If you're on the path of entrepreneurship and looking to buy an existing business - buyer beware. What I'm trying to say is, there is a lot at stake and lot of effort required to becoming a business owner. That isn't intended to dismay you or alter your plans for buying a business, rather to caution you against unnecessary risks and prepare you for a lengthy process. And, with any process in the business world, there are always unforeseen circumstances that that catch you by surprise. Here's what you need to know about buying a business - as illustrated by this infographic.
Buying a Business is Not for Everyone
Dreaming is commonplace and encouraged in all realms of life; however risk and effort associated with buying a business deters up 90 percent of those dreamers. It's on you to determine how serious you are about the endeavor, and gauging how the pros of buying a business outweigh the cons.
Plenty of research exists when it comes to which industries are best for first time business buyers, and each industry has its own forecast for success. Determining what industry you want to work and own a business in is paramount to its long-term success. Think of your town or city, and the prevalence of commerce already established - is there plenty of salons or spas? How about bars, restaurants, or breweries? Thinking of buying a boutique-type retail store? If so, what competitors already exist? Thinking about the viable business model of and growth potential is key.
It Takes a Village
When you're ready to buy a business, you might think it's an endeavor you embark on solely. That's not accurate. Instead, you need to recognize the areas in which you need support for the process. Determine who will advocate for you, and lend their expertise to certain areas of business real estate that are tricky and require professionals. Commonly referred to as an acquisitions team, obtaining the services of your financial advisor or banker, attorney, and business advisor or broker can make all the difference is a smooth, seamless transaction.