Many people dream of owning their own business and the rewards which it can eventually bring, even though to get there you often put all that you own on the line and spend every waking hour on your new enterprise.
One way of reducing the time and risk of starting from scratch is to buy an existing business. If someone proves that a particular product or service is valued, there may be no reason why that success shouldn´t continue under a new owner.
Just as in the housing market, in the current climate it can be difficult to find the right price. Sellers often have financial commitments based on the price they paid for the business but turnover may be down as customers cut back or do things more cheaply. Buyers are cautious and in any case can’t borrow as much as they used to do even if they think the price is fair. Small landlords are sometimes years behind the market and expect rents and lease terms that are no longer appropriate. The result is a market that doesn’t clear; in other words fewer transactions.
It isn´t all doom and gloom though and businesses are still changing hands. At Newtons we regularly help buyers and sellers with sales of small businesses. We have the expertise to advise on all aspects of the transaction; property, employment, tax and commercial. Our experience, documentation and procedures help speed up the transaction and we usually work on a fixed fee. We also recognise that each client is an individual with different needs and expectations and most do not buy or sell a business on a regular basis.
We have produced guides to the legal processes involved in Buying a Business and in Selling a Business. We would be pleased to help you with your sale or purchase.
We also work closely with business sales agents Intelligent Business Transfer, who provide the vital link between buyer and seller.
Buyers can see the range and type of businesses currently on sale at www.intelligentbusinesstransfer.com.
If you are thinking of buying or selling, please ring Malcolm or Scott on 01423 789059 malcolm@newtons.co.uk or scott@newtons.co.uk who will be happy to discuss the process.