To Build or Buy Bus 402
Course: BUS 402
January 29, 2012
My business strategy is to purchase an existing tea and coffee shop which is located a mile away from where I work in Ashburn, Virginia, the business is call Sakasa tea and coffee. Sakasa is located next door to George Washington University and directly across is a chick fil a and a small hotel also it is right off a major highway so it has a great location. The reason the owner is selling is because of health issue and as a result, he cannot run the business the way it should. The business is making a profit of $2000.00 dollars a month on average after paying all expense. But I feel he can generate $5000.00 a month on average if he markets the business. The current …show more content…
I feel it will be better to buy an existing business, despite it may involves risk. But I can minimize my risk by purchasing an existing business rather than to create a new business. When buying a business require a great deal of analysis and evaluation to ensure what meet my needs and expectations. By exercising my patience and taking all the necessary time to research a business before buying it, are essential to getting myself a good deal. The good thing about buying an existing business is one of the fastest pathways to ownership (Scarborough & Zimmerer, 2012). By purchasing an existing business saves time and energy also by buying an existing business you get a business that already generating cash and also a profit. Location is critical in purchasing an existing business, a location that provides a significant competitive advantage may be the reason enough for you to decide to buy instead of build.
They are plenty of advantage of buying an existing business. The business I am buying is a successful business and this business will continue to be successful cause of the client-tells. A business that has been successful for a while will often reflects an owner who has established a solid customer base and with their suppliers. On the other hand, when thing have gone