Why Buy An Established Business Rather Than Start Your Own Business? Mmmmm
Why Buy An Established Business Rather Than Start Your Own Business? Mmmmm
First of all and most important you must remember that businesses are sold for a reason and it is important to not only remember that but also take this into account in your decisions. So let’s look at why you should buy an established business.
1. Maturity: An established business has had time to mature, establish itself in the market and build up some good will. Of course you need to ensure that the business is running efficiently and effectively.
2. Market: It has established its brand and already captured some of the market. Again ensure that the image that the company projects is one that you can live and work with and is not a negative brand.
3. Maximisation: You can maximise your time spent on running your business, because you will not have to spend time setting up and establishing the business. Make sure that you are not going to have to spend time making the purchased business efficient.
4. Minimisation: You will minimise your costs as you will not have to spend money on breaking into the market. Also you will usually obtain your stock, materials and equipment at less than cost price when your buy your business. It is important that you ensure that you buy the established business as an appropriate cost and are not overcharged for “good will”.
5. Manufacture: You will buy some of your stock when you buy the business. In addition your manufacturing processes as well as the rest of the business processes will already be set up and tried and tested so that you do not need to spend time and money setting them up again. Ensure that the arrangements, leases and terms that the existing company has are transferable and acceptable. The existing processes should be workable and not the reason that the company is for sale!
6. Management: If you buy a larger company your management and staff will already be trained and in situ. Of course you need to be able to get on with them and ensure that they have not learnt bad habits!
7. Monopolise: The established company, or whoever buys it, will be your competition if you set up a new business – so buying it allows you to monopolise more of the market and available customers. This is probably one of the best reasons to buy and established business. Many small businesses are bought by much larger businesses just to take them out of the market!
Why Buy An Established Business Rather Than Start Your Own Business Mmmmm - To learn more about this author, visit Lee Lister's Website.
Like this article? Share it with your friends
You are ready to start your new business but you are not sure whether it might be better to buy an established business. Here are a few m’s to think about.
First of all and most important you must remember that businesses are sold for a reason and it is important to not only remember that but also take this into account in your decisions. So let’s look at why you should buy an established business.
1. Maturity: An established business has had time to mature, establish itself in the market and build up some good will. Of course you need to ensure that the business is running efficiently and effectively.
2. Market: It has established its brand and already captured some of the market. Again ensure that the image that the company projects is one that you can live and work with and is not a negative brand.
3. Maximisation: You can maximise your time spent on running your business, because you will not have to spend time setting up and establishing the business. Make sure that you are not going to have to spend time making the purchased business efficient.
4. Minimisation: You will minimise your costs as you will not have to spend money on breaking into the market. Also you will usually obtain your stock, materials and equipment at less than cost price when your buy your business. It is important that you ensure that you buy the established business as an appropriate cost and are not overcharged for “good will”.
5. Manufacture: You will buy some of your stock when you buy the business. In addition your manufacturing processes as well as the rest of the business processes will already be set up and tried and tested so that you do not need to spend time and money setting them up again. Ensure that the arrangements, leases and terms that the existing company has are transferable and acceptable. The existing processes should be workable and not the reason that the company is for sale!
6. Management: If you buy a larger company your management and staff will already be trained and in situ. Of course you need to be able to get on with them and ensure that they have not learnt bad habits!
7. Monopolise: The established company, or whoever buys it, will be your competition if you set up a new business – so buying it allows you to monopolise more of the market and available customers. This is probably one of the best reasons to buy and established business. Many small businesses are bought by much larger businesses just to take them out of the market!
Why Buy An Established Business Rather Than Start Your Own Business Mmmmm - To learn more about this author, visit Lee Lister's Website.
Like this article? Share it with your friends
 | |
 |
No article feedback found. |
| |
Leave Your Feedback |
 | |
| |||
Staging DivaDebra Gould, aka The Staging Diva®, is President of Six Elements Inc., an internationally recognized home staging company. Inspired by many requests from aspiring home stagers wanting to start similar businesses, Gould created the Staging Diva Home Staging Business Training Program. Gould has trained over 1000 Staging Diva Graduates worldwide to start staging businesses. Buying decorating and selling six of her own homes in four years lead to an interest in real estate staging which she turned into a career with the launch of sixelements.com in 2002. Since then she has staged hundreds of homes in addition to teaching home staging training. Gould is the author of several home staging resources including a series of popular ebooks made up of a Design Guide, Color Guide and Portfolio Guide. For more information about Debra Gould visit stagingdiva.com. - Visit Staging Diva's Website |
|||
Jeff FosterWebBizIdeas.com is a Minneapolis website design company founded to help people start an internet business by providing them with website, business, and internet resources that help foster the growth of successful online businesses and develop innovative Internet business ideas. We specialize in internet consulting & internet marketing. - Visit Jeff Foster's Website |
