Forums: Discussions for entrepreneurs and small business.

This just came a couple of days ago. I have been doing photography for a long time (about 20 years) and know quite a lot about it. My wife started recently with my guidance (2-3 years) and loves it.

We just had an offer, somebody is selling its photo-studio and wondered if we would take over. He also mentioned that the bldg itself is for sale where the business is located. Its a two story house with the second story being a home. I was wondering if I decide to  buy the shop, should I buy it together with the bldg or not. The place is in a good area,  the price is 800,000 for the bldg. I could probably pull off a loan of some sorts and if I sell my current house would have some downpayment, too (we could live upstairs).

I would prefer this over just buying the business, as it would give me something tangible, it would solve any possible problems with landlords and rent. If the business would fail, I still have the bldg. The problem is the price is quite high for my current financial situation. If I were to keep my current job and let my wife run the business we could probably pay the loan if we she doesn`t take any salary. However it would also mean I need to be careful to keep my job (it is a steady job, been at the same place for about 10 years now).

What is your opinion on it?

thanks,
Attila

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Michael A. Silva
Silva Consultants

www.silvaconsultants.com

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Rich Sloan , Co-Founder, Chief Startupologist, StartupNation

Thank you both for the replies. Rich, yes I did see that article, thanks,
As for the building and business, the rent I was told would be aournd 4,000. I am not sure how much the business would generate, yet.
We haven`t touched the money part, just yet.

At this point I got the inventory from the owner. My problem right now is that the owner created the inventory list and put down the original cost for the items.

Which in most of the cases is not valid in my opinion. If the assets I get are used the inventory should list its current value (price) and not how much it was as new.

Put it this way: my commons sense says that the inventory should equal current value not as it was new. He did get depreciation out of them, right? In fact how long until an item can be depreciated to 0?

What is your opinion?

thanks,
Attila