Buying a business for investment purposes is one of the best ways to create personal wealth and diversify an investment portfolio. Established businesses have a proven track record and is much safer than trying to start a business – and it requires much less capital too.
You can hire someone to handle the daily operations and manage the overall organization so you can have a more passive role. You remain the owner, and therefore, can receive lucrative annual profits, and equity upside on the sale.
If you are an Investor, you can invest in a business to achieve many goals
- Make more money through business ownership – versus more traditional investments
- Diversify your portfolio of investments – versus stocks and bonds
- Leverage your business knowledge to generate higher returns
- Diversify your alternative investments in a private business
- Do “direct” investments where you have more access and information