Whatever your ambition, buying a business should be a pleasure, providing you have taken steps to ensure that your dream doesn’t become a nightmare.
Having a vision and creating your business plan is a good place to start but there are steps to buying a business that you need to follow.
Whether you want to own a fantastic independent coffee shop or perhaps you have a specific skill set like a Florist or Dry-cleaner, you will need the right premises to set up shop or to take over an existing business.
Matthew Trinder, managing director of Sovereign Business Transfer explains more:
The first thing you need to do is create a due diligence checklist and research businesses for sale. Have a look online to see what is currently out there within your allocated budget. Consider what’s important to you. For example, it may be a high footfall location you are looking for or premises with allocated customer parking. Use your specific criteria to narrow down your search till you have a list of businesses you are interested in.
The next step is arranging a viewing. This will give you a chance to have that all important look around and also get a feel for the area the business is located in. Perhaps have a checklist, for example is it on a busy street, is the business well maintained. But most importantly can you see yourself running this business.
Once you have narrowed down your search to a specific business and have the relevant finance in place in way of a cash or a loan through the bank, then is the time to have a look at the accounts and have a more in depth discussion with the current owner. This is important as there may be staff you will inherit and you may need to discuss what assets you will own if you buy the business.
If it is a leasehold rather than a freehold purchase you will also have to meet the landlord and negotiate a new lease or provide reassurances you have the capacity to take on the existing one.
If this sounds overwhelming you would be best advised to buy a business through a reputable experienced Business Transfer Broker that wants to see the best possible outcome for both yourself and their client. This may take some research to find both the right business for sale and the right broker.
Once you have done all this hopefully you will have found the right business for you and can reap the rewards of building your enterprise and enjoy the independence of being your own boss.
Expert Opinion provided by Sovereign Business Transfer
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