I was stunned to read today how this Icelandic volcano ash has completely thrown worldwide air travel into utter disarray, and I could not help but think how this event reminds me of what can and does happen to many who try to buy a business.
On the air travel side, thousands of flights to and from Europe and now North America have been cancelled. Hundreds of thousands of travelers are stranded. The International Air Transport Association (IATA) is making emergency plans similar to the days after 911. And, of course, the airlines are all screaming they should be compensated for the massive losses they are incurring (maybe they’ll start charging double for your bags). Isn’t that typical? Instead of looking in the mirror to discover the reasons why their businesses are a mess, they can now blame their poor performances on a volcano – perfect!
Enough pontification – how does this relate to buying a business?
Throughout the process, there will be obstacles. There will be situations where the unexpected prevails.
Sellers can’t prove their numbers, customer concentration issues are uncovered, landlords won’t assign leases, financing deals fall through, other buyers come in and scoop your deal, and on and on the list goes.
With every business for sale, and in every deal, issues you never anticipated will undoubtedly surface.
Expecting the unexpected is an understatement – I guarantee it will happen in every deal.
The question is – how will you deal with it?
Like the throngs of lookers who never complete a deal, will you point fingers and find every reason possible why you cannot buy a business? Or, will you address each challenge and turn every rock to find a solution? If you fall prey to the former, you will never get to the finish line.
Getting back to the volcanic ash for a moment, most counties have simply put their hands in their proverbial pockets for their citizens who are stranded. Britain’s Royal Navy on the other hand has been deployed to “rescue” 150,000 stranded passengers. If you can’t take a plane then take a boat seems to be their strategy. It’s like the old successful salesperson – if he can’t get into the front door, he barges in through the window.
Every business has problems. Every deal has “hair on it”. I have long believed that the business buying process is, in itself, a test for enterprising individuals.
If a prospective buyer cannot navigate their way through the process or when a “buyer” does not have the good sense to be well-prepared and educated about what they need to do, then they likely do not have the acumen or decision making abilities needed to be successful business owners altogether.
If you look for a reason to be derailed in this process, I guarantee you will find it.