There are many significant advantages to buying an existing, proven business.
Here are just a few reasons why it makes sense to buy an ongoing business.
From finding the right one to working out all the details required for a smooth transfer of ownership.
While there is no such thing as the “perfect” business, a business broker knows the importance of finding one that fits your needs, talents, skills and lifestyle. A business broker has many different types of businesses for you to consider and the knowledge and experience to walk you through the entire process.
Below you will find some helpful information as you consider whether buying a business is right for you.
Actual Operating Results
A business that has been owned and operated for a number of years and has provided the source of income to the family of the owner may reasonably be considered a profitable and viable business.
Immediate Cash Flow
A minimal amount of working capital is required to continue the business. Sales start the first day you take over.
Trained Employees in Place
Trained employees are in placed the day you take over the business. There is no cost for training and no dissatisfied customers.
Established Suppliers and Credit
Existing vendors will usually continue to do business with the new owner. They have been supplying the business for some time and know it’s a good business.
You get an existing customer base that will grow through referrals from satisfied customers.
Existing Licenses and Permits
Some licenses and permits can be transferred to your name. If not, you have the assurance of knowing that the business, in its current location, has been approved for the license or permit.
The seller will train you in the operation of the business so you benefit from their experience in running the business. You will be introduced to customers and suppliers.
Over 90% of business sales include some form of owner financing. The seller who finances your purchase of his business has a vested interest in your success.