Buy A Business Without Cash / Buying a Business / Jonathan Jay / 2023
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Published 2019-11-06
Find out how to buy a business without risk - bit.ly/3VRmViX
Are you looking for ways of buying a business without using your own capital?
In this video, Jonathan Jay shares six different methods to buy a business without spending any of your own money. Business mergers and acquisitions typically require capital, whether it's borrowed from a bank or borrowed from friends and family.
But what if you could buy an existing business that is already up and running without using your own capital?
Jonathan Jay discusses five different business acquisition strategies for buying a business without using any of your own money.
The first method is to find a distressed business, which is under financial pressure and may have debts. By doing a one-pound deal to buy the business, you can take on the liabilities of the company.
You can solve the problems that the previous owner had with fresh eyes and enthusiasm.
The second method is to use someone else's money. There are plenty of people who want to be part of a business acquisition but don't want to take responsibility for the business. You can give them a chance to be a shareholder in the company and buy twenty or twenty-five per cent of the shares for a lump sum. You can use that lump sum to help finance the deal.
The third method is to agree on a deal structure with the seller of the business. You can defer 100% of the acquisition payment for the company and spread it over the next five years, for example. This means you pay the seller of the business a certain amount each year until you've paid off the agreed amount.
The fourth method is to use vendor financing. You can ask the owner of the business to finance part of the deal, which means they lend you the money to buy the business, and you pay them back over time. This is a great way to buy a business without using your own money.
The fifth method is to use a lease purchase agreement. You can lease the business for a period of time and have the option to purchase it at the end of the lease. This is a great way to test the business before you commit to buying it.
The sixth method for purchasing a business is to use a combination of these methods. You can use vendor financing, deferred payments, and other methods to finance the purchase of the business.
If you're interested in buying a business without using your own capital, then this video is for you. Jonathan Jay shares six different methods that you can use to buy a business without spending any of your own money. Check out the video now to learn more!
All Comments (21)
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If you enjoyed this video and would like to take the next step to learn the best ways of buying a business, without risking your own cash, you can access my free training at bit.ly/4ajGRQH Thank you!
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I made lots of money buying companies with problems I knew how to solve the problems then resold them as good companies with no problems .
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Number five and six just might help me buy that motorcycle shop. I’ve been dreaming of thank you for this video.
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Very good informative vedio sir thanks again 👍 Sir
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Hey @Jonathan need some advice on a business (gym) which is on sale but I don't have enough funds to acquire it. Which would be the most advisable choice to take?
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Hey . Really informative video . Please guide me with this situation . I own a steel manufacturingbusiness . And want to buy a steel plant in order to expand my business . I wish to buy the plant through lease cum buy option for which I am willing to pay 1.5 times the price of the business but with no money down . How do I find business owners who would want to sell their business at the said premium ? Thanks a lot .
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Hello Jonathan, very interesting topic! Any way to exchange with you about an opportunity I am working on? I need someone like for to pull of a complicated deal.
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Good evening Jonathan Could you do a video explaining how to source a good deal making team
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This is gold thanks 💝
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How do you establish trust with an owner when structuring an earn out? In other words, how do you ensure them that they will receive their performance-based payments as agreed without them having any visibility into the business's P&L's, etc.?
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Some aspects can be used
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Cool content
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Please make a video on how to find best business to buy and how to find that that business in good or not good to buy
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Excellent!
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According to the sixth method: 1. business Purchase $ 1 million, 2. The business account has $ 100,000 3. The owner leaves the money in the company, 4. The company will be worth $ 1.1 million. 5. The owner does not have to pay 40% tax on if he would take a dividend, but only 10% because he left the money in the company, does this mean that the remaining 30% can be used as personal capital to get a loan from the bank and with it pay the owner? 6. What percentage of UK tax is paid on the profit from the sale of the business?
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Hey @Jonathan let's start a company already 😁
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That is was I looking for, could it be also combined between an LBO and a seller financing? And what if the buyer has some personal debt not related to any business? There's any kind of way structure where the bank doesn`t need any of the histories of the buyer?
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Do you purchase or refinance for assets based finance? Ss I do not own the business or property but aiming to purchase both to the sell lands of which then pays off the loan essentially.
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What about getting a business loan as a down payment to finance an owner seller contract?
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Is it possible to approach a business which is part of a franchise in this way, or do you think it would weaken a person's chances, because franchises are more financially stable.
