I am a 22 year old recent grad working as analyst in Florida. No debt of any kind, have 45k saved up (HYSA, stocks, and retirement fund) and in the future (3-5 years) I am possibly thinking a acquiring a business through financing. I currently live at home which allows me to save a lot and I have been saving my money since I was 18. I know 45k now is nowhere near enough money to finance a business or is not a lot of money in general but I plan to save more money in the upcoming years. Also I do not believe I am ready now to acquire one as I am still learning the process that goes into buying/financing a business such as looking at revenue, P&Ls, red flags, and having extra money for a lawyer to go though the process with so I do not buy a failing business and an accountant to not get scammed like when sellers create fake documents and P&Ls to make it seem they are making money when they really are not.

I am interested in laundromats, a car wash, and possibly a convenience store and when acquring the business I plan to leave my job to focus working at that business.

These are list of questions I have pertaining to this thought.

  1. What businesses should I look into or avoid?
  2. How much money should I have before going into buying a business?
  3. When to know to make the jump?

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  • Human_Ad_7045@alien.topBEnglish
    1·
    1 year ago

    If you want to get a feel for businesses and prices, go to the website Bizbuysell.

    Personally, I favor service businesses and I’m dead-set against anything retail, including C-stores (open 7 days, long, late hours, staffing issues, theft and very low margins).

    Financing a business will be a challenge. SBA generally requires 2 years in business and a personal guarantee with a high interest rate structure of 14.5% up to $250k.