Navigating our first acquisition was terrifying and thrilling, all at the same time. It taught us that you’re never too small to take advantage of opportunities that will benefit your business. For other startups and companies (of any size), here are a few lessons we learned along the way.
Buying a business is not as scary as one may think.
Especially if you’ve got someone in your corner, like the likes of myself for example.
That said, regardless of how it happens, buying a business is the quickest way to growth.
The upward impact it has on the numbers, in a very short period of time, cannot be done any other way, especially if you’ve bought the support that comes with it.
Seriously, given our employment rates are rising, buying a business may end up being one of the only ways to generate revenue and stay in your market of choice…
It happened again today.
I’m at a meeting with one of my trusted colleagues and she advises that a close connection of hers has money to spend and then proceeds to supply the shopping list! Quite specific? Yes. Makes it much easier to know, when one fits criteria, who to call doesn’t it!
This is just another in a growing list of interested parties in, what appears to be, an increasing reemerging trend of growth through acquisition.
Many more businesses are realising that in order to grow quickly (over a year for example), buying another business is probably the quickest option. Sure, it presents its own challenges but… the difference to the numbers in a very short time frame is well worth the effort.
The same applies to first time buyers as well. If you want to walk straight into a revenue producing position from Day 1 then buying an already established business is the most likely way of doing so.
You know how they say when talking home renovation “live in it for 12 months first before you renovate, so you really know how you want your home to work”… buying a business is no different. Work in it for 12 months to really get a handle on how it works an d then look at rolling out your grand plans.
Whether you’re looking to acquire or buy, no matter, determine your shopping list and then talk to the people who have the relationship with the seller. That’s as hard as it needs to be…
‘We are seeing no shortage of business owners looking to exit but potential buyers are sitting on their hands.
‘Buyers are either nervous about buying a company whose business might deteriorate as the economy stagnates or they think that if they wait longer prices might fall further.’