We have begun to receive some of the completed buyer surveys from the first 300 + respondents. So far, there is some astounding data being accumulated. I want to discuss the results in segments over the next few weeks because it is very compelling.
Two eye-opening statistics have emerged thus far: 68.2% of the respondents have been looking for a business for over seven months. In that time however, 66.5% of the same respondents indicated they had either met with or visited fewer than three sellers.
I can promise the entire lot of the respondents that unless you change your strategy, you will still be looking for a business in a year from now, and every year thereafter.
You cannot buy a business sitting in front of your computer.
You cannot buy a business if you are a perennial looker.
To be successful, you have to get into the game! You have to meet sellers, visit business and lots of them. That is the only possible way you can determine the fundamentals you want in a business, and what constitutes the type of business you wish to purchase.
Meeting with sellers allows you to get into the habit of quickly and effectively analyzing a business, compiling a valuation, and above all, gets you over the hump to present offers.
Preparation and practice are critical to buying a business. If you are not prepared, and you are not practicing, you are going nowhere quickly!
Buying a business is an overwhelming process until you get into the various steps and understand what to do at each stage. Then, it is a very manageable one. But one thing is certain, until you get busy, roll your sleeves up, get in front of live sellers so you can ask your questions and drill down into the analysis of a business, I promise that you will become one of the industry statistics of 90% plus who never buy a business.
Until you get out into the market, don’t claim that you are trying to buy a business. The only thing you are doing is wasting time.
I trust that by next week’s column you will have visited and/or met with two to three sellers. If you are stuck in the mud not making much progress and your experience mirrors the buyers I’ve discussed here, then learn how to go about this the right way. You can start that by visiting www.diomo.com to learn how to successfully navigate your way through this process.
Next week, we will discuss one statistic from the survey that still has me shaking my head in disbelief.
Have a great week.