Should I Buy A Business That Is Only Breaking Even?

There are some very good opportunities for business buyers if they have the vision and energy to buy a business that is only at break even. Obviously, the business needs to be in a catagory that has upside potential or fills a niche market. Many businesses on the market were started from scratch a few years ago and as the economy slowed, owners worked hard to build it to a break even status. Now, the owner is wanting to sell, but the business is not profitable.

The economy of the past few years has drained some new startups of their financial resources. Owners have built up a customer base and have really done all of the hard work of getting the business to break even.Unfortunately, they can’t hold on long enough to reap the reward. Many of these businesses can be bought for a very attractive price.

This is where a new buying opportunity is attractive and new ownership can take a business to the next level. We all know that it takes working capital to start a business. Why not take advantage of the effort and resources someone else has invested and take advantage of a business opportunity that is on the edge of being profitable.