There is a fundamental question you need to ask yourself before you start your own business: which is a better option to invest your resource and time in? Starting a new business from scratch or buying a readymade /off the shelf company. Though there are pros and cons to both sides of the argument, we will discuss only the benefits of buying an off the shelf company, and whether it is really worthwhile an option pursuing. It is important to weigh all the facts, however, before making up your mind to buy an off the shelf company. And finally remember that only less than 10% of the startups actually survive within the first five years of operations, making it a do or die situation for most business owners right from the start!
Prospective candidate for availing of Bank Loans & Credit Cards:
Compared to a startup, an off the shelf company is a prospective candidate for obtaining bank loans and credit cards. This is purely based on the impression of longevity. For instance, if a company were registered a few years ago, it would actually enjoy the tag of an established company before you bought it. An aged company always stands a better chance for fundraising than a newly registered business entity, and is therefore considered a safer and reliable investment option to banks and funding institutions.
Trading with older companies:
Many companies the world over celebrate their anniversaries and for a good reason too—more than anything else, it gives them a sense of credibility and consistency in its niche area. How about a similar company in the same niche that’s been trading only for six months? Given a choice to trade, which will be a better pick? Obviously, the company tagged with longevity and years of operational experience, right?
Also, you cannot discount the business and management policies that have been steering the company towards optimal performance. Therefore, when you decide to buy an off the shelf company, it is not just the longevity, but also the invaluable experience that helps in building the company to the level it is at.
Building confidence in clients:
When you are buying an off the shelf company, remember you are buying the market, alongside the customers, and, more importantly, the years of customer confidence transforming into business success. So why cut part of the market by choosing not to buy one?
You can learn more about the benefits of buying an off shelf company from us, and do touch base with us if you’ve more questions on buying off the shelf companies online.