What Are Some Benefits Of Buying An Existing Business

Those who may be interested in starting a business of their own will have a lot of decisions to make, one of the very first being what type of business to have.  There are numerous opportunities available including starting from scratch or buying an existing business.

As a business broker in Durham, we have seen that while starting from scratch is great, it typically requires more work and experience to get going.

4 reasons why it is beneficial to buy existing businesses are:

• Lower Start-Up Costs: Starting an existing business is much cheaper than building a business from scratch.  In most business deals the real estate, furnishings, and equipment are all included as a package deal.  This ultimately saves you money since expenses can add up quickly.
• Groundwork Has Already Been Established: Building a brand from scratch can take a lot of work, time and money.  Purchasing a business that already is successfully branded can save a new business owner the added work and stress.  A business that has a good name and reputation is much easier to build relationships with other businesses and gain new clientele in the community.
• Easier Financing: It is much easier to get financing for a business that is already profitable than for a new, untested business. Lenders see buying an already established business a low-risk investment since the company already has a proven success record.
• Existing Clientele: Already built relationships with customers and vendors are of great benefit to a new business. These customers will be able to give insight as to how you can improve the company and enhance the experience for new customers.

Starting a new business, whether from scratch or buying an existing business, is never going to be risk-free.  Make it a priority to research the brand and market for the business you are considering.

Sunbelt Business Brokers of Durham would love to help you start this new venture.  Give us a call to get on your way to becoming a business owner!