BUYING A BUSINESS:
Purchasing a profitable business can be an exciting and fulfilling undertaking. This can mean an immediate return on investment and the convenience of taking over a positive cash flow business. However, making an investment in a business involves making sure the business is profitable and a perfect fit for you. Having an experienced business broker in your corner is the key to a successful transaction. Atlantic Business Brokers has assisted many clients in the business purchase process. We help define which type of business is the best fit for you, and then assist with the transition into it. ABB offers no charge consultations in strict confidentiality.

PURCHASING AN EXISTING BUSINESS:
Buying a well-established, profitable, business has some excellent advantages over starting a new business on your own. Some of the biggest advantages are being able to review past financial information, such as P&L statements, tax returns and balance sheets. You also have Seller training, an established name, preexisting accounts, a built-in customer base, and trained employees. The biggest advantage to purchasing a business is IMMEDIATE CASH FLOW. When opening a business on your own it can take months or even a couple of years to see the slightest profits. A government survey in 2019 showed that 65% of new businesses fail within the first three (3) years. An established existing business that is purchased by a new owner, shows a much higher success rate.

FINDING THE RIGHT BUSINESS FOR YOU:
All too often, new owners jump into a business venture, overwhelmed by the strenuous workload of starting a new business from the ground up. Whether we have the appropriate business listed that you want, or we must make an individualized search to find you the perfect business, Atlantic Business Brokers will do the leg work to find you the best fit. We will make an offer on your behalf, provide financials, lease, an inventory list and employee information. To ensure confidentiality for all parties, Atlantic Business Brokers requires a non-disclosure agreement (NDA) to be signed.

FINANCING YOUR PURCHASE:
There are a few ways to purchase a business; cash, an SBA loan, a HELOC (Home Equity Line of Credit) or business owner financing. Of course, cash is king. You will most likely buy a business for the best price when you have cash on hand. SBA loans are the most popular way to finance a business purchase. SBA loans usually require 20/25% down for business acquisitions that do not include real estate. Many banks offer SBA loans. In many cases, it is best to inquire with the bank that the seller has been using for their business banking. If you own a home, and have equity in your home, a HELOC loan might be your absolute best option. Your bank can give you attractive rates and flexible terms for consolidating debt, home improvements or buying a business. A HELOC loan can be used to purchase almost anything, and you can normally receive your cash quickly. Often, the sellers tax returns do not show enough profit for a lender to make a business loan. This is when owner financing is the best or only option. Owner financing is when the buyer makes payments directly to the owner rather than acquire financing from a lending institution. Owner financing might also be an option with other types of financing mentioned previously. A typical owner financed arrangement is 30% owner financing, with 70% cash, or another type of financing.

THE CLOSING PROCESS:
Once you have selected the business that works for you, that is when we really go to work for you. ABB will be instrumental in structuring and negotiating a price and terms that you are happy with. Our firm provides an LOI (Letter of Intent). This form is essentially a blueprint for your attorney to lay out the structure of the sale. The escrow attorney will then draft the P&S (Purchase & Sale Agreement). ABB will make sure that the escrow attorney has all available documents from the seller to close on the desired date. The closing process is not like a real estate closing. The paperwork is minimal and transactions usually close in 30 days or less.