The latest stats tell us more Kiwis are buying businesses at the moment. The experts say, do your due diligence before you close the deal. How have your experiences with buying a business gone? What did you learn along the way?
If you’re thinking about buying a business, we’ve written about it in Stuff and on HOW:TO today so check out the article on our HOW:TO articles headlined, Interest spikes for buying a business. Two seasoned PwC NZ partners, John Fisk and Richard Nacey give their advice on how to approach buying a business and red flags to look out for. We’d love to hear your stories too to bring this all to life. Thanks!
Hi 
Andre here based in Levin. Exciting to connect on this platform to learn. I’ve noticed age 50 is often when people give owning a business a go. I’m aged 47 a salesman with years of making other business owners wealthy in the cities. Now I’d like something for myself having settled back in my farming hometown which is predicted to boom and transform in to a satellite city between Wellington and Palmy. There is a franchise today on the market in home decorating asking 600k. The owner/operator is retiring to Perth after servicing Levin for 20 years. UK Wallpapers, Paint brands, Curtains and Blinds, Flooring. There are housing projects commencing first lot 400 new homes and population boom to reach 80,000 long term. I’m considering approaching because as an interior designer renovating my first Villa I feel I know enough to transform this sleepy little business. Areas for growth Lighting, Chandeliers and Furniture also my ‘client liaison’ background. Usual fears such as can I generate enough business to pay the existing 3 staff wages every week. Has anyone else purchased a franchise whom has any lessons they can share or mindful tips? Given the obvious potential here I want to gulp and jump as currently between jobs about to explore financing and investment through usual channels plus email owner with enquiry questions. Best Andre.
Andre, you have reminded me it would be a great idea to write an article for Stuff Business and for HOW:TO on the pros and cons of buying a franchise. I will hopefully have something thing on this in the next week or two and would welcome more discussion on this in the Forum’s Live Chat. Thanks so much for your views.
Thank you Gill, that article would be a useful resource especially highlighting for those what one’s purchasing for the asking price prior to negotiations. Discussions while at architecture school often concluded that ‘starting a business from scratch’ was financially smarter and often the model most preached by international entrepreneurs who started global brands in the home basement, kitchen or garage.
Andre, I’m going to put a question out today on the Forum Live Chat on deciding between buying a franchise and a stand alone business which might provide some more inspiration for you too. Thanks so much for sharing your situation.
@Andre_Thompson, my first article on buying a franchise is on Stuff today and you’ll find another version on HOW:TO in the articles, headlined More independent business owners are considering moving on to a franchise experience. More to come! Thanks for your interest.
@Gill_South Thank you for this article and will absorb tonight to determine a direction after this 2 month break. With the Franchise structure, yes to HQ support but no to ideas being shelved by risk aversion corporates as us creatives seek to break outdated moulds and inject dynamic expansion. Found this $1 book attached on kiwi midlifers also very helpful. Appreciate all the traction on offer from this platform.
