A business flipper who prefers growing businesses, told me that finding small profit owner operator businesses where the owner is close to retirement and wanting to sell, is easy. Lots of motivation in that group.
My plan is to negotiate seller finance terms and then assign the purchase contract to people interested in owning their own business for 0 down (technically there is a down payment but deferred 1 year. Cash flows help to pay it off). I'll take 3% of the gross revenues, paid monthly.
Can you guys advise me on how to find people interesting in "buying" a business that makes $40-$80k/year?
My plan is to negotiate seller finance terms and then assign the purchase contract to people interested in owning their own business for 0 down (technically there is a down payment but deferred 1 year. Cash flows help to pay it off). I'll take 3% of the gross revenues, paid monthly.
Can you guys advise me on how to find people interesting in "buying" a business that makes $40-$80k/year?
- Debt service will be heavy. For example, on the low side of 40k earnings, 80k purchase price, the payment to seller will be around $730/month for 10 years. And then there's the year 1 down payment withholding ($700/mo) and then my 3% of revenues (another $200 or so).
- For a business that only makes $3,350/mo that's a lot of debt to pay off and probably the hardest part of the sale. Year 2 and beyond should be better though.
- $1,650 (almost half the income) goes to debt service on year one. Then $950/month for the next 9 years.
Dislike ads? Become a Fastlane member:
Subscribe today and surround yourself with winners and millionaire mentors, not those broke friends who only want to drink beer and play video games. :-)
Membership Required: Upgrade to Expose Nearly 1,000,000 Posts
Ready to Unleash the Millionaire Entrepreneur in You?
Become a member of the Fastlane Forum, the private community founded by best-selling author and multi-millionaire entrepreneur MJ DeMarco. Since 2007, MJ DeMarco has poured his heart and soul into the Fastlane Forum, helping entrepreneurs reclaim their time, win their financial freedom, and live their best life.
With more than 39,000 posts packed with insights, strategies, and advice, you’re not just a member—you’re stepping into MJ’s inner-circle, a place where you’ll never be left alone.
Become a member and gain immediate access to...
- Active Community: Ever join a community only to find it DEAD? Not at Fastlane! As you can see from our home page, life-changing content is posted dozens of times daily.
- Exclusive Insights: Direct access to MJ DeMarco’s daily contributions and wisdom.
- Powerful Networking Opportunities: Connect with a diverse group of successful entrepreneurs who can offer mentorship, collaboration, and opportunities.
- Proven Strategies: Learn from the best in the business, with actionable advice and strategies that can accelerate your success.
"You are the average of the five people you surround yourself with the most..."
Who are you surrounding yourself with? Surround yourself with millionaire success. Join Fastlane today!
Join Today
