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Thread: Buying another company???

  1. #26
    Join Date
    May 2012
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    Ontario, Canada
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    Re: Buying another company???

    I've been bitten by this idea several times at different levels and I always screw myself over.



    they have a pretty bad reputation
    No.

    If you move into his space, that reputation transfers to you.
    You can never ever shake that.

    Without a doubt, he has hidden debt, deferred maintenance, on building and equipment; ship's falling apart and needs money to fix.

    If he's been stealing from his deposits before the work is done, he owes all his suppliers too.


    He wants to sell a business, to you it's just a source of equipment at a cut rate.
    All the really good stuff gets taken home by him, all the good stuff gets stolen by the employees, you're left with what you find out later is junk.

    If he has orders locked in at a certain price, the increase in steel, materials costs alone put him the losing money.

    Ask to see the orders, get copies. Then go to them, verify it's real.
    He won't want to show you that. Either it's fake, or he's afraid of you stealing the business.
    If you do get the info, ask what he's doing poorly, and what he's doing well.
    Make them a customer of you.




    You don't want his business, you want YOUR business.
    Keep doing what you are doing.

    Grow at your own pace.
    Spend money where it makes money.
    Be flexible to go where the money is.

    If you want to make trailers, you don't need anything from this guy to do it.
    Plans are available for sale online.
    Don't build on spec, build for orders.


    Wait until he closes and sells off his equipment to get a chance at it for the real liquidation price.

    If you want the building, find out who the landlord is and talk to them directly.
    Maybe he's a couple few months behind on rent and ready to be tossed out.
    If that's the case, it's going to be rough to move everything and that's all in your favour.
    Last edited by 12345678910; 10-16-2021 at 12:51 PM.

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  3. #27
    Join Date
    Aug 2014
    Location
    B.C. Canada
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    Re: Buying another company???

    Quote Originally Posted by 12345678910 View Post
    I've been bitten by this idea several times at different levels and I always screw myself over.





    No.

    If you move into his space, that reputation transfers to you.
    You can never ever shake that.

    Without a doubt, he has hidden debt, deferred maintenance, on building and equipment; ****'s falling apart and needs money to fix.


    He wants to sell a business, to you it's just a source of equipment at a cut rate.
    All the really good stuff gets taken home, all the good stuff gets stolen by the employees, you're left with what you find out later is junk.

    If he has orders locked in at a certain price, the increase in steel, materials costs alone put him the losing money.

    Ask to see the orders, get copies. Then go to them, verify it's real.
    He won't want to show you that. Either it's fake, or he's afraid of you stealing the business.
    If you do get the info, try and make them a customer.




    You don't want his business, you want YOUR business.
    Keep doing what you are doing.

    Grow at your own pace.
    Spend money where it makes money.
    Be flexible to go where the money is.

    If you want to make trailers, you don't need anything from this guy to do it.
    Plans are available for sale online.
    Don't build on spec, build for orders.


    Wait until he closes and sells off his equipment to get a chance at it for the real liquidation price.

    If you want the building, find out who the landlord is and talk to them directly.
    Maybe he's a couple few months behind on rent and ready to be tossed out.
    If that's the case, it's going to be rough to move everything and that's all in your favour.
    X2^^^^^^


    Sent from my iPad using Tapatalk
    :

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  5. #28
    Join Date
    Jan 2020
    Posts
    39
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    Re: Buying another company???

    Why would you want to buy a company with a pretty bad reputation? Your not going to get his old customers back. Call the owner of the building and check it out, you may be able to get the building cheap if the owner evicts the tenant, call the suppliers of the business(steel and welding supplies, etc)and do a credit check, etc. JMHO

  6. #29
    Join Date
    Aug 2014
    Location
    B.C. Canada
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    Re: Buying another company???

    Quote Originally Posted by Bob-O View Post
    Call the owner of the building and check it out, you may be able to get the building cheap if the owner evicts the tenant. JMHO
    Or maybe the owner will clean the place up and advertise for rent at market rates.


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