TOPIC: buying business and/or multi-inspector

But hiring another person only helps if you have more work to give them. The question is, why will buying another company give you more work? How has the business marketed themselves in the past?

Not sure on the details of the marketing.  The business has been around for about 10 years and it's gross income is $80K plus or minus (I'd need to get some of those details etc...). 

My assumption is that if I buy the business then the clients that already go there will give me a call.  I'll have first crack at keeping them happy. 

My assumption= Mistake!

I agree with Roy on assuming!

Who are your clients? The Public in general. How often does a client purchase a new home? 7-10-20 years???

You can buy a "Lead List" for a whole lot cheaper and possibly get a better ROI.

The mistake most people make when buying a HI business is... THE INSPECTOR is the business. When he/she is gone, the business as you know it dissolves. All that is left is Assets and a Lead list. NO GUARANTEES of anything.

Jeffrey is right for most inspection companies. There are some with multiple inspectors that market the business and have a large base of agents/clients that call the business often and don't care which of the inspectors they get. That's the kind of business that would be worth while. I'd want to see something like his ISN records to see how busy he really is though. Then of course there's the matter of cost. If there's little business but he want's $1000 for it, then it could be worth it. If it's extremely busy then $100k could be (not the case with annual income of $80k).

You have to be very careful when buying an existing business.  You may also be buying the past liability along with any prior issues.  If the business is only grossing 80k, it isn't worth much.  Do you get the equipment? computers?  software?  website?  vehicles? anything? a name and phone number?  past tax issues should there be an audit?  Are you ready to become an employer with all the tax ramifications?  What if there isn't enough business and you let the employee go....  what about unemployment insurance or disability insurance?  Ready for the employer taxes?  Or is he a 1099 contractor?

One of my better friends that I went to inspection school with bought a business.  He was paying for years, even after he decided to quit the business.  The selling inspector stayed on with him for 6 months and introduced him to all the regular agents.  Maybe 25% stayed with him.

So unless you are really getting something out of the deal, and you have YOUR LAWYER draw up the contract, spend the money on marketing.