Leaving a $300,000 9-5 Job with 2 Kids Under 10 to Buy and Build a Business at 49 Years Old: Would You Do It?

Here’s the real question:

Would you walk away from everything you know – a great paying job with a young, growing family, no debt - to buy and build a business at the age of 49?

Remember, buying a business mitigates risk compared to starting a business from scratch, but there are still emotional, mental and financial sacrifices. It’s no walk in the park, no matter how profitable. Most will say “No”, but if we look back at history, the greatest entrepreneurs took some level of risk. Jeff Bezos famously walked away from his high paying job on Wall St. to drive across the country to start an online book store, something no one understood at the time. The rest is history…

But, let’s approach this at a grass roots level. Recently, I received this tweet:

Here’s the DM:

Good morning, Nunzio. Thank you again for being open to engaging with me.?

I'd greatly appreciate an opportunity to hear more from your perspective if you're open.?

I've been doing my homework the past year in meeting with brokers, reading Buy, Build, Sell; etc.?

?It's just I'm 49 yo with two kids (8 & 10 yo), the sole income of my HH, and have an otherwise really successful life: same company for 8 years, $300k+ income, no debt, a good bit saved, and on track for 'retirement' in 10 years. That's a lot to put in jeopardy.?

Yet, my company just did layoffs and I know the next 10 years have further uncertainty ahead. Plus, I've done incredibly well in sales my whole life and know I'm a safe bet, personally. I almost always reach goal and am incredibly driven, even overcoming challenging business conditions.?

?I've worked hard to ensure owners and leaders of companies I've been at benefit from my drive and accomplishments, it just feels this is my time to bet on myself.?I'm also a combat veteran (Afghanistan) who has a disability rating. I know there's more I can and should be doing. I'm just not sure what the next step to take might be and how to do so with jeopardizing everything I've worked for up to now.?

I hope this helps give clarity on what I was referring to in response to your tweet and am humbled and grateful for any thoughts you may have.?- Bill

?

Here’s my answer:

?Hi Bill,

Thanks for this.?I can totally respect what you’re going through - having the courage to think ahead and consider the buy and build approach.

It really comes down to mitigating risk as much as possible. Here’s what I know through watching people buy and sell businesses for the past 10 years:

1. Personal Niche: Understand who you are and what your personal niche is. Finding an existing business you’re passionate about is good advice, but not whole. You need to find your personal niche: What are you passionate about? What are you great at? What can you monetize? They all have to live in the same room, one without the other won’t accomplish much.
2. Buyable: At BuyAndSellABusiness.com, we talk a lot about knowing the difference between a “valuable” business and a “sellable” business. Obviously, you want to buy a valuable business, but it also has to be sellable, or in your case, “buyable”. In order to find a sellable business, we encourage our audience to commit to our 3-pillar framework. In a nutshell: Stay focused and disciplined on buying a business?that has great timing and aligns with social/economic/tech trends. Find a business that is self-sufficient – meaning the business isn't dependent on a particular stakeholder, and find a business that has strong and healthy financials.?
3. Financing: Be creative with how you finance the acquisition, check out this blog, this blog and this blog.
4. Due Diligence: Due diligence, due diligence, due diligence! Do not rush it and take your gut checks seriously. If you see red flags, walk away. Also, lock in an acquisition team – our platform, an accountant, a banker, a lawyer. You want to surround yourself with a strong team that guides you and provides you with the proper checks and balances.
5. Safety Net: Hard to do, but if you can buy and build (with the systems, processes and team in place) while holding your job, you’ll be able to create a safety net - something to fall back on if the acquisition and growth goes sideways. If it doesn’t, you can judge when you believe the right time is to fully transition.

Feel free to share your thoughts on this article by leaving a comment or sending me a tweet. Your feedback is much appreciated!

----

Nunzio Presta?is the Founder and CEO of?BuyAndSellABusiness.com, an online platform where people can buy, sell and grow all types of businesses in the micro market.?Join?our growing community today for free.

THANKS FOR READING! IF YOU ENJOYED THIS?ARTICLE – SAY HELLO ON:

TWITTER?|?FACEBOOK?|?TIKTOK?|?SUBSTACK