Posted 05-10-2011 9:46 am by
It’s no secret that today’s economy presents challenges of all kinds, in several different areas.
But why focus on the negative? Instead, channel your thoughts to positive ones – the first one being that today’s economy is a perfect way to grow and to explore new opportunities! Buying a business represents one of these great opportunities that exist here in the U.S. today. In fact, acquiring a small or mid-sized business can help to kick off an entrepreneurial career, or increase the revenue and profits of an existing business. Do you feel that you personally ready to leap into entrepreneurship? Do you think you have what it takes to find a strong business for sale, and succeed at that business? Here are some tips that you should know if you are considering buying a business in today’s market:
In addition to the above tips, take into consideration the economy of today and the fact that you must be ready to take on a business that will strongly engage and retain customers’ interest, while providing exceptional, customized products, services, and value. Nowadays, the market is steered by the consumers in that people now have the knowledge and awareness of what is specifically tailored to their needs, wants and interests. They will buy items that satisfy a need or a solution to their problem. Customers of today are not greedy, but they are highly demanding and less forgiving of a business’ shortcomings. Simply put, sales and business success will be earned and not given in the new economy. Are you still considering if buying a business in the new economy is right for you? Take into account these final pointers:
- When researching businesses to buy, place special focus on those businesses that are within an industry you know and understand, as well as have experience with.
- Recognize that purchasing a business will involve risk, but planning in advance and understanding the business in and out can drastically minimize any risk.
- Don’t despair if a business deal falls apart before closing – it is not a failure, but rather could be a blessing in disguise.
- Consider obtaining the services of an experienced team of advisors that specialize in selling businesses, and can do the hard work for you.
- Make sure that seller non-competes are in place (seller agrees not to become involved after sale of business).
- Business prices have adjusted to the economic climate; sellers have lowered their prices accordingly.
- Struggling with empty space, landlords are becoming more flexible and reducing annual increases in ord
er to avoid losing tenants and new business owners.
- Businesses that have not closed down due to the state of the economy may indicate that they are strong and able to withstand economic pressures / hard times, and able to generate even greater profits as the economy improves.
- More financing is available. Banks are still lending cautiously, but sellers are more open to doing some financing.
- A large variety of businesses for sale are coming on the market, allowing the buyer a great selection of businesses from which to choose.
Stephanie Guarin 425.260.7173