Indiana's Succession Crisis, Now State-Funded

Hi everyone,

April was a good month. Colin King of Profit Mastery filled the VFW in Carmel, and the patio ran past seven. This issue has real news: on May 6, Governor Braun launched Keep IN, a state succession initiative that puts policy behind the problem OWN was built around. Below: two events, membership, and the capital, statehouse, and federal changes worth your time.

Nathan founded SEI Manufacturing, scaled it, and sold to Patrick Industries (NASDAQ: PATK), staying on as Director of Innovation. He now co-develops South Shore Village, a 112-acre community on Lake Wawasee. He hosts us there to talk through scaling to an acquisition, the deal from the inside, and what he would tell a year-one founder. Thursday, June 18, 4:00 to 7:00 PM, South Shore Village, Syracuse. $15, free for members, capped at 50, food and drinks included.

Paul became an owner at 17, founded Lushin and Associates in 1997, built a leading Sandler Training franchise, and completed an ESOP transition in 2023. He hosts us at Lushin HQ in Indianapolis on 46 years of building and what he would warn next-generation founders about. Thursday, July 16, 4:00 to 7:00 PM. $15, free for members.

OWN founders Jared Luegers and Kevin King joined Ed Mysogland on the Defenders of Business Value podcast, on why owners put off strategic thinking, where AI fits in a small business, and where OWN is headed. Listen here.

On May 6, Governor Braun and OEI Director Brian Schutt launched Keep IN. The framing matches ours: roughly 60% of Indiana business revenue sits with owners 55 and older, and nationally about 92% of small-business exits end in a quiet closure, not a sale. Three pieces matter for operators.

SMB.co is offering free valuations, transition-readiness scans, and basic exit planning in three READI regions, starting in Southwest Indiana. If you are five or more years from any transition, this is the cheapest baseline you will find. Get a free valuation.

The IBRC Phase 3 report adds concentration data by region and industry, useful for searchers building a thesis and owners reading the landscape. Read the report.

The Indiana Chamber is running free, in-person workshops statewide, a clean referral for advisors and CPAs with clients not yet ready for a paid engagement. Workshop schedule.

SB 243 expands responsible-person liability. Personal liability for unpaid sales and withholding tax now reaches anyone with a duty to remit, including controllers, payroll and accounting staff, and outside bookkeepers. Review roles, internal controls, and whether D&O covers mid-level finance staff. DOR sends key notices only through INTIME.

FAIRNESS Act enforcement begins July 1. The Attorney General will inspect job sites this summer under SEA 76. Construction, trades, and manufacturing using 1099 or temp labor should audit I-9s and subcontractor agreements first.

Tax amnesty opens July 15. Eight weeks to resolve pre-2024 state tax liabilities with penalties, interest, and collection fees waived. Useful if you inherited liabilities in an acquisition.

1099-K threshold restored. Back to $20,000 and 200 transactions from the $600 level. Revisit any reporting you adjusted downward.

Employer childcare credit expanded. The Section 45F credit increased under the OBBB, with a higher cap for small employers. Real dollars if you offer or are weighing childcare benefits.

SBA 504 near 5.72%. Roughly 5.72% fixed for 25 years in April, 5.48% for manufacturers with the fee waiver. Long, sub-6% fixed debt keeps changing asset-heavy deal math.

Multiples holding at 9.8x. Lower-middle-market deals held at 9.8x EV/EBITDA with 3.4x average leverage. The buyer pool is deeper than it has been in years, but plan for seller financing if you are buying.

Lender shuffle. Indiana bank M&A continues, and BayFirst exited 7(a) lending. Reconfirm your lender relationship before your next LOI.

Quick hits. A potential $65 billion data center in Sullivan County is advancing, so construction, HVAC, electrical, and logistics operators nearby should position for subcontracting. Iron Nation Indiana opens joint-venture and licensing doors with Israeli tech and defense firms. Unemployment sits at 3.3% and skilled trades stay tight, so culture and ownership upside out-recruit pay for the best people. And the phishing rule stands: any request to change money, banking, credentials, or vendor details gets a callback to a known number.

Each month OWN gathers at a different Indiana business. June, July, and August are booked. We need hosts for September through December. Three formats work well:

Want to host? Reply here or message Jared on LinkedIn.

Jared Luegers