The advantages of buying an existing business include:

• The purchase of an already established business with an existing track record;

• The existence of consumer “goodwill”;

• An existing record of sales and license requirements;

• The existence of fixtures and inventory, meaning that the new owner does not usually have to replace these items — at least in the time immediately after the purchase when cash may be tight;

• Possibly a greater willingness on the part of suppliers to extend trade credit to the new business purchaser.

Starting from scratch has its own advantages which include:

• Not inheriting any consumer “ill-will” that might exist in a going business;

• The ability to lay out the facility in a way that the purchaser feels will be most conducive to doing business;

• Purchasing will new fixture, if desired;

• Choosing surveyors and suppliers on the basis of negotiation rather than inheriting them;

• Purchasing inventory based on the new owner’s perceptions and knowledge.