The First Steps You Should Take After You Buy a Business
It is One Thing to Buy a Business, Now You Have to Run It!
The first 90 days after you close on a business purchase will likely prove to be the most critical time for your new venture. There are several factors, that if done right, will set the foundation for your future success. Just as you created a checklist during the due diligence period, it is very important that before the closing you create a post-closing plan to ensure a smooth transition.
Do Not Change Anything… Yet!
Unless you have an intimate knowledge of the business or industry in general, everything will at first be new to you. It is understandable to jump in and make many changes that you have thought about, but in the absence of blatantly obvious deficiencies in the business model, the best thing that you can do is nothing, at least at the very beginning. That is right, no major changes at all, at least for now. Most businesses experience a downturn in the first three to six months after a new owner takes over. Do not panic, it happens. However, if you avoid any substantial changes, things should transition effectively.
What you want to do first is to learn the business. Who are the customers? What do they want and expect? You must learn to understand the employees and determine their future role and contribution to the business. Avoid drastic changes. The old saying that you’ve got to learn the business before you can make the business is applicable in this situation.
Get in, get familiar, and then get customize your new business to your liking.
To discuss buying a business in NJ or developing a relationship with an experienced and trusted NJ Business Law Attorney, contact Fredrick P. Niemann today. He is here for you. Please email him at firstname.lastname@example.org or call him today toll-free at (855) 376-5291.
Written by Fredrick P. Niemann, Esq. of Hanlon Niemann & Wright, a Freehold Township, Monmouth County, New Jersey Buying a Business Attorney