To want to buy a business even though we're skint and I know nothing...

[dreamingofaubergines]

Don't want to go into huge detail because a couple of people I know IRL come on here and they would laff at me and my pipe dreams for trade reasons

We're pretty skint, average mortgage, no savings, couple of credit cards with outstanding balances, but I've had a harebrained scheme to buy a business near me.
It's fairly ailing, think the person running it isn't much interested, and there's huge potential for improvements, the location is great and there's definitely a market for the products they sell.

I know very little about trade but I do have a passion for the products and a couple of possible leads for advice but I've not scouted these out properly yet. I have no idea of how much it costs to buy or set up a business, and short of turning up there and asking the owner if they're willing to sell I wouldn't know where to even start.

I currently work part-time in a pretty well-paid but deathly dull job, obviously I'd have to quit that and there's a chance they wouldn't take me back if it went pear-shaped, although I'd certainly be able to find work but not on as favourable terms. I'm bored senseless with the job though, and the idea of doing it full-time once the kids hit high school fills me with dread.

My nice, easy, leave-it-at-work-when-6pm-arrives would go out of the window to be replaced by a 6-7 day week, early starts and late finishes, I'd probably have to secure any loans on our house and it could be years before we're making any actual money out of it.

So, AIB bonkers U?

It sounds like a lovely pipe dream. But don't go into it based on a dream.

It's a business, if you want to do it right, think of it as a business. Where is your capital coming from? What will your costs be? Where are your customers? How will you promote your business, what will that cost? Taxes? Will you need an accountant? A Lawyer? How long until you make a return? What's your margin, where will you get stock from, how reliable are your suppliers. What if your DH loses his income? How many hours a week can you work? If it all fails, will your house be at risk?

OFGS. So did you buy it?

I think you are quite mad for one reason only. Often lottery winners think being their own boss would be wheeze, buy a business, they often know nothing about, it sucks their capital and they end up stony broke.

I watched a docu on on it - only one person made any thing of his business - he was already a SE plumber and just expanded into the upper end of the market. He had the back ground, the money, the expertise.

We are in a recession. You have to know your trade inside out. In your OP you say you don't, you are just passionate about the product. Well, if it were that marvellous a product, the business you are considering buying wouldn't be ailing. Well thats my logic on the matter.

Securing debt against the family home is madness.

Watching with interest, especially the bit about the current owner being a silent partner and equity share.