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Sack Your Boss, Buy a Business, Work for Yourself!

David Wells
David Wells
REINZ Accredited Business Broker

I have been in Business Broking now for more than 25 years. In that time, I have sold more than 500 businesses and probably looked at and appraised more than 1,000 businesses of almost every imaginable kind.

 We deal in the “SME” (Small to Medium-Sized Enterprise) range valued between $100,000 and $10,000,000 or more. Sometimes a bit less, and sometimes more.

According to Statistics NZ, there are around half a million registered businesses in New Zealand. A small number will be outside of our SME range, many are one-man-bands and many are holding companies not trading on a day to day basis. That leaves in excess of 300,000 actively trading businesses for a population of 5 million.

That’s a lot and why so many? Napoleon Bonaparte referred to “England is a nation of shopkeepers.” I wonder what he would have said about New Zealand.

Why are we so keen to own a business? In my experience, there are 10 basic reasons. Some of these overlap.

  • Independence, social status, personal pride, respect and fulfilment
  • Flexibility. Mould your business, occupation and hours to suit your personal situation
  • Establish your own goals and priorities. Cater to your own interests
  • Determine the culture, the location and the environment that suits you
  • Recruit your own team and choose your own workmates
  • Financial independence and better disposable income
  • Create an asset, a nest-egg for retirement and a legacy for your children and grandchildren
  • Choose an occupation you enjoy. Your interest or hobby may become your business or vice versa
  • Generate your own opportunities, assess the risk and reap the rewards yourself
  • Back your own judgement, make your own decisions without having to argue the case with someone else

Of course, there are other reasons, but these I see as the main ones. To achieve the best result, you will need the ongoing help, advice and assistance of four qualified and experienced professionals, namely a Solicitor, an Accountant, a Banker and a Business Broker. They can mentor and guide you through the minefield of finance, compliance issues, taxation, budgeting etc.

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