engage magazine issue 004 \'07 - Page 58

58 FINANCE Chatsworth Consultancy Mergers and Acquisitions The subject of Mergers and Acquisitions gets much less press than other business-related topics such as accessing finance or raising capital for business start-up, but is probably one of those investment sectors that appears to require you to be a member of ‘the club’ to gain access. Buying an existing company – Acquisitions - is nothing new. Business people have known the benefits of buying a business lock, stock and barrel for many a year. It is however one of the least areas of considerations made by budding entrepreneurs. Although the concept of formulating a company and seeing it through to its first million is a noble one, stop for a minute and consider all those who have come before you. Maybe five or 10 years ago someone started a business in exactly the field you now wish to enter. Years later they may well have achieved their original objectives Chatsworth Consultancy is a business consultancy offering advice to new start-ups as well as existing businesses and coaching. It can also assist with preparing presentations and the writing of reports and strategies. For further information telephone 07891 720073 or email chatsworth@ consultant.com. A lot of people know that they don’t want to do 9-5 any more but may not be sure what they want to do instead. If you find yourself in this boat it is important that you take some time out for yourself. Don’t be forced in to a decision you may regret. Give yourself the time it takes to explore every option. Believe me it will save you time in the long run. Cut down on endless hours of soul-searching every time something goes wrong because you will be confident in your decision and your reasons for rejecting other viable options. Whether or not you have your own money to put into a deal, in today’s market having a business plan before you start is just common sense, and should be second nature. That said the time it takes to put together a business plan to buy an existing company could be less than a start-up enterprise. You may find the person you are buying from has an existing plan and is happy to let you have a copy including detailed information about the market, customers, opportunities and threats. Trading figures as well as current suppliers and stock movement are all invaluable resources you can glean which can aid your decision to make a purchase. What do you intend to get for your time, effort and skills? Apart from money, do you know that the clearer you are about your personal ambitions in business the more successful you will be? Over the years I have heard so many stories about people seeing a business that has been running and managed well and through a casual conversation found out that the person running it is thinking of retiring, selling up, changing professions, or emigrating. engage | uk ISSUE FOUR 2007