Start-Over Success Business Under $5,000:
Buy a Baby Boomer's Business
Why buy a Baby Boomer’s Business if you are a Boomer? Because they’re done with operating their business and you’re ready for Start-Over Success.
You’re ready to start a new adventure and you know that there are opportunities in the businesses that Boomer owners are ready to quit operating.
There are all kinds of businesses, most are boring, recession-proof, AI-proof, and fool-proof. They are car washes, cleaning companies, vending businesses, lawn care companies, and more like that. Get the picture? Bookers’ kids had and have no interest in running Mom and Dad’s business. But you’d be happy to.
Why Buy a Business When You Can Start Your Own?
It’s like John Dillinger said when asked why he robbed banks, “Because that’s where the money is.” Buying Boomer Businesses is one of THE hottest opportunities right now.
Think about it: It takes time, energy, and putting all earnings back into a business to make it grow. For many businesses, the first six months or a year mean you wearing all the hats (doing the work, admin, and marketing), working hard, and working long hours. The Boomer seller already did all that.
Not only that, It can take three years or more to get a business to the point where the Boomer’s Business already is. You buy a going concern with a proven track record.
They get a deal where they make money from their business, instead of abandoning it or leaving it to employees who are not prepared to manage it.
What Do You Need to Buy a Boomer's Business?
You can get owner financing, but that doesn’t mean you need no money. You need:
- A business entity, LLC or Corp ($400)
- Legal help for contracts and structuring the deal ($1,500+)
- Accountant to check the numbers ($500+)
- Money to pay rent, staff, or whatever monthly business costs exist. ($?) (You may be able to negotiate for the seller to cover these costs for a period of time.)
SubTotal $2,400
Backup for monthly and unforeseen costs. $2,600+
You should also have:
- A good credit rating or build your business credit.
- Good enough health, energy, and stamina to do whatever it takes to run the business you buy.
- Room in the deal’s numbers to cover staff.
- Leadership and charisma to quickly get current staff behind you.
- Nice to have: experience running a business.
How to Get Your Start-Up Money?
To buy a $ Million business with just professional costs is crazy great. But what if you don’t have that money? Should you borrow from family and/or friends? I say No.
Like others who have built businesses to millions with no money to start with, earn your seed capital with another business. Johnathan Gooch built an In-Home Medical Care business to seven million in four years. He had no money to start with, so he washed windows to get the funds he needed.
Now, if you are a Baby Boomer, you may not be able to wash windows. But what could you do that’s fast money and enough income to fund the $3,000+ you need?
Auto Detailing is fast, so is Lawn Care, and House Cleaning. When Angela Logan needed to keep her house from going into foreclosure, she baked 100 Apple Mortgage Cakes in her kitchen to stop the bank from taking her home.
If you’ve got skills, Graphic Design, Websites, Copywriting and more, you can do work for local businesses from your computer and make what you need. Got sales skills? Mark Cuban said that if he had to start over he’d get a sales job. Mark Lemonis said he’d sell cars. Could you sell a high-ticket item to build your seed fund?
Angela Logan, Apple Mortgage Cake – on Today Show. Started baking cakes at home to save her home from foreclosure.
Begin With the End In Mind
You’re buying a business in full operation.
You’ve paid top dollar, as an incentive for them to carry the paper.
You’ve negotiated terms that allow for making payments to the seller and covering staff.
Your Boomer Business seller did not have a viable secession plan, but you should. Going into this business you should consider what you want your End Game to be. How will you accomplish not only business success, but build the vision you have for the future
- Do you have a son or daughter or another relative who would like to – and be able to – run this business?
- Will you be able to grow the company and/or improve its financials, so you can resell it at a good enough profit?
Before You Buy a Boomer's Business
Make sure you’ve got a strong foundation before you buy a Boomer’s business. If you’ve not there already, build your picture up first, financially and with business skills.
You can begin building your business credit before you even buy the business.
Consider an industry that’s attractive to you.
- Learn the ins and outs of the type of business you’re interested in. It makes sense to get a managerial job in one, if possible.
- Develop relationships with vendors in that industry. Vendors can give more favorable terms (like 60-90 days to pay, instead of 30 days) to people they know and like. Let that be you.
- Become ready. This is a huge opportunity but you’ve got time to secure your finances before you jump into a deal.
Here are two classes you may want to take.
1. David C Barnett – Business Buyers Advantage course $450
2. Codie Sanchez – How to Buy a Business course $2,000
Where to Find a Boomer's Business to Buy?
There are 2.5 Million Boomer Businesses poised for change.
There are 10 Thousand Baby Boomers retiring each day.
Meet and talk with people involved with small businesses and sales.
- Business Brokers post a list of businesses for sale
- The Chamber of Commerce knows about businesses in its area. Visit them.
- Small businesses are scattered throughout your neighborhood. Go and meet the owners and tell them you are acquiring businesses.
- Find websites, social media, and Yelp pages of small business owners. Reach out to them.
- Identify others who may know who candidates for selling: Business Attorneys, Accountants, Realtors, and more.
Codie Sanchez, YouTube
What's Next For You?
After acquiring your established, already-profitable Baby Boomer business, you can grow it. You can establish systems, staff training, marketing, and relationships.
You could teach others what you did to succeed and grown, with courses and webinars.
You could invest in real estate, but as you’re finding the ROI on buying or building a business can be much greater than from real estate.
And/Or
Buying a Baby Boomer Business may be your “what’s next” step.
