Acquiring a business is also a much smarter way for entrepreneurs to become business owners. More than seven million entrepreneurs in North America and the UK start new businesses every year. According to Michael Gerber of E-Myth, 96% of these businesses will fail inside of 10 years.

It is therefore quicker, easier and less expensive to acquire an existing business, that someone else has built for you and now wants to sell. That business will already have employees, products and services, assets, cash flow, credit, customers, suppliers, partners and a market reputation.You may require some personal capital to acquire the business, however most the purchase cost can be funded using other people’s capital, using the business assets and cash flows as leverage and security.

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