Brisbane has endless opportunities and several thriving industries; it’s essentially a candy store for investors. Whether you’re a seasoned entrepreneur looking for your next business venture or a newbie trying to make your mark in the business world, Brisbane offers you a spread of business to buy. Buying a business isn’t like strolling down the aisle at the store and choosing your favourite snack. A lot of thought goes into the process. With that in mind, here are some tips to help you purchase a business in Brisbane.
Consider what industry is most profitable
The first challenge you’ll face when buying a business in Brisbane is choosing what industry you want to invest in. As a seasoned investor, the chances are that you already know where your strengths lie and what industry would be the most ideal for you to invest in, but some of you might not. Brisbane is home to thriving industries, like manufacturing, food processing, distribution, technological developers, cafes, restaurants, and certain service-based businesses. Your options are certainly open, to say the least.
Before you even search for a business, we encourage you to research and consider what industry you want to invest in. Not only should the business you buy align with your vision and skillset, but you should also find some enjoyment in it. Don’t rush the decision to buy.
Identify your goals
Once you know what industry you want to buy into, it’s time to create and clearly define your goals. For example, when you plan on purchasing a small logistics company with a fleet of three vehicles that deliver in and around Brisbane. A 5-year or 10-year plan could be to expand that fleet, possibly become Performance-Based Standard certified and increase distribution across the state. Either way, setting clear goals for the ideal business you would like to purchase provides you with direction and vision.
Look at current businesses listed for sale
This is the fun part. Take to the online marketplace and start looking for a business that matches the industry and other criteria that you’re looking for. Multiple online marketplaces are designated for business sales in and around Brisbane. Type in the type of business you’re looking for to see what comes up.
We suggest choosing a few prospects as you search for a business so that you have multiple options in case a competitor purchases one before you. To get a jump on things, you can start searching for your ideal business here at Benchmark Business Sales in Brisbane.
Contact a business broker
Another key move we recommend you make is to hire a business broker to help you find and purchase the right business. People often think that business brokers are more valuable when selling a business, but they can play a significant role in finding you a good investment at the right price. There are a few reasons for this.
Brokers have access to networks with other brokers and investors where they may be given first priority on specific business sales. Likewise, their connection allows them to identify potential business sales sooner than you would alone. When it comes to the sale, their expertise and knowledge will help you negotiate a better deal or avoid a bad buy based on due diligence. So, definitely hire a business broker.
Prepare to buy
While you or your broker are trying to find the right business to purchase, try your best to prepare to buy when the right business comes along. Certain businesses sell like hotcakes, especially if they are already established and have promising future potential. So, have all your financials, your documentation, and anything else you may need to buy a business, so you’re ready.
Act when the right business comes along
Finally, don’t hesitate to put in a letter of intent if you find a business that looks appealing. Remember, there’s a lot that still needs to be done after you’ve shown interest in buying a business. Putting in your letter of intent simply secures you a spot in the negotiations before another investor gets in there. However, keep in mind that a letter of intent means that you do intend to buy this business, granted that everything goes well in the due diligence and negotiations. While it doesn’t bind you to the purchase, it is considered a serious decision.
Final thoughts
Finding the right business to buy is only the first step. You still need to send a letter of intent, do due diligence, and enter into negotiations. That’s why having a business broker in your corner is helpful as you navigate buying a business. Not only would they assist you in finding the right business, but they’ll also simplify the whole buying process! So, what are you waiting for? Your Brisbane business awaits!