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scooby_doo_do

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Looking at spending some cash and buying a business.. I don't know what in, or what i should be looking for to tell you the truth, but is it possible to run a business without any prior knowledge?

 

For instance, i've found a Beuty saloon (Wait for the comments :-)) that is both local and seems relativly cheap. Just wondering if i could buy it and let it pretty much run itself to make a profit?

 

any help/suggestions much appreiciated.

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Register your interest in it mate with the agent and have a look at the books. Problem with buying a business is that they are quite often overpriced, simply due to the agent trying to make as much as possible.

 

You don't need to be a beautician to run a beauty salon, in fact 4 out of 5 startup businesses fail because it is usually a technician that is good at doing what they do that starts their business, but they're not good at business\finance\management\entrepreneurial skills etc etc. ie the mechanic that opens a garage because he is a cracking mechanic, but ends up in the sh*t because he hasn't a clue on company finances etc.

 

Look at Ray Kroc who started McDonalds, he was a salesman that saw a good idea at a burger bar, standardised it, packaged it and the rest is history. Richard Branson is another example.

 

So no, you don't need to be a beautician ;)

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My advice is that you should focus on an area you know something about and go from there. Business Angels will lend you money but only if you have vision, a goal and an understanding of the area you are entering.

 

With respect, stating that you want to buy a business but you have no idea what, implies disaster imo. Look for a niche in the local area, research it and then look at spending money.

 

When buying a business make sure you get a decent solicitor and make sure you have a detailed due diligence questionnaire. Also have an accountant look at the books.

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cool - This was one of the examples i thought of. http://www.businessesforsale.com/uk/-For-Sale-664.aspx

 

Other than that - i've had a very unique idea for a bar for the last 4 years, that i'm pretty sure would make quite a bit of money if done correctly and in the correct area. Only downside to it, is i've never worked in a bar, never run a bar, or a business.

 

i'm bored of doing my current job and want a change :-(

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Other than that - i've had a very unique idea for a bar for the last 4 years, that i'm pretty sure would make quite a bit of money if done correctly and in the correct area. Only downside to it, is i've never worked in a bar, never run a bar, or a business.

 

i'm bored of doing my current job and want a change :-(

 

 

15 years in the trade and its a very hard one fella! Everyone says that they would love to open their own bar etc etc as all they see is the doors open and you supposedly rake it in. The behind the scenes bit is long and tiring. The government are making it harder to set sensible prices and everyone wants a drink for pence... my advice... dont do it with a bar :(

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I was going to suggest the beauty salon idea, it is definitely a growing market with more and more people using them regularly. Also if there are already trained technicians insitu then you would just need to count all the money your making.

 

I have to admit, opening a beauty salon is something I would love to do, just need to be financially secure to do it, so if you can go for it.

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options:

 

Off the shelf

Franchise

Startup

 

Google all the above for pros & cons.

 

Choose an industry you know about.

Plan Plan Plan!

Budget everything and then load your final figure by 20%

 

I've done a few startups now which I have sold on for profit and its pretty hard but very rewarding as well.

If you are buying off the shelf cut out the agent in my experience, deal with the business owner direct - it cuts out the bullshit and price hikes.

 

Also remember if the business is for sale there may be underlying reasons for this, check their books and make sure they are verified via accounts/tax records.

 

Ideally get a silent partner involved.

 

Think about buying a failing business - you can get these on the cheap and make them profitable in stages. Look at what you could add in terms of value and content

 

Alternativley look at doing property, good returns and its a buyers market at the moment. Dont be too scared of whats in the media, still lots of good deals out there. Ive just bought two properties in the last two months both of which are making me £450 a month just on 'rental VS mortgage payment' - if you are in it for the long term a short term downwards trend in the housing market is negligable as it will soon start peaking again (unless theres a crash which is not immennant) PLUS if house prices are falling less people buy and more rent - this means a bigger letting market. after 6 months + you can remortgage the equity and buy another two, before you know it you will have a portfolio earning you a nice little packet. You can easily borrow initial funds for the deposits especially if you are a home owner, just dont tell your mortgage company what you are borrowing for :)

 

Hope that helps

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I looked into this a few years ago and the most profitable vs investment at the time (3 years ago) was Post Offices. I saw a few for less than 100k with 65k salaries attached. Has a risk element as in the contract could end but you just need to check a long term contract is in place.

 

I looked at a lot of post office properties with a view to making them a newsagents/internet cafe combination. The post office loves forward thinking enthusiastic people (so their advertising says!).

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I looked into my own business before but it didn't take off. I was putting pubes into bars of soap so they looked the same as when people had used them for a while!

 

I think the Beauty Parlour idea is a good one. There are a lot of ugly women knocking about who could do with sprucing up, problem is that most of them don't realise that they are beyond help but they pay the money anyway! Ever heard the phrase "You can polish a turd all day!!":d

 

A funeral directors is also a good un' as you are never going to be short of stiffs to fill the books with....;) If work gets slack, you can always knock off a few coffin dodgers!!:D

 

HTH!!

 

H.

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My mate who works in the business lending side of a bank says the most profitable businesses - if run properly - are take-aways. No wonder there are so many of them around. Also Internet Cafes, and cafes in general. Best of luck mate.

 

Exactly right. Plus its a lot of cash also which means you don't exactly have to declare every penny ;)

 

Gaz.

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