
Brodieclan, any business is a lot to worry about. I think you are taking a very superficial look at this situation, and making a lot of assumptions with very little understanding of business take-over and buy-out.
The fact that they may not own their own building is nothing. Most small businesses don't own their own building. Overhead costs are one small part of the big picture.
Knobyz is right - normally you are buying the Business name and everything that is associated - suppliers, customers, all accrued goodwill. If the business is well established, price could be steep, but then it's probably a better investment.
Chances are if it's lasted 4.5 years, it's doing OK. But, without taking a deeper look, that's hard to determine for sure. Any serious buyer will know what he or she is getting into, and will inquire as to the actual financial condition of the business.
As well, at 4.5 years, I highly doubt you're going to hire hands and retire. If it were possible, don't you think the owner would be doing so right now?! lol. It's usually 3-5 years before you can even take any real money out of a business (most fail within 5), and even longer to set it up to run on its own. Most people wouldn't want to do that to their own business anyway, not at this stage of the life cycle.
Sorry to hear about the fate of the owner. If what you say is true, then I'm sure he'll do just fine as he must be a good guy. Best of luck to him and his family.
Jun 24, 2009 at 22:16
If u are ever selling it PLEASE talk to me. I have the same size shock on my commy and really want one...