Buy A Small Business Successfully

4 Factors To Consider When Buying A Business

By Peter Siegel, MBA, President, BizBen.com
80% of all business buyers never end up buying a business! Many factors contribute to this statistic, but by following the points below, you should be successful in locating and buying a business that interests you and completing the transaction!

1. Know The Types/Sizes/Locations Of Businesses You Want To Buy

Before you start calling/contacting business brokers, owner/sellers, and agents make sure you know what types, sizes, and locations of businesses you are looking to buy. If you seem uncertain about your search criteria, brokers and agents may not spend much time with you.

2. Know How Much Money You Are Willing To Put Down

When buying a business you need to know how much money you are willing to spend on a down payment for a business. Most of the time you will be putting down 30-100% down to buy a small business. Depending on the amount of money your willing to put down determines the size of business you are able to purchase.

3. Get Pre Qualified/Reviewed For Financing – Leverage That Purchase

Getting Pre-Qualified/reviewed for financing by lenders is very important since many businesses want all cash for their business. With financing you only have to put down 20%-30% and you can get financing for the rest of the purchase.

4. Make An Offer If You Like A Business! – Get The Process Started! 

A majority of business buyers are too timid when buying a business and are not willing to "pull the trigger" and sign a purchase agreement to start the process of buying a business. Many serious buyers lose out on great deals because they're too analytical or pensive about writing up an offer.

 

Find professional business brokers to assist you

A professional business broker can educate you through the entire process of buying a small business.
Try: Many business broker directories offer many capable agents, brokers, and consultants who can assist and represent business buyers effectively.

Read latest business for sale blogs for useful info

Reading the latest blogs on the latest articles and helpful tips on buying small businesses is a great way to keep current with many different viewpoints of this process
Try: National blogs on buying small businesses and ones for individual states like California small business buyer blogs keep readers informed daily on this topic.