|||
Stephanie RobeyStephanie Robey is President and CoFounder of Pivot Positive, LLC - an Internet marketing business focused on helping people start work at home ventures. Previously, she was employed at The Search Agency with over 20 years experience in graphic design and 10 years experience in online marketing. She was responsible for launching the Conversion Path Optimization (CPO) unit where she and her team have conducted hundreds of optimization tests for online companies across multiple verticals. She is a successful entrepreneur having started and sold 2 companies and remains on the board of directors of the third, PhotoSpin.com Stephanie began her career in the direct marketing realm creating and producing direct mail for many of the major cable television companies and directly attributes her understanding of Internet marketing to those early offline experiences. Stephanie is a graduate of San Diego State University with a BFA in Graphic Arts and also holds an Executive MBA from the Graziadio School of Business and Management at Pepperdine University. Read Steph's Blog Meet Steph and Dave Sign up for our Free 7-Day BootCamp: Self Employed & Rich - Visit Stephanie Robey's Website |
|||
Linda RichardsonLinda Richardson is the Founder and Executive Chairwoman of Richardson, a global sales training and performance improvement company. As a recognized leader in the industry, she has won the coveted Stevie Award for Lifetime Achievement in Sales Excellence and she was identified by Training Industry, Inc. as one of the “Top 20 Most Influential Training Professionals.” Ms. Richardson is credited with the movement to Consultative Selling and is the author of ten books on selling and sales management, including Sales Coaching — Making the Great Leap from Sales Manager to Sales Coach, and Stop Telling, Start Selling. She teaches sales and management at the Wharton Graduate School of the University of Pennsylvania and the Wharton Executive Development Center. Linda is a frequent speaker at industry and client conferences, has been published extensively in industry and training journals, and has been featured in numerous publications, including The Wall Street Journal, Forbes, Nation’s Business, Selling Power, Success, and The Conference Board Magazine. Learn more about Richardson's sales training and performance improvement solutions at http://www.richardson.com web - Visit Linda Richardson's Website |
|||
David BarrDavid Barr is the President of Venture Opportunities, Inc. David has been a professional business broker/intermediary since 1980 focusing on General Business Brokerage and Mergers and Acquisitions representing client transaction value from $400,000 to $20,000,000. Mr. Barr has handled the sale of over four hundred and fifty companies. David earned a university degree from the State University of New York majoring in economics and business. David holds the Mergers and Acquisition Master Intermediary and the Certified Business Intermediary designations from the International Business Brokers Association. He is also a Senior Business Analyst and a Texas licensed Real Estate Agent. For more information about David and Venture Opportunities, visit www.bizdealmaker.com. - Visit David Barr's Website |
|||
Anne BarrAnne Barr has over 26 years experience in sales and marketing, six years as a franchisee. She has assisted over 367 business owners and purchasers to achieve their goals in career change, transition and exit strategy. She holds the designation of Certified Franchise Executive from the International Franchise Association, Certified Business Intermediary from the International Business Brokers Association and Board Certified Broker from the Texas Association of Business Brokers. Anne is active in professional organizations, networking groups and volunteers for non-profit entities. As owner/operator of four successful businesses, Anne has proven people skills and enjoys helping clients find the right "fit" in business ownership. Visit www.FranchiseOpportunitySpecialist.com for more information about me and my company. - Visit Anne Barr's Website |
|||
Joe DagerJoe Dager is President of Business901, a progressive coaching company providing no-nonsense direction in areas such as Lean Six Sigma Marketing and organized referral marketing. What others say: In the past 20 years, Joe and I have collaborated on many difficult issues. Joe’s ability to combine his expertise with “out of the box” thinking is unsurpassed. He has always delivered quickly, cost effectively and with ingenuity. A brilliant mind that is always a pleasure to work with.” - James R. If you want to learn more about Business901, start a conversation with us. We can be found @ Web/Blog: Business901.com Web/Blog: FundingYourNonprofit.com LinkedIn Profile Follow me on Twitter - Visit Joe Dager's Website |
|||
Casey GollanCasey Gollan, Business Coaching & Mentoring Programs. Add $1 Million to $10 Million in the next 1 to 3 years. Since 1996 Casey has to added hundreds of millions of dollars to businesses. Watch a free video see client results Business Coaching website. - Visit Casey Gollan's Website |
|||
|
To learn more about the Evan Elite Author Program please contact us. | |||
 | |
|  |
Subscribe to Lee's articles
 | |
|
|  |
 | |
|
| |
 | |||||||
|
 | ||
 |
||
|
||
 |
||
|
| ||
 |
| Have you written articles that would be of value to entrepreneurs? Become an expert on our site by publishing them! Expose yourself to a wide audience, drive more traffic to your website and get more sales! Click Here for details. |
|
|
 |
| Modeling the Masters: Learn the true secrets behind Walt Disney's business success factors & grow your company! Video produced by Phanta Media |
|
|
 |
"Learn straight from Evan how you can Make a Full Time Income (And More) from a Website"
Click Here To Learn More |
|
|
|
|
Get advice & tips from famous business owners, new articles by entrepreneur experts, my latest website updates, & special sneak peaks at what's to come!
|
|
|
 The Leader’s Edge Business Checkup Woman business success Success Worksheet Coaching System |
|
 | ||
 |
Top 50 Diversion Blogs
Top Diversion Blogs of 2009 | |
 |
Top 50 Marketing Blogs
Top Marketing Blogs of 2010 | |
| ||
 | ||||
| ||||
|
| ||||
| ||||
|
|
|
|
|
||||||||||||
|
Email us your ideas on how to make our website more valuable! Thank you Sharon from Toronto Salsa Lessons / Classes for your suggestions to make the newsletter look like the website and profile younger entrepreneurs like Jennifer Lopez and Sean Combs!
|
|
|
| ||||||||||||
| ||||||||||||
|
|
||||||||||||