John Golden, the host from Sales POP! and Pipeliner CRM, shares some golden nuggets from the latest Expert Insight episode with Neil Greenbaum, the brilliant founder of the Greenbaum Law Firm. If the idea of diving into business ownership has ever been toyed with, this episode is a must-listen! Here’s a sneak peek into the conversation that might just change an entrepreneurial journey.
Key Takeaways from the Chat:
1. Why Buying Beats Starting:
- Proven Track Record: Nearly 50% of new businesses fail within the first five years. Buying an existing business with a solid history can significantly reduce risk.
- Immediate Revenue: An established customer base means earning starts from day one.
- Supplier Relationships: Existing contracts ensure a steady flow of materials and services.
- Brand Recognition: Save time and resources on marketing with a recognizable brand.
2. Due Diligence is Crucial:
- Financial Health: Dive deep into financial statements and tax returns.
- Contracts: Review all agreements to avoid hidden liabilities.
- Lease Terms: Understand the lease conditions if the business operates from a rented space.
3. Smooth Transition Strategies:
- Communication: Keep key employees in the loop to build trust.
- Employment Contracts: Offer stability to essential staff.
- Introductions: Facilitate meetings with key suppliers and customers.
- Post-Closing Support: Have the seller stay on for a while to ensure a smooth handover.
4. Managing Change:
- Incremental Tweaks: Avoid drastic changes; understand why the business succeeded before making adjustments.
5. Finding the Right Fit:
- Self-Awareness: Choose a business that aligns with skills and interests. If great at sales, find a business where one can shine!
6. The Role of Advisors:
- Candid Feedback: Seek advisors who will honestly assess the fit between the buyer and the business.
7. Success Stories & Trends:
- Service-Oriented Businesses: Especially those with remote capabilities are trending.
- Traditional Businesses: Restaurants and retail businesses with a long history continue to thrive.
8. Long-Term Commitment:
- Plan for the Long Haul: Consider a ten-year commitment to stabilize and grow the business.
9. Family Support:
- Get Everyone On Board: Ensure family is supportive of the time and effort required.
10. Financial Considerations:
- Retirement Plans: If nearing retirement, consider if business ownership is the right move or if other investments might be better.
Neil’s expertise as a transactional attorney specializing in commercial real estate and corporate transactions added immense value to the discussion. His practical insights are a treasure trove for anyone considering buying a business.
Ready to Dive Deeper? Tune in to the full episode to get all the details and hear Neil’s expert advice firsthand. Trust, this is not to be missed!
Our Host
John is the Amazon bestselling author of Winning the Battle for Sales: Lessons on Closing Every Deal from the World’s Greatest Military Victories and Social Upheaval: How to Win at Social Selling. A globally acknowledged Sales & Marketing thought leader, speaker, and strategist, he has conducted over 1500 video interviews of thought leaders for Sales POP! online sales magazine & YouTube Channel and for audio podcast channels where Sales POP! is rated in the top 2% of most popular shows out of 3,320,580 podcasts globally, ranked by Listen Score. He is CSMO at Pipeliner CRM. In his spare time, John is an avid Martial Artist.
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