A great deal I got a call from someone who was in the process of purchasing a business from an Uncle. The Uncle wants a million dollars for the business which includes real estate, and is willing to sell to his niece on a contract for deed. The niece would pay for the business over time with the proceeds of the business. The niece, who currently works in the business, would eventually be the owner, without having to get approved for a bank loan or provide cash for a deposit. Seems like a win-win, right?
Advantages of Buying an Established Business If you are trying to decide between starting your own or buying an existing business this blog is a must-read. Below are a few of the many reasons buying an existing business may be the better decision, along with a couple of tips that potential buyers should keep in mind before making a purchase.
Starting or purchasing a business is generally viewed as a much riskier proposition than working the steady 9:00 to 5:00 job, with business owners’ savings and equity on the line, fickle customers and market place, loan covenants, tight employee markets, and regulations. However, closer examination of the risks associated with traditional employees may level the risk perceptions of the two career paths.
From a recognized brand to a proven trading history, find out why an established enterprise is a safer, less stressful route to an entrepreneur. Is it better to start your own business or buy an existing one? The smart solution is arguably to purchase a proven enterprise and make it your own over time. Here are 10 reasons why doing so it's generally less risky, less stressful and more likely to generate a higher income, more quickly.