We often have people say to us they have been looking at acquiring a business for a long time but can’t find the business they want. Generally these are people or organisations looking to grow through acquisition or to manage the business themselves.
On any give day there are thousands of businesses on the market so it should be easy to find the type of business you are looking for. This often isn’t the case and there are a number of factors that influence your ability to locate a specific business opportunity.
Many businesses are not advertised for sale.
There are a large number of businesses that are not advertised publicly. There can be a number of reasons for this however privacy concerns are generally a dominant reason.
These businesses are generally sold via targeted approaches to potentially buyers that have been identified and through networks of contacts we have in various markets.
In a way it can be considered a bit like the job market where a high percentage of corporate appointments are not advertised but filled via contacts or even by head hunters reaching out to candidates.
The business may not be on the market.
When we have a clear picture of the business a buyer is seeking and if we cannot identify an appropriate match on the market we often make contact with suitable businesses to see if they may be will to sell.
In general the response we are given by the majority of owners if we aske would you sell your business is that at the “right price” they would sell, this doesn’t mean that their perception of the “right price” would be market reflective.
Because of this it is important to identify likely acquisition targets that are likely to be suitable this could depend on your needs such as:
- Is the business running under management
- Are you seeking growth through acquisition and to absorb an operation or have it stand alone
- Can it be relocated
- The level of potential investment required
- Industry and specific business type
If you are considering acquiring a business and need help locating the right opportunity complete this short questionnaire and we can contact you to let you know how we can assist.