1.) Look for a business that matches your personality. A new business should be something you love to do. You will work better when you like what you do!

2.) Find a business you can afford. Keep money for (6) months operating capital. There is always a learning curve when you buy a business. Money/Cash flow is the lifeblood of any business.

3.) Be aware of location of the business as well as doing your homework on any major changes around your new business.

4.) Most banks do not finance a business purchase. You must have funds or find alternating funds. Usually the seller will help finance the purchase, but they usually want additional collateral.

5.) When you look to purchase a business it is imperative for you to have mutual respect between you and the seller. The seller is the most important asset you will have in the transition of the business.

6.) Be prepared for usual tax returns and profit and loss (P&L) statements from an existing small business owner. The owner’s goal has been to keep as much cash as possible. You will have to have your accountant analyze the statements and have the “put backs” in the cash column.

7.) Make sure the lease has some time left. The landlord will let the lease be transferred, especially if there is an established connection with them.

8.) Try to determine if the current employee will stay with the business. A lot of the value of a business has to do with trained employees already in place.

9.) Make sure the price of the business allows you a chance to make an income & pay off the note within a reasonable timeframe.

10.) Make an offer; Good luck will come in handy here.