1,500 Deals, 20 Acquisitions, 1 Gut Punch with Sequoya Borgman

In this episode of the M&A Launchpad Podcast, hosts Casey Minshew and Feras Moussa sit down with Sequoya Borgman, Founder & CEO of Borgman Capital, a Milwaukee-based independent sponsor firm that has completed over 20 acquisitions in roughly a decade. Sequoya shares how he left an 18-year career in public accounting to launch Borgman Capital in 2017 with nothing but a deal under LOI that promptly fell apart a week before close. He breaks down how the independent sponsor model actually works, why the first deal makes or breaks your track record, how people problems quietly tank more investments than anything else, and what Borgman looks for in the food and equipment rental spaces that keep them coming back. In this episode, we discuss: Why Sequoya walked away from a Partner-track career at a Big Four firm after 18 years in public accounting — and what finally pushed him to make the jump The gut-punch of his first deal: an LOI lined up before he quit his job that collapsed a week before close when the seller chose his son instead How he closed his first deal nine months after launching — a material handling manufacturer — and why that exit five years later set Borgman Capital up for everything that followed The 2026 deal market reality: why only about 50% of deals are closing, big funds competing down market, and what that means for independent sponsors chasing $4–7M EBITDA businesses Why the biggest risk in any lower middle market deal isn’t the business model — it’s the leadership hire, and how you usually know within the first 30 days if you got it wrong The independent sponsor structure explained: deal-by-deal Reg D funds, over 500 LPs, co-sponsorship terms, and when Borgman brings in a mezzanine partner Why food and equipment rental are Borgman’s favorite verticals — and why he’s closing on another equipment rental business tomorrow How to reach Borgman Capital whether you’re a seller, a deal-finder looking to co-sponsor, or an investor looking to participate Guest Contact Information Sequoya Borgman Founder & CEO, Borgman Capital LinkedIn:   / sequoya-borgman-8a6057a   For business owners and deal partners: https://www.borgmancapital.com For investors: https://www.passthehat.com Additional Resources Thinking about buying a business? Connect with the Equity Launchpad team to learn more about acquisition entrepreneurship and upcoming opportunities. Contact Casey Minshew and Feras Moussa: [email protected] Explore more: https://www.equity-launchpad.com Chapters 0:00 – Intro: 20+ acquisitions, growing an independent sponsor firm from scratch 2:09 – Welcome: Borgman Capital overview — Milwaukee HQ, five offices, 20+ acquisitions 3:07 – From Big Four Partner to founder: 18 years in public accounting, launched in 2017 4:21 – The 2026 deal market: 1,500 deals/year seen, big funds moving down market, ~50% to closing 6:19 – The first deal gut punch: the LOI that collapsed a week before close — and what he told his wife 8:31 – The five-year hold strategy, 1202 tax benefits, and when to exit 10:22 – Why the first deal defines your sponsor career — and why starting too small is a trap 13:48 – The hardest part of 20+ acquisitions: it always comes back to people 14:56 – How you know within 30 days if you hired the wrong leader 16:46 – Building the Borgman Capital platform: from solo operator to five offices 19:43 – Dead deal fees, QofE costs, and why ~50% of deals aren’t crossing the finish line 20:31 – Ideal deal size: the $4–7M EBITDA sweet spot, up to $16M 21:20 – The independent sponsor model: deal-by-deal Reg D funds, 500+ LPs, and co-sponsoring 22:35 – How to partner with Borgman: co-sponsoring terms and joining the team 25:20 – Favorite verticals: food space, equipment rental, and closing a deal tomorrow 26:59 – Rocket Round 27:13 – Free time: Kilimanjaro, pilot’s license, and hiking the Grand Canyon 28:06 – Most memorable moment: the gut punch that almost ended it before it started 29:02 – Favorite tool: AI across the portfolio — Claude, ChatGPT, and what’s coming next 30:19 – How to connect: LinkedIn, borgmancapital.com, and passthehat.com About The M&A Launchpad: The M&A Launchpad provides insights into acquiring, investing in, and selling profitable businesses in the lower to middle market. Whether you are a business owner, investor, or aspiring entrepreneur, we will provide you with the knowledge, guidance, and capital to navigate the world of mergers and acquisitions. The M&A Launchpad presents a series of weekly podcast episodes and hosts an annual M&A Launchpad Conference tailored to the M&A community. Connect with M&A Launchpad: 🎧 Podcast on Spotify: https://open.spotify.com/episode/6HjS... 🎧 Podcast on Apple: https://podcasts.apple.com/us/podcast... 🎟️ Attend Upcoming M&A Launchpad Conference: http://malaunchpad.com/