Financial Word of the Day: Acquisition

Larry Jones
Jul 25
2 min read

Updated: Sep 25

Definition of Acquisition

Let’s talk about the word acquisition. Sounds fancy, but it simply means buying something with the intent to own it and gain value from it.

In financial and business terms, an acquisition usually refers to one company buying another. When Company A acquires Company B, it means A now owns B — its assets, customers, operations, and all the headaches that come with it.

But zoom out a bit: acquisitions aren’t just for Fortune 500 CEOs. Regular people like you and me can use this concept in powerful ways. Think of an acquisition as any strategic purchase you make to increase your income, control more value, or strengthen your position — whether that’s buying a rental property, purchasing a local business, or even picking up digital real estate like a monetized blog or e-commerce store.

Real-World Example

Imagine Sarah wants to grow her wealth but doesn’t want to build something from scratch. She finds a local cleaning business where the owner is retiring. The business has steady income, long-term clients, and low overhead. Instead of starting her own, Sarah acquires the existing business — buying it outright, stepping into an established cash flow stream, and skipping the painful startup phase.

Now, she owns not just a mop and a bucket, but a money machine.

Quick Insight

“Acquisition” is how the wealthy scale fast. They don’t always create — they acquire.

They buy real estate portfolios, businesses, royalties, websites, or patents. They understand: when you buy right, you don’t have to hustle forever. The asset starts working for you.

Use Acquisition in a Conversation

“I’m not just investing anymore — I’m looking for my first acquisition. Something I can own that generates income on day one.”

That’s a mindset shift — from consumer to capitalist.

Takeaway

Don’t think “acquisition” is just a big corporate word. Think of it as a tool in your own wealth-building toolbox. Whether it’s buying a duplex, a vending machine route, a content site, or even someone’s side hustle they’re tired of running — acquiring assets puts you ahead of the curve.

Ask yourself: What income-generating asset could I acquire this year?

Because real money isn’t always made by building—it’s often made by buying right.