Hello, I am 23 and wanting to start my own business. The company I am currently working at and have been employed with for 3 years is closing down (owners are retiring, sold the land for 15 million) and selling product ranges to competitors and anyone who is interested in purchasing. When purchasing a product line you receive all the customers that are already purchasing with it along with all overseas manufacturing. I have worked it out that I require 250k total for equipment and storage. The banks are saying that I do not have enough equity in my property for a additional loan. What avenue could I take?

  • Bob-Roman@alien.topBEnglish
    1·
    11 months ago

    I would huddle up with one of the industry consultants to determine viability of acquiring just one product line.

    For example, have you considered there may be a loss of synergy by not having all of the product lines under one roof?

    Owners sold the real estate. Does this mean loss of existing showroom and warehouse to sell products from?

    Price and funding aren’t the only factors that need to be evaluated in buy/sell transaction.

    You said $250K for equipment and storage (rent?). What about capital to operate business day-to-day and inventory.

    “When purchasing a product line you receive all the customers”

    Maybe so, but your deal doesn’t include assets like cash in checking account.