Common Questions About Purchasing a Business

Common Questions About Purchasing a Business

By the Liberty Group of Nevada

Purchasing a business requires a major investment of resources, time, and financial support. The responsible and prudent entrepreneur will have many questions when they consider making a major investment.   The Liberty Group of Nevada has been in the business brokering industry for many years, having brokered thousands of successful transactions.  During this time, we have been asked countless questions about the process.  We have discovered that most of our clients share the same or similar questions.  We have gathered up some of the most commonly asked questions below.

Question # 1: Why Should I Buy a Business, When I Can Just Start One Myself?

Answer: Starting a brand-new business is often a very risky venture. This process requires devising a brand-new business model, with a lack of evidence to indicate if it will succeed in the current economic environment.  In contrast, a pre-owned business already has a business model that can easily demonstrate if it is currently profitable and can be successfully operated.

Question #2: Where Do I Get the Funding?

Answer: There are many options to procure the needed capital and resources to finance this entrepreneurial venture.  One method that is growing in popularity is the use of retirement funds from an IRA and or 401(k).  There are many financial management firms, such as the Guidant Financial Group, that can provide support with this method.  Another popular method is to use loans supported by the United States Small Business Administration (SBA).  These loans were made for the purpose of encouraging economic activity and have recently been made more attractive by the SBA to attract more prospective lendees in response to the COVID-19 Pandemic.  A third option is to consider going into the venture with a partner, or multiple partners, to lower each respective partners’ risk and investment costs.

Question #3: Why Should I Use a Business Broker? 

Answer: The primary purpose of using a brokerage to purchase a business is the promise of guidance in the complex process of searching for and buying a business, with additional access to the firm’s extensive listings.  The business buying process can be quite intricate and difficult to navigate if one is not experienced with it.  This is where a firm will step in and provide step-by-step guidance.  Furthermore, by using a firm’s services you will have access to the brokerage’s listings.  As selling a business can often be just as difficult as buying a business, many business owners use business brokerages to market and sell their company.  This leads to a firm having countless options for buyers to consider, that may not be otherwise accessible.

If you wish to use the services of a business brokerage in your pursuit of the perfect company to buy, please consider using the Liberty Group of Nevada.  We will guide you forward in the process with our expert knowledge, while providing you access to the most extensive listings of businesses for sale in the Northern Nevada area.  Please contact us today by calling (775) 825-3948 or by emailing us at info@libertygroupnv.com.

 

 

 

By the Liberty Group of Nevada

Purchasing a business requires a major investment of resources, time, and financial support. The responsible and prudent entrepreneur will have many questions when they consider making a major investment.   The Liberty Group of Nevada has been in the business brokering industry for many years, having brokered thousands of successful transactions.  During this time, we have been asked countless questions about the process.  We have discovered that most of our clients share the same or similar questions.  We have gathered up some of the most commonly asked questions below.

Question # 1: Why Should I Buy a Business, When I Can Just Start One Myself?

Answer: Starting a brand-new business is often a very risky venture. This process requires devising a brand-new business model, with a lack of evidence to indicate if it will succeed in the current economic environment.  In contrast, a pre-owned business already has a business model that can easily demonstrate if it is currently profitable and can be successfully operated.

Question #2: Where Do I Get the Funding?

Answer: There are many options to procure the needed capital and resources to finance this entrepreneurial venture.  One method that is growing in popularity is the use of retirement funds from an IRA and or 401(k).  There are many financial management firms, such as the Guidant Financial Group, that can provide support with this method.  Another popular method is to use loans supported by the United States Small Business Administration (SBA).  These loans were made for the purpose of encouraging economic activity and have recently been made more attractive by the SBA to attract more prospective lendees in response to the COVID-19 Pandemic.  A third option is to consider going into the venture with a partner, or multiple partners, to lower each respective partners’ risk and investment costs.

Question #3: Why Should I Use a Business Broker? 

Answer: The primary purpose of using a brokerage to purchase a business is the promise of guidance in the complex process of searching for and buying a business, with additional access to the firm’s extensive listings.  The business buying process can be quite intricate and difficult to navigate if one is not experienced with it.  This is where a firm will step in and provide step-by-step guidance.  Furthermore, by using a firm’s services you will have access to the brokerage’s listings.  As selling a business can often be just as difficult as buying a business, many business owners use business brokerages to market and sell their company.  This leads to a firm having countless options for buyers to consider, that may not be otherwise accessible.

If you wish to use the services of a business brokerage in your pursuit of the perfect company to buy, please consider using the Liberty Group of Nevada.  We will guide you forward in the process with our expert knowledge, while providing you access to the most extensive listings of businesses for sale in the Northern Nevada area.  Please contact us today by calling (775) 825-3948 or by emailing us at info@libertygroupnv.com.

 

 

 







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