Why no support for those who would buy a business?
Looking for work or a change of direction? Why not become an entrepreneur?
Great Britain has always been known as ‘nation of shopkeepers’.
The current economic depression has seen 2 million people out of work and there is the strong possibility that this will increase to 3 million in the not too distant future.
With over 30,000 businesses for sale in the UK it would be nice if the government took it upon themselves to help people who may wish to acquire a business.
BERR is the government department responsible for Business, Enterprise & Regulatory Reform. The key word here is ENTERPRISE. It is just as enterprising to want to buy an established business as it is to start a new one. Surely the government can see that a person buying a small manufacturing business is ensuring the continuity of employment of a significant number of staff. After all, the vast majority of businesses are selling for good reasons, not because the business is failing. When a business owner wants to sell it could be due to a multitude of reasons. He may be retiring, he may be unwell, he may wish to pursue a different path, or he may have another business idea that takes priority. In all of these cases he may be able to pass on to a new owner a thriving business that will provide the new owner (and his family) with a source of income for many years to come.. The alternative is that he closes it, sells off the fixtures and fittings, property etc, but almost invariably makes people redundant.
We need to encourage more people to consider the opportunity to own their own business, rather relying on the efforts of others. People need to take ownership of their future.
The government could help. There is plenty of help for people who wish to start a business, but someone who has just bought a business needs help just as badly. Help with accounting practices, business plans, employment grants, business rate reductions or holidays, energy efficiency, marketing, law, distribution and ecommerce etc.. The government could, and should help in all these areas.
Perhaps if people felt that they were not alone in the venture, then maybe more would take the plunge and buy a business. This in turn would keep people in jobs. Allow redundant people the opportunity to be productive and restore some pride to the term Great Britain.
Web sites such as Myownbusiness.co.uk and Daltons.com and Businessesforsale.com all contain thousands of exciting business opportunities. In addition to these there are dozens of good business transfer agents who would be delighted to work with a proactive government department if it meant they had a better chance of selling the businesses on their books.
We need to encourage the government to do two things:-
1. BERR should live up to its name and be a force for enterprise, working with agents to ensure good businesses remain open.
2. Create a financial and business support package for people buying a business. This should not just be about free hand outs, but more about genuine advice, mentoring and resources.
If you feel the same as me, send an email to BERR or your local MP and let’s try to get some of Britain back to work.
CERI EDWARDS
Head of business development
RTA (Business Consultants) Ltd.,
But there is financial support for people buying a business. I'm involved with a grant fund that has £3000 available for people setting up in business, whether its a new venture or whether they're buying an established business. OK that's not a huge amount but I've seen people funded through that grant who have also obtained funding from other grant funds and it can add up to quite a large sum.
ZENO - you are obviously not familiar with the origin of the term 'Nation of shopkeepers' - It was 'coined' (see what I did then?) by the eminent economist Adam Smith in 1776 in his Wealth Of Nations paper - the original text reads:- "To found a great empire for the sole purpose of raising up a people of customers, may at first sight, appear a project fit only for a nation of shopkeepers. It is, however, a project altogether unfit for a nation of shopkeepers, but extremely fit for a nation whose government is influenced by shopkeepers. " I use it to emphasise the fact that this group of people - these small, self employed businesssmen and women, are important to the country and government of that country as they are voters and they employ voters.I appologise that Napolean (and Margaret thatcher) used it out of its original context.
Ceri Edward’s company, RTA Business Sales, write their contracts in such a way that they aim to get paid thousands of £s even if they do nothing to sell your business.
They have a withdrawal fee, which can be a number of £thousands, that YOU have to pay if they decide to pull out of the contract. They also have their commission fee if they sell your business, which is fair enough, but if they don’t sell your business and you question the withdrawal fee then they suddenly accuse you of alsorts and ask for the commission – which is usually MANY thousands.
In addition, their sales rep over-values your business in order to maximise their commission so the likliehood of finding buyers is pretty slim anyway. The rep doesn’t point out these onerous terms in the contract and clients also claim that he tells them something entirely different to what RTA later claim that the contract says.
Just do a google search “rta business sales mirror” The Mirror have been investigating these people for years and they have some proper horror stories.
One chap asked RTA to cancel the contract as he’d only signed it 3 days previously and, as he was worried about the over-valuation, did a quick search on the internet and found the Mirror blog. RTA are now threatening legal proceddings for £42,000 plus VAT even though they didn’t even advertise the business.
It’s crass, unprofessional and down right dishonest in my opinion.
The moral of the story is:-
1. Search the internet and investigate the business agents first
2. Get feedback from customers the already have
3. READ the contract no matter how long it takes or how much the rep tuts and looks at his watch. And if the rep tells you something and you can’t see it in the contract, get him to write it on the contract and sign it.
There are literally hundreds of RTA clients who have been caught by their unfair contracts and they are just the ones that ended up in court. I wonder how many more paid up rather than suffer the bullying and threatening letters from RTA?
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Business as usual for the 'get my blog in anywhere' crowd.
This thread is attempting to deal with a fairly serious set of circumstances, in that there is very little state support for those who wish to buy a business, which in turn helps those who are selling their business. The buying and selling of businesses helps keep people in jobs, gives people opportunity, and allows hard working business owners to retire or move on getting just reward for their efforts.
THIS IS NOT A BLOG ABOUT THE MERITS, OR OTHERWISE OF ANY INDIVIDUAL COMPANY OR RTA.
You are poaching someone else’s efforts to create a useful tool for a discussion on this thread.
You have not even had the courtesy to read the previous comments , and also not had the intelligence to respond to the previous comments with any constructive argument - You simply want to post a 'health warning'.
Despite knowing this the commenter above has seized his opportunity to vent his angst on whatever platform he can acquire. And who can blame him? Freedom of speech is a human right - right? Unfortunately, anonymity is the scourge of the 'on line blog', it allows anyone to make remarks with impunity - if you have an opinion be proud of it and share your identity with your co - asserters.
He or She clearly believes that they are the authority on this subject. He or she perhaps needs to be aware that RTA have over 9000 clients and have been operating over 35 years, doing their best to assist business owners in their desire to sell their businesses. He or She would be better served by entering in dialogue with the company they profess to warn people against, rather than harming the interests of the VAST MAJORITY of good clients who want to sell.
Posting anonymous blogs is not big or cleaver - just a sign of a wish to avoid discussion and a sign of your reluctance to be accountable for your opinions.
It is true that, regrettably, on occasion, RTA like all businesses have to protect themselves from those who would seek to renege on a written contract of terms. This happens infrequently, and it is NOT true to say that it happens to hundreds of clients. Please stick to the facts not hearsay, and if you are prepared to enter into discussion, I would encourage you to contact RTA. That is of course if you are prepared to stand up for you accusations and expose yourself.
Ceri Edwards
Business Development Director
RTA(Business Consultants)Ltd.
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