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35. Find an existing business
that is for sale.
36. There are always businesses
for sale in your area,
o people want to retire
o want to concentrate on different things
o moving location/towns
37. This may suit you but
will usually need more. Capital available from
the outset.
38. If a business looks to
be what you are looking for then it can provide
the answer, you will need to check,
o the local business reputation
o the reason for the sale
o the financial state of the business, i.e.
is it profitable?
o Staffing and whether the staffs are being
retained
o The marketplace, ensure it is there for you.
39. What is actually being
sold? Some parts of the business will be of
real value to you, such as the customer list,
its stocks but other parts may have little value,
leases or property or its existing liabilities.
Ensure these are all checked and understood
or you risk a rapid drain on your resources.
NB. There are many different aspects of a business,
ensure you know what is being sold to you.
40. Be careful not to limit
yourself with the old business problems, you
may be able to ‘cherry pick’ the
valuable parts to you, but this will probably
cost more.
41. Advantages of buying
an existing business include:
Buying experience and expertise of the previous
owner.
Learning from their mistakes
Established reputation
Established customer base <<
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