Buying a Business Vs. Starting a Business

When buying a business, don't let your excitement drown out the voice of your intuition.

In our experience the success rate of buying and continuing an existing business is many times that of a startup.

There are many points of view on whether to start or buy a business and each has pros and cons. Evaluate your own appetite for risk.

Buyers should ask the "barrier to entry" question… is it cheaper and more efficient to start your own business or does a particular opportunity offer you a sufficient leg-up to warrant purchasing a business instead?

Experience can be your worst teacher, unless it's somebody else's. Try buying a business that has already had some experience.

Buyers have to ask the "barrier to entry" question… is it cheaper and more efficient to start your own business or does a particular opportunity offer you a sufficient leg-up to warrant purchasing a business instead?

Organic growth can be expensive, consider a strategic acquisition to grow your business.

It's a good idea to list the pros and cons of buying a business versus starting a business. It will help you evaluate your tolerance for risk.

One good reason to buy a business instead of starting one is that it is usually easier to borrow money to buy an existing business that has positive cash flow.

Buying a business can be like adopting an adolescent, much of its personality has already been formed and you need to learn how to adapt to each other to make a successful relationship.