1. Select A Type of Ownership
Mr. Stasa – Willoughby-Eastlake City Schools ©

2. Select a Type of Ownership
Run an existing business
Own a franchise
Start a new business
Would you prefer to start your own business or purchase an existing business?
What are the advantages and disadvantages?

3. Purchasing an Existing Business Advantages
Existing businesses already have:
Customers
Suppliers
Procedures
The seller may train the new owner
Prior records of revenues, expenses, and profits
Financial arrangements may be easier

4. Disadvantages of Buying an Existing Business
The business may not have been making a profit
Problems may be inherited
Capital (money to start) may be required

5. Advantages of a Family Business
Pride and sense of mission
Continue a business over generations
Working with relatives
Benefiting those you care about

6. Disadvantages of Family Businesses
Family members may make poor decisions
It is difficult to keep good employees
Family politics may affect decisions
Business problems may affect family life