For many buyers, the process of buying a small business can be more intimidating than the purchase itself. So how do you buy a small business? At Bsale, we’ve helped connect thousands of business sellers to buyers for over two decades. In that time, we’ve manage to meet some experts in the field to help us understand more about this space, which will then, in turn, help you.
We spoke to Stephen Wolff from Advantage Business Sales & Valuations who shared some wisdom on the topic below.
What are the key steps to buying a business?
The first step is to ask yourself why are you buying a business? Once you're clear on these goals, you should set your parameters for a potential purchase. There are thousands of businesses out there on the market, so set your budget, decide on the location, consider what industries are suited to your skills & experience and also do your research.
Is it worth consulting with a business broker?
Consulting with a business broker is a good idea, once you have set these parameters because they can then help narrow down your search and become more targeted.
Any other factors to consider?
It is also critical that you understand early on how you will raise the finance for a business purchase, so consult with a finance broker. These above steps in preparing for buying a business will save you a lot of time in the end.
What are the key things buyers need to remember throughout this process?
Stay patient, do your research carefully, consult with advisors and in the end make an informed, not emotional, decision.
What's your advice to first-time buyers going through this process?
Consult with the experts in business sales. Buying a business is not easy, even once you've found the business for you, it can usually take a number of months to make the deal happen and can be a complicated process.
As always, we like to provide tools and resources to help you along your business buying journey. We always recommend speaking with a business professional before making any decisions. In the meantime, if we can help you get better use out of our Bsale website, please do get in touch.