Short course where Henry Kutarna, The Catholic CEO, shows you what is needed to do proper due diligence when buying a business.
This course will also help you to determine whether or not you should buy a business. If so, it will help you determine the best kind of business for you.
So if you are interested in one day buying a business, take a look.
1. Readiness: Are you able to buy a business? What is your experience, knowledge, training, and background?
2. Type of business and industry: important considerations when looking at a business are the market, the health of the business, the moral question.
3. Financial state of the business: determine profit, debt, margins, and research competitors.
4. Structure and shareholders: know if the business is a sole proprietorship or corporation. If a corporation, know the details fo the shareholders agreement.
5. Valuation: Know the worth of the business with the 4 standard valuation calculations.
6. Team and management: know the details of contracts and job descriptions, whether the team will stay after the sale, etc.
7. Financing and capital: learn the different sources of capital to be able to buy a business.
8. Technology and processes: study the operation processes, technology, state of the equipment, etc., of the business you are considering buying.
9. Financial projections: run projections on different scenarios- use a spreadsheet
10. Sales, marketing, business model: there must be a present and future market for the product/service, know the sales cycle and funnel, look at competitors, learn if there. isroom for more products/services
11. Suppliers & service providers: understand the supply chain, the state of the suppliers and service providers
12. The plan: look at whether this is God's will, whether or not you can handle the workload, be sure to consult your spouse and family