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   We have found that those who are good at managing money and people can succeed at most businesses. With that said, it is important that you find a business that you will enjoy owning. A business that fits your lifestyle and provides a product or service you can see yourself involved with. Many people have come to us strictly motivated by the amount of money they can earn and a few years later contact us to sell their business because they are working 80 hours a week and don't have time to spend what they are earning. This is where knowing the lifestyle you want matters. 

How much can you afford to make? If you want or need to make $100,000 or $1,000,000 we can make that happen. Our typical rule of thumb is that a buyer can buy a business that earns an amount equal to what the have available for a down payment. If the business is qualified for SBA financing, you can expect to earn 3 - 5 times the amount you can put down. Typically the SBA wants a buyer to be able to earn an amount equal to their past year's income after debt service. If you earned $200,000 last year, they know you won't be happy buying a business that earns half that 

Our inventory of businesses for sale is constantly changing with some being sold and new ones signing up to sell. If you don't one that interests you in current inventory, we can help you find one through our vast client base, we can assist you as a buyer agent, or you can hire us to find the exact business you desire. 

The typical process for buying a business you have found and are interested in, work like this:

• An initial inquiry is made on a business currently marketed for sale

• A Non-Disclosure Agreement (NDA) is signed to protect the seller. (Most don't want their employees, customers or employees to know they are for sale.)

• A Business Information Report is sent to you for your review. This includes an overview of the business, ideas for avenues of growth, any weaknesses and typically, financial reports for the past three years. Keep in mind that the majority of small business owners do not prepare their tax to impress anyone. They prepare them to minimize the taxes they must pay. With that said, the Seller will ultimately be required to prove to the buyer that there cashflow number is true. 

• When applicable, we encourage buyers to visit the business as a normal customer, not drilling  employees about the business, as we said, just being a typical customer. At this point, if you have interest in the business we go to the next step.

• Our Broker will set up a meeting with you and the Seller, typically, before or after hours, where you can meet the seller, learn how they started or purchased the business, about the operations of the business, employees, suppliers, etc.. You will then have the opportunity to ask questions about the operations, suppliers, employees and finances. The only thing we ask is that no negotiations or talk of pricing takes place at the meeting. 

• If after the meeting with the Seller you determine you would like to buy the business, we will prepare a written "Offer to Purchase" form for your approval. We require that all offers we prepare contain contingencies protecting the you  during the buying process. An example might be "This offer is contingent on the Buyer's review and approval of the business financials". Your Broker will then present your offer to the Seller.

• If the Seller agrees to the offer, the buyer then begins their Due Diligence period. 

• We recommend that before the buyer invests money in attorneys, accountants or other professionals, they sit with the seller and go through the business' bank statements. This review doesn't take much time and allows the Buyer to determine if the Seller's stated cashflow was accurate. If it looks like it is, you move on with professionals and if it isn't, either you walk away from the deal or look to renegotiate the sales price. Note: Tax returns are done to avoid paying taxes and few business owners are proficient with accounting programs, meaning there is a good chance that the business records are not completely accurate. The one thing that is accurate is the bank statements. 

• If the check of bank statements looks good, the buyer proceeds with a thorough review of all aspects of the business.

• If due diligence is completed successfully and the buyer wishes to complete the purchase, they begin getting business licenses, insurance, credit card processing etc.. Capital Business Brokers will provide a list of most items needing to be completed . 

• Following closing, the Buyer and Seller will begin a transition period whereby the Seller will work with, and train the buyer in the operation of the business. The transition/training period can last from two weeks as much as a year. 

The vast majority of the businesses we sell are priced at a multiple of what the Seller earns from the business. For example a Auto Body Repair Shop owner might state that he has a cashflow of $200,000 per year and accordingly, we price the business at $500,000. Capital  Business Brokers does not verify financial information provided by Sellers. We take everything the Seller tells and shows us as at face value. It is the Buyer's responsibility to verify any information provided by the Seller.