Most people think about starting their own business because they like to do things from scratch. In fact, there are loads of reasons why you might want to kickstart your own company. You can do things your way, you can learn from your mistakes, and it’s generally a lot easier to manage since you don’t have staff that are relying on you.
However, there are a couple of good arguments to make when it comes to buying a business instead of starting your own. In this post, we’ll be discussing a couple of questions to help you decide if you’re more suited to buying an existing company as opposed to starting your own.
Are you eager to work in a specific industry or with a certain franchise?
If you’re eager to work in a specific industry then you may want to look for a franchise for sale. This is a great way to get started in the industry if you have the money to buy a business because it gives you a recognizable name and most of the operations are already set up for you. It’s a much faster path to get into a specific kind of career and is generally better if you already have business experience.
Do you have the money needed to buy an existing business and take over its operations?
Of course, buying a business is expensive so you’ll need to have the money for it. If you’re just getting started and don’t have much to invest then it’s much better to just start your own company from scratch.
Would you prefer to jump straight into things and aren’t afraid of the learning curve?
Running a business isn’t easy, but it can be surprisingly simple to get started from scratch because you can define all of your business operations. Sure, learning from your failures and occasionally messing up can set you back, but it’s generally a much smoother experience since you can take it at your own pace. When you jump into managing an existing business, things can get a lot more complicated because the company has already established complex workflows and relationships that you need to learn as quickly as possible.
Have you found a unique opportunity to buy an existing business?
If you’ve been presented with a unique business opportunity then it often makes sense to take the risk as long as it’s not too ridiculous or if the odds are against you. For example, perhaps you’ve recently been approached by an old business partner about buying into a business together, or maybe you’ve stumbled upon a business that is looking to change to a different manager.
Another way this might happen is through a more proactive approach. You might have looked online and found some unique franchises for sale, for instance, and decided that you might like to buy one and see how successful you can make it. Or you might know of a struggling business in your area that you are keen to try your hand at. In any case, when you find a unique opportunity, it’s a good idea to make use of it as soon as possible, before someone else does.
Will you be prepared to face resistance from existing employees?
Lastly, a thriving business is always going to show resistance if the manager or CEO is suddenly swapped out. You’ll need to be confident in your ability to communicate with existing employees and ensure them that you’ll do a great job of leading them.
