Buyer FAQs
Why should I buy an established business?
The challenges of owning a business are immense. Getting started right with an established business will save you time and money. The benefits of buying an established business range from an existing customer base and known location to advance knowledge of how the business has performed. Contrast this with the high risks of start-up businesses where the difficulties of unknown location and product mix result in an average three year failure rate of more than 75%.
Are profitable businesses for sale?
There are always a number of good, profitable businesses for sale. Retirement, illness, death, partnership disputes, relocation and simple “burn-out” often cause business owners to sell financially sound businesses. With an established business, you gain the advantages of ownership with two of the benefits required for all successful businesses already built-in; good location and a proven product or service. The third ingredient for success is management, and that’s where you must make the business work. With an established business, you have the benefits of a proven track record, employees, supplies, identification as well as the customers.
What are the rewards?
In addition to the challenges of good business management, come many rewards. High on the list is the benefit of controlling your own financial and career destiny. You decide how money is spent; when to work; how the business should be run; and how to keep it growing. In return you achieve job security, financial independence, and a great deal of satisfaction from your increased self reliance.
When do the financial benefits begin?
Immediately! When you buy a business from the previous owner you gain financial advantages right from the start. Your down payment becomes your only real investment because all other costs of the purchase are usually paid by the business through cash flow. In effect, the business buys itself. Unlike borrowing from a bank, typical advantages of seller financing include lower down payment, lower interest rates, and simplified credit checks. Add this to the tax benefits of owning your own business and the purchase of an existing business becomes a very positive move.
How does the buying process work?
After discussing the type of business you are interested in with your OIB representative, you’ll be qualified as to your ability to buy one of the businesses listed for sale with us. When you find a business that looks interesting, you will tour the business and can determine for yourself if it feels right for you. If it feels right you are then free to make an offer with all the protections and contingencies that you feel are prudent. You are in control of the offer so that your satisfaction and protection are in your own hands.
Seller FAQs
Why are businesses sold?
There are a number of reasons businesses are sold. The most common include: retirement, illness, desire to relocate, partnership disputes, marital disputes, career change, lost enthusiasm, “burnout” or capital reinvestment.
What is my business worth?
Part of our service is providing expert help in determining what your business is worth. We help you determine a price that is fair to you while being attractive to a buyer based on our ongoing knowledge of the ever-changing market.
Is there a good time to sell?
The decision to sell a business is usually driven by personal circumstances. Economically, it’s best to sell the business when it is doing well. If handled properly, even a business that’s not doing well can be sold.
Could I sell the business myself without a broker?
Some owners try to sell their business themselves — and some succeed. The value a professional broker brings are the resources and expertise for accurate valuation, effective marketing expertise, exposure of the business to a wide market, the ability to help a buyer obtain financing, and experience in closing the transaction. Most business owners simply don’t have the expertise or knowledge to sell their business.
What does a broker do?
We provide all the service to bring the transaction to a close including: Valuation, Material and Record Coordination, Marketing plan, Qualifying buyers, Negotiation, and Closing the transaction. In addition, hiring a broker to handle your sale allows you to do what you do best — running your business!
Is using a broker expensive?
At Opportunities In Business, we get paid only when your business sells. Our fee is based on the price of the business. Since we can sell the business for more than the owners can by themselves, our services are well worth our fee.
For more information on selling your business give us a call. We will send you more information and we can answer all of your questions and explain more about the services provided by Opportunities In Business. We understand the highly sensitive nature of selling a business. All information will be held in strict confidence.