Things of life. Months ago i was talking about business purchase as an alternative to creating from scratch. I put the subject aside because I saw that it was too complicated to perform an operation at least from my point of view.
- Obtaining financing is not easy. You must enter with 10-20% of the capital in the operation. Capital that I do not have available today.
- There is a very high risk of having a surprise after the purchase. Many important details are picked up when it is too late.
- The optimum is a sale where the sellers and buyers carry on the business for a period of time together. The basis is a relationship of trust that does not arise from day zero.
Why have I changed my mind if the capital issue has not changed?
I’ll tell you now. Points 2 and 3 have changed. I have an Amazon customer who wants to sell their business. Until now, nothing else was in mind to help him find a buyer. Now I have a better idea. I will be the buyer.
With this client, there is a relationship of trust and I know their figures. He makes a profit of 230,000 euros per year. It is a company that is not bad at all, especially since it has enormous potential for growth (I only work with her for two months).
- There is no Pan-Eu.
- You don’t invest in Amazon Ads.
- She manufactures her product in Germany.
Before, I always saw that three out of three points made a possible trade difficult, so I ruled it out as an option. Today “nothing else” remains the small detail to find the capital to make the purchase.
How to find the figure of 1 million euros as the selling price? In terms of profit, this price is still not justified. Yesterday I had a meeting with the founders where we agreed to start a growth process where we went hand in hand to find a buyer after 18-24 months. As a buyer as a business I started it as a bromine plan but today I see it more as an option to consider.
At this point, I am. The same tomorrow I throw it again but for now it seems like a good idea. We will see how the subject evolves.