Business Buyers Need To Ask The Right Questions

You must have seen these ads: Good business for sales $1,500,000, SDE $350,000, low overhead.... Then comes due diligence, may I see your books mr seller? What books Mr. Buyer, I have been in business for many years "We need no stinking books!!". Here is were you spend most of your time as a buyer separating realty from fantasy by the seller that his business is the next Walmart!. Don't bother with CPA's and attorneys, save your money, until you get into escrow then bring-out your guns...Ask the buyer direct questions, like where is your sales records, show me your bank deposits, show me your check book (how many checks does he write and to whome?) You have signed an NDA (non disclosure agreement) there is no way to offend here...Once you see that there is no money going to the bank or a good sales record, you can save your self the expence of a CPA or any other professional. Your basic knowledge of simple book keeping is good for now...Keep faith and don't dispare...