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The Process: Buying a Business

Unless you are wealthy or some rich relative or friend is anxious to lend you money to embark on this new venture–owning and operating your own business–chances are good you’re going to need financing from a bank or financial institution. The very thought of going though the loan process...

The Elements of Valuation When Buying a Business

Accurately valuing a small business can be challenging for prospective business buyers, but it is an important part of the selling process that encompasses many factors. Cash Flow – In real estate, a buyer’s main focus is location. In business acquisitions, it is cash flow.  Small businesses are often...

Buying An Existing Business vs Starting From Scratch

So you want to be an entrepreneur, but don’t have an idea you want to pursue? Then you may be a great candidate to buy an existing business.  Buying an existing business may involve more cost upfront, but it also represents less risk than starting from scratch. One advantage...

Prepare Your Opportunity Plan Before Buying a Business

Time to Prepare Your Opportunity Plan? Unless you are in the market for an investment opportunity, buying a business is not about examining a set of financial statements and acquiring a long list of assets.  It is about your life. Before you start looking at specific businesses, perhaps you...

How To Use Time Wisely When Buying a Business

Almost as many songs have been written about ‘time’ as have been written about ‘love.’ Why? Because time—either too much, or too little–can make all the difference in many things, including a love affair or a business deal. Take that business deal for example, a buyer is excited about...

4 Things You Need to Do Before Buying a Business

Identify Your Interests   If you have absolutely no idea what business you want to invest in, first eliminate businesses that are of no interest to you.   Consider Your Existing Talents Being honest with yourself about the skills and experience you will bring to any venture.  That can...

The (Obvious) Advantages of Buying an Established Business

* You don’t waste time scouting for a location. It’s already there. * You know what products the business is selling or service the business is offering. * An established customer base lets you start without pounding the pavement, looking for buyers. * An existing cash flow means you...

Are You Making Smart Choices When Reducing Taxes?

Unreported cash can be a problem for a business, though these 318,462 reasons make it easy to understand why anyone would want to reduce their tax bill.  But before hiding cash, under reporting revenue or beefing up expenses, there could be unexpected consequences every business owner should consider. Operating...