Buying vs Starting a Business

Buying vs Starting a Business

by Steve

The question of whether it is better to Buy vs Start a business is one that many business buyers face. This includes both individual buyers as well as businesses considering expanding. Often the choice is based on the age of the Buyer. A young entrepreneur with no family obligations often looks a the issue differently than a 60 year old considering a second carer.

Here are 10 key advantages of buying a business versus starting a business.

  1. The buyer can start drawing a paycheck immediately.
  2. It is usually a lot easier to obtain financing for an existing business with a proven track record than it is for a start-up.
  3. Buying an existing business can save you from 3-5 years in start-up time and costs.
  4. The staff of an existing business is already trained and experienced – no learning curve is necessary.
  5. The previous owner can provide invaluable assistance, training and guidance after the sale.
  6. Your sources of supply and “quantity pricing” are already established.
  7. Credit with vendors is already in place and may likely be transferable.
  8. A successful business history increases the likelihood of your future success.
  9. You will have immediate access to a large customer base (developed over many years).
  10. A solid, long-standing reputation with customers, vendors and the community at large lets you build quickly on a successful base.
Steve Ferber

I’ll help you start the right way with a customized plan to get your business moving forward.