Exisiting Business

• Advantages:

  • Sales to existing customers will generate instant income
  • Good business history increases the likelihood of business success
  • Stock has already been acquired and is ready for sale + equipment for use
  • Existing employees can provide valuable assistance.
• Disadvantages:

  • Poor business image/reputation may be difficult to chance
  • Success may be lost without the previous owner's personality and contacts
  • Some employees may resent any change to business operations
  • Difficulty to asses the value of goodwill the the likelihood of paying more than what the business is worth.