The question most people ask me is should they start a business or purchase an existing business. We will break down the advantages of each one and later discuss the disadvantages. I always say that no matter which option you decide; owning a business of any form is the goal. When you own your business it opens doors that regular 9-5’s just can not open. Lets take a look at each one below.
Start a New Business From Scratch
There are many advantages to starting a business from scratch. First, starting a new business from scratch allows you as a business owner to organically grow your business. Secondly, you will be introduced into the marketplace where you will research your competitors and find your niche. Thirdly, you will determine the products or service you want to offer, find a location, and hire employees for your business. Lastly. you will be able to build brand awareness, set up your organizational structure, and fund the business.
Purchase an Existing Business
The existing business option could lot easier as the product or service is already on the market. The customers have purchased the product or service before so you don’t need to market like a start up business. The existing business has a location that is familiar to customers which can lead to sales. The existing employees has knowledge and experience that will be valuable to any business owner that wants to focus on growth of the business.
We will discuss this topic in more detail on our next post.