Let's face it, everyone who's ever started a small business knows it's no easy task.
I think we are also very aware that the small business failure rates in the United States are something like "75% go out of business in the first five years.
" Considering those two factors, it's hard to say why anyone would want to start a business or own a business of their own as part of the American dream.
Especially considering that for most people it turns out to be a nightmare.
Perhaps, this is why so many people decide to buy a business rather than to start one from scratch.
Of course, buying and selling a company can be tricky business.
If you'd like to learn more about this topic, or if it intrigues you, or even if perhaps, this may provide you with an exit strategy when you decide to retire or get into a new line of work then I have a very good book that I believe you should read.
The book I'm going to recommend to you is one that I also own and have studied.
The name of the book is; "Buying and Selling a Small Business" by Vern A.
Bunn, 1969.
In this book Vern explains how to go about evaluating your business if you're thinking of selling it.
He also explains how a buyer might go about evaluating the business they are going to buy.
There is also a chapter on negotiating terms of consideration, carrying back paper, trading for stock, and the period of transition.
The author also suggests that no business sale is black and white, which I completely agree with having been in the franchising industry and even though we were selling cookie-cutter business models all the same, not a single one of the franchise sales we ever made was exactly picturesque perfect like you might be led to believe.
The author of this book explains the need to look at the books, and the ins and outs of hiring business brokers, and how to judge tax returns and author is both a lawyer and an accountant and therefore, there could be no better person to give you advice like this.
The SBA printing office had some great books on this subject and in the past I have read all of them, and they have similarly good advice and they tend to back up what this author is saying also.
Interestingly enough, this is one book you need on your bookshelf if you are a small businessperson, or if you are considering going into a business of your own someday.
I hope you will please consider all this.