Three important things to remember when you are considering buying a business:
The vendor is not on your side (and the agent represents the vendor)
Every document the vendor gives you should be considered as advertising
There are some less comfortable facts about the business that you won’t be told (maybe the vendor doesn’t even know them)
At EIF, we are on your side. And we know what to ask and where to look.
We offer you three types of purchase analysis:
A financial analysis will test the consistency of the data presented and consider the financial benefit that will actually flow to you. It will report on the true cost and potential income of the acquisition.
This may also be useful in approaching financiers.
Structural analysis examines the most appropriate business model tailored to your particular situation. Business structure is not a ‘one size fits all’ approach as it may impact upon other desired outcomes including legal, taxation and risk minimisation matters.
A marketing analysis will examine the current market position of the business and its future potential. It can also look at the potential synergies between the proposed acquisition and your current business.
This will help you determine whether the proposal will be a real benefit to you.