5 Business Risk Factors to Consider When Buying A Business

5 Business Risk Factors To Consider Before Buying A Business

1. Are all processes and procedures clearly documented (position descriptions, supplier agreements, customer agreements, etc)?

2. How good is the communication within the organization (free flowing, honest, ‘no blame’ culture)?

3. What condition is the plant and equipment (modern, efficient – not outdated)?

4. What level of cooperation is there within the business (no silos, compartments, internal rivalry)?

5. Can the business run without the bosses for extended periods?

These are just a few areas I recommend investigating before you buy a business.  You can find more business buying tips in previous articles or the BizBuy Kit.