In This Chapter
Evaluating the pros and cons of buying a small business
Considering the skills you need to buy a small business
Selecting the right business for yourself
Examining franchises and multilevel marketing companies
Checking out and negotiating a successful purchase
Each year, hundreds of thousands of small businesses change hands. This chapter is for those of you who want to run or invest in an existing small business but don't want to start the business yourself. And of course, this chapter can show you how to make good money and have fun along the way!
I don't want to scare you off if you want to start a business. However, buying someone else's business works better for some people than others. The following list reflects the main advantages of buying a business:
You avoid start-up hassles and headaches. Starting a business from scratch requires dealing with many issues. In the early years, beyond formulating a business plan, you must also deal with a variety of issues, such as developing a marketing plan, finding customers, locating space, hiring employees, and incorporating. If you buy a good existing business, you buy into an ongoing enterprise with customers, assets, and hopefully profits (although you still need to fix any problems the business may have).
Think about the learning curve for the type of business you're considering purchasing. Buying an existing business makes more sense if the business ...