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Carefully research the business plan and financial statements before buying an existing business. Buying an existing business and its business plan is a viable option for starting your own business, but careful and educated research into all operational reports and financial statements is essential.
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If your business is all in your head, it's hard to convince lenders, investors and shareholders that you have a credible company and that you'll use their funding well. This highly recognized management tool is basically a written document that describes who you are, what you plan to achieve, how you plan to overcome the risks involved and provide the returns anticipated. Often people think of business plans are limited to starting up new companies or applying for business loans.
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