Reddit removed post
20 Ways To Absolutely F*ck Up Buying Your First Business
Best PracticesView all comments
I think this is mostly good advice. The one thing I’d call out is most people will not be able to forego an SBA loan/personal guarantee AND buy something big enough that they are not critical in day to day operations (aka buying a shitty job).
It seems like the $1m price point is around where small businesses for sale have enough employees to function without the owner being involved in every little function. And most people aren’t gonna have $1m in cash laying around.
Most people are gonna have to risk it all via personal guarantees to get a good business. I still think it’s a good option.
Agreed. The SBA lender won't lend if your deal numbers don't add up. If someone isn't familiar with acquisitions, this could be very helpful.
Also, I'm shocked the OP isn't mentioning a QoE. Probably the MOST important point in buying a business is that a Seller is HIGHLY motivated to show the business makes more money than it does. Without a proper QoE done by professionals you can be sunk in no time.