THE NEW ENTREPRENEURSHIP Always wanted to run your own business? It’s the ideal moment in British Columbia to buy an existing small operation, without some of the challenges of starting your own. Here’s how to approach acquiring an existing small business. By Tracey Rayson
B.C. towns are full of thriving small businesses, like this bookstore in Campbell River. Many will change hands over the coming decades. Photo: City of Campbell River
It’s easy to see the benefits of acquiring an established successful small business in a thriving community. As B.C.’s rural economy continues to strengthen and diversify, entrepreneurs considering relocating to more-bucolic locales to purchase an existing business can profit from a lower cost of living, less competition and vibrant communities with hyper-connected neighbours. Here are some tips to help navigate the small-city investment opportunities that exist throughout the region, and what to know before you buy.
Do Your Research If you’re looking for the most comprehensive strategy to determine both the ideal location for your family’s quality of life and the right business investment opportunity, The Great BC Business Sale (bcbusinesssale.ca) by Community Futures is a must-see event. To be held on October 3, 2020, at the Vancouver Convention Centre, it will include hundreds of exhibitors under one roof including not
An Essential Checklist Business broker specialist Jeffrey Ng offers the following checklist for a successful transition when buying a small business. • • • • • •
Use a knowledgeable business broker or intermediary. Do due diligence: research and understand the industry, talk to local business owners. Learn the owner’s reasons for selling. Confirm a positive cash flow: you want to buy a moneymaking asset, not a liability. Verify the business has a transferable lease. Ensure their books and necessary succession documents are in order.
Spring 2020 Right Sizing
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