Potential Business Buyer Motivation
Before I get too far into giving you information about how to find high quality, profitable, operating businesses for sale, I want to do at least part of what I do with all new potential buyers that come to me. I obviously can’t determine your financial qualifications, but I want you to evaluate yourself relative to your ability to run a business.
Examine Your Business Buyer Motivation!
I want you to verify your buyer motivation. This isn’t done just to save the broker and seller time by weeding out the non-buyers, but also to save the buyers from themselves.
Sometimes potential buyers who have no business buying a business will find themselves the new owner of an ongoing business and then disaster strikes; they suffer financial loss, their mental and physical health deteriorates, they lose their relationship with their families etc. This can occur because they weren’t qualified or able to deal with the challenges of running a business.
The following bullets are a checklist of considerations from the book Strategies For Successfully Buying Or Selling A Business. Go through this list carefully, and consider your own ability to handle each item before you commit yourself to owning a small business:
Of course, you want to keep in mind that in many businesses some of the considerations I’ve listed above can be softened or even eliminated with the right employees. For example, the accountant/bookkeeper will deal with most of the tedious number crunching requirements, but you’ll still have to understand what they’re doing and frequently monitor the figures.
After you’ve considered all of these issues and still feel that small business ownership is for you, then congratulations! Being a small business owner can be a rewarding and challenging pursuit in life. The freedom of directing your own economic destiny without the 9:00 AM to 5:00 PM grind of the typical boring job can make you really feel alive and excited about earning a living. Imagine actually looking forward to going to “work” everyday!
If you find this blog article on buyer motivation interesting, please read our other blog posts in the Business for Sale category. Thank you.
About Mike Russo – Mike started his career in commercial real estate in 1988 and has honed his craft as a business broker. In addition to helping his clients purchase and sell businesses, he has a special passion for golf course real estate. Click here to read his full bio, or if you would like to contact him, you can call him at 850-434-7500, or email him at [email protected]
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