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How to Buy a Small Business – A Comprehensive Guide and Resource

Starting a new small business can be risky endeavor, which is why you should at least consider buying an existing business instead. LaunchScore.com is here to help you when buying a small business, with this comprehensive guide and resource.
An existing business may very well a better option given that it already has a location, supply-chain, trained employees, brand, customer base, historical cash flow statements, and tax returns.


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There is already a formula in place to run the business and hopefully all it needs to boom is your vision, enthusiasm, and determination to put in place incremental innovations. Lenders are also more comfortable financing a business that already has financial records they can evaluate.
However, there are also disadvantages. Existing businesses typically cost more than starting one from scratch. Current employees and suppliers may have practices not to your liking and may be resistant to change.


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Also, equipment and inventory may become a substantial financial burden, particularly if outdated.  The seller may omit or downplay existing business problems – and could even have “cooked” accounting records.


Though at first one may think that there must be something wrong if a business is for sale, that may not be the case. Hopefully, you will find a great business whose owner just wants to move on to another industry, life project, or retirement. Nonetheless, keep in mind that it is easier to fall into a lemon than a great business you can afford.


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Small Business Ideas Articles


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Recommended Contents:

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Market Research

Market Factors

Small Businesses Needed

Earnings Forecast

Small Business Ideas

Franchise For Sale

Best Franchises

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