Q: My business partner and I are planning to buy a major-brand convenience store in the next 3 to 6 months. We've already identified three stores for sale in our target area. Can you offer any advice on how we should be comparing/contrasting these stores?
A: I'm thrilled to learn that you have set a very specific time limit to complete a transaction. Not working with a timeline or having a sense of urgency is one of the biggest reasons why many prospective buyers (90% in fact) fail to complete a transaction.
There are numerous considerations you should be making when comparing different opportunities. Although it is oftentimes difficult to compare different businesses, you'll want to evaluate the following:
On a separate note, I want to discuss the partnership issue. You and your partner need to be certain that you both have a very clear understanding of what each person is responsible for, that you be upfront with one another in your expectations, that you share the same vision for the business, and that you have a mechanism in place to deal with a decline in the partnership. As long as you get that done now, partnerships can be a tremendous way to build a business.
|Get more expert advice in Richard Parker's How To Buy A Good Business At A Great Price - the most widely
used reference resource and strategy guide for buying a business.
|Richard Parker is the author of: How To Buy A Good Business At A Great Price, the most widely used reference resource and strategy guide for buying a business. He has purchased ten businesses in his career and has helped thousands of prospective buyers worldwide learn how to buy the right business for sale. He is also founder and President of Diomo Corporation - The Business Buyer Resource Center.|