Business Purchases Based on Your Current Skill Set: Top Tips for Choosing the Right One

When you set out to purchase a business, the options can be overwhelming. With so many businesses currently on the market, on sites like Eden Exchange and through private sellers, you’ve got so much to choose from–but, how do you know which ones are right for you?
 

This article will look at the best way to choose the right business for your current skill set as well as why you may want to buy a business in the first place. Take a look now to learn more.
 

5 Tips for Choosing the Best Business for Your Skill Set
These five tips are our recommended ways to work out which business is the best for you right now.

1. Identify Your Strengths and Play to Them
The best way to know you’ve got a chance at being good at something is by doing something you already know that you’re good at! This means, when looking into new business ventures, play to your strengths. Do you have qualifications in healthcare? A healthcare business would be a good idea. Are you an avid gym-goer with a passion for nutrition? A fitness business may
be a lucrative option! Identifying your strengths can be as easy as looking at your educational background, but for some people, we recommend looking at what you enjoy, what you choose to do in your free time and things you would feel confident giving other people advice about. 

Though identifying your strengths can help you to find the best businesses for you to purchase, there is a caveat; you’ve got to be realistic too. More on this in our next tip!
 

2. Be Honest With Yourself About What You Can Do
Practicality is a big part of making a success of your business. There’s no point in exaggerating your skills or telling yourself you can take on more than you can. So, while you might be a good baker, do you have all of the skills that are needed to own a bakery? Have you worked in hospitality before? Do you want to work weekends? It’s important while playing to your strengths to make sure you know what you’re getting yourself into. 

If there is something that you want to try, but you know you maybe don’t have the skills yet, you could invest in these skills first. If you want to run a retail chain but have no experience in customer service, then getting this experience and developing these skills may be the first step to take before going ahead with the purchase.

3. Make Sure to Assess Every Angle
There are many platforms with businesses for sale now, and you may also be looking into private sellers too. This means you’re going to have many options for businesses to purchase, but don’t get overwhelmed. Take a step back and assess all angles of this process.
If you’ve got an industry in mind, you could look at the opportunities that are available in this area. If retail is your passion, then look into opportunities in your region and assess whether you’ve got the skills for it. So, you need to assess all angles of each industry, opportunity and business before making any decisions.
 

4. Do Thorough Research on Each Opportunity
To take the previous tip slightly further, when you do see an opportunity you like, you need to research it properly. Look into what running a business like this would entail. Find out whether whether you like the business style already in place, and whether it is a viable opportunity on the whole.
 

Before you purchase any business, you should also take the time to work with a solicitor and
accountant to check out the financial aspects of the business to ensure you’re not putting your
money into an already sinking ship!
 

5. Trust Your Gut
Last of all, if you’ve done the research, found that you’re cut out to take on this opportunity and you’ve got the financial means to do so, but your gut is telling you not to do it; listen! Sometimes, you just get a bad feeling about an investment opportunity and more often than not, that feeling is spot on.
 

You tend to be able to tell whether a business is right for you when you walk into it. If you can, go along to the business, get a feel for it, and make sure everything feels right before you purchase.
 

What are the Benefits of Buying a Business?
 

If you’re reading this article, you’re likely either debating it or have fully decided to buy a
business. Whether you’re on the fence or fully certain, it can’t do any harm to learn about some
of the benefits of buying an already-established business.
 

• It’s already up and running - As we said, this business is already established. This means you’re avoiding start-up costs and all the legwork that comes with the first few years of a business. While it is by no means easier to take over a business, it does allow
  you to find your feet as a businessperson without having to worry about running a fledgling business.
• Your customer base/market is already established - Whether it's the market for your
  product or service or your customer base, the previous owners have done the work to
  get this fully established. You’re not going to spend time marketing to your niche and
  instead can concentrate on expansion and growth.
• Problems have already been resolved - New business owners tend to run into a lot of
  problems, but with an already existing business these problems have not only been
  solved but procedures have likely been put in place to avoid them happening again.
• A business plan is in place - Lastly, an established business should already have a
  plan in place that you can use to your advantage. You may end up adjusting things, but
  the bones are there.

What do I Need to Buy a Business?
Before making an offer on an existing business, there are a few steps you need to take before you can. 

These include

1. Make sure you’re ready for the business world, and that you have the skills to take it on.
   (By following the tips in this article you should already have done step 1.)
2. Value the business to determine how much it is currently worth and how it could grow.
3. Do the due diligence, or employ somebody to do it on your behalf. This includes looking at financial records, business operations, and legal documents. If you’re unsure, an accountant or solicitor will be able to guide you.
4. Make an offer and agree on a price. From here, you will need to draw up a contract that will outline the final cost and the method of payment. We recommend consulting a professional to draw up this agreement.
   Note: These pertain to Australian residents and may be different in other countries. Check local
   guidelines to ensure you have everything you need before making an offer.

Final Thoughts: Purchasing the Right Business
Purchasing a business is a big step to take, and you need to make sure you get it right. The tips set out in this article should help you to find the best businesses for you at this point in life. Are you looking to buy a business? Eden Exchange can help you out. As a network of active buyers and sellers, there are plenty of opportunities on our platform. We also offer expert guidance and due diligence to ensure that the business you’re purchasing is right for you.
Reach out today to find out more about us.