FAQ

Q. “Why buy a business – why not start up?”
A. In our step-by-step process, we recommend you buy a business that is already established, preferably one that has been running for more than 2 years. Here's why:

• You get instant cashflow and a proven track record – it's generally far easier to build on an existing business than get a new one going.

• Buying an existing business reduces your risk dramatically because a business that has been running for 2 or more years has passed that crucial start-up phase and proven itself as viable.

• You also get an existing client base, and its easier to get more sales from existing clients that go out and get new ones.

• Existing businesses can often be bought for less than the start-up cost, and because they have track record you can more easily borrow money or get funded in by the seller, which means you don't have to spend your own money to own the business.

• And lastly, they are easier to turnaround and sell in a short time-frame because there is an existing track record, which will make it more appealing to buyers

Q “Is it a good time to get into business?”
A. We are seeing huge opportunity in business right now. With roller-coaster share and real estate markets and interest rates so low, there is nowhere else to get such high returns on investment as in private business. Where else can you earn 30-100% on your money? This means there are also lots of wealthy buyers who have cash they need to invest.

The economic change has also pushed the valuations of under-performing businesses down and there are more desperate sellers, which means you can buy at very good prices.

However good businesses are rare and keenly sought after. So if you can buy a rundown business now you will be paying less, and once you turn it around there will be lots of buyers and you'll get a great price. We believe that now is actually the best time to be implementing this process!

Q. "What if I don't have any money to buy a business?"
A. You don't have to spend money to get involved in a business. Look around your local area or in the “sale by owner” listings online. If you can renovate their business and increase their profits, many of these business owners would be happy to share the profits with you, or give you part ownership in the business in return for your help. You could end up with part-ownership of many different businesses, and receive a cash bonus when they are sold!

Q. “Can I buy a business in an industry where I have no experience?”
A. You certainly can, as long as you can understand the business and the industry and are confident in being able to perform the “driver” tasks needed to grow the business.

For example, we know a marketer who helped grow an accountancy firm into a multi-million dollar practice, and a lawyer who bought a car engine reconditioning business and made his million dollar fortune from it (he didn't even know what a carburettor was!). As long as the business has the potential to improve one or more of the five areas of value, and you are able to understand the business and what the customers want.

The only exception to this is that we would recommend being cautious of businesses that are highly complex or technical unless you have the appropriate technical skills or understanding.

Q. “I have never bought a business before, who does all the
paperwork and contracts?”
A. Buying a business is like buying a house – the lawyers and accountants take care of the paperwork. You just need to know what to ask for, which we will show you in detail in the
e-classes.

Q. How quickly can you turn a business around?
A. This really depends on size and style of the business. We know of Beauty Salons that have been turned around and put back on the market in 12 weeks, but with most businesses you would expect to own them for at least a year. We know of several multi-million dollar businesses that have been created within 12 months.

Q. "If I apply your process, how long before I make any money?"
A. If you join the mentoring program and apply the information in the e-classes as they come out each week, you could be buying or getting involved in your first business deal within the next 8-10 weeks.

It really depends on how fast you want to move! The great thing about buying an existing business is that as soon as you take over, all the profits that come in are yours.

Q. “How do I learn how to run the business?”
A. When you buy a business, as part of the sale the seller usually stays on for at least a month to show you the ropes. When we bought a manufacturing business, we had absolutely no experience in making the products, but we learned the basics pretty quickly. The great thing about buying an existing business is that it has “momentum”, so the sales
will keep flowing in even while you learn.

Q. "How many businesses do I need to look at?"
A. The more businesses you look at, the more experienced and knowledgeable you will be, and the better you will be at recognising a bargain. Think of it like buying an investment
property – you wouldn't just buy the first one you saw - you would want to check out other properties in the same street or suburb and see how much they were selling for before you
made your decision. If you enjoy this part of the process then you'll make a great “Spotter”. You can make a lot of money just by seeking out good business opportunities for wealthy
investors.

Q. Where do I get the money to buy a business?
A. There are lots of ways to get financed into a business. The standard way is to borrow money from the bank using an asset like a house as security, but there are also many creative ways to get banks to lend you money even if you don't have any assets.

There are also lots of ways to get the seller or an investor to fund you into the business. If you find a business that you really want to own or get into, there is always a way. We go through all these options in the e-classes, and you can use your power calls to get ideas from us too.

Q. "How do I know if I'm over-paying for a business or if the
business is over-priced?"
A. In the mentoring program we show you how to value a business and you'll learn how to see within 5 minutes if a business is over-priced. We'll also show you how to decide what the business is worth you paying. The main reason people over-pay for a business is because they get emotionally attached (just like with property). The big advantage of using our system to buy a business is that the emotion is taken out of the decision, if the numbers don't stack up then you just say...next!

Q. "What if I have never done face-to-face sales before?”
A. When we bought our first business, we had absolutely no experience in sales. Luckily we bought a manufacturing business, so what made the business grow was adding systemisation and building a good relationship with our customers, which we were naturally good at already!

We learned more about selling as went went along, and we'll give you some great basic sales training in the mentoring program too. But as you can see from our example, if you choose a business where you can use your strengths, you don't have to be good at everything (plus you can hire people to do the things you aren't so good at!)

Q. What if I'm already in business and just want to sell?
A. The Buy Sell Business System is ideal for anyone already in business, whether you want to sell right now, or turn your business into a far more profitable and valuable asset.

By doing the first eclasses you will gain valuable insights into your own business and industry. You will see what makes a good business, what buyers are looking for, determine its current value, and learn which areas of your business you need to improve in order to get your business sold quickly.

In the renovation classes you will learn how to set your business up for maximum value, increase your profits rapidly and make it easier and less time intensive for you to run.

PLUS you'll learn all the inside tips and tricks direct from business sales experts on getting your business sold for more money than you thought possible!