I have the opportunity to buy a successful solo-business (proven revenue for the last ~15 years). I am looking for some feedback from others with a neutral / devils advocate viewpoint.
The business is belonging to my father-in-law. He bought it 15 years ago from one of his business partners. The business is in a niche of the music industry and one of the best known in its niche. I have the option to buy the business from him for about 1/3rd-1/5th of the value, we still have to determine with an external source the "true" value, but we have a range where we both agree the value lies within.
The business is actively producing, whole- and retail-selling its products.
Here are the major positives I see:
* proven revenue for more than 15 years
* established brand in the niche
* I will be my own boss and be the only deciding factor for success
* I can take the company a level further, I have so many ideas what I could do and improve, mostly on the technical but also on the producing and selling side
* I already know many processes as I have worked for and with my father-in-law during my time at university for about 4 years
Here are the major negatives I see:
* don't do business in family
* I have to be my own boss and have all the responsibility
* my father-in-law might still want to have a say in the companies direction and future (I would be greatful for any insights/knowledge/help from him after transition but I could also imagine we have different ideas and that could cause stress as he is very stubborn about his ideas)
My current situation:
I am a 28 y/o backend developer at a startup, still in the early stage of my career. I make ok money but I am quite unhappy about the job. I will either search for a new job or take the opportunity and buy the business. I am leaning strongly to buying the business as I have always wanted to work for my own.
What do you think? What would you do? To me it seems rational to buy the company, but I might also be blinded and not seeing the reality (I tried to make the description as neutral as possible).
The business is belonging to my father-in-law. He bought it 15 years ago from one of his business partners. The business is in a niche of the music industry and one of the best known in its niche. I have the option to buy the business from him for about 1/3rd-1/5th of the value, we still have to determine with an external source the "true" value, but we have a range where we both agree the value lies within. The business is actively producing, whole- and retail-selling its products.
Here are the major positives I see:
* proven revenue for more than 15 years
* established brand in the niche
* I will be my own boss and be the only deciding factor for success
* I can take the company a level further, I have so many ideas what I could do and improve, mostly on the technical but also on the producing and selling side
* I already know many processes as I have worked for and with my father-in-law during my time at university for about 4 years
Here are the major negatives I see:
* don't do business in family
* I have to be my own boss and have all the responsibility
* my father-in-law might still want to have a say in the companies direction and future (I would be greatful for any insights/knowledge/help from him after transition but I could also imagine we have different ideas and that could cause stress as he is very stubborn about his ideas)
My current situation:
I am a 28 y/o backend developer at a startup, still in the early stage of my career. I make ok money but I am quite unhappy about the job. I will either search for a new job or take the opportunity and buy the business. I am leaning strongly to buying the business as I have always wanted to work for my own.
What do you think? What would you do? To me it seems rational to buy the company, but I might also be blinded and not seeing the reality (I tried to make the description as neutral as possible).