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Anyone Know About Buying An Exsisting Business

cherrypie556
cherrypie556 Posts: 513 Forumite
Me and hubby are interested in buying the company he currently works for but its very expensive and we have no colletaral at all. Don't know much about what we can and cant do but have enquired anyhow. Found a site that needs 15% voluntary input, so thats around £53,000. Could we get a buisness loan for the full amount at all or get a business loan minus the 15% and then get another loan for that 15%. Hope i make sense.

Books and such are all availible for who ever needs to see them, the business is a long established business, running for 35 years and with a £440,000 turn over per annum and a 46% gross profit margin. So on paper this is an excellent oppurtunity and the banks etc can see that there is no problem getting their initial investment back, but need the money firstly.

Does anyone know of or can recommened a company who deal with large business loan amounts who can help us out. We are both very, very keen and both still young.

Comments

  • jonesMUFCforever
    jonesMUFCforever Posts: 28,898 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Why do you not have any collateral?
    If you did have a house would you be prepared to risk all my mortgaging it against the business?
    Why is the business up for sale?
    Is it the type of business that can be copied (cheaper?) by someone else?
    The fact that it has run succesfully for 35 years means nothing in today's world just look at ICI 20 years ago to what is left of it now!
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