More Than Numbers: The Strategic Insights Entrepreneurs Must Consider Before Buying a Business

When considering the purchase of a business, many entrepreneurs focus solely on the financials. While it's essential to review the numbers, it's equally critical to understand the strategy behind the business and its purpose. Why does this business exist? How does it fit into the market, and what’s its competitive edge? Without a clear understanding of the strategic direction, even a business with strong financials can fail after the purchase.

I always recommend you surround yourself with experts when evaluating a potential acquisition. An attorney can protect you legally, ensuring you’re not stepping into unknown liabilities. An accountant will provide a detailed analysis of the financial health, but don’t stop there. You need an experienced business strategist to assess whether the company’s purpose aligns with your goals and the broader market trends. A strategist will help you uncover any potential misalignments in the business model and identify areas for future growth.

By combining these three professional insights—legal, financial, and strategic—you’ll gain a comprehensive view of the business you’re looking to buy. Don’t make the mistake of being lured in by profits alone. Take a step back, assess the purpose and potential of the business, and ensure it’s the right fit for you. If you are considering buying a business, connect with me here.

Written by Darlene M. Ziebell