Should you discontinue ongoing business owner conversations if you're under LOI with someone else?
Yes, kind of, if you're a searcher. Your pitch is that you're looking for one (1) business to buy, so if you're under LOI to close another deal, it's borderline disingenuous to keep other conversations alive. Transparency is always respectful.
Independent sponsors don't face this problem, as they're building a portfolio. If short on capacity, they can simply say "we're about to close another platform, but we're super excited to partner with you and will give you our undivided attention in 3 weeks after the other deal has closed." This might even compel the seller, who sees you're not desperate, other owners find you legit too, and you're on top of time mgmt.
