Keep Safe

Seek advice
Buyers should always consider seeking assistance from professionals such as Valuers, lawyers, financial advisors or accountants when undertaking the process of due diligence. It’s advised that you shouldn’t cut corners with this activity, it’s always better to spend money up front than to suffer the consequences further down the line.

Keep Safe
When buying a business there are important things that you should remember. As a buyer you will not be covered by consumer rights legislation. Almost all retailers will accept a return of any unwanted items etc, however, the same cannot be said about the purchasing of a business.
It is the responsibility of the buyer to ensure that the business being purchased is what is expected. The importance of undertaking careful due diligence cannot be underestimated.

If it’s too good to be true
Undertaking due diligence can be more straight forward when purchasing a going concern, this is mainly because there is a current record of how the business is performing. A dormant or not trading company may not have such records and so the buyer won’t necessarily know what it is they are getting for their money.
Do consider seeking professional advice, even if it costs more than the business itself, don’t be afraid to ask for legally binding documents / references from other buyers. If you find it difficult to understand how a business is making money, then it’s better to just walk away.
Above all, use your gut instinct and common sense, if something seems too good to be true then it most likely is.