Buying A Business
Set your budget. If you need to borrow money, obtain your bank's approval in principle to determine your limit. You will need a solicitor to purchase a business, so if you don't already have one, get one.
Register with SBX. Search the web for available businesses within your budget, preferred locations, and business types based on your experience. Email your SBX broker the Business Code of businesses of interest to obtain more detailed information.
Qualify the businesses by canvassing the locality and visiting the shop as a customer. Do not indicate in any way to anyone that the business may be for sale as the owner may not have made it known to their staff.
4. Meet the owner
Send your SBX broker date and times you prefer to meet the vendor. The broker will confirm the appointment and send vendor's contact details. You will be able to ask questions about the business, conduct a detailed inspection, view accounts, etc at this meeting.
After the appointment, when the vendor has authorised release of information to you, your SBX broker will send you information for due diligence leading to your purchase decision.
6. Submit an offer
Prepare your offer and email your offer to your SBX broker.
Your SBX broker will notify the vendor's solicitor and your solicitors about the sale. You transfer the deposit into SBX's trust account pending exchange and settlement.
You review and finalise the contract with the advice of your solicitor, then both parties sign and exchange contracts.
8. Satisfy conditions
If revenue is being verified through a trial, the daily revenue is recorded and tallied for the week(s). If accepted, the condition is satisfied. You apply for the lease to be assigned/transferred. If landlord approval is granted, the condition is satisfied.
9. Handover + Settlement
At settlement you pay the balance of the Sales Price and Stock at Valuation and the vendor will transfer business ownership into your name. The vendor introduces you to suppliers and key customers, and provides you training in the administration of the business.