Why SAN Exists — A Sales Pitch Built on Data, Trends, and Reality

Small businesses are the backbone of the American economy. They make up 99.9% of all U.S. companies and employ nearly 46% of the private workforce (¹). They generate approximately 43–44% of U.S. GDP, a share that has gradually declined over the past two decades—not because small businesses are failing, but because large corporations are capturing more market share at an accelerating pace (²).

Over the last several decades, businesses with 10,000+ employees increased their share of total receipts from 23.8% in 1963 to 37.0%—a 55.7% increase in dominance (³). Consolidation, economies of scale, and corporate acquisition strategies are steadily absorbing or replacing small, locally run businesses. When a long-standing Main Street company disappears, the community doesn’t just lose a brand—it loses experience, relationships, and identity.

The Succession Crisis (“The Silver Tsunami”)

More than half of all private business owners are now age 55 or older (⁴). Researchers and advocacy groups refer to this demographic tipping point as the “Silver Tsunami” of ownership transition (⁵). The majority of these owners expect to retire within the next decade—but most do not have a formal succession plan (⁶).

Family succession—once the standard path—is now the exception. Long-term studies show that:

  • Only 30–40% of businesses transition successfully to the second generation

  • About 12–13% survive into the third

  • Only 3% last into the fourth generation (⁷)

As younger generations pursue different careers, relocate, or lack the desire to assume ownership, many heirs face an impossible situation:

“I’ve inherited a business I don’t have time, skills, or passion to run.”

With no successor, many owners consider three options—none ideal:

  1. Sell to a national consolidator (risking layoffs, absorption, or rebranding).

  2. Shut down and liquidate (ending jobs and erasing decades of goodwill).

  3. Wait and hope the ‘right buyer’ appears (often resulting in no transition at all).

That gap—the space between a business owner ready to step back and the absence of a qualified, aligned successor—is where SAN operates.

The SAN Model: A Stewardship-Based Solution

Stewardship Acquisitions Network functions as a long-horizon asset management firm, not a private equity group or venture capital fund. We acquire established, cash-flow-positive businesses from owners seeking retirement or reduced responsibility—not from distress, but from stability.

Unlike firms that extract value through aggressive restructuring or short-term flips, SAN operates under a permanent ownership philosophy:

  • Businesses maintain their brand, workforce, culture, and customer relationships.

  • Revenue generated across the portfolio is allocated using a centralized capital strategy, allowing strong companies to support and stabilize those undergoing upgrades, modernization, or temporary market pressure.

  • Each business becomes part of a financial safety network, gaining stability most small standalone companies never access.

This model protects the legacy of the founder, provides continuity for employees and customers, and preserves the economic identity of the community.

Why It Matters Now

The data is clear:

  • Small businesses employ nearly half the private workforce (¹).

  • Their economic share is gradually shrinking as large firms consolidate (²)(³).

  • A majority of business owners plan to retire soon, and millions of these companies may close solely due to lack of succession—not lack of viability (⁵)(⁶).

Without responsible buyers, the likely outcome is:

  • More closures

  • More absorption into large corporations

  • Less community identity, autonomy, and competition

SAN’s mission is simple and urgent:

To acquire healthy, owner-built businesses and ensure they continue—not as temporary profit vehicles, but as lasting pillars of their communities.

We don’t flip companies.
We steward them.

Sources

  1. U.S. Small Business Administration — Office of Advocacy: “2023 Small Business Profile”

  2. Statista: “GDP contribution of small businesses in the United States (1998–2020)”

  3. U.S. Census Bureau (Economic Census Historical Data): Corporate market share growth by firm size

  4. Gallup: “Succession Readiness of U.S. Business Owners”

  5. Project Equity: “The Silver Tsunami: The Coming Wave of Business Owner Retirements”

  6. Internal Revenue Service & Small Business Majority: Small business succession readiness reports

  7. Family Business Institute: “Family Business Survival Statistics”