Are you looking to invest your money in 2023? You’re not alone. Many people are looking for a way to make their money work harder, and property is one of the most popular ways to do this.
But what if we told you there was another way? That there was an investment that could deliver even better returns than property? What if we said that instead of buying an investment property, you could buy a business and start earning from day one?
Well, my friend, it’s true! Buying a business can be an extremely lucrative option for investors like you who are looking for something more than just passive income from their investments.
In this article, we’ll look into why buying a business is such a great option, the pros and cons of owning a business, how much capital you need to start one and the steps to buying a new business. Why
Why Buy a Business?
Buying a business is one of the best investments you can make. Unlike property and shares, businesses generate cash flows as soon as you take over ownership – which means you can get started earning returns from day one!
The Pros and Cons of Owning a Business
You are the boss! You’re responsible for the day-to-day operations of your business – including finding new customers, managing staff and making sales. This can be both rewarding and challenging; however, it also means that you can expect to work harder than if you were simply buying passive income investments like shares or property.
How Much Capital is Required?
Unlike the property market, you can buy a cashflow generating business at every price point on the market. Whether you’re looking to buy a small business for $100,000 or a million-dollar enterprise, there’s usually something on offer for every buyer.
Banks are often happier to lend for a business mortgage vs property as well. And if the business has significant assets, you may not even need a deposit! Imagine being able to buy a business without having to save thousands for a deposit first. Well, it’s possible and happens often!
The Steps to Buying a New Business
There are seven steps to buying a new business:
Decide on the type of business you want to buy.
Research and identify potential businesses.
Create a shortlist of possible purchases.
Arrange an initial meeting with the Business Broker and seller.
Negotiate the price & sign a Sale and Purchase Agreement
Do your due diligence
Complete the purchase
Whether you’re a first-time business buyer or a seasoned veteran, investing in a business has so many benefits over investing in property. At HHB Business Brokers, we specialise in connecting buyers with businesses that suit their skills, needs and budget. As specialists, we make the whole experience as simple as it can be. So, if you’re thinking about investing in a business, contact us today for an obligation-free discussion on how we can help you find your dream investment!