Why You Should Buy a Six Figure Business and How to Prepare

Did you know you can buy a six figure business at a great price without wealth? You absolutely can. We sat down to chat with serial entrepreneur Robyn Mancell about how she buys businesses. Robyn left her job in corporate America 30 years ago because she needed more freedom. Now, Robyn is President of Tam Elite Institute, where her team of investors and business owners have purchased 12 profitable & cash-flowing businesses. 

Robyn is on a mission to show people, especially people of color who are unrepresented in this market, how to buy a six figure business.

Let’s discuss why you should buy a six figure business and how to prepare.

This blog post may contain affiliate links which means we get commissions for purchases made through links in this post at no extra cost to you.

Why Should I Buy a Business?

If you’re already a business owner or someone thinking of going into business, you may be wondering why buying a business is important. 

Here are some reasons why you should consider buying a business.

Wealth Generation

The first reason is that buying a business can generate wealth. Currently, the baby boomers are retiring. Millions of baby boomers own businesses that are looking to get rid of those businesses because they want to retire. Robyn believes a majority of these businesses are profitable. Therefore, if you buy one of these businesses, you’re already getting a profitable business that is probably discounted. 

No Out-of-Pocket Costs

Did you know you can acquire many of these businesses without out-of-pocket costs? Robyn actively teaches people how to acquire businesses this way. For example, there are loans and other financing opportunities out there to make the dream of buying a business a reality. 

Requires Less Work

Everything requires some amount of work. However, when you buy a business, it’s already established. We already mentioned that you can opt for an already profitable business. But in addition to that, the business already has clients, a database, checks, and balances, and a system. This is a stark contrast to building a business from the ground up. 

What to Do Before You Buy a Business

It’s never a good idea to just jump into something without preparation. When you’re prepared, you make fewer mistakes, and you’re able to give a better assessment of the situation. With that said, here are some things to consider before you buy a business: 

Educate Yourself 

If you’re unfamiliar with buying businesses, the first thing you have to do is educate yourself. Robyn told us, “You really should understand what you’re getting yourself into. I always suggest that people get educated first so that [they] can understand the pitfalls.[Ask yourself if this] even works for you”

She recommends several books, such as The E Myth: Why Most Businesses Don’t Work and What to Do About It and Built to Sell. 

Another book that comes highly recommended is What Would the Rockefellers Do?: How the Wealthy Get and Stay That Way, and How You Can Too. It talks about the entity they created and how it managed to survive. 

In addition to reading, Google is your best friend. Robyn suggests researching to find out about Baby boomers retiring and selling their businesses. You’ll get a better insight. 

Evaluate the Business

One of the most important steps in buying a business is evaluation. A mistake people make is buying a business due to their emotions instead of using objective analysis. For example, there are formulas available that help you calculate the worth of the business. You also have to take a good look at the numbers. What are the sales like? What does cash flow look like? 

In addition to that, make sure you’re not just creating a job for yourself. A business that will facilitate generational wealth, is one that can run and be profitable in your absence. Make sure that the business structure is sustainable. That means it can run and thrive without a huge time commitment on your end. 

Next Steps 

If you’re ready to buy a six figure business, we’re here for you.

Just like us, Robyn believes in the power of collaboration. She said, “A collaboration is coming together for the better of the good and everybody. It is mutually beneficial to everyone.”

By collaborating with various people in different industries, you’ll be able to get ahead much more quickly. 

Speaking of collaboration, She Boss Talk will be partnering with Robyn to educate people about buying businesses. We are forming a community so you can learn how to buy and sell businesses in detail.

Learning how to buy and sell businesses is not out of your reach; you just need a supportive community to arm you with information, and that’s us. We’ll go through the steps together, and you’re free to ask questions to clarify anything you don’t understand. 

Taking this initiative may make the difference between generational wealth and generational debt. If you see yourself working smarter and not harder, this is the right opportunity for you. 

If you’re interested, please join our paid membership, She Boss Tribe; not only will you be a part of this amazing business buying mastermind group, you’ll get access to other exclusive content, discounts, and other perks.  

If you’re ready to start building wealth that will last for generations and achieve financial independence for your descendants, join our tribe to access this mastermind group. We can’t wait to connect with you. Let’s win together!