Ready Made Companies for Sale
Many would-be business owners are turning to ready made companies for sale in preference to starting up their own business. We look more closely at the benefits of this approach, how to go about finding ready made companies for sale and why using Axis can help.
Ready Made Companies for Sale - Contact us now to discuss your requirements or click here to register with us.
Advantages of Buying Ready Made Companies for Sale
The alternative to buying a ready made company for sale is to start up your own business from scratch. But starting up a new business has many difficulties associated with it. A startup will generally consist of the business owner and perhaps a small team of people. This requires the owner to have technical experience of the business sector, perhaps from previously work experience. They also need management experience to run the business effectively, financial knowledge to ensure funding and cash flow, and marketing ability to generate clients and grow the business. Little wonder that a high number of startup businesses fail within their first three years, or never grow past the startup stage. Furthermore, most start-ups take at least 2-3 years to show a profit, which further inhibits growth.
It is often noted that the type of person needed to get a business off the ground is not the same type of person needed to run a business once it is established. They require different types of personality and different skill sets.
So unless the entrepreneur has a business idea which is completely new in some way, it can often make more sense to consider ready made companies for sale in the sector that they are interested in.
An established business offers many advantages compared to a startup. Most of these advantages relate to the fact that the initial problems of starting up a new business have generally been overcome. Perhaps most important of all is the client base, which provides an incoming buyer with an immediate revenue stream. But a ready made business will also have established business processes in place to deal with everyday business activities such as recruiting and paying staff, dealing with suppliers, fulfilling orders and so on. Key skills and functions will almost certainly be in place, either through in-house personnel, or outsourced to agencies, such as HR, accountancy, procurement, marketing and so on.
The most obvious disadvantage of buying a ready made company is the premium that you will pay. You may be able to start up a new company for as little as £10-20,000, whereas buying a ready made company can cost from a few tens of thousands to several million pounds depending on the size of the company and the operating profit. This premium reflects the hard work put into getting the company to its present level of success. But it should also be viewed as a way of reducing your risk. An established, successful business will cost more to buy, but it is a safer proposition than investing in a startup and will generally be recouped fairly quickly.
Existing businesses may also appeal to larger organisations wishing to add a particular function to their current portfolio. Buying a functioning business may be easier and quicker than starting up a new department or division. Furthermore, this can be a way of making a function which is ordinarily see as a cost centre within a business (such as HR or recruitment) into a profit centre instead, allowing it to continue generating its own business.
Finding Ready Made Companies for Sale
Axis Partnership specialise in selling ready made companies for sale in a variety of sectors and throughout the UK, with turnovers varying from under £50,000 to over £10million. Our primary sectors are Recruitment, Healthcare, Property Management, Manufacturing & Engineering, Commercial Cleaning, Service Business, Packaging and Logistics.
Here are just a few examples of ready made companies recently sold by Axis:
North West – Independent Industrial Recruitment Agency, turnover £6million – SOLD
Cornwall – Domiciliary Care Company, turnover £680k – SOLD
East Sussex – Managed Lettings Book, turnover £47,000 – SOLD
South East – Independent Multi-Office Lettings, turnover £2million – SOLD
Central England – Procurement and Supply Chain Agency, turnover £1million – SOLD
Hampshire – Established Residential Care Home, turnover £750k – SOLD
To explore the opportunities offered by ready made companies, register with Axis today to be kept informed of new companies coming up for sale. Alternatively we can also approach suitable companies on your behalf, and in complete confidence, enabling you to acquire a business which perfectly suits your interests and skills. Contact us now to discuss your requirements.