- Matt Bodnar
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- Why M&A Is Often Better Than Organic Growth
Why M&A Is Often Better Than Organic Growth
Hi ,
Organic growth is familiar. It’s comfortable. And for most business owners, it’s the default.
Hire another salesperson. Spend more on marketing. Launch a new product. Expand into a new territory and hope it works.
Sometimes it does.
But once a business reaches a certain scale, organic growth starts to slow, costs rise, and returns diminish. The effort required to grow the next dollar becomes meaningfully harder than the last.
That’s where M&A changes the game.
1. Organic Growth Is Slow. Acquisitions Are Immediate.
Organic growth takes time:
Time to recruit and train
Time to test messaging and channels
Time to build trust with new customers
Time to reach breakeven
An acquisition collapses time.
You’re not building demand from scratch — you’re buying:
Existing customers
Proven revenue
Trained teams
Established operations
Instead of spending 24–36 months hoping growth materializes, you can acquire it in one transaction.
Time is the most undervalued asset in business.
M&A lets you buy it.
2. Organic Growth Is Riskier Than It Looks
Organic growth feels safer because it’s incremental. But it’s often riskier in disguise.
New hires may not perform.
Marketing experiments may fail.
New products may never gain traction.
You absorb all the risk upfront — with no guarantee of return.
With M&A, you’re buying something that already works:
A business with real customers
A proven pricing model
Known unit economics
You still take risk — but it’s underwritten by history, not hope.
3. Acquisitions Unlock Leverage Organic Growth Can’t
Organic growth scales linearly:
More effort → more output
M&A scales exponentially:
One acquisition unlocks cross-selling
Shared overhead improves margins
Buying power increases
Talent compounds faster
This is how multiple expansion happens.
You’re not just growing EBITDA — you’re changing the quality of the business. And higher-quality businesses trade at higher multiples.
Organic growth grows earnings.
Strategic M&A grows enterprise value.
4. M&A Reduces Competitive Pressure
Organic growth often means fighting harder for the same customers:
Higher CAC
Price pressure
More noise in the market
Acquisitions can:
Eliminate competitors
Consolidate fragmented markets
Strengthen pricing power
Lock up supply, talent, or distribution
Instead of competing harder, you reposition the board.
That’s strategy — not hustle.
5. The Best Businesses Are Built, Not Grown
Most of the largest, most valuable companies didn’t grow their way to scale — they bought it.
They used acquisitions to:
Accelerate growth
Enter new markets
Add capabilities
De-risk revenue
Build platforms
Organic growth still matters. But it’s rarely the primary engine once a business reaches real scale.
The Bottom Line
Organic growth keeps the lights on.
Strategic M&A changes the trajectory.
If you’re running a seven-figure business and want meaningful scale — not just incremental improvement — acquisitions are often the fastest, most reliable path forward.
The question isn’t whether to use M&A.
It’s whether you’re prepared to do it well.
And that’s where the real leverage lives.
Considering acquisitions for your growth strategy? Come join us at DealCon to meet the people you need and get the exact playbooks to use M&A to scale your business.
Apply now at DealConLive.com!
We’d love to have you in the room.For more information, go to www.DealConLive.com or email me.
Hope to see you in Austin,
Matt Bodnar
DealCon: CEO M&A Summit
February 9-11, 2026 Miami, FL
