Buying a business – Past Performance?

We recently posted the 8 questions to ask when buying a business, now we highlight each question in a little more detail.

What does the business’ past performance look like?

Before you buy a business, study the business’ past performance. Ask for and have your accountant or business broker look at  the last three years of the business’s financial statements.  Also make sure you find out who prepared this financial data, i.e. were they prepared by the management, a business broker or by a certified accountant?

If you don’t like what you’re seeing or feel that you’re not seeing everything then ask the seller for permission to see the actual business records and get your own audit done.

About Brightblue Transition Solutions

Located on Vancouver’s North Shore we are the premier business broker in the lower mainland, contact us if you need any help buying or selling a business in the greater Vancouver or lower mainland areas.

Posted in All Posts, Articles, Buying a Business

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