, deploying a $34M Fund I and gearing up for Fund II.We unpack the full playbook—how they source in-region deals, why they bet on the operator first, and the exact 10-10-10 searcher economics.Doug shares how they structure boards, protect the downside, and build long-term, hold-forever companies with a university-powered talent pipeline.Timestamps:00:00 Intro (Sleeping Giant overview: place-based, West MI, Fund I $34M)00:33 Doug’s background04:41 Sleeping Giant timeline06:18 Sponsor (CapitalPad.com)10:32 Buffett, Brent Beshore, ETA/search, university model13:42 Fundraising journey (easiest no, institutions vs HNW/FOs, strategy)16:13 Ideal targets (shift to higher-quality $3 to $5M EBITDA businesses)18:14 First acquisition setup18:20 Sponsor (SpacebarStudios.co)19:29 First acquisition story21:41 Deal size (larger than initial target)22:05 Seller rollover & post-close roles (case by case)23:14 Operating lessons (protect downside, boards, emotions; big deal are better than many small)26:25 Pipeline & selectivity (LOIs as the key KPI)28:48 Operators-first vs deal-first (why back people)30:32 The 8-week Acquire Course (1:1 coaching format)34:56 Course throughput & outcomes35:57 Searcher economics (10/10/10 vesting, salary/bonus)37:58 Portfolio update & headwinds (tariffs, organic growth systems, board design)40:27 Fund II focus (double down on place, build an enduring machine)42:10 Defining long-term (25-year term, durable niches like metal components)43:38 Liquidity in a long fund46:04 Scalability (2–3 CEOs at a time; replication in other regions)47:29 Place-based investing philosophy & macro trends50:51 Quickfire (best advice and favorite book)Support our Sponsors:CapitalPad: https://capitalpad.com/SpaceBar Studios: https://www.spacebarstudios.co/inquireSubscribe on Spotify:https://open.spotify.com/show/6lr5bE3SNZF2uEE7Nb0DHh?si=cP_nAarhRmep1lvnR6uk5gSubscribe on Apple Podcasts:https://podcasts.apple.com/us/podcast/holdco-builders/id1695713724Follow PrivatEquityGuy onX: ⁠⁠https://x.com/PrivatEquityGuyThis podcast is for informational purposes only and should not be relied upon as a basis for investment decisions.