Buying a business, any business, is a major risk. As an undertaking, it ranks high on the scale of potential economic disasters. You can, however, lower the potential for this action being ruinous. Consider purchasing an existing business. Talk to a broker about that coffee shop for sale in Seattle you want. He or she can help you look at the benefits of buying an existing business over starting a new one. A qualified business broker can also guide you through the basics of what you need to consider before you outlay the necessary money.
Why Buy an Existing Business?
Experts cite several reasons why purchasing an existing coffee shop for sale is better than starting one from scratch. Among the most commonly cited ones are:
• Less risk involved because it is already up and running
• Already has generated cash flow and profit – a proven track record, so to speak
• Established clientele in Seattle
• Established reputation in the area
• Has employees trained in the aspects of running the business
• Already set up and ready to operate
• Easier to obtain financing
While risk is involved in buying any coffee shop in Seattle, purchasing an existing one is generally an effective way of reducing the potential problems.
Questions to Ask About that Coffee Shop for Sale
Before you decide to buy that desirable coffee shop for sale, you need to ask yourself several questions. With the help of your banker, broker, accountant and attorney, you should be able to arrive at the answers you need to know to the following:
• Why is the owner placing this coffee shop up for sale?
• What exactly is involved in the sale of this coffee shop in Seattle? What equipment, recipes, contracts, employees, etc., are part of the purchase price or deal?
• What is the annual income? What is the basis for these figures?
• How large of a customer base does the coffee shop for sale have?
• What is unique or attractive about this coffee shop over any others in the area? Will this continue to translate into income?
• Is the seller willing to finance the sale of the coffee shop?
• Does the company have any outstanding debts or issues with government agencies e.g. the Board of Health?
• Will the seller stay on in any capacity, be available for questions after the sale or to help with training and/or advice is necessary?
You need to know exactly what you are purchasing. You, your small team of supporters and your broker must make clear to you what is involved in purchasing this coffee shop for sale. If you or they feel uncomfortable; if the deal looks too good to be true, it may be better for you to reconsider purchasing this particular coffee house in Seattle and look at others.