Buying Online Businesses PodcastBuying Online Businesses Podcast

The AI Lie That's Killing Your Chances of Buying a Great Business

View descriptionShare
 

Buying Online Businesses Podcast

Jaryd Krause quit his plumbing job in 2015 by acquiring online businesses and never looked back. Now one of the world's leading Online Business M&A ad 
396 clip(s)
Loading playlist

AI might be one of the biggest reasons to buy an online business right now.

Sounds crazy, right?

Most buyers are doing the opposite. They’re seeing AI disruption and running for the exits. But that fear is creating something interesting: undervalued businesses that other buyers are too scared to touch.

And not every online business is equally exposed.

A generic SEO site? Dangerous. A content business selling information AI can generate for free? Huge red flag. But a sticky niche SaaS with recurring revenue, customer data and integrations? A physical-product e-commerce brand? A community people actually want to belong to?

That’s a very different story.

In this episode, Jaryd breaks down which online businesses AI could destroy, which ones could become dramatically more valuable because of it, and the exact things buyers should look for during due diligence.

He also explains why ugly, outdated software might actually have a stronger moat than the shiny new AI tools everyone is talking about, and why customer inertia, switching costs and retention can matter more than how modern a business looks.

Because the biggest AI risk might not be buying the wrong business.

It might be being too scared to buy one at all.

🎧 Hit play — and find out where the real opportunities are hiding in the AI disruption.

 

 

Episode Highlights

00:42 – Why AI Fear Is Making Buyers Walk Away From Great Deals, And How That Fear Can Become Your Sourcing Strategy

03:01 – The AI Exposure Test: Which Online Businesses Are Most Vulnerable, And Which Ones Are Surprisingly AI-Resistant

07:30 – Why Niche SaaS With Sticky Customers, Data & Integrations Could Be Some of the Best Acquisitions Right Now

09:41 – The Physical-Product Advantage: Why E-Commerce Brands Can Use AI to Become Cheaper, Faster & More Profitable Without Being Replaced

14:20 – The 3.9x SaaS Opportunity: How Buyers Can Find Cash-Flowing, Recurring-Revenue Businesses Under $200K

16:37 – The 5 Due Diligence Questions That Reveal Whether AI Will Enhance or Destroy a Business

21:10 – Why the Ugliest, Most Outdated SaaS Businesses Can Have the Strongest Moats, And How Low Churn + Customer Inertia Creates Hidden Value

23:10 – The Mindset Shift Buyers Need: Why AI Should Be a Leverage Tool, Not a Reason to Sit on the Sidelines

 

 

Key Takeaways

AI disruption doesn't automatically mean an online business is a bad acquisition. The real question is whether AI replaces what the business sells, or makes the business cheaper, faster, and better to operate.

Information businesses are the most exposed. Generic content sites, SEO-dependent businesses, simple research tools, scraping services, and basic content creation can be vulnerable because AI can increasingly deliver the same information without requiring a click.

Sticky businesses have a powerful moat. Niche SaaS with recurring revenue, customer data, integrations, workflow dependence, and low churn can remain highly resilient, even when the software looks outdated or clunky.

Physical-product businesses have a major AI advantage. E-commerce brands selling real products can't simply be replaced by an AI model. Instead, AI can improve customer service, marketing, product descriptions, inventory forecasting, and operations.

Customer switching costs matter more than a polished interface. A business with years of customer data and established workflows can be far more defensible than it looks. Ugly software with low churn can be an opportunity, not a warning sign.

Due diligence needs an AI lens. Look at the traffic source, revenue model, content dependency, switching costs, and whether AI is an enabler or a competitor. And don't confuse “AI can replace this” with “AI will replace this.”

The biggest opportunity may be the buyer who knows how to use AI. When a seller isn't leveraging AI, the right buyer can acquire the business and create value through automation, customer support, marketing, forecasting, analysis, and better systems, turning AI fear into acquisition leverage.



Resource Links

➥ Connect with Jaryd here - https://www.linkedin.com/in/jarydkrause

➥ FREE Download the Due Diligence Framework - https://buyingonlinebusinesses.com/freeresources/

➥ Buying Online Businesses Website - https://buyingonlinebusinesses.com

➥ Online Business Due Diligence Services - https://buyingonlinebusinesses.com/duediligence

 

Buy & Sell Online Businesses Here (Top Website Brokers We Use) 🔥

➥ Empire Flippers - https://bit.ly/3RtyMkE

➥ Flippa - https://bit.ly/3wGa8r5

➥ Motion Invest - https://bit.ly/3YmJAmO

➥ Investors Club - https://bit.ly/3ZpgioR

 

This post may contain affiliate links, so we may earn a small commission when you make a purchase through links on our site/posts at no additional cost to you.

  • Facebook
  • X (Twitter)
  • WhatsApp
  • Email
  • Download

In 1 playlist(s)

Buying Online Businesses Podcast

Hosted by Jaryd Krause who went from plumber to creating an online business empire through buying we 
Follow podcast
Recent clips
Browse 395 clip(s)