There are a number of reasons why it makes economic sense to buy an existing business or franchise. You skip the precarious start-up phase when so many businesses close.

You also get:

• customers

• premises

• a brand

• experienced staff

• suppliers

• long-term contracts

• a business plan

• good financial record or rating

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If you’ve found a business you like the look of:

1. Research the business, including its market and industry, its suppliers and competitors.

2. If you wish to proceed, formerly register interest in buying the business with the person appointed to manage the sale.

3. Appoint an adviser to talk to the owner’s representative. Professional advice is vital, but getting a lawyer or accountant on board also enhances your credibility as a buyer.

4. Ask the owner why they’re selling. Compare it to the financial picture painted in the sales documents, eg the information memorandum.

5. business.govt.nz have excellent information and tips if you are considering buying a business or franchise.

 

nzbizbuysell.co.nz - The NZ Business for Sale marketplace

linkbusiness.co.nz - Taupo businesses for sale

realestate.co.nz - Taupo / Central North Island businesses for sale

Local real estate firms will also often have a commercial sales specialist