Hi Reader,

Most people see two career paths: work for someone else, or start something from scratch.

There's a third one. Buy a business that's already working, with customers, revenue, staff and a track record you can examine before you commit.

It carries real risk. I've learned that firsthand. But for experienced professionals, it's a serious alternative to another round of résumés and interviews.

I spoke about this at Helen Harwood Snell's Connect & Collaborate Canada event on October 26. Here are the three questions I told the room to answer before making an offer.

1. Where will I find a business worth buying?

Most good businesses never appear on a listing site. Many owners close to retirement haven't told anyone they'd sell. Talk to accountants, lawyers and business brokers in the industry you know. Ask suppliers who is thinking about stepping back. The best opportunities usually come from a conversation, not a search.

2. Does it fit my skills and my finances?

A business can look great on paper and still be wrong for you. Ask whether your experience gives you an edge in running it, and whether you'd want to show up every day. Then look honestly at the numbers: what the business really earns for its owner, what it would cost you, and how long you could carry it if the first year is slow.

3. How will I pay for it?

Few buyers pay cash. Most deals combine some of your own money with a bank loan. Often the seller also agrees to carry part of the price and be paid over time. That tells you something too: an owner who believes in the business is usually willing to wait for part of their money.

None of this removes the risk. It does help you see the risk clearly before you sign. I walk through each step, with the templates I use, in Own Your Next Job. The first chapter is free.

READ THE FIRST CHAPTER

Thanks for reading,
Jamie