Move Aside Tech Startups: Young Entrepreneurs Embrace ‘Boring Businesses’

The Rise of Young Entrepreneurs Buying "Boring Businesses"

On a sunny afternoon in Vancouver, 23-year-old Maureen Ngo found herself zipping around on her Vespa, dropping letters into the mailboxes of local laundromat owners. But this wasn’t your average day—Ngo was on a unique mission. Instead of seeking a job or leaving a customer review, she was looking to buy their businesses.

From Dietetics to Entrepreneurship

Originally, Ngo had enrolled in the University of British Columbia’s dietetics program, aspiring to become a sports dietician, a dream spurred by her competitive weightlifting background. However, as she progressed through her studies, she came to a stark realization: the financial freedom she craved wouldn’t be attainable through a career in dietetics. By her fourth year, she made a bold decision to leave school and pursue entrepreneurship full-time, focusing on acquiring “boring businesses”—those reliable, everyday ventures that often get overlooked.

The Side Hustle That Funded a Dream

While waiting for the right opportunity, Ngo kept herself afloat with a side hustle as a swim instructor. Even though her mobile swim school thrived, it came with challenges. Missing work due to illness or vacations meant losing income, leading Ngo to feel tethered to her time instead of gaining freedom. “I wanted to grow and buy a business that didn’t need me to necessarily be there for it to operate,” she reflected.

Discovering an Opportunity

Just days after her Vespa expedition, fortune smiled on Ngo. The owner of 16th and Main Coin Laundry was ready to retire and wanted to sell his family-run business. Through direct negotiation—no real estate agents or accountants—she secured a deal totaling less than $100,000. With limited prior experience, she took the brave step of drafting her own contract and enlisted a lawyer’s help to navigate the legal landscape.

A Generation Borrowing Stability

As youth unemployment in Canada rises, many young people are shifting their focus from traditional career paths in favor of acquiring established businesses with reliable cash flows. This trend sees budding entrepreneurs eyeing ventures such as laundromats, car washes, and HVAC services—all steady businesses that are changing hands as older owners retire without successors.

Community-driven Wealth Creation

Pino Bacinello, president of Pacific Mergers, notes that many of these transactions are transforming once utilitarian spaces into vibrant local hubs. Codie Sanchez, a well-known social media influencer and author of Main Street Millionaire, emphasizes that acquiring "boring businesses" isn’t just about profit but about building community wealth that can withstand economic turbulence.

Entrepreneurial Education Evolution

At educational institutions like the UBC Sauder School of Business, professors like Fraser Pogue are adapting coursework to meet market realities. He is increasingly introducing students to the concept of acquiring existing businesses instead of building from the ground up. Pogue advises that new owners should expect a transition phase of six to twelve months, focusing on understanding company cultures and building relationships rather than implementing major changes right away.

Successful Transition in Action

Both Pogue and Ngo agree that the learning curve can be steep. For her part, Ngo spent weeks shadowing the former owners of the laundromat, conducting due diligence by reviewing financial records and learning operational intricacies. She was determined to ensure the business matched its promised potential.

Strategic Growth and Transformation

After taking over, Ngo made impactful changes. She rebranded the laundromat as East Van Laundry, extended operational hours from a few scattered days to a full week, and introduced services like drop-off laundry and delivery. With a fresh paint job and an inviting atmosphere, she aimed to make it feel more like a community space.

Building a Robust Team

By securing contracts with local businesses like clinics and spas, Ngo expanded the commercial side of her operations, allowing her to hire additional staff. Today, she leads a diverse team and has shifted her role from hands-on employee to entrepreneur focused on scaling the venture. Recognition in Globe and Mail and viral TikTok videos have increased her visibility and business momentum.

A Parallel Story: Akshay Agrawal’s Leap

In Coquitlam, 33-year-old Akshay Agrawal took a similar leap. A former realtor and AI professional, he found himself unemployed after the tech layoff wave in 2023. Together with his wife, a practicing dentist, Agrawal set out to acquire a dental clinic, guided by his wife’s expertise and the industry’s inherent stability.

Methodical Search and Acquisition

Agrawal approached the acquisition process with analytical rigor, consulting anyone who could provide insight—from dental seminar attendees to fellow dentists on LinkedIn. Eventually, he connected with Dr. Gavin Chu, who was interested in transitioning out of ownership.

Quick Transition and Future Goals

The acquisition of the dental practice progressed swiftly, closing in early 2024 with an investment of around $2 million. Agrawal retained most staff and kept Dr. Chu involved on a part-time basis, leading to a smoother transition.

Making Operational Changes

Post-acquisition, Agrawal made significant changes to improve patient experiences. He updated outdated systems and rebranded the clinic as Luminous Dental Centre, opting for a multi-practitioner format instead of the traditional solo practice. He also hired additional staff to balance seasoned professionals and fresh talent.

Aiming for Expansion

Agrawal and his wife soon found another clinic for sale and quickly acquired it as well, despite the need to build its patient base from scratch. They understand that financial success won’t come instantly; high profits may take years to materialize.

The Realities of Buying a "Boring Business"

Both Ngo and Agrawal caution against the myth that buying a "boring business" equals easy money. They share the belief that constant learning and adaptability are critical to success.

This growing trend of young entrepreneurs looking towards traditional, stable businesses signifies a nostalgic yet innovative approach to entrepreneurship, emphasizing the value of long-standing customer relationships and established systems for building future wealth.