Buying a business instead of starting one from scratch can save you many headaches. However, buying a business still has its challenges. If you are considering this kind of investment, you will want to do your research carefully and be sure to avoid the common mistakes others have made when buying businesses.
According to a recent Forbes article, the following are five of the most common mistakes people make when buying a business:
- Assuming that finding a high-potential business for sale is a part-time job.
- Buying a business without understanding the motivation and emotions of the seller.
- Not understanding why the business generates profit.
- Failing to completely research the business.
- Overestimating the value of the business.