Did you ever wonder why some franchises do great and why others go flat? Picking a winning franchise is not that difficult if you follow these steps to avoid losers.
If you would consider buying a business, pick up a local newspaper and check the classifieds for active Business brokers in thailand. Visit one or two or three and discuss different businesses that they have for sale. They can explain each one to see if one appeals to you. This worked for me and it may work for you. But you have to find an agent who will take the time to understand and analyze your desires and capabilities. I wound up buying one and eventually had 3 very successful locations.
Alright, now let’s put it all together. Hopefully, the right frame of mind has been established. Let’s take an example: We are being offered a business which generates a cash flow of $100,000 per year. We require a 50% ROI which is not unreasonable given the general risky nature of businesses and the work the buyer will have to put into it once the Business brokers online is purchased.
Making your business ready for a sale: This not only involves making your premises looking good but also your numbers in your balance sheet or profit & loss accounts.
Partners are necessary for two things. Either they will supply you with capital or they will provide you with skills you may not have. The latter is a better reason for a partner and a combination may work as long as you are going in with an even money 50-50 deal. I don’t recommend picking a partner based on their bank account. You will most likely have major problems within 12-18 months. Trust me, I’ve been there.
This business is different and can be a very interesting way to make money. Inventory turnover will keep people coming back to see what you are currently displaying. One-man shows and special types of art can also bring in the old and new customers. Finding a constant source of new items is the art of running a successful business. New ideas, art pieces and gift items are necessary to stay current in the business. This is the only way to get old customers to stop in and see you again. If your items are stale, the old customers will grow bored with seeing the same thing each time they stop.
Third, before you apply for a loan, get a copy of your credit report to make sure it’s accurate and there are no errors on it. There are a few reasons for this. Credit reports are notorious for errors. Imagine your frustration to have a great credit score, spend weeks building and executing your business plan, building relationships with suppliers, signing a lease on the perfect location for your person and a major vendor asks for a copy of your credit report to complete their paperwork and they find a bad comment on your credit report and they decline your request! All because there was an error on your credit report that should not have been there in the first place. Bottom line; let’s get this taken care of now so you have time to get things in order.
Because they’re trying to play a game with you. And if they want to play games, let them play with somebody else. Don’t let them waste your time. There are plenty of good businesses out there to buy without having to play any games. Don’t invest even a second of your time with people trying to play this game. No matter how sweet the deal may seem on the surface. It’ll suck you dry of time, patience and sometimes…even money.