Buying an Existing Business
Have you considered being your own boss, creating your own financial independence and making your own dreams a reality? You’re not alone. Owning your own business is the “American dream.” The reality is, however, that buying a business is a serious financial and personal commitment that requires an understanding of what makes a business successful. All too often, new owners jump blindly into a business venture, only to be overwhelmed by the tremendous workload of starting a business from the ground up. A government survey shows that 60% of new businesses fail within the first three years. An existing, established business that is purchased by a new owner shows a lower failure rate.
If you have considered owning your own business, buying an existing business has many advantages over building a business from scratch:
- You can review actual operating results, rather than projected results.
- You get immediate cash flow from the ongoing business activities.
- You will have trained employees in place.
- You will have established suppliers.
- You will have established customers and referral business.
- You will have existing licenses and permits.
- The seller will train you in operating the business.
- In most cases, the seller will provide the financing you need to buy the business.
LIBERTY BUSINESS ADVISORS brokers know the reasons a good business succeeds. LIBERTY BUSINESS ADVISORS has over twenty years of experience matching the right business opportunity with the right buyer. It’s that simple.
From understanding the reasons an on-going business can provide positive cash flow, to the value of an established name, location and customer base and to the inner workings of new owner financing – LIBERTY BUSINESS ADVISORS can make your dreams reality. With the right negotiations, a business can actually pay for itself. Let LIBERTY BUSINESS ADVISORS show you how.
Unlike the sale of real estate or franchises, the sale of an on-going business is very confidential for both the seller and the prospective buyer. All inquiries are held in strict confidence. Meetings and information shared or observed are to be held in strict confidence. To ensure confidentiality for all parties,LIBERTY BUSINESS ADVISORS brokers require a confidentiality agreement to be signed.
In return for granting you, the prospective buyer, access to the operations of the seller’s business and otherwise private information, the prospective buyer promises to use the information for the sole purpose of evaluating the benefits and risks of purchasing the seller’s business in strict confidence.
Brokers can skillfully negotiate financing and formulate a financial plan that works for you. Due to banks’ reluctance to finance small businesses, over 90% of business purchases are financed by the current owners. This demonstrates their confidence in the continued success of their business. Financing a business purchase through an owner rather than a bank brings a lower interest rate, lower payment plan, simple credit checks, using the business as collateral for the loan and greater owner commitment to your success. LIBERTY BUSINESS ADVISORS brokers know how to make financing terms work in your favor, quickly and easily.
Through LIBERTY BUSINESS ADVISORS’S collaboration with CIT Finance, your LIBERTY BUSINESS ADVISORS broker can take steps to pre-qualify prospective buyers for financing as soon as an inquiry is initiated.