In a world where startups are glorified and side hustles dominate social media feeds, there’s an often-overlooked path to entrepreneurship that’s gaining traction: buying an existing small business.
Whether you’re a first-time entrepreneur or a seasoned executive looking for a new challenge, purchasing a small business can be a faster, safer, and more strategic route to owning and running a company. Here’s why — and how — to go about it bizop.
Why Buy Instead of Build?
1. Skip the Startup Struggle
Starting a business from scratch is risky. Around 20% of new businesses fail in the first year, and about 50% by the fifth. Buying a business with existing customers, revenue, systems, and staff drastically reduces your risk. You’re stepping into a proven model instead of betting on a brand-new idea.
2. Immediate Cash Flow
With an existing business, you can often earn income from day one. That’s a huge contrast to startups, which typically operate at a loss for months or years before breaking even.
3. Easier Financing Options
Banks and investors are often more willing to finance the purchase of an existing business with solid financials than to fund a startup. There’s simply less uncertainty.
4. Built-In Brand and Reputation
A business with a strong local presence or loyal customer base brings built-in value. That goodwill can take years to develop organically.
What Kind of Business Should You Buy?
It depends on your interests, skill set, and financial situation. Some categories to consider:
- Service-based businesses (like cleaning, plumbing, or lawn care)
- Retail stores (local boutiques, convenience stores, etc.)
- Franchise resales (proven models with corporate support)
- Online businesses (e-commerce stores, blogs, or SaaS companies)
- B2B companies (like commercial cleaning or printing)
Look for something that aligns with your skills or interests — but also has room for growth.
How to Find a Small Business to Buy
Here are some ways to get started:
- Online marketplaces like BizBuySell, Flippa, Empire Flippers
- Business brokers, who specialize in matching buyers and sellers
- Networking, especially with local business owners or industry groups
- Direct outreach to businesses you admire (you’d be surprised how many owners are open to selling)
Key Steps in the Buying Process
- Define Your Budget and Goals Know what you can afford, and what kind of lifestyle or income you want.
- Conduct Due Diligence Review financial statements, contracts, legal documents, and operations. This is where you’ll identify risks and confirm the value of the business.
- Negotiate the Deal Consider not just price, but payment terms, transition support, and contingencies.
- Secure Financing SBA loans, seller financing, or investor backing are common options.
- Close the Sale and Transition Make sure you have a plan for taking over operations, keeping staff, and maintaining customer satisfaction.
Final Thoughts: Is Buying a Business Right for You?
Buying a small business isn’t for everyone. It takes capital, patience, and a willingness to learn. But for the right person, it can be a shortcut to freedom, fulfillment, and financial independence.
In a time when many people dream of starting something from the ground up, there’s something refreshingly smart — even rebellious — about stepping into something already working and making it even better.