Over the years, as we’ve helped thousands of people buy an established business, we’ve noticed a few areas where people can make mistakes. For many buyers these include:
– Buying something that doesn’t suit your lifestyle
– Not knowing your budget, or how to access finance
– Not knowing who to turn to for specialist advice
– Not understanding the business’ fundamental documents (lease, licence agreement, profit and loss statements)
– Not understanding the value of a business opportunity (or its weaknesses)
– Not knowing what to compromise when making a purchase
– Not knowing how to clinch the deal
– Not knowing how to protect their investment before they take over the business.
We could write an entire book on the topic, outlining our tips for how you can avoid pitfalls when buying an established business. But, rather than try to go it alone, and figure it all out for yourself, we have a better idea. Use a business broker when buying your next opportunity. A business broker has experience on all these topics, and even if they don’t have the answers, they can refer you to their network of specialised professionals (such as accountants and lawyers) who can guide you even further.
A good business broker will help you to:
1. Work out what to look out for
2. Avoid being misled
3. Pay the right price
4. Save you time and money.
If you’re thinking about buying an established business talk to us here at First Choice Business Brokers on 9899-1888 to benefit from our years of experience in this industry, and to make your purchase run smoothly.