January 2011 Newsletter

January 2011 Newsletter

You’ve just bought a business – so make it yours NOW!

Business brokers see a few business buyers make this major mistake every year. They want to make an impact right away. That’s understandable, but don’t make big changes your first day! You are the biggest change the employees and customers should deal with after you buy the business. Let them soak you in for a little while.

When you buy a business you must first learn the business, get to know the customers, and have time with the employees. Since the business you bought had a certain level of success, spend as much time as possible with the seller of the business to learn what has worked, what was tried and failed, and what areas to target for growth. If the seller was comfortable working only 15 or 20 hours a week, don’t think you can do the same when starting out. You should plan on at least 40 hours a week to get immersed in the business.

If your attorney or accountant says you have to “fire” employees and then rehire – pause. Remember, employees (your new major assets) are most likely very nervous when they discover the business was sold and are faced with a new boss. Wouldn’t it be better to tell the employees how excited you are and that they need to sign new w-4 forms for the new entity to ensure their paycheck arrives on time? Unless you are looking for a major revolt, don’t insist that they fill out employment applications or have new background checks done. Of course there may be times that doing so may be required for licensing, insurance, contracts, etc., but there is probably a positive spin on the process. Remember, you’ve bought a business with experienced staff, allow for some time to make alternative staffing decisions. Contact your Apex Business Advisor for other helpful tips.

Apex Advisor Search:
We are seeking a top sales executive who has a solid business background wanting to be part of a deal making team. If you or someone you know is passionate about helping others achieve success while earning a six-figure income, please contact me for a personal conversation.

Recent Transactions Completed:
Commercial Cleaning Business – Overland Park, KS

